DIFC Reported almost 40% Surge in New Company Registrations...

UAE News:

Dubai’s economy grew by 5.3% YoY (to AED 113.8bn) in Q3 and 4.7% (to AED 355bn) in January-September 2025 underpinned by broad-based expansion across health & social work (15.4% YoY in January-September), finance (8.5%), construction (8.5%), real estate (6.7%) and trade (4.6%) sectors. Gains in tourism and international visitors also supported the accommodation and food services segments, reinforcing Dubai’s role as a global hub. 

UAE and Armenia signed a Services Trade & Investment Agreement: UAE was the largest foreign investor in Armenia and bilateral non-oil trade touched a record USD 4.5bn in 2025.

DIFC reported a nearly 40% surge in new company registrations to 1,525 in 2025, driven by firms including hedge funds, a sign of strong global appetite for the DIFC’s financial ecosystem. The total number of active registered firms grew 28% YoY to around 8,840 in 2025 and includes 557 wealth and asset management firms. The DIFC’s governor also stated that the DIFC achieved a net profit of around USD 400mn.

The Ras Al Khaimah Economic Zone also reported robust performance in 2025, attracting about 19k new companies, up 24% yoy, and taking the total number of firms to over 40k. Growth was broad-based, with services-related licences accounting for 40% of new company registrations, followed by commercial and trading licences (33%) and e-commerce (17%).

ADNOC is planning to issue its first Chinese yuan-denominated “dim sum” bond, potentially raising up to RMB 14bn(USD 2bn) in offshore markets, reported Bloomberg. This move would tap deepening financial ties with China and diversify credit markets beyond traditional dollar-based issuance.

Greenfield FDI (Ground up new operational facilities) into the UAE surged 78% YoY to USD 33.2bn in 2025; India emerged as the largest source of capital, contributing approximately USD 12.6bn across 275 projects — anchored by a USD 10bn smart manufacturing investment for EVs in Ras Al Khaimah. The UAE ranked 10th globally for greenfield capital inflows and second by project count, underscoring its continued attractiveness as a base for new productive investment.

MENA News:

US President Trump signed an executive order authorising potential tariffs (up to 25%) on countries that “directly or indirectly” trade with Iran. The measure formalises a “maximum pressure” economic strategy, signalling a tougher stance with nations engaging with Iran. China (USD 14.5bn), Iraq (USD 10.5bn), UAE (USD 7.5bn) and Turkey (USD 7.3bn) were the top trade partners of Iran during the period January-October 2025, according to official statistics; Oman also fell within the top 10 (USD 1.8bn).  If implemented, these tariffs could incentivise diversification of trading partners away from Iran and accelerate shifts toward non-US markets, potentially reshaping trade networks in the Middle East and Asia. While the US tariff threat introduces uncertainty, Iran’s major diversified export partners (China, UAE, Turkey) are likely well-positioned to absorb the shock by switching suppliers. The pain will be felt primarily by Iran (revenue loss, isolation, inflationary impact) and Iraq (energy security crisis).

Iran and the US resumed high-stakes indirect talks in Oman, primarily centred around Iran’s nuclear programme. Prolonged uncertainty around these negotiations (that were off to a “good start”, according to Iran) will keep risk premiums elevated for energy markets and investment decisions across the region.

Bahrain’s non-oil exports of national origin grew by 5.0% YoY to BHD 1.047bn in Q4 2025, driven by products such as unwrought aluminium alloys (29% of total) and other industrial goods. Saudi Arabia, UAE, and the US accounted for the largest shares of non-oil domestic exports (together a share of 42.2%), while overall non-oil imports also expanded (9% YoY to BHD 1.628bn), leaving the trade deficit wider (BHD 355mn from BHD 277mn in Q4 2024). 

Egypt’s record-high engineering exports stood at USD 6.5bn in 2025, up 13% YoY, with Saudi Arabia, UK, Turkey and UAE being the top destination markets. This reflects growing competitiveness in Egypt’s manufacturing and value-added industrial goods alongside project expansions and export campaigns.

Egypt and Turkiye aim to increase trade volume to USD 15bn by 2028 (from around USD 9bn currently), with industrial exports and manufacturing cooperation as core drivers. Cooperation will also extend to the energy and transportation sectors.

The Oman Investment Authority (OIA) outlined plans to divest stakes in up to 30 companies, allowing it to unlock government capital and improve state asset efficiency while supporting Vision 2040 objectives. By monetising select holdings, about five to six per year, the OIA aims to deepen capital markets and redirect resources towards capital investments that support economic diversification. 

Qatar Investment Authority announced plans to invest in five additional VC funds as part of an expanded USD 3bn “Fund of Funds” programme, aiming to attract international fund managers and build Doha into a hub for global venture capital and entrepreneurial activity.

QatarEnergy secured landmark long-term LNG supply agreements: a 27-year, 3 million-ton per year deal with Japan’s JERA and a 20-year, 2 million-ton supply pact with Malaysia’s Petronas. Qatar’s North Field expansion, which will raise LNG output capacity to over 120 mtpa by 2027, will strengthen Qatar’s role as a cornerstone supplier and these agreements will boost the country’s foothold in key Asian energy markets.

India and the GCC formally agreed to launch negotiations for a comprehensive free trade agreement, marking a pivotal step toward deeper economic integration. This initiative builds on existing bilateral trade agreements (e.g., India-UAE CEPA) and strategically positions India (one of the GCC’s largest trading partners) to benefit from reduced tariffs and expanded services and investment linkages.

MENA IPO activity was strong in Q4 2025, according to EY’s MENA IPO Eye: 10 IPOs raised USD 1.7bn during the quarter and Saudi Arabia led listings and attracted robust investor interest across sectors (6 IPOs raising USD 561.6mn).

Bloomberg reported that Saudi and UAE firms are set to receive copper shipments from the Democratic Republic of Congo, reflecting Gulf strategic interests in securing key industrial metals critical to energy transition and electrification supply chains. 

Work is underway to interconnect the UAE and Oman’s electricity networks as part of the USD 700mn GCC-linked power grid project, aiming to enhance regional energy security, grid flexibility and support integration of renewable energy into the GCC grids.

Saudi Arabia and Syria signed a framework agreement to launch 45 development initiatives covering critical sectors such as aviation (two airports and a new carrier Flynas Syria), telecoms (USD 1bn telecom project SilkLink aimed at boosting digital connectivity), real estate and infrastructure (including Aleppo’s airport infrastructure), signalling Saudi’s intent to play a leading economic role in the country’s recovery process. Earlier in the week, the Saudi investment authority head revealed that the majority of the planned investments would take the form of ready-to-implement contracts (as opposed to non-binding MoUs). These projects could result in Syria’s reintegration into regional markets, but will depend on political stability, effective project execution and sustained investor confidence.

Saudi Arabia will invest roughly USD 2bn to build two large-scale solar farms in Turkey: work is expected to start in 2027 and generate enough electricity for over 2.1mn households once operational (by 2029). This cross-border clean energy cooperation reflects a shift towards low-carbon infrastructure as a pillar of regional economic integration. 

The Saudi Fund for Development will provide USD 40mn towards the construction of an industrial city in Oman, expected to boost industry and logistics. This financing reflects deepening bilateral cooperation and will support bilateral trade and economic diversification.

Saudi Arabia’s Capital Market Authority is reviewing existing foreign ownership restrictions on listed equities, with discussions underway to potentially raise (or even fully remove) the 49% foreign-ownership limit currently applied. 

Global News:

Global equity markets ended mostly in the red last week, including the MSCI index of global stocks. Stocks, on renewed concerns over AI spend and despite some recovery seen towards the end of the week (e.g. DJIA posted a record closing high and its first above the 50,000 mark). Regional markets were mixed, with many affected by oil price fluctuations: Saudi saw some profit-taking while multi-year highs were reached in Dubai (highest since 2006) and Abu Dhabi (a 3-year high) indices during the week. The dollar strengthened versus the yen ahead of the elections (which Prime Minister Takaichi won on Monday). Oil prices fell for the week (given broader market selloff and concerns about oversupply), though settled higher by the end of the week on potential cooling of US-Iran conflict woes, while gold price rose, building on its safe haven status.

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SOURCE:
Nasser Saidi & Associates