Latest news with #ManpreetGill
Khaleej Times
5 days ago
- Business
- Khaleej Times
UAE economy to grow 5% in 2025, says Standard Chartered
The UAE economy will grow five per cent this year and four per cent over the next two years, according to forecasts by Standard Chartered. The global bank's growth forecast for this year is higher than the Central Bank of UAE's projection of 4.4 per cent for 2025, but less than 5.4 per cent predicted for the next year. The lender projected that the inflation in the country would stay at three per cent for three consecutive years. According to the UAE Central Bank, inflation in the UAE was 1.1 per cent in March 2025, driven primarily by an increase in non-tradeable inflation. It projected a current account balance of seven per cent of GDP for 2025, increasing to eight per cent next year and 10 per cent in 2027. Manpreet Gill, chief investment officer of Africa, Middle East and Europe, Standard Chartered, said the long-term view on the UAE and the Gulf region is being a growth bright spot. 'We continue to observe that geopolitical risks can lead to short-term sentiment jitters, but they do not appear to influence long-term trends in markets or investment flows. For this region, the impact was perhaps most visible in oil prices, which are now largely back to where they were before tensions erupted. The long-term focus remains very much on the region being a growth bright spot in a world where headline growth remains tepid in many regions,' Gill told Khaleej Times. However, Standard Chartered projected that the oil oversupply remains the dominating theme. 'We expect West Texas Intermediate (WTI) to trade in a range around $65 per barrel over the next 3-12 months. Geopolitical risks may result in temporary spikes in oil prices,' it said. 'A standalone demand-supply outlook continues to argue for an oversupplied oil market, which is behind our $65 a barrel forecast for WTI over 6-12 months. Geopolitics is a clear upside risk — while the extent of excess supply and Opec+ spare capacity can help offset this, near-term spikes in prices cannot be ruled out,' said Standard Chartered in its Global Market Outlook report.
Business Insider
16-07-2025
- Business
- Business Insider
Standard Chartered: Weak dollar to unlock opportunities in emerging markets and global equities
10 July 2025, Nairobi, Kenya: Standard Chartered announced today its Global Market Outlook for the second half of 2025, projecting a constructive but volatile environment for investors worldwide. The Bank sees significant implications for emerging markets investors including Africa, driven by expectations of a softer US dollar, resilient global equity markets and improving prospects for emerging-market assets. The report highlights that Global macro conditions remain mixed. In the United States, growth continues to be supported by resilient consumption and fiscal stimulus, though trade and policy uncertainty may temper momentum in the second half of the year. In Europe, fiscal easing increasingly offers support, but structural challenges persist while China's outlook is stabilising on the back of targeted stimulus and improving retail activity. Meanwhile, growth in India and ASEAN is expected to remain well-supported. Against this backdrop, the report outlines an investment strategy reflecting evolving risks and opportunities. We expect the US dollar to weaken over the next 6 to 12 months and have accordingly upgraded Asia (ex-Japan) equities and Emerging Market (EM) local-currency bonds to Overweight. Global equities also remain an Overweight position across portfolios, supported by healthy earnings, easing trade tensions, and controlled inflation (so far). Based on the report, 'Aas global markets transition into a new phase, emerging markets investors are well-positioned to capitalise on emerging opportunities. A weaker dollar historically supports returns across risk assets, particularly in emerging markets, which have long been core components of regional portfolios. Manpreet Gill, Chief Investment Officer of Africa, Middle East and Europe, Standard Chartered said: ' This outlook underscores a critical moment for investors in the region. As the global environment adjusts to weak dollar dynamics, shifting trade policies, and diverging central bank actions, investors in the emerging markets have an opportunity to reposition portfolios with greater international diversification. Asset classes such as emerging market bonds and equities across major regions (including non-US equities) are well-placed to help investors navigate volatility, capture income, and enhance portfolio resilience in today's shifting landscape.' In line with these themes, the report maintains a preference for USD-denominated bonds in the 5–7-year maturity range, citing them as the most attractive in terms of risk-adjusted returns, particularly as yields begin to ease from current levels. Meanwhile, Developed Market Investment Grade corporate bonds have been downgraded to Underweight due to tight yield premiums and slower inflows. Alternative investments are also in focus, with the Bank highlighting gold as a core allocation, supported by strong central bank demand and its role as a diversifier when bonds offer less downside protection.
