Sale of military-owned companies aims to raise cash and encourage private investment.
The move highlights the prominence of Egypt’s new sovereign wealth fund, the evolving role of the military in the economy and the need for cash from overseas.
There are growing expectations of a limited Qatar-Saudi reconciliation, at least on airspace.
The Fakhrizadeh incident should actually increase the urgency for the Biden Administration to restore the JCPOA nuclear agreement
Although this requires Iran to maintain strategic patience in responding to the attack, despite pressure from hardliners in parliament
However, further attacks could spark a cycle of escalation that would make future negotiations more difficult for both the US and Iran
The oil market doesn’t appear to have priced in a particular impact as of yet
Background & analysis of Egypt’s debt dynamics & how they are likely to play out – register & subscribe for free to read the full report
A regional visit by Jared Kushner has raised hopes of a breakthrough on the rift, although he is more focused on the Israel normalisation push. The best outcome, still unlikely, is an easing of the airspace blockade by Saudi Arabia. For Saudi Arabia a resolution could help ease tensions with Biden and reunite the GCC …
Kushner visit unlikely to herald Qatar breakthrough Read More »
Vaccine roll out is likely to be swift in the Gulf thanks to its buying power, government-run health sectors and vaccine deals that are already in place The news is positive for oil production although it will take time to impact demand for oil and inventories with prices only likely to gain material support in …
Oman has reportedly received a $1bn deposit from Qatar. Oil fell to a five-month low below $38 on Covid worries and revived Libyan production. The Saudi Q3 deficit eased to -$10.9bn on stronger oil and VAT revenue. Major reforms appear to be coming to the Saudi labour market. S&P downgraded RAK & Sharjah, but Moody’s …
Libya reopened some oil fields and export terminals, but less than a third of its capacity. The US asserted UN sanctions had snapped back on Iran, while the UN Sec Gen said no. Iran was a major topic of debate at the virtual UN General Assembly, which included a rare appearance by the Saudi King. …
Oman may issue debt & Libya partly restarts production Read More »
Bahrain and UAE signed normalisation agreements with Israel in Washington. We do not expect any other Gulf states to follow imminently, for differing reasons. Coronavirus cases are again rising in Oman, following trends in Bahrain and UAE. Hafter said he will lift the blockade on 1m b/d of Libyan oil exports. This comes amidst protests …
Bahrain normalises ties with Israel & US upgrades Qatar relations Read More »
Oil fell to a three-month low of $39 on demand weakness and rising stocks. Coronavirus cases are rising sharply again in Bahrain and UAE. Bahrain issued $2bn at lower yields than a year ago but couldn’t sell a 30yr tranche. Oman is making preparations for a local sukuk and an international bond. Saudi commuted death …