Photo Caption: (left to right) Abdul Razzak Mikati, Managing Director, DTP and Tayfun Topkoc, Managing Director, SAP UAE partner on aviation technology innovations.

Global Aviation Analytics Market to Double to USD 4 Billion by 2021;

DTP (Dubai Technology Partners) and SAP Co-Innovate on Crowd and Flight Performance Management and Forecasting Solutions at GITEX

12^th October, 2016, Dubai, UAE: Consumers in the UAE appear to agree with the current real estate market sentiment that now is good time to buy property, according to statistics from compareit4me web site, the Middle East’s leading finance comparison site.

Using data from its mortgage comparison platform, compareit4me can reveal that there was an 119.5% increase in the number of people searching for mortgages in the third quarter of 2016, compared to the same period in 2015. This indicates a great willingness among UAE consumers to take on finance in order to take advantage of a buyer-friendly property market.

According to a recent study from Core Savills, over half of Dubai’s tenants are looking to buy their own residence in the future. Of these, the report said, 62% were leaning towards buying to own, rather than buying to let. What’s more, more than half said they were looking to purchase property over the next 12 months.

That same report added that buyers are being deterred by difficulties when it comes to securing finance on homes. That could explain the enormous growthin mortgage searches at compareit4me.

“If people are struggling to find good finance options for property, they’ll of course look to compare offerings. This is where we come in – our mortgage portal allows users to compare almost 80 different mortgages,” said Jon Richards, CEO at compareit4me.

“It seems people are looking to take advantage of the low prices in the property market, and they’re eager to take on finance to make sure they don’t miss out on the great deals to be had.”

Indeed, even when it comes to securing home loans, it appears that UAE consumers are looking for the least expensive options. compareit4me’s numbers reveal that, in the third quarter of 2016, there was a 28% reduction in the number of people looking for mortgages that don’t require a salary transfer account with the same bank. This indicates that users are wising up to the fact that

they can secure better home loan rates if they borrow from banks with which they hold a salary transfer account.

“This makes perfect sense in a property market being defined by low prices – the benefits of easy-to-buy property are negated if buyers have to pay out more on interest payments. Our users know this, and so they’re opting for the mortgages that give them the best rates – in this case, the mortgages that require salary transfer accounts,” said Richards.

According to compareit4me’s numbers for the third quarter of 2016, the most searched for mortgage product is RAKBANK’s Home In One. Union National Bank’s Mortgage for Expatriates came in a close second, while ACDB Mortgages rounded off the top three.

 Dubai, UAE, 9 October 2016: HE Saeed Mohammed Al Tayer, MD & CEO of Dubai Electricity and Water Authority (DEWA), received the prestigious Lord of Matterhorn Award from Peter Harradine, President of the Swiss Business Council, Dubai & Northern Emirates. The ceremony at Fairmont Palm Hotel and Resort, Dubai witnessed the attendance of HE Maya Tissafi, Swiss Ambassador to the UAE, HE Christian Watts, Consul General of the Consulate General of Switzerland, in addition to a number of Swiss companies and business representatives. 

The Lord of Matterhorn award is awarded annually to a select few UAE citizens who have contributed towards enhancing business relations with the Swiss Business Council and in turn towards Switzerland and its presence in the UAE.

“It is my pleasure to receive the prestigious Lord of the Matterhorn Award, by the Swiss Business Council. I understand that this prestigious award was named after Switzerland's most famous mountain, which is hard to conquer, but then again, here in the UAE, we do not believe in the word ‘Impossible’. We are guided by the vision and initiatives of HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, in all our endeavours,” said HE Saeed Mohammed Al Tayer, MD & CEO of DEWA.

“In line with DEWA’s vision to become a sustainable innovative world–class utility, innovation is the cornerstone and integrated approach we follow to achieve the UAE Vision 2021, which aims to make the UAE among the best countries in the world by 2021. This in turn, strengthens the UAE’s global competitiveness, especially in renewable energy, and green economy technologies and products. Dubai has a comprehensive vision for a sustainable future, which is pivotal to the success of building a green economy. Receiving the Lord of the Matterhorn award is a proud moment and honour for me, while reflecting DEWA’s success in strengthening its ties with its partners to ensure Dubai’s global competitiveness,” added Al Tayer.

“Finally, I would like to thank HE Maya Tissafi, Ambassador of Switzerland to the UAE, and Mr. Peter Harradine, President of the Swiss Business Council and the organisers for the success of this evening and all their efforts,” concluded Al Tayer.

Saudi Arabia’s cabinet agreed to implement a broad reform plan known as Vision 2030, which is expected to involve sweeping change to diversify the economy beyond dependence on oil exports, state media reported on Monday.

The Kingdom announced sweeping economic reforms to reduce its dependence on oil and ensure long-term sustainable development, with plans for a massive $2 trillion sovereign fund to boost its global investment power.

In an exclusive interview with Al-Arabiya News Channel on Monday, Deputy Crown Prince Mohammed bin Salman, second deputy premier and defense minister, said the implementation of the Vision 2030 plan would likely see the country operate without oil income by 2020, without sacrificing current infrastructure projects. The plan would also see the development of the country’s tourism industry, building the capacity of its military industries, reduced subsidies to save money, job creation initiatives, an education system revamp and a Green Card-style residency system for Arabs and Muslims.

He said the plan includes the setting up of a restructured Public Investment Fund (PIF) worth $2 trillion by including the proceeds of a Saudi Aramco initial public offering (IPO), other assets of $600 billion, and state-owned real estate and industrial assets estimated at $1 trillion. It would have more than 10 percent of global investment capacity, he said.

Prince Mohammed said the sale of 5 percent of oil giant Saudi Aramco would be the “biggest IPO in history.” Aramco would have a holding company with an elected board, with subsidiaries also sold through IPOs. “The 5 percent is from the parent company,” he said. Aramco is the world’s leading oil company, producing about 10 million barrels a day, or about 10 percent of global production.

Prince Mohammad said the partial IPO would help transform Saudi Arabia into an investment-driven economy and turn the Kingdom into a global player. “The Saudi addiction to oil has disrupted the development of many sectors in previous years,” he was quoted as saying.
On the highly-anticipated topic of the American-style Green Card for expatriates in the Kingdom, the prince said the scheme would be ready in five years. “The Green Card will allow Muslims and Arabs to live in Saudi Arabia for a long time and will be a source of revenue for the government,” he said. Prince Mohammed also revealed plans to develop the country’s tourism industry but within the framework of “our beliefs and values,” revitalizing culture and entertainment, and building an Islamic museum. “How can the Kingdom be the holiest place for Muslims and have no Islamic museum?”

The prince said the Aramco IPO is also aimed at ensuring greater transparency to boost the confidence of investors. “In this day and age, no country can afford to not be transparent. There are many benefits to the Aramco proposal, and the most important and major one is transparency.”

He said the lack of transparency of Aramco has “upset” many people. If Aramco is listed then it would have to announce its results quarterly and be open to scrutiny by financial and other institutions locally and abroad, he said.

Prince Mohammed said the government would cut subsidies but limit its impact on low and middle income earners. However, it would be applied to everyone, “including princes and government ministers. This is a promise.”

The deputy crown prince also confirmed in the interview the government plans to reduce Saudi unemployment from 11.6 percent to 7 percent.

On defense, he said it made no sense for Saudi Arabia to be the world’s third-largest spender on arms but with no manufacturing industry. There were plans underway to set up factories for this purpose by 2017, initially wholly owned by the government but later listed on the Saudi bourse.
Prince Mohammed said that the Kingdom was adopting Vision 2030 “regardless of the oil price,” in reference to prices plunging to a 12-year low of $32 a barrel in January. “The Vision doesn’t require high spending but restructuring.” It focuses on the Kingdom’s strengths, its religion and Arab heritage, ability and location, he said.

Asked about the proposed King Salman Bridge over the Red Sea, announced last week in an agreement with Egypt, Prince Mohammed said the crossing would link Europe and Asia, provide building and investment opportunities, and help move billions’ worth of cargo across the Red Sea.
According to reports, the plan also envisages increasing the participation of women in the workplace, which has been growing rapidly over the past five years, from 22 percent to 30 percent.

Summary:

• Saudi is to sell less than 5 per cent of oil giant Aramco in IPO: deputy crown prince, Mohammed bin Salman.
• He expects the value of Aramco to exceed $2 trillion as the kingdom prepares to sell part of the company in what could be the world’s largest initial public offering. The valuation of Saudi Arabian Oil Co. hasn’t been completed.
• A new investment fund will turn the world’s top oil exporter into a global investment power, deputy crown prince, Mohammed bin Salman said. The kingdom’s existing Public Investment Fund (PIF) had made returns of 30 billion riyals ($8bn) in 2015. Asked whether he thought the management of PIF would be too autocratic, he said there would be an elected board that would make investment decisions for PIF.
• “We plan to set up a $2 trillion sovereign wealth fund … part of its assets will come from the sale of a small part of Aramco," he said.
• The Saudi stock index recovered from early losses and was up 1.8 per cent after the reform was outlined.
• A “green card" system will be introduced within five years to allow resident expatriates in the kingdom to have more rights in order to improve its investment climate. Sweeping reforms, of which the proposed green card is one, will be implemented even if oil prices rise back above $70 a barrel, prince Mohammed said.
• Plans for a military industries holding company fully owned by government at first and offered in IPO by end of 2017.
• The reform plan will not require major spending but will involve restructuring, prince Mohammed said, adding that spending on infrastructure projects would continue. He said that the government would restructure the housing ministry to help more citizens buy homes, said subsidies should not go to the rich, and said he aimed to reduce unemployment among Saudi nationals to 7 per cent from 11.6 per cent.

Sources: Arabnews.com, thenational.ae