Category: News

Saudi authorities have detained 298 government employees, including military officers, and will indict them on crimes, including abuse of power, bribery, money laundering and corruption, according to an anti-corruption body called Nazaha.

The total sum of misused funds amounted to 379 million riyals ($101 million), Nazaha said in a series of tweets on Sunday. Those detained include retired defence ministry officers, Interior Ministry officials and two judges, it added.

Hundreds of royals and senior businessmen were arrested in November 2017 and locked up in Riyadh’s Ritz-Carlton hotel in a so-called corruption campaign that hurt business confidence in the kingdom.

Source:https://www.arabianbusiness.com/politics-economics/443017-saudis-detain-298-government-employees-in-corruption-probe

Seera Group, the Saudi-based travel and tourism company, said on Thursday it expects its 2020 financial performance to be impacted by the spread of the new coronavirus.

Abdullah Aldawood, CEO of Seera Group, said the company, which recorded a record gross booking value of SR10.8 billion last year, will “be taking prudent precautions to manage through this situation”.

“Looking ahead it is clear that Covid-19 will have an impact on the travel industry, the extent of which none of us can predict at this time.

“We will continue to monitor the macro situation closely and manage the company in a responsible manner, taking sensible steps to adapt where required,” he added.

Saudi Arabia has so far reported only two cases of the new coronavirus.

His comments came as Seera Group announced that revenue declined by 4.8 percent in 2019 compared to 2018 driven by change in revenue sources and more competitive pricing for some services in order to protect and increase market share.

Group net profit after was SR189 million compared to a loss of SR142 million a year earlier.

2019 witnessed the consolidation of operations under a new corporate identity and an ambitious expansion of existing businesses as well as the launch of new services, including the launch of a dedicated destination management company, Seera said in a statement.

Aldawood said: “2019 saw our three-year transformation journey continue with a busy year full of challenges, ambitious targets and new launches

“The year closed with a healthy balance sheet and a more diversified revenue stream in travel, hospitality and car rental services.”

https://www.arabianbusiness.com/travel-hospitality/442164-saudi-travel-giant-expects-covid-19-to-hit-2020-performance

The UAE Ministry of Health has advised citizens and residents to avoid travelling abroad unless it is absolutely necessary, in light of ongoing coronavirus outbreak.

According to a report by the WAM state news agency, those who do travel will be subject to follow-up checks on their return and may be kept in quarantine at home, the ministry said.

The report added that rapid laboratory testing and control procedures have also been activated at UAE border crossings, where more than 30,000 tests have been conducted since the virus appeared.

On Wednesday, the UAE’s Education Ministry announced that the spring holiday will start earlier, and all public and private schools and higher education institutions across the country will close for four weeks, starting Sunday, with a process of distance learning employed for pupils.

Students and staff who have travelled will be placed in home quarantine for 14 days and will not be allowed to enter educational facilities before that period expires.

During the next four weeks, some 600 schools will undergo a rigorous deep clean and over 3,000 buses will be sterilised.

Dubai is home to Emirates airline, the world’s biggest airline by international traffic, and Abu Dhabi owns Etihad Airways. Both airlines have encouraged staff to take leave.

The UAE has confirmed 28 cases of coronavirus, with 23 still active and five totally recovered. Two cases continue to be described as “serious”.

Source:https://www.arabianbusiness.com/travel-hospitality/442097-uaes-ministry-of-health-calls-on-citizens-residents-to-avoid-travel-amid-coronavirus-outbreak

Emirates NBD has reduced its bank charges in a bid to support business in the UAE.

In line with recent government and UAE Central Bank initiative, the bank’s ‘Transaction Banking’ unit has announced reduced tariff offers over the next three months.

In particular, it applies to customers using its revamped ‘Smarttrade’ platform, which replaces the need for physical branch visits.

The bank will also offer clients new smartTrade activation at no cost for the next three months to allow them to route more digital transactions to the bank.

Ahmed Al Qassim, senior executive vice president and group head, Corporate & Institutional Banking, at Emirates NBD, said: “We are pleased to offer our clients reduced bank charges for transactions initiated via smartTrade platform with immediate effect which will help alleviate pressure by reducing operational costs.

“In addition, our continued investments and focus on digitisation equips our customers to conduct a majority of their trade finance transactions online, eliminating the need for physical requests, enabling them to operate seamlessly from the safety of their offices or homes.”

Source:https://www.arabianbusiness.com/banking-finance/442140-emirates-nbd-announces-reduction-in-bank-charges

Gulf-based real estate investors have the biggest appetite for targeting overseas commercial property, according to a new report.

Knight Frank’s Wealth Report 2020 revealed that private capital was responsible for $333 billion of commercial real estate purchases in 2019, up 5 percent on the previous year.

It also showed that nearly a third (32 percent) of wealthy investors from the Middle East are keen to spend overseas, the highest percentage of any region, with the UK being high on the target list.

Whilst 24 percent of global UHNWIs plan to invest in commercial property domestically, significant amounts of capital is set to be allocated to cross border purchases in the year ahead.

Ultra high net worth individuals confirmed that property remains the most attractive asset class when compared to traditional equities and bonds, due to its relative stability and higher returns.

Of those surveyed, 78 percent are set to increase or maintain their current allocations to property, ahead of bonds and equities, which saw 68 percent and 62 percent of respondents seeking to increase or maintain investment, respectively.

The office sector remains the primary target for private capital investors, with healthcare and hotels and leisure following closely in second and third, as the market is seeing investors looking to alternative property types in the hunt for yield, return and diversification. Structural change and uncertainty in other core sectors is prompting investors to reallocate funds.

William Mathews, head of capital markets research, Knight Frank, said: “In 2019, we saw an increase in the amount of private capital investing in global real estate… At a time of low and falling yields on competing assets, investors are turning to commercial real estate as a way to drive returns and enhance portfolio diversification.

“Investors from the Middle East, Europe and Latin America have the most appetite for investing overseas and the UK looks set to receive the lion’s share.

“Whilst offices remain a primary target for private capital, the once regarded ‘alternative’ sectors are coming to the fore, with hotels, healthcare, and retirement housing attracting $37 billion in the past year alone. This is a trend we expect to see continue as these sectors mature.”

Source:https://www.arabianbusiness.com/news/442167-gulf-investors-said-to-have-big-appetite-for-overseas-office-deals

Etihad Airways losses narrowed in 2019, with the company reporting revenues of $5.6 billion driven by a reduction in operating costs and a fall in fuel prices, the company announced on Thursday.

According to a statement from the airline, losses were reduced to $0.87 billion, $1.28 billion less than the company’s 2018 revenue of $5.9 billion.

Over the course of the year, the airline carried 17.5 million passengers, compared to 17.8 million in 2018. Its load factor, however, rose to 78.7 percent, compared to 76.4 percent in 2019.

While passenger revenues decreased slightly to $4.8 billion from $5 billion in 2018, the airline said that route profitability improved.

Investments
“Operating costs were reduced significantly last year and both yields and load factors were increased despite passenger revenues being down due to network optimisation,” said Etihad Aviation Group CEO Tony Douglas.

“An improvement to the cost base significantly offset the cost pressures faced by the business, giving us headroom to invest in the guest experience, technology and innovation, and our major sustainability initiatives.

“There’s still some way to go but profess made in 2019, ad cumulatively since 2017, has instilled in us a renewed vigour and determination to push ahead and implement the changes needs to continue this positive trajectory,” he added.

Stark improvement
Saj Ahmad, chief analyst at London-based StrategicAero Research, said that Etihad’s 2019 performance “shows a stark improvement in contrast to where it was two years ago”.

“While the airline still accumulated losses, considering the paring back of routes, reduction in frequencies and overhauling its fleet, Etihad is losing less money than before – putting it on track to get back into the black by 2022,” he said.

In the near future, Ahmad said that Etihad “isn’t immune to demand erosion” as a result of the ongoing coronavirus epidemic.

“It’s too early to tell the financial fallout – if Etihad starts standing down a sizeable portion of its fleet and puts staff on leave, then things could suddenly undo their hard work,” he added. “Further, the launch of Air Arabia Abu Dhabi could well be delayed too.”

Source:https://www.arabianbusiness.com/transport/442109-etihad-airways-losses-narrow-amid-fall-in-operating-costs

Abu Dhabi Ports has announced its collaboration with Robert Allan Ltd to develop the world’s first fully unmanned autonomous commercial marine tugs.

Once developed, the tugs will join Safeen, Abu Dhabi Ports’ maritime service arm, which maintains an expanding fleet of world-class service vessels.

The autonomous vessels will be able to operate in far more adverse weather conditions, helping to increase efficiency and enhance operational safety.

Abu Dhabi Ports said it will work closely with one of Canada’s oldest privately-owned Naval Architectural and Marine Engineering firms on the research and development of remotely-controlled marine tugs that will be fully unmanned.

Falah Mohammad Al Ahbabi, chairman of Abu Dhabi Ports said: “It’s a top priority for Abu Dhabi Ports to lead the charge towards digitalising the region’s maritime operations, and we are committed to providing a pioneering model for the sector. Adopting digital solutions and keeping up with the changing demands of global trade have proven to be key drivers for economic growth and are integral towards achieving our goal of being a smart port.

“Developing solutions and building strategic partnerships with industry experts will help achieve a paradigm shift in maritime operations worldwide, and globally in line with the directives of the leadership.”

Mohamed Juma Al Shamisi, Abu Dhabi Ports Group CEO, added: “Our cooperation with Robert Allan to develop a new generation of tugboats equipped with superior capabilities and modern technologies, reflects our commitment to ensuring that the infrastructure at Abu Dhabi Ports is at the cutting edge.”

Mike Fitzpatrick, president and CEO of Robert Allan Ltd, said: “We are excited to cooperate with Abu Dhabi Ports in this initiative, which provides us with an optimal opportunity to develop the world’s first fleet of remotely-operated tugboats for the commercial sector.”

Source:https://www.arabianbusiness.com/technology/442161-abu-dhabi-ports-inks-deal-to-develop-first-autonomous-tugboats

Ellington Properties has announced it is accelerating the development of Belgravia III, a trendy residential destination in Jumeirah Village Circle through its partnership with construction firm Dutco.

With all approvals secured already, resources have already been mobilised on-site and work will commence shortly to fast-track the project, the developer said in a statement.

Belgravia III is the third residential project under the Belgravia brand of Ellington Properties. The company has already handed over Belgravia I and Belgravia II.

Belgravia III has 260 studios, one and two-bedroom apartments and townhouses.

Belgravia III features two L-shaped buildings that face each other and overlook a central courtyard which is the largestof its kind in the JVC community and includes a large infinity-edge swimming pool with shaded pergolas and lounge seating, kids’ playground, private seating areas, and landscaping.

Joseph Thomas, managing director of Ellington Properties, said: “We are committed to delivering our projects to the highest standards of build quality. To ensure this, we work with contractors that have proven competencies and an exceptional track-record, such as Dutco.”
The project will also include a Residents’ Club lounge as well as a dedicated children’s playroom and a fitness centre, yoga area and change rooms.

In addition to Belgravia I and II, Ellington Properties has several projects located in Jumeirah Village Circle such as Belgravia Square, Belgravia Heights I and Belgravia Heights II as well as Eaton Place and Somerset Mews.

Source:https://www.arabianbusiness.com/construction/442155-developer-ellington-says-to-fast-track-new-dubai-residential-project

Dubai SME has launched Innovation Attraction Programme (IAP) to attract thousands of innovators and startups from around the globe and accelerate Dubai’s transformation into a knowledge economy. The new programme, announced during Dubai SME’s StartUp Night, seeks to attract foreign startups and give an international platform to local startups. It will reach out to around 25,000 startups in other countries which are considering Dubai as a potential market for their innovative services. The programme will focus on various sectors, including health, education, transport and mobility, aerospace, energy efficiency, medical and information technology.

President of the Dubai Civil Aviation Authority, Chairman of Emirates Airline and Chief Executive of Emirates Group, Sheikh Ahmed bin Saeed Al Maktoum launched the new programme which has been developed on Smart Alliance platform in partnership with SME enablers and facilitators from 15 countries, such as Japan, Singapore and Germany. It aims to position Dubai as a global hub for disruptive technologies and solutions.

The Director-General of Dubai Economy, Sami Al Qamzi said the programme would help achieve the goals outlined in the Dubai SME 2021 Plan. He said, “Dubai already has a unique advantage as an entrepreneurial hub and our startups when empowered with the right resources can usher in innovative solutions and help accelerate our transition to a future-ready economy.”

Speaking about the programme, CEO of Dubai SME, Baset Al Janahi said, “Our experience has convinced us that there is a clear need for innovation-focused collaborative linkages in our startup ecosystem. The Innovation Attraction Programme links local SMEs to a global ecosystem and addresses the challenges of establishing and growing in a new market.”

He further said, “It is a two-way street – it lays down the path for our SMEs to go global while also guiding the most outstanding innovators worldwide to new markets through Dubai.”

Source:https://www.masala.com/dubai-launches-innovation-attraction-programme-318640.html?utm_source=Jarvis&utm_medium=arabianbusiness.com&utm_campaign=you-may-also-like