Latest from Economy ME
Economy ME
an hour ago
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Crude oil prices rise to $68.75 as U.S.-Japan trade deal boosts market optimism
Oil prices increased slightly during Asian trading on Wednesday after experiencing three consecutive days of decline. This uptick follows a recent U.S. trade deal with Japan that indicates progress on tariffs, although the overall gains were limited by diminished expectations for a significant outcome at an upcoming EU-China summit. Brent crude futures climbed by 21 cents, or 0.31 percent, reaching $68.80 a barrel by 03:51 GMT (currently trading above $68.75). Meanwhile, U.S. West Texas Intermediate crude futures rose by 17 cents, or 0.26 percent, to $65.48 per barrel (currently trading above $65.45). Both benchmarks had dropped approximately 1 percent in the previous session after the EU announced it was contemplating countermeasures against U.S. tariffs, leading to waning optimism for a resolution ahead of the August 1 deadline. President Donald Trump stated on Tuesday that the U.S. and Japan had finalized a trade deal that includes a 15 percent tariff on U.S. imports from Japan. He also noted that Japan had committed to investing $550 billion in the U.S. Low expectations for EU-China Summit Traders are expressing concerns that Trump's tariff policies may result in a slowdown of global economic growth and diminished energy demand, potentially putting downward pressure on WTI prices. Trump mentioned that reciprocal tariffs would increase on August 1 for trade partners that have not reached an agreement with the U.S. Earlier this week, he threatened a 30 percent tariff on imports from the European Union (EU) if no deal was finalized. In the meantime, industry expectations remain low for Thursday's EU-China summit, which will test the bloc's unity and resolve amid escalating trade tensions with both Beijing and Washington. According to the Chinese ministry, China's commerce minister and the European Union's trade chief had a 'candid and in-depth' discussion regarding economic and trade cooperation, along with other issues that both sides face leading up to the summit. Separately, market sources reported that U.S. crude and gasoline stocks saw a decline last week, as cited by the American Petroleum Institute figures released on Tuesday. Distillate stocks, however, increased by 3.48 million barrels. Global supply glut concerns In another encouraging sign for the crude market, the U.S. energy secretary indicated on Tuesday that the U.S. is considering sanctioning Russian oil to expedite the resolution of the war in Ukraine. Additionally, worries about an expanding global oil supply glut may contribute to downward pressure on WTI. The Iraqi government has officially resumed crude oil exports from the Kurdistan Region after a halt of over two years. This move is expected to alleviate tensions between Baghdad and Erbil while boosting national export volumes. Kurdistan anticipates supplying Iraq's crude market with 230,000 barrels per day (bpd) once exports resume. The potential for increased crude exports from Iraq may enhance global oil supplies and undermine WTI prices in the near term. U.S. crude oil inventories decreased last week, which could offer some support to WTI prices. The American Petroleum Institute 's weekly crude oil stock report revealed that crude oil stockpiles in the U.S. declined by 577,000 barrels for the week ending July 18, in contrast to a rise of 19.1 million barrels the previous week. So far this year, crude oil inventories have increased by 11 million barrels, according to calculations from Oilprice based on API data.
Economy ME
19 hours ago
- Business
- Economy ME
Apple introduces localized shopping experience in Saudi Arabia with new online store, app
Apple has broadened its retail footprint in Saudi Arabia by launching the Apple Store online and the Apple Store app, which now provide support in Arabic for the first time. Customers can explore Apple's complete range of products while enjoying exceptional service from dedicated team members, according to a statement . Free engraving in both Arabic and English is offered for items such as AirPods and the Apple Pencil. To facilitate flexible shopping, the Apple Store online will introduce an affordability option through Tamara. With the Buy Now Pay Later feature, customers can shop their preferred lineups and pay in four-month installments at 0 percent interest. Deirdre O'Brien, Apple's senior vice president of Retail and People, expressed, 'We are excited to bring the Apple Store online and app to Saudi Arabia, providing customers with a new way to explore our products and services.' Last month, Apple revealed its intention to open its first official Apple Store in Egypt, marking a significant milestone in the company's broader ambitions to expand throughout Africa and the Middle East. Talks between Apple and Egypt's government have emphasized Cairo's strategic significance as a hub for digital innovation. The new store is set to provide direct access to Apple's products and services, invigorate the local tech ecosystem, and create high-quality local job opportunities. This initiative builds upon Apple's existing regional support centers and training facilities already established in Egypt. Apple plans to launch several flagship stores in Saudi Arabia starting in 2026, including a remarkable location in Diriyah, a UNESCO World Heritage site. This expansion complements Apple's ongoing initiatives in the region, such as the first Apple Developer Academy, which opened in Riyadh in 2021. (Photo Credit: Apple) Read more: Apple tops iPhone market in China with 15 percent global sales growth, strongest since COVID Apple expands in UAE and Egypt Apple has reaffirmed its commitment to the Gulf region by inaugurating additional flagship retail stores in the UAE, with a fifth store launched recently. The UAE remains a crucial market, providing customized customer experiences and complete access to Apple's lineup of products and services in both English and Arabic. The expansion within the UAE coincided with high-profile visits from Apple leadership, including Tim Cook, highlighting the strategic importance of the region to the company's global growth objectives. In India, Apple has made swift advancements by launching two official Apple Stores in 2023 and announcing plans for four more locations in major metro areas, with anticipated openings in Bengaluru, Pune, and an expanded presence in Mumbai and Delhi-NCR. These stores are integral to Apple's broader retail strategy in emerging growth markets, which emphasizes localized services, multi-language support, and unique retail experiences. Key Features Mirroring Saudi Expansion: Localized language support is increasingly featured in regional online stores and apps, enhancing accessibility and service. The personalized retail experience is part of Apple's global retail rollout model, which includes tailored recommendations, integrated payment and financing support, and local customer care. Investment in education is evidenced by initiatives like the Apple Developer Academy and Foundation Program, which offer learning opportunities that often accompany Apple's retail entry into new countries. Flagship store locations are strategically launched—such as plans for an iconic store at a UNESCO World Heritage site in Saudi Arabia and key flagship sites in the UAE and India—underscoring Apple's commitment to creating local destination retail experiences.
Economy ME
21 hours ago
- Business
- Economy ME
Binghatti Holding sees record AED 1.82 billion profit in first half of 2025
Binghatti Holding, one of the UAE's leading luxury real estate developers, has reported record-breaking financial results for the first half of 2025, with net profit and revenue nearly tripling year-on-year. The performance was fueled by sustained demand for Binghatti's high-end developments, specifically its branded residences in partnership with global luxury icons. The company's net profit surged 172 percent to AED 1.82 billion, up from AED 668 million in H1 2024. Revenue rose nearly threefold to AED 6.3 billion, while total sales climbed 60 percent year-on-year to AED 8.8 billion, solidifying Binghatti's position as one of the fastest-growing players in Dubai's dynamic real estate market. Binghatti's development pipeline also expanded significantly, with the revenue backlog reaching AED 12.5 billion as of June 30, 2025 — nearly doubling from AED 6.6 billion a year earlier. The jump was attributed to the launch of seven new projects, while five were delivered in the first half of the year, adding 1,441 units to the market. Binghatti's total sales increased 60 percent YoY to AED 8.8 billion Read: Binghatti launches first International Sales Boutique in the U.K. to attract global investors Chairman Muhammad Binghatti says: 'The first half of 2025 has been a period of exceptional growth for Binghatti Holding and the extraordinary year-on-year growth of our net profit and revenue is a reflection of the market's confidence in our differentiated model, one that is built around architectural excellence, speed of execution, and integrated value creation across the entire real estate ecosystem. As Dubai continues to attract global capital and high-net-worth individuals, our developments have become increasingly relevant to an international audience. The rising share of non-resident buyers speaks volumes about both our reach and Dubai's position as a safe, fast-growing investment destination.' Chairman Muhammad Binghatti CEO Katralnada Binghatti added: 'Our H1 2025 results and operational achievements underscore the discipline, agility, and long-term thinking that drive every aspect of our business. Launching seven projects and handing over four in just six months demonstrates our operational leadership in the market and our deep commitment to on time delivery. Our growing backlog, diversified landbank, and expanding portfolio of unique branded residences created in partnership with global icons Bugatti, Mercedes-Benz Jacob & Co. provide the market with luxury living, investment value and architectural distinction.' CEO Katralnada Binghatti Branded residences attract global buyers Binghatti's strategic collaborations with luxury brands Bugatti, Mercedes-Benz, and Jacob & Co. continue to elevate its appeal among global investors. The company's unique blend of architectural innovation and iconic design has drawn high-profile clients such as Brazilian footballer Neymar Jr. and opera legend Andrea Bocelli. In H1 2025, 61 percent of Binghatti's sales came from non-resident buyers, up from 55 percent in H1 2024 — a clear sign of growing international demand. This was supported by the company's global outreach strategy, including the opening of a London sales office in July. Expanding access for local buyers While international demand continues to grow, Binghatti also saw strong domestic interest, supported by the UAE's rising population and government-backed housing initiatives. In May 2025, Binghatti signed an MoU with Abu Dhabi Islamic Bank (ADIB) to provide Sharia-compliant home financing for both ready and off-plan units. The structure allows eligible buyers to access financing once 35 percent of construction is completed and 50 percent of payments are made — enhancing affordability for local investors. In July, Binghatti was selected by the Dubai Land Department (DLD) and Dubai Department of Economy and Tourism (DET) as one of 13 developers for the First-Time Home Buyer (FTHB) Program. As part of the initiative, 10 percent of Binghatti's residential units priced under AED 5 million will be reserved for first-time buyers, with early access, exclusive discounts, and reduced fees — benefitting both Emiratis and expatriates. PropTech leadership and innovation Binghatti further cemented its leadership in real estate innovation by becoming a founding partner of the Dubai PropTech Hub in July. The Hub — a collaboration between the DIFC Innovation Hub and Dubai Land Department — aims to attract $300 million in venture capital by 2030 and drive adoption of AI, blockchain, and sustainable smart infrastructure. As a founding partner, Binghatti gains early access to cutting-edge startups through innovation labs and accelerator programs. Binghatti's revenue rose 189 percent YoY to AED 6.3 billion Aggressive development strategy and landmark land acquisition Binghatti currently has approximately 20,000 units under development across 30 projects in key Dubai locations, including Downtown, Business Bay, Jumeirah Village Circle, Meydan, and Dubai Science Park. During H1 2025, the developer launched seven new projects spanning 5,000 units over 3.8 million square feet, and handed over five developments totaling 1,441 units across 1 million square feet. The company also acquired a megaplot in Nad Al Sheba 1, at the heart of the Meydan district, with over 9 million square feet of gross floor area. This site will anchor Binghatti's first master-planned residential community, with a projected development value exceeding AED 25 billion. Binghatti Holding sets itself apart in the market by being active across the entire real estate ecosystem Credit ratings affirm strong financial position Binghatti's credit strength was validated in H1 2025 by global rating agencies. In March, Moody's Ratings assigned the company a Ba3 Corporate Family Rating (CFR) with a stable outlook, citing its strong market position, vertical integration, and sound financial management. Shortly after, Fitch Ratings upgraded Binghatti's Long-Term Issuer Default Rating (IDR) and senior unsecured debt to BB- from B+, also with a stable outlook. The firm's net debt-to-EBITDA ratio of 0.8x, robust liquidity, and ability to self-fund projects were among the key strengths highlighted. Both agencies noted Binghatti's improved governance and institutional credibility following its $500 million sukuk issuance, now listed on both the London Stock Exchange and Nasdaq Dubai.
Economy ME
a day ago
- Business
- Economy ME
UAE's trade in telecommunication services surges by 4.3 percent to $2.8 billion in 2024
The trade in telecommunication services within the UAE saw a notable increase of 4.3 percent in 2024, amounting to AED10.2 billion ($2.8 billion), up from AED9.8 billion in 2023, as per data published by the Federal Competitiveness and Statistics Centre (FCSC) . This growth was primarily fueled by a robust performance in the fourth quarter of 2024, which witnessed a year-on-year surge of 12.95 percent, elevating the quarterly trade value in telecom services to AED2.70 billion. Furthermore, the data indicated that exports of telecom services rose by 6.49 percent in 2024, reaching AED4.9 billion, while imports experienced a growth of 2.38 percent, totaling AED5.3 billion. The fourth quarter accounted for the largest share of annual telecommunications trade at 26.45 percent, with the third quarter following at 25.34 percent (AED2.59 billion), the second quarter at 25.05 percent (AED2.56 billion), and the first quarter at 23.17 percent (AED2.37 billion). This notable performance highlights the strategic importance of the telecom sector in bolstering the UAE's digital economy, facilitating the growth of e-commerce, and advancing technological infrastructure. FCSC is a governmental center linked with the Ministry of Cabinet Affairs. It was established to enhance and develop the UAE's performance in global competitiveness, statistics, and data, thereby supporting the country's aspirations towards achieving the UAE's Centennial Plan 2071. Read more: UAE telecom du delivers exceptional 2024 results, proposes 59 percent increase in annual dividend UAE telecom market growth The UAE's telecom market reached $12.2 billion in 2024 and is expected to continue strong growth driven by 5G deployment, high smartphone penetration, and heavy investments in digital infrastructure. Exports of telecommunication equipment specifically (not only services) amounted to about $25 billion in 2023, highlighting the UAE's role as a key distributor and re-exporter in the region. In May 2025, the UAE achieved the top global position in the telecommunications infrastructure index, the institutional framework for digital government, and the digital content index, as stated in the second edition of the 'State of Digital Transformation Report.' The report emphasized the UAE government's digital accomplishments across 12 crucial sectors, including the economy, finance, human resources, health, education, community development, culture and youth, immigration and foreign affairs, security and justice, infrastructure and energy, logistics, and the environment.
Economy ME
a day ago
- Business
- Economy ME
Crude oil prices drop 0.75 percent to $68.60 amid rising trade tensions, demand concerns
Oil prices declined on Tuesday amid rising concerns that the escalating trade conflict between major crude consumers, the U.S. and the European Union, could hinder fuel demand growth by stifling economic activity, which has negatively impacted investor sentiment. Brent crude futures saw a decrease of 52 cents, or 0.75 percent, settling at $68.69 a barrel by 03:25 GMT (currently trading above $68.60). Meanwhile, U.S. West Texas Intermediate crude was priced at $66.69 a barrel, down 51 cents, or 0.76 percent (currently trading above $65.35). Both benchmarks experienced a slight decline on Monday. The August WTI contract is set to expire on Tuesday, with the more actively traded September contract dropping 54 cents, or 0.82 percent, to $65.41 a barrel. Supply concerns eased Supply concerns have largely diminished, thanks to major producers ramping up output and the ceasefire established on June 24, which ended the hostilities between Israel and Iran. However, apprehensions regarding the global economy are growing amid shifts in U.S. trade policy. In a significant development, the Iraqi government has officially resumed crude oil exports from the Kurdistan Region after a halt lasting over two years. This move is anticipated to ease tensions between Baghdad and Erbil while enhancing national export volumes. Kurdistan aims to contribute 230,000 barrels per day (bpd) of crude to Iraq's market once exports are fully operational. The prospect of increased crude exports from Iraq may augment global oil supplies and exert downward pressure on WTI prices in the short term. Furthermore, the impending U.S. tariff deadline could also affect WTI prices. U.S. tariffs on EU imports are expected to take effect on August 1, raising trade anxieties that extend beyond the oil sector. Commerce Secretary Howard Lutnick expressed optimism about reaching an agreement with the EU, yet the ongoing tariff risks continue to limit crude's potential for price increases. Read more: Oil prices climb to $69.36 as new EU sanctions hit Russian oil supplies Support from a weaker dollar The European Union's measures regarding Russian crude supply may lend some support to oil prices. Last week, the EU approved the 18th package of sanctions against Russia due to its conflict in Ukraine, which also targeted India's Nayara Energy, an exporter of oil products refined from Russian crude. This action followed U.S. President Donald Trump's threats to impose sanctions on buyers of Russian exports unless a peace deal is negotiated within 50 days. A weaker U.S. dollar has provided some support for crude prices, as buyers using alternative currencies are finding it relatively less expensive. The EU is also contemplating a wider array of counter-measures against the United States, as the chances of a favorable trade agreement with Washington continue to diminish, according to EU diplomats. The U.S. has threatened to implement a 30 percent tariff on EU imports come August 1 if no agreement is reached. Additionally, there are indications that the rising oil supply is beginning to saturate the market, as the Organization of the Petroleum Exporting Countries and their allies begin to unwind their output cuts. Data from the Joint Organizations Data Initiative (JODI) revealed that Saudi Arabia's crude oil exports in May surged to their highest level in three months.
