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Zawya
06-05-2025
- Business
- Zawya
Dubai stocks lead GCC markets despite trade war concerns
Dubai led the stock markets in the Gulf Cooperation Council (GCC) region in April 2025, driven by strong performances in the real estate and banking sectors. Dubai's equity index gained 4.1% during the month, while other Gulf markets had a mixed performance amid trade war concerns and decline in oil prices, according to Kuwait Financial Centre (Markaz). Overall, the S&P GCC Composite index slipped by 1% in April 2025. Among the strong performers in Dubai's banking sector, the Dubai Islamic Bank (DIB) posted a 5.4% gain as its net profit went up by 8% year-on-year in Q1 2025, supported by quality earning assets growth. Qatar's equity markets ended the month with a 2.2% growth, followed by Abu Dhabi with a 1.8% gain. Abu Dhabi's index for the month was also propped up by bluechips, including First Abu Dhabi Bank, which gained 8.7% on the back of major restructuring. Kuwait and Saudi Arabia indices posted declines of 1.4% and 2.9%, respectively. The decline in Kuwait's equity market was due to concerns over the impact of trade tensions on economic outlook and oil prices, although consumer staples and real estate emerged as top performers, raising by 6.3% and 4.9%, respectively. In Saudi Arabia, ACWA Power and Saudi Aramco slipped by 6.2% and 5.2%, respectively, while Saudi Telecom was up 5% on the back of an 11% year-on-year growth in net profit for Q1 2025.
Zawya
21-04-2025
- Business
- Zawya
GCC fixed income market sees $51.5bln in primary issuances in Q1
The primary debt issuances of bonds and sukuk in the GCC countries amounted to $51.51 billion through 125 issuances during the first quarter of 2025, down 7.1% from the same quarter last year, where issuances in Q1 2024 stood at $55.5 billion, according to Kuwait Financial Centre (Markaz). Saudi-based issuances led the GCC during Q1 2025, raising $31.01 billion through 46 issuances, down from $38.55 billion in Q1 2024 a decrease of 19.6%, and representing 60.2% of issuances during the year, stated Markaz in its Fixed Income Report. UAE- based issuances ranked second, with $10.17 billion through 29 issues, representing 19.7% of the market, an increase of 61.6% from the same quarter last year. Qatari entities were the third largest issuers in terms of value, with $7.14 billion issued through 38 issuances, representing 13.9% of the issuances over the quarter. Bahraini issuers follow, with a total issuance size of $1.53 billion through 2 issuances, a 44.5% decrease from the same quarter last year. Kuwaiti issuances recorded a 40.7% increase from the same quarter last year, recording a total value of $1.41 billion through 9 issuances. Omani entities recorded the lowest value of issuances during the year, with $260 million raised through 1 issuance, representing 0.5% of the total value of issuances. According to Markaz, the total GCC corporate primary issuances increased by 45.3% from Q1 2024, amounting to $32.12 billion raised, compared to $22.11 billion raised in Q1 2024. Corporate issuances represented 62.4% of total issuances for Q1, contrasting with the preference of issuances last year where more sovereign entities raised capital (Corporate issuances Q1 2024: 39.9%). Government related corporate entities raised a total of $6.8 billion in Q1 2025, representing 21.2% of all corporate issuances. Total GCC sovereign primary issuances decreased by 41.8% in Q1 2025, raising $19.39 billion throughout the year, representing 37.6% of total issuances. On the conventional issuances, Markaz said it increased by 15.8% in Q1 2025 compared to Q1 2024, raising a total of $33.76 billion for the quarter. Sukuk issuances decreased by 32.5% in Q1 2025, resulting in a total value of $17.75 billion for the quarter. As for issuer preferences, Q1 2025 saw an increased appetite for conventional bond issuances in the GCC, representing 65.5% of total issuances for the quarter. This follows the same trend as in Q1 2024, where conventional bonds also represented the bulk of issuances, with 52.6% of all issuances in Q1 2024 being conventional bonds. According to Markaz, the Financial sector led the bond and sukuk issuances in Q1 2025, with total value of $22 billion through 100 issuances representing 42.8% of total issuances followed by Government issuances with $19.4 billion through 12 issuances, representing 37.6% of total issuances. This represents an increase for the financial sector (23.6%) and a decrease for government issuances (-41.8%) when compared to the same period last year, it stated. The real estate sector was on the third spot with $4.3 billion through 5 issuances representing 8.3% of total issuances, with the remaining sectors together representing a small portion of total issuance (11.34%). Markaz pointed out that US Dollar-denominated issuances led the GCC bonds and sukuk primary market in Q1 raising a total of $44.9 billion through 92 issuances, representing a substantial 87.2% of the total value raised in primary issuances during the year. The second largest issue currency was the Euro, where Euro denominated issuances raised a total of $3 billion through 4 issuances. As for currencies bucketed under 'Other' which totaled $1 billion, the Hong Kong Dollar (HKD) represented 0.83% of total issuances with a total value of $428 million through 12 issuances, it added. -TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Trade Arabia
19-04-2025
- Business
- Trade Arabia
GCC fixed income market sees $51.5bn in primary issuances in Q1
The primary debt issuances of bonds and sukuk in the GCC countries amounted to $51.51 billion through 125 issuances during the first quarter of 2025, down 7.1% from the same quarter last year, where issuances in Q1 2024 stood at $55.5 billion, according to Kuwait Financial Centre (Markaz). Saudi-based issuances led the GCC during Q1 2025, raising $31.01 billion through 46 issuances, down from $38.55 billion in Q1 2024 a decrease of 19.6%, and representing 60.2% of issuances during the year, stated Markaz in its Fixed Income Report. UAE- based issuances ranked second, with $10.17 billion through 29 issues, representing 19.7% of the market, an increase of 61.6% from the same quarter last year. Qatari entities were the third largest issuers in terms of value, with $7.14 billion issued through 38 issuances, representing 13.9% of the issuances over the quarter. Bahraini issuers follow, with a total issuance size of $1.53 billion through 2 issuances, a 44.5% decrease from the same quarter last year. Kuwaiti issuances recorded a 40.7% increase from the same quarter last year, recording a total value of $1.41 billion through 9 issuances. Omani entities recorded the lowest value of issuances during the year, with $260 million raised through 1 issuance, representing 0.5% of the total value of issuances. According to Markaz, the total GCC corporate primary issuances increased by 45.3% from Q1 2024, amounting to $32.12 billion raised, compared to $22.11 billion raised in Q1 2024. Corporate issuances represented 62.4% of total issuances for Q1, contrasting with the preference of issuances last year where more sovereign entities raised capital (Corporate issuances Q1 2024: 39.9%). Government related corporate entities raised a total of $6.8 billion in Q1 2025, representing 21.2% of all corporate issuances. Total GCC sovereign primary issuances decreased by 41.8% in Q1 2025, raising $19.39 billion throughout the year, representing 37.6% of total issuances. On the conventional issuances, Markaz said it increased by 15.8% in Q1 2025 compared to Q1 2024, raising a total of $33.76 billion for the quarter. Sukuk issuances decreased by 32.5% in Q1 2025, resulting in a total value of $17.75 billion for the quarter. As for issuer preferences, Q1 2025 saw an increased appetite for conventional bond issuances in the GCC, representing 65.5% of total issuances for the quarter. This follows the same trend as in Q1 2024, where conventional bonds also represented the bulk of issuances, with 52.6% of all issuances in Q1 2024 being conventional bonds. According to Markaz, the Financial sector led the bond and sukuk issuances in Q1 2025, with total value of $22 billion through 100 issuances representing 42.8% of total issuances followed by Government issuances with $19.4 billion through 12 issuances, representing 37.6% of total issuances. This represents an increase for the financial sector (23.6%) and a decrease for government issuances (-41.8%) when compared to the same period last year, it stated. The real estate sector was on the third spot with $4.3 billion through 5 issuances representing 8.3% of total issuances, with the remaining sectors together representing a small portion of total issuance (11.34%). Markaz pointed out that US Dollar-denominated issuances led the GCC bonds and sukuk primary market in Q1 raising a total of $44.9 billion through 92 issuances, representing a substantial 87.2% of the total value raised in primary issuances during the year. The second largest issue currency was the Euro, where Euro denominated issuances raised a total of $3 billion through 4 issuances.
Zawya
19-04-2025
- Business
- Zawya
Markaz Report: GCC Fixed Income market sees $51.51bln in primary issuances during Q1 2025
Kuwaiti issuances record a 40.7% increase from the same quarter last year, to a total value of USD 1.41 billion through 9 issuances Kuwait: In its Fixed Income Report, Kuwait Financial Centre 'Markaz' states that primary debt issuances of Bonds and Sukuk in the Gulf Cooperation Council ('GCC') Countries amounted to USD 51.51 billion through 125 issuances during Q1 2025, a 7.1% decrease from the same quarter last year, where issuances in Q1 2024 amounted to USD 55.50 billion. Issuances by Geography: Saudi-based issuances led the GCC during Q1 2025, raising USD 31.01 billion through 46 issuances, down from USD 38.55 billion in Q1 2024 a decrease of 19.6%, and representing 60.2% of issuances during the year. UAE- based issuances ranked second, with USD 10.17 billion through 29 issues, representing 19.7% of the market, an increase of 61.6% from the same quarter last year. Qatari entities were the third largest issuers in terms of value, with USD 7.14 billion issued through 38 issuances, representing 13.9% of the issuances over the quarter. Bahraini issuers follow, with a total issuance size of USD 1.53 billion through 2 issuances, a 44.5% decrease from the same quarter last year. Kuwaiti issuances recorded a 40.7% increase from the same quarter last year, recording a total value of USD 1.41 billion through 9 issuances. Omani entities recorded the lowest value of issuances during the year, with USD 260 million raised through 1 issuance, representing 0.5% of the total value of issuances. Sovereign vs. Corporate: Total GCC corporate primary issuances increased by 45.3% from Q1 2024, amounting to USD 32.12 billion raised, compared to USD 22.11 billion raised in Q1 2024. Corporate issuances represented 62.4% of total issuances for the first quarter of 2025, contrasting with the preference of issuances in Q1 2024 where more sovereign entities raised capital (Corporate issuances Q1 2024: 39.9%). Government related corporate entities raised a total of USD 6.8 billion in Q1 2025, representing 21.2% of all corporate issuances. Total GCC sovereign primary issuances decreased by 41.8% in Q1 2025, raising USD 19.39 billion throughout the year, representing 37.6% of total issuances. Conventional vs. Sukuk: Conventional issuances increased by 15.8% in Q1 2025 compared to Q1 2024, raising a total of USD 33.76 billion for the quarter. Sukuk issuances decreased by 32.5% in Q1 2025, resulting in a total value of USD 17.75 billion for the quarter. As for issuer preferences, Q1 2025 saw an increased appetite for conventional bond issuances in the GCC, representing 65.5% of total issuances for the quarter. This follows the same trend as in Q1 2024, where conventional bonds also represented the bulk of issuances, with 52.6% of all issuances in Q1 2024 being conventional bonds. Sector Segmentation: The Financial sector led the bond and sukuk issuances in Q1 2025, with total value of USD 22.0 billion through 100 issuances representing 42.8% of total issuances. Government issuances follow, with USD 19.4 billion through 12 issuances, representing 37.6% of total issuances. This represents an increase for the financial sector (23.6%) and a decrease for government issuances (-41.8%) when compared to the same period last year. The real estate sector follows, with USD 4.3 billion through 5 issuances representing 8.3% of total issuances, with the remaining sectors together representing a small portion of total issuance (11.34%). Maturity Profile: In Q1 2025, primary issuances with less than 5-year tenors represented 53.1% of GCC debt capital markets with a total value amounting to USD 27.4 billion through 99 issuances. Primary issuances with 5–10-year tenors followed, raising USD 18.4 billion through 20 issuances, representing 35.8% of total issuances. Primary issuances with 10–30-year tenors, represented 1.6% of GCC debt capital markets with a total value of USD 809 million through 1 issuance during the quarter. One issuance also came in with a maturity greater than ('GT') 30 years, with a value of USD 1 billion. Finally, perpetual issuances saw an increase in both the size and number of issuances when compared to Q1 2024, with a total value of USD 3.9 billion through 4 issuances. Issue Size Profile: During Q1 2025, GCC primary issuances ranged in size from USD 2.0 million to USD 5.0 billion. Issuances with issue size of USD 1 billion or greater raised the largest amount, totaling USD 31.9 billion through 18 issuances and representing 61.9% of the total amount issued in the GCC. Issuances sized between USD 500 million and USD 1 billion followed, with a total issuance size of USD 14.4 billion through 22 issuances. The highest number of issuances was under USD 100 million issue size, where there were 65 issuances that raised a total amount of USD 1.9 billion during Q1 2025. Currency Profile: US Dollar-denominated issuances led the GCC Bonds and Sukuk primary market in Q1 2025, raising a total of USD 44.9 billion through 92 issuances, representing a substantial 87.2% of the total value raised in primary issuances during the year. The second largest issue currency was the Euro, where Euro denominated issuances raised a total of USD 3.0 billion through 4 issuances. As for currencies bucketed under 'Other' which totaled USD 1.0 billion, the Hong Kong Dollar (HKD) represented 0.83% of total issuances with a total value of USD 428 million through 12 issuances Rating: In terms of value, a total of 85.8% of GCC Conventional and Sukuk bonds were rated in Q1 2025 by at least one of the following rating agencies: Standard & Poor's, Moody's, Fitch and Capital Intelligence, an increase from Q1 2024 (57.8% of all issuances rated). Issuances rated within the Investment Grade accounted for 81.4% of the total issuances during the year, while Sub-Investment Grade accounted for 4.4% of rated bonds. Source: Bloomberg, Markaz Analysis Source: Bloomberg, Markaz Analysis Source: Bloomberg, Markaz Analysis About Kuwait Financial Centre 'Markaz ' Established in 1974, Kuwait Financial Centre K.P.S.C 'Markaz' is one of the leading asset management and investment banking institutions in the MENA region with total assets under management of over KD 1.41 billion as of 31 December 2024. Markaz was listed on the Boursa Kuwait in 1997. Over the years, Markaz has pioneered innovation through the creation of new investment channels. These channels enjoy unique characteristics and helped Markaz widen investors' horizons. Examples include Mumtaz (the first domestic mutual fund), MREF (the first real estate investment fund in Kuwait), Forsa Financial Fund (the first and only options market maker in the GCC since 2005), and the GCC Momentum Fund (the first passive fund of its kind in Kuwait and across GCC that follows the momentum methodology), all conceptualized, established, and managed by Markaz. For further information, please contact: Sondos S. Saad Corporate Communications Department Kuwait Financial Centre K.P.S.C. "Markaz" Email: ssaad@
Al Bawaba
23-03-2025
- Business
- Al Bawaba
Markaz Real Estate Products Deliver High Performance and Returns for 2024
Kuwait Financial Centre 'Markaz' concluded 2024 with a positive performance in the real estate sector, driven by the solid results of its investment solutions and in particular the flagship Markaz Real Estate Fund (MREF). MREF achieved a total return of 12.8% in one of Kuwait's first real estate funds, MREF has consistently delivered stable returns over its 22-year history, achieving an impressive 7.7% IRR per annum. This track record reflects Markaz's extensive expertise in real estate investment and wealth management, built over the past five decades. This has helped Markaz garner awards and accolades from prestigious publications such as Euromoney, EMEA Finance, MEED, Global Finance, and Global Investor, further solidifying its reputation as a trusted partner in wealth continues to offer stable investment opportunities through its real estate products, which are now available for all residents in Kuwait, from across all nationalities, in accordance to the new law on foreigner investments in Kuwait. MREF pays monthly cash dividends and provides platform for real estate investment in Kuwait through properties spanning various sectors and geographies, and sector diversification with Sharia compliance. Executive Vice President of MENA Real Estate at Markaz, Mr. Milad Elia commented: "As one of the longest-standing real estate funds in Kuwait, MREF has consistently delivered stable returns through a well-diversified portfolio of local properties, in compliance with Islamic Shariah principles. Our team efficiently manages the portfolios, ensuring sustainable levels of occupancy and net rental income rates, further enhancing the Fund's resilience and steady returns. MREF has been resilient across various economic cycles, due to its diversified prime assets, stable rental income, proactive asset management, conservative financial strategy, market adaptability and strong governance.' Managing Director of Wealth Management and Business Development at Markaz, Mr. Abdullatif Al-Nusif said: "At Markaz, we have remained committed to delivering high-yield investment opportunities that provide stable and consistent monthly distributions, ensuring long-term value for our investors. Our ability to navigate market trends, backed by the expertise of our dedicated team, allows us to continuously refine our strategies and optimize returns. The inclusion of real estate in asset allocation is critical for portfolio diversification, and Markaz's real estate products provide investors with access to different asset classes and stable income streams. As we build on our strong legacy, we remain focused on offering innovative solutions that empower our clients and strengthen Markaz's position as a leader in wealth management."Real estate investment through the MREF Fund provides the investors with access to select portfolio of properties. Unlike direct property ownership, investing in real estate funds encompasses professional management of the Fund, and the underlying investments are monitored by the Fund and property manager. Additionally, the Fund structure is per regulatory guidelines and has its own auditors, custodian, investment controller and registrar. This structure helps mitigate investors' exposure to operational risks and other challenges associated with direct ownership in real estate. Furthermore, investment in real estate funds offers diversification of the properties, reducing risk by spreading investment across multiple selected is based on unit selection, offering a liquid investment structure, with the flexibility to increase investments in small or large amounts. Investors can also benefit from the power of compounding with regular contributions. Digital subscription to the Fund can be completed through the iMarkaz app for a seamless onboarding assets under management (AUM) currently stand at KD 79 million, while Markaz's MENA Real Estate portfolio's AUM totals KD 298 million. This growth has been achieved due to Markaz's hands-on approach to managing income-generating and value-add properties across Kuwait and the MENA region. Important infoFund manager: Kuwait Financial Centre K.P.S.C "Markaz". Kuwait City, Al Mirqab, Al Soor Street, Burj Alshaya, Floor 8, Tel: +965 2224 8000, P.O. Box 23444, Safat 13095, State of KuwaitFund Executive Committee Members: Ghazi Al Osaimi, Milad Elia, Khaled Al-Mubaraki To get a copy of the Fund's Articles of Association, the subscription form and the financial statement of the fund, please visit our website: Disclaimer This announcement is prepared for promotional purposes and has been approved by Markaz. This announcement does not disguise, diminish, or obscure important items from the investment subject of promotion. Investments in funds are subject to market risks. There can be no assurance or guarantee that the investment will produce any returns. Prospective Investors must therefore be aware of and understand that such investment carries a significant degree of risk of loss of their capital; the dividend rate cannot be predicted or guaranteed. Past performance is not a reliable indicator of future performance. Before investing, prospective investors must carefully examine the Articles of Association and all Fund-related documents to be aware of the investment methods, including the merits and risks involved.
