Latest news with #KuwaitInvestment
Zawya
8 hours ago
- Business
- Zawya
Egypt to issue $1bln Islamic bonds for Kuwait: report
Egypt intends to issue $1 billion sovereign sukuk (Islamic bonds) to be confined to Kuwaiti investors as part of a bilateral agreement to boost Kuwaiti investments in the country, a Saudi newspaper has reported. Asharq Business, quoting three unnamed officials in Egypt and Kuwait, said the bonds would be issued for a three-year term and semi-annual return. The paper said the plan to issue such bonds was preceded by Cairo's decision this week to allocate 174 square kilometres of land on the Red Sea coast to the finance ministry for use in Islamic bond issuances and in efforts to lower the public debt. The report said the decision was published in the official gazette, which did not elaborate on how the land would be used. 'This step is essential within the structure of the sukuk issuance, as Islamic Sharia requires that sukuk be linked to real assets, unlike conventional bonds, which are not necessarily based on tangible assets,' Asharq said. It quoted a Kuwaiti official as saying the $1 billion sukuk issuance is part of an agreement with Kuwait, which is represented by the Kuwaiti Finance House, adding that the bonds would be 'confined to Kuwait and would not be issued in the global market.' 'The agreement for this issuance was reached after Egypt made a formal offer to Kuwait in May to invest $1 billion in three-year international sukuk, to which Kuwait responded positively,' the paper said. In an earlier report, the daily said Egypt has selected five banks, including three Gulf financial institutions, to act as intermediaries and lead advisors for a sukuk issuance estimated at $one billion to $1.5 billion in the second quarter of 2025. They include HSBC, Citibank besides Dubai Islamic Bank, First Abu Dhabi Bank, and Abu Dhabi Islamic Bank (ADIB). Press reports said last month that Egypt is aiming to attract $6.5 billion in new Kuwaiti investments by the end of 2026, with $4 billion expected to be secured within 2025. (Writing by Nadim Kawach; Editing by Anoop Menon)
Zawya
21-05-2025
- Business
- Zawya
Kuwait sovereign wealth fund head says investors reduce US exposure at their 'own risk'
DOHA - The head of the Kuwait Investment Authority (KIA), which manages almost $1 trillion in assets, said the sovereign wealth fund is committed to investing in the U.S. and that investors cut allocations to U.S. assets at their own risk. Some global investors have ditched U.S. assets in recent weeks on fears that U.S. President Donald Trump's overhaul of global trade may hurt the U.S. economy, and could cause deeper long-term damage. The trend looks set to continue given a record number of managers said they planed to keep cutting their exposure to U.S. assets, according to BofA research. Oil-rich Kuwait has been investing in the U.S. market for a "long time" and that "won't change", KIA Managing Director Sheikh Saoud Salem Abdulaziz Al-Sabah said at an investment conference in the Qatari capital on Wednesday. "I would say it very bluntly, underweight America at your own risk," he said. Last week, Moody's downgraded the U.S. sovereign credit rating by one notch citing concerns about the nation's growing $36 trillion debt pile, which could make investors more cautious and drive up borrowing costs across the economy. "They (investors) are merely looking at equity markets, but they're not taking into fact the U.S. has the largest fixed income market, the U.S. has the largest private equity market, the real estate market, infrastructure and credit," Al-Sabah said. "I think the U.S. has the breadth and depth to sustain its exceptionalism and it has the rule of law as well," he said. (Reporting by Andrew Mills and Federico Maccioni; Writing by Ahmed Elimam and Hadeel Al Sayegh; Editing by Alex Richardson and Rachna Uppal)
Reuters
21-05-2025
- Business
- Reuters
Kuwait sovereign wealth fund head says investors reduce US exposure at their 'own risk'
DOHA, May 21 (Reuters) - The head of the Kuwait Investment Authority (KIA), which manages almost $1 trillion in assets, said the sovereign wealth fund is committed to investing in the U.S. and that investors cut allocations to U.S. assets at their own risk. Some global investors have ditched U.S. assets in recent weeks on fears that U.S. President Donald Trump's overhaul of global trade may hurt the U.S. economy, and could cause deeper long-term damage. The trend looks set to continue given a record number of managers said they planed to keep cutting their exposure to U.S. assets, according to BofA research. Oil-rich Kuwait has been investing in the U.S. market for a "long time" and that "won't change", KIA Managing Director Sheikh Saoud Salem Abdulaziz Al-Sabah said at an investment conference in the Qatari capital on Wednesday. "I would say it very bluntly, underweight America at your own risk," he said. Last week, Moody's downgraded the U.S. sovereign credit rating by one notch citing concerns about the nation's growing $36 trillion debt pile, which could make investors more cautious and drive up borrowing costs across the economy. "They (investors) are merely looking at equity markets, but they're not taking into fact the U.S. has the largest fixed income market, the U.S. has the largest private equity market, the real estate market, infrastructure and credit," Al-Sabah said. "I think the U.S. has the breadth and depth to sustain its exceptionalism and it has the rule of law as well," he said.
Bloomberg
21-05-2025
- Business
- Bloomberg
Kuwait Investment Authority: Underweight US at Own Risk
Sheikh Saoud Salem Abdulaziz Al-Sabah, Kuwait Investment Authority managing director, discusses America as an investment destination. "I think the US has the breadth and depth to sustain its exceptionalism," he tells Bloomberg's Stephanie Flanders at the Qatar Economic Forum 2025, powered by Bloomberg. (Source: Bloomberg)
