62nd YEAR No. 1 CAIRO WEDNESDAY, JANUARY 7, 2015 ESTABLISHED 1945

THE MIDDLE EAST OBSERVER

THE PUBLISHER: AHMED FODACHIEF EDITOR: H.A. RAOUFMIDDLE EAST COUNSELORS:

YASMIN FODAAHMED SHAFIK

MAHMOUD FODAN.M.M. RASHED

Dir. of Public Relations:KAMAL MOKHTAR

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PRESIDENTIAL DECREEON CREATING PHOS-PHATE INDUSTRIALZONE IN ASWAN

President Abdel Fattah Al-Sisi hasissued a decree on establishing aphosphate industrial zone in WadiHelal in Al-Sebaia City in Edfu,Aswan governorate at investments ofLE 3.3 billion, and on an area of 5,115feddans.

The industrial zone in question willinclude 12 integrated industrial com-plexes and is expected to offer thou-sands of openings, industry MinisterMounir Fakhry Abdel Nour has said.

Abdel Nour asserted that the area isrich in phosphate ores, which can beused to produce fertilizers and chemicalproducts. The Minister went on to saythat the industrial zone has the poten-tials to be one of the largest zones in thephosphate production and exportationfield.EGYPT TO RESUMEISSUING BONDS ININT’L MARKETS

Egypt will resume issuing bondsin the international markets under adecision taken by the cabinet onMonday.

The step will help increaseEgyptian resources, said the economiccommittee chaired by Prime MinisterIbrahim Mahlab.DANA GAS GETS $60M.FROM EGYPT

Dana Gas, the Middle East's lead-ing regional private sector natural gascompany, has received $60 million(Dh220 million) from the EgyptianGovernment, TradeArabia NewsService said.

The payment represents 28 per cent ofthe total overdue receivables of $212million. All of this money will be used topay for the company’s overdue industryreceivables, fund future investmentrequirements and address operationalexpenses in Egypt, the company said.Earlier in 2014, Dana Gas and theEgyptian Government signed the land-mark gas production enhancementagreement (GPEA) which allows thecompany to significantly enhance pro-duction and gradually recover its out-standing receivables in a phased mannerover a three-year period going forward.(Cont. on page 2)

Emir of Kuwait during the reception of President Sisi.

CommentSUBTERRANEANWATER HOPE OFAGRICULTURALEXPANSION INEGYPT

The issue of subterraneanwater came under spot afterPresident Abdel Fattah El Sisiannounced the reclamation ofmillion feddans within theframework of a plan to reclaimfour millions feddans during thecoming period, Dr. HossamMoghazi of Al-Ahram said.

Some people might believe thatdependence on subterraneanwater in the light of the high costof production thereof is unsuit-able; however, the use of subter-ranean water is a must for manyreasons:

Egypt has limited amount ofRiver Nile water amid a massiveincrease of population and shrink-ing area of arable land; this couldlead to an increasing gap betweenoffer and demand in the food sec-tor.

Accordingly, Egypt pursued astrategy that aims at the reclama-tion of more land in the desertareas that constitute around 95%of the total area of land in Egypt.The strategy includes the con-struction of trade, industry andtourist hubs as well.

The total number of subter-ranean water wells is estimated at77,000. The Ministry of WaterResources and Irrigation is used tosurvey the wells regularly nation-wide to calculate the used quanti-ties and record the levels of sub-terranean water in these wells.

In some areas, like the new andold al-Farafra, subterranean wateris 1,000 deep in the wells; thismakes the extraction of waterfrom these wells costly (the costof digging one well could hitLE2million). (Cont. on page 2)

PRESIDENT SISI AND EMIR OF KUWAIT DISCUSS BILATERALRELATIONS, ISSUES OF COMMON CONCERN TO THE REGION

Sidi Kerir Petrochemical Company (Sidpec) Won the Award of Pioneer Works of Achieving Sustainable Development

Sidi Kerir Petrochemical Company(Sidpec) has been awarded the prize ofpioneer works of achieving sustain-able development for the year 2014during the ceremony organised by theEnvironmental Compliance &Sustainable Development Office ofthe Federation of Egyptian Industriesunder the auspices of H.E the PrimeMinister, Engineer Ibrahim Mahlab.

The ceremony was attended by alarge number of dignitary figuresincluding the Egyptian Minister ofState Environment Affairs, Dr. KhaledFahmy, the Head of the Committee ofthe Environmental Compliance &Sustainable Development Office, Dr.Sherif El-Gabaly, the Head of theConfederation of Danish Industriesand the Malaysian Ambassador toCairo. During the celebration,Engineer Ahmed Helmy received theaward in his capacity as the Chairmanof Sidi Kerir Petrochemical Company(Sidpec).

This competition was organised thisyear for the first time as a sort ofincentive granted by the Egyptiangovernment in co-operation with theFederation of the Egyptian Industries

to motivate the industrial sector to carry out the social service initiatives.The competition had approximately 170 competitors representing indus-trial companies working in various lines of industrial activities where theresults of the competition revealed the wining of 9 companies of large,medium and small scales and Sidi Kerir Petrochemical Company(Sidpec) has been awarded the first ranking position among the largecompanies. On his part , Engineer Ahmed Helmy indicated that the com-pany is striving for supporting and consolidating the comprehensiveindustrial and sustainable development through working on improvingand rationalising the consumption of energy to reduce carbon emissionsin addition to preserving the natural resources and the surroundingsthereof to support the future generations. In his statement, he assertedthat the company is sparing no effort in implementing systems that rep-

resent the state of the art in allfields such as energy, socialresponsibility, environmentpreservation, occupationalsafety and health proceduresand quality standards thatachieve business excellenceand sustainable development.

Engineer Ahmed Helmy alsoconfirmed that there is a con-tinuous co-operation with theFederation of EgyptianIndustries in order to enhanceand disseminate the conceptof sustainable developmentand social responsibilityamong the industrial compa-nies in addition to implement-ing them on the ground toserve the country. It is worthmentioning that Sidi KerirPetrochemical Company(Sidpec) has won the ArabQuality Award last November,for its business excellence andhigh levels of quality in thefield of Energy Managementin addition to obtaining thecertificate of ISO - 50001 forthe year 2014.

SISI REVIEWS WITH BUSINESSMEN OPPORTUNITIES OF INVESTMENT IN EGYPT

President Sisi met with the members of the Kuwaiti Chamber ofCommerce and Industry under Ali Thanyan Al Ghanem and 15Kuwaiti investors with whom he discussed available chances of invest-ment in Egypt. During the meeting, Kuwaiti Businessmen expressedwillingess to take part in the economic conference which will be heldin Sharm El-Sheikh in March with the aim of supporting Egypt. TheKuwaiti Businessmen offered the problems faced by Kuwaiti investorsin Egypt and called for solving them immediately.$1 BN KUWAITI INVESTMENTS IN ELECTRICITY, GAS PETROLEUM

Al-Sisi’s visit to Kuwait opened new investment horizonsbetween the two countries, especially that the Kuwaiti investmentsin Egypt are ranked third at the Arab level.

On his part, Moataz Al-Alfi, head of a Kuwait holding investmentgroup in Egypt unveiled investment expansion to the tune of $1 billionin the coming period via a Kuwaiti fund in the fields of electricity, gasand petroleum.

He pointed out that the number of Egyptians working in Kuwait hitabout 500,000 ones.

6.3% INCREASE IN THE VALUE OFINDUSTRIAL PRODUCTION IN THE SECONDQUARTER (APRIL - JUNE) 2014

Central Agency for Public Mobilisation and Statistics issued on1/1/2015, the Quarterly Statistical Bulletin for industrial produc-tion of public / public business and private sector establishmentswhich have more than 25 employees for the secondquarter(April/June) 2014.

The most important indicators are:The value of industrial production (excluding petroleum) reached

84.86 billion pounds in the second quarter of 2014 compared to 85.05billion pounds during the first quarter of the same year, a decline of0.22 per cent, while the value of production (the second quarter) 2013(the same quarter) was 79.82 billion pounds, an increase of 6.32 percent. (Cont. on page 2)CAPITAL INVESTMENTS IN ARAB ENERGY TO TOP $684B.

Energy capital investments in the Arab world will total $685 bil-lion over the next five years, according to a new report.

The report, by the Arab Petroleum Investments Corporation(Apicorp), was presented to officials and delegates at the 10th ArabEnergy Conference in Abu Dhabi, said a report in the Gulf Daily News(GDN), TradeArabia News Service said.

Set against the backdrop of continuing regional turmoil, uncertaintyin many global and regional economies and a declining oil price,Apicorp's latest Arab Energy Investment Outlook predicted lowerinvestment levels compared to the previous year's report.

It stated that energy sector investments would have dipped even fur-ther had it not been for an apparent catch-up effect, particularly evidentin the power sector, as well as ever-increasing project costs.

Apicorp's report highlighted the growing divide between the GCCand rest of the Arab region in terms of their credit ratings, and it pin-pointed three primary constraints on energy investments.

(Cont. on page 3)

On his first official visit to Kuwait, President AbdelFattah El Sisi held a session of talks with Sheikh SabahAl Ahmed Al Jaber, the Emir of Kuwait on means ofboosting bilateral relations in all fields and a widerange of regional and international issues of commonconcern.

He said the situation in the Arab region gives rise to con-cern adding it is time for Egypt to return to play its role.

He said Egypt's role is important in Iraq and in solvingthe Syrian crisis, referring to Egypt's attempts to solve theSyrian crisis. He said Kuwait is looking forward to attendthe economic Summit, and the Arab summit in Cairo nextMarch adding we are preparing for handing over thePresidency of the Arab summit to Egypt, which is capableof shouldering responsibility for the main causes of theArab World .Answering a question on Arab co-operationfor combating terrorism in the light of the lack of an Arabagreement on the term of terrorism.

He said the Kuwaiti cabinet expressed satisfaction withsecurity, stability and sincere steps on the path towardsprogress and prosperity in Egypt, adding he is confidentthat the visit will serve the common interests of the two

sisterly Arab countries. He said Kuwait's participation inthe economic conference for supporting Egypt next Marchwill be strong and effective, referring to keenness to takepart in carrying out projects that would benefit theEgyptian people.

KUWAITI INVESTORS: SISI VISIT ISA CLEAR CUT MESSAGE THATEGYPT’S ECONOMY HAS RECOVERED

Kuwaiti investors have expressed hope thatPresident Sisi's visit to Kuwait will bear fruits, at theinvestment level adding the visit is a message thatEgypt's economy has recovered following the develop-ments witnessed by Egypt during the past three years.

They said there is an ample opportunity for the return ofinvestment in different projects in Egypt which need bigfinancing. They said the visit will provide a chance for dis-cussing all the problems faced by businessmen who arelooking for incentives that could help them increase theirinvestments in Egypt. (Cont. on page 2)

JANUARY 7, 2015

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2EGYPT PAYS $2.1B. TO FOREIGN ENERGY FIRMS, STILL OWES $3.1B.

Egypt paid $2.1 billion of its debt to foreign energycompanies, Oil Minister Sherif Ismail said, a move thatcould improve the investment climate and ease the coun-try's worst energy crisis in decades, Reuters said.

The payment was the third batch to energy firms in the pastyear, though the government still owes $3.1 billion, Ismailsaid in a statement.

The statement did not identify the amounts specific com-panies would receive, but the foreign firms owed money bythe Egyptian government include British majors BP and BG,the UAE's Dana Gas, and Italy's Eni.

Egypt has delayed payments to oil and gas firms as itseconomy has been hammered by almost four years of insta-bility since a popular uprising ousted autocrat HosniMubarak.

Arrears began to accumulate before the revolt, but worsen-ing state finances saw the debts mount to billions of dollarswhile the government diverted gas earmarked for export tomeet domestic demand.

Mounting debt has hampered investment in the energy sec-tor, though recent moves by the government to address theissue has begun to improve energy firms' confidence inEgypt.

Egypt made payments of $1.5 billion in December 2013,and $1.4 billion in October 2014 and said in November that itintends to repay all its debt within six months.

British oil major BP has announced a $12 billion invest-ment in Egypt over the next five years and the president ofBG Egypt said he was confident the government was doingits best to improve investment prospects.6.3% INCREASE IN THE VALUE OFINDUSTRIALPRODUCTION IN THE SECOND QUARTER (APRIL - JUNE) 2014

(Cont. from page 1)Coke activity represents

the largest share in the mostimportant economic activi-ties, it had a share of 18.3per cent of the total value ofindustrial production, fol-lowed by food productsindustry by 13.0 per cent,followed by iron & steelindustry by 5.6 per cent ofthe total value of industrialproduction.

• The value of productionin Chemicals and fertilizersindustry reached 8.16 bil-lion pounds in the secondquarter of 2014 versus 8.49billion pounds in the firstquarter of 2014, itdecreased by 3.89 percent.While the value of pro-duction reached 7.38 billionpounds for the second quar-ter of 2013, it increased by10.48 per cent.

• The value of production in Non-metallic mineral productsreached 8.41 billion pounds in the second quarter of 2014versus 9.03 billion pounds in the first quarter of 2014, itdecreased by 6.91 per cent. While the value of productionreached 8.11 billion pounds for the second quarter of 2013 itincreased of 3.68 per cent.

The value of production in iron and steel industry reached9.48 billion pounds in the second quarter of 2014 versus10.92 billion pounds in the first quarter of 2013, it decreasedby 13.14 per cent .While the value of production reached10.31 billion pounds for the second quarter of 2013, itdecreased by 8.06 per cent.DANA GAS GETS $60M. FROM EGYPT

(Cont. from page 1)The GPEA agreement allows investments to be made in an

important development programme to eventually increase produc-tion from current levels of around 40,000 BOEPD from the com-pany’s development leases in the Nile Delta.

Under the GPEA, Dana Gas will undertake a long term stagedwork programme over a seven-year period with project workexpected to start in the next few months. The first export sales ofincremental volumes of condensate will follow thereafter.Estimated incremental production during the period will be 270billion cubic feet of natural gas, 8 to 9 million barrels of conden-sate and around 450,000 tonnes of LPG. Peak production isexpected to occur in 2017 with incremental daily production ofapproximately 160 MMscf gas and 5,600 barrels of condensate.

During the discussions that Dana Gas has continued to havewith the Egyptian authorities to resolve the issue of its outstandingpayments, it has already been able to increase production for thebenefit of the Egyptian economy and its people. Dana Gas Egypt’sgas, LPG, condensate and crude oil production averaged 40,000barrels of oil equivalent per day in 2014, which is an 8 per centincrease over 2013 average production, it said.

Patrick Allman-Ward, chief executive officer of Dana Gas, said:“We would like to thank the Egyptian Government for making thispayment. We are also delighted to have concluded the GasProduction Enhancement Agreement and are working closely withthe authorities to accelerate the implementation of the GPEA inorder to fast-track enhanced production and the payment of theremaining outstanding receivables as quickly as possible goingforward. Dana Gas is now preparing for the startup of the projectand is in the process of securing materials and drilling rigs". DanaGas is among the most active oil and gas companies and is thesixth largest gas producer in Egypt. The company has investedaround $2 billion in Egypt to date, making it the GCC’s largestinvestor in the oil and gas sector in the country.

Dana Gas was also recently awarded the North El Salhiya(Block 1) and El Matariya (Block 3) onshore concessions in theNile Delta as part of the 2014 EGAS bidding round held recentlyin Egypt. The company will operate the Block 1 concession areaon a 100 per cent basis. It is expected that exploration success andfuture production from conventional gas reservoirs in the Block,utilising Dana Gas’s existing infrastructure, has the potential toextend the Company's highly successful gas production businessonshore the Nile Delta.

From Al-Ahram

INVESTMENTMINISTRY KEEN TOREFORM STATE COs

The Investment Ministry is giv-ing more attention to reforming thestate-owned companies, which alto-gether make up 15 per cent of theGDP, Minister Ashraf Salman said.

The director of public relations andmedia at the minister's office, Aymanel Sherie told MENA that the meetingdealt with means of providing plat-forms for storing coal and the condi-tions set by the Ministry ofEnvironment for the cement industry.He said that the meeting also took upthe latest developments in the con-tract of Dipco Company at DamiettaPort as well as the amendments intro-duced to the contract of Dubai ports atEin Sokhna, the final studies of thesecond containers station in east PortSaid and the passenger movementbetween Egyptian and Saudi ports.

For his part, Dahi pointed out to thestudy to develop Sharm el-Sheikhport to tum it into a tourist one at thehighest level.

6,000 TONNES OFBUTANE GAS ARRIVEAT SUEZ PORT

A ship sailed into Zaytait port lastSunday with 6,000 tonnes of lique-fied butane gas on board, thespokesman for the Red Sea PortAuthority said. The ship was com-ing from Yanbu port. A ship also setsail from Port Tawfiq for Jeddahport with 6,000 tonnes of cargo onboard, he added.

CommentSUBTERRANEANWATER HOPE OFAGRICULTURALEXPANSION INEGYPT

(Cont. from page 1)On the other hand, water exists at

little depths in some other areas, likeToshka and East Owaynat (less than300 meter deep). But in order to getthat water, Egypt needs to depend onrenewable sources of energy in thelight of the dearth of other sources ofenergy in the country.

Although the development oftourism in Sinai is a must, becausetourism in that particular area is animportant source of income in thecountry, the scarcity of waterresources in the Egyptian peninsula isa challenge to the development plantherein.

The issue of subterranean water inEgypt should be addressed with amethodology different from the waywe deal with surface water.

Accordingly, the ministry conduct-ed studies to draw a map of the prom-ising subterranean water reserves inorder to start the application of thefirst phase of the agricultural planincluded in the president's electoralplatform; this phase includes thereclamation of one million feddans.

EGYPT MAIN INDEX STARTS 2015 IN THE GREENEgypt's bourse started the year in the green on Sunday as the bench-

mark index inched up 0.18 per cent to close at 8,943 points, according toAhram Online.

Non-Arab foreign investors accounted for 40 per cent of market activity, asnet-sellers to the tune of LE446 million, while local investors, accounting for50 per cent of the market, were net-buyers for LE321 million.

Market bellwether Commercial International Bank (CIB) rose 0.51 per centto LE49.99.

In the real estate sector, Palm Hills Development Company slid 0.48 per centto LE4.11, TMG Holding rose 0.30 per cent to LE9.89, and Six of OctoberDevelopment and Investment (SODIC) inched up 0.07 per cent to LE14.41.

Orascom Telecom Media and Technology Holding was the most traded stockin the main index, with a turnover of LE47.9 million, sliding 0.76 per cent totrade at LE1.31.

Global Telecom Holding was up 0.49 per cent to LE4.09.Total turnover of listed stocks recorded a weak LE241 million.The broader EGX70 climbed 0.67 per cent.

EGYPTIAN POUND STEADY IN OFFICIAL MARKET,GAINS ON BLACK MARKET

The Egyptian pound held steady at a central bank dollar sale on Sundayand made gains on the black market, according to Reuters.

The bank offered $40 million at the sale and said it had sold $38.7 million ata cut-off price of 7.1401 pounds to the dollar, a rate unchanged from its lastsale.

The rates at which banks are allowed to trade dollars are determined by theresults of central bank sales, giving the bank effective control over officialexchange rates.

In the unofficial market, a trader said the pound was trading at 7.77 to thedollar on Sunday, stronger than last week when traders put it at 7.81.TRANSPORTATION MINISTRYMULLS AMENDING DIPCO, DPWORLD CONTRACTS

Transportation Minister Hany Dahy,along with heads of seaport authorities andmaritime transport sector, will try to modi-fy the contract of Ain Sokhna port,Damietta container terminal and futurevision on ports and Suez Canal develop-ment, Al-Masry Al-Youm said.

The minister has also tackled allocatingplatforms to circulate coal and mulled require-ments by Environment Minister to geographi-cally distribute coal as per needs of ministries ofelectricity and industry required for cementmanufacturing

The minister also reviewed developments with the contract of DamiettaInternational Ports Company (DIPCO) and DP World. He is also consideringstudies on establishing cargo station in Safaga port to serve Upper Egypt andfinal studies on founding another container terminal in East Port Said port.

Dahy also indicated a study to turn Sharm al-Sheikh seaport into a touristone and establishing fishing port in Tor city, South Sinai.

PRESIDENT SISIAND EMIR OFKUWAIT DISCUSSBILATERALRELATIONS, ISSUESOF COMMON CONCERN TO THEREGION

(Cont. from page 1)They also said the visit will

provide a chance for Egyptianbusinessmen to enter intonew partnerships with theirKuwaiti counterparts.

Hussein AI Kharafy, theHead of the Federation ofKuwaiti Industries said thevisit reflects the depth of rela-tions between Egypt andKuwait, adding that Kuwaitiinvestments top Arab invest-ments. He also said they hopethat the visit would bringabout mechanisms for pre-serving the rights of Investorsin Egypt.

Al Kharafy said there aresome problems which faceKuwaiti investors as the pri-vate sector searches for itsown interests, He added thatfor this reason rights shouldbe preserved through con-tracts as investors are search-ing for profits and hence theproper environment should beprovided.

Emir of Kuwait Sheikh Sabah Al Ahmed Al Jaber presents a cermonial guard in thereception of President Abdel Fattah El Sisi.

EGYPT'S BUDGET DEFICIT HITSLE107.9B. IN FIVE MONTHS

Egypt's budget deficit reached LE107.9 billion in the fivemonths until the end of November 2014 to record 4.6 percent of GDP, compared to 3.3 per cent for the same perioda year earlier, the Ministry of Finance announced in itsmonthly report, according to Reuters.

The government aims to cut the deficit for the current fiscalyear, expected to end 30 June, to 11 per cent compared to 12.8per cent in FY2013/14, Ahram Online said.

At the beginning of the current fiscal year, as presidentAbdel-Fattah El-Sisi took office, the government cut fuel sub-sidies by LE44 billion to trim budget deficits, raising pumpprices by up to 78 per cent.

The planned LE100 billion fuel subsidy bill is expected todrop to LE70 billion by the end of the current fiscal year as oilprices dwindle in the international markets, the petroleum min-ister, Sherif Ismail, said last month.

In November, a decision by OPEC to maintain their produc-tion levels for oil amid slowing demand and increasing supplysaw oil prices plummet to $56.51 per barrel.

Financial consolidation measures also included raising taxesby 5 per cent on the wealthiest and implementing a new prop-erty tax. Plans to introduce Value Added Tax are expectedbefore the end of the fiscal year.

The financial monthly for December also shows that Egypt'sGDP grew 6.8 per cent in the three months from July to the endof September 2014 compared to the same period a year earlier.GDF SUEZ TO BREAK GROUND ON ABUDHABI PLANT IN FEBRUARY

GDF Suez, one of the largest desalination plant operatorsin the world, will break ground in February on its billion-dollar Mirfa gas-fired power and water project, said areport.

The project, located 120 km west of the UAE capital AbuDhabi, will cost $1.5 billion and generate 1,600 megawatts(MW) of electricity, with a seawater desalination capacity of52.5 million gallons per day, stated the emirati news agencyWam, citing a top company official.

The new plant, which is likely to start operation in 2017, willreplace an existing 200 MW plant that caters to local demandin Mirfa, revealed Marie-Ange Debon, the deputy chief execu-tive and head of international activities at the utility unit SuezEnvironnement.

GDF Suez, the largest shareholder in Suez Environnement,had in July signed a 25-year power and water purchase agree-ment with Abu Dhabi Water and Electricity Authority (Adwea).

Adwea holds an 80 per cent stake in the scheme, with theremainder held by the French company.

Once operational, the plant is expected to provide enoughelectricity for more than one million homes, said the report.

The Mirfa desalination plant will use reverse osmosis, whichremoves salt and algae from seawater by using membranes andis cheaper than the other two main types of desalination used inthe region, multi-stage flash and multi-effect distillation.

A major player in the region, GDF Suez operates the reverseosmosis plant at the Fujairah One independent water and powerplant, the largest of its type in the region. Fujairah One deploysa hybrid of reverse osmosis and multi-stage flash distillation.WB PRESIDENT TO PARTAKE IN ECONOMIC CONFERENCE

Executive Director at the World Bank (WB) Group KarimWissa announced that WB Group President Jim Yong Kim willarrive in Egypt, leading a big delegation, to partake in the activ-ities of the economic conference that would be held next Marchin Egypt's Sharm el-Sheikh City.

This came in press statements that he had issued before leav-ing Cairo, heading for Paris. British COS To Take Part In Economic Conference

The Egyptian British Chamber of Commerce in London headTaher El Sherif asserted that there is high turn out for attendingEgypt's economic conference on the part of the British compa-nies, especially in the fields of energy, alternative energy, infra-structure and logistic areas.

Hany Dahy

A.R.E. FOREIGN TRADE MONTHLY SUMMARY (May 2014)THE MOST IMPORTANT EXPORTS AND IMPORTS OF FOOD COMMODITIES

ACCORDING TO COMMODITIES IN MAY 2014Table No. 6B Value in 000 LE (Cont. From last week)

Commodities May May Change Percentage Jan./May Change Percentage

2014 2013 2014 2013

Total ExportsTotal exports of Food commodities, out of Which :Fresh greepeFresh PotatoesFresh OrangeChocklatesFresh or chilled OnionsHeated cheeseMeal Sugar caneTobacco and hair tobaccoRepeated SugarcaneFresh potatoesRelative Importance ofexports of agricultural commodities

Total Imports

Total imports of Food commodities, out of Which :Non-seed wheatNon-seed Yellow cornWithout bones of bovine animals, frozenSunflower seed oilMeal Soybeansraw sugar caneBlack teaFrozen macreal fishMilk Chicken meat

Relative Importance ofImports of agricultural commodities

18566983

3868775572840388173373136295194208032118047113482891437555558321

20.8%

35933615

789322118403201426765

502687400317350103277666216452166738166569135145

22.0%

17254696

3715375396596133738317464

5968540394109376183974

83065175365

43929

21.5%

41583023

6804229705659

1167143

43628332519819274015764721841160436

155087123184

16.4%

1312287

153400176244254435

55672289226

332363-8671

70492-6078

99810-14392

0.7-%

5649408-

10889921134661259622

6640475119

157363120019

1959-106302

1148211961

5.6%

Source : The Central Agency for Public Mobilisation and Statisties. (CAPMAS) (To Be Cont.)

7.6

4.144.4

190.217.5

4846.461.5-7.9

38.3-7.3

56.9-32.7

3.3-%

13.6-

16.0160.822.2

15.223.181.676.00.9-

175.97.49.7

34.2%

84636224

15862909573987

17335332487048

371096551295651291386627386243377498391661

18.7%

180924795

3786989289490125379791

282651615944371723840

6474471251764

558736692733416694

20.9%

89158894

15579562398688

10020142823409

46519827273610464490251322939571593211770

17.5%

200479314

3661785327665585006184

171911316715951031605

961830941343147786626384288836

18.3%

4522670-

283347175299731519

336361-324577

275978-40827

103624-63304

194095-179891

1.2%

19554519-

12520396182454373607

110740377158-692235314383310421410950

66349127813

2.6%

5.1-

1.844.073.011.9-697.733.4-6.7

21.1-19.634.0-84.9

6.9%

9.8-

3.4223.5

7.5

64.44.6-67.132.7-33.0

278.110.644.3

14.2%

JANUARY 7, 2015 3JEDDAH SPENDS$798M ON INFRASTRUCTUREPROJECTS

The total value of civicprojects in Jeddah duringthe last year has been esti-mated at SR3 billion($798.9 million), includingestablishment and main-tenance of bridges, under-passes, asphalting, repairof pavements and light-ing, according to a report.

"These projects have hada deep positive impact onthe development ofJeddah's infrastructure,especially in the cornichewhere these projects haveopened new parks,” HaniAbu Ras, Mayor of Jeddah,was quoted as saying, in theArab News report.

“A number of newbridges and underpasseswere also built to developthe city further as it is thegateway to the two holycities - Makkah andMadinah. Jeddah can nowattract more visitors andtourists,” he added.

Meanwhile, the generaldirector of administrativeand financial affairs at theJeddah municipality, AliAl-Sulami, said that allroad projects cost over SR1billion, while the total costfor development projectswas SR990 million.

The development, super-vision and other relatedstudies cost the governmentSR300 million.

The Jeddah municipalitysaid it is also planing toconstruct five new intersec-tions on Prince Majed Roadat a cost of SR1 billion toease traffic congestion,Mohamed Al-Buqami,spokesman of the munici-pality, was quoted as say-ing.

There would also beother projects to build ahighway along the sameroute, linked to the Jeddah-Laith Highway.

The intersections wouldlink with Old MakkahRoad, Al-Falah Bridge,Television Street, KingFaisal Street, SouthCorniche and Al-Khamra. Itwould take the form of aring road and run parallel toAl-Haramain Road, said thereport.

Contractors are due tobegin work on the projectsin the next few weeks, itadded.

L&T WINS OMAN AIRPORTCONSTRUCTION CONTRACT

L&T Oman, a subsidiary of India-based technolo-gy, engineering, construction and manufacturingcompany Larsen & Toubro, has won a major orderfrom Oman's Ministry of Transport andCommunications for the construction of a new pas-senger terminal and other key facilities at DuqmAirport in the country, according to TradeArabiaNews Service.

The scope of work includes constructing a modernpassenger terminal building with a capacity to handle500,000 passengers per annum, a 37-m-high air trafficcontrol tower, and an air cargo terminal equipped tohandle 25,000 tonnes of cargo per annum, said a state-ment from L&T.

The company also bagged an order from OmanTourism Development Company (Omran), the sul-tanate’s leading tourism and mega real-estate developer,for the turnkey construction of a four-star hotel at OmanExhibition and Convention Centre (OECC).

With this win, the total orders clinched by the con-struction giant for this month both in the Indian andinternational markets has hit $398 million.

In its domestic market, L&T said it has secured amajor order from a leading developer for the design andconstruction of residential apartments in the city ofBangalore in the Indian state of Karnataka. The scope ofworks includes civil, structural, mechanical, electrical,plumbing and finishing works.

Another order has been received from a reputed clientfor the construction of 10 high-end residential towers inMumbai. The scope includes civil, structure and associ-ated works, it added.

NEW DEAL FOR RESIDENTIALDEVELOPMENT FUND

SEDCO Development, a major Jeddah-based realestate developer and a subsidiary of SEDCOHolding Group, signed with Dar Al-Wessal, a com-pany specialised in marketing residential projects, tomarket its residential units.

These units pertain to the AlAhli SEDCO ResidentialDevelopment Fund and are located in the SalamahDistrict 2 in Jeddah.

With a wide expertise in the Saudi real estate market,SEDCO Development is executing this project on a25.934 sq m plot of land, which was previouslyacquired by the fund through SEDCO development, themain developer.

This project consists of approximately 372 residentialunits with different dimensions thus fulfilling the risingdemand in the sector of residential units in Jeddah.

According to SEDCO Development Company CEOKhaled Jamjoom, the distinguishing factor of this proj-ect is its proximity to key points in Jeddah, such asMadinah Road, Heraa and Quraish streets, providingeasy access as well as its distinct design for the project,fulfilling all requirements for residential environmentsaligned with the community’s privacy.

This project is considered one of the typical residen-tial projects targeting those with middle to upperincome home buyer especially in terms of what isoffered in the real estate market when it comes todesign, planning and the distribution of parks and greenareas.

NCB Capital has previously announced that thisclose-end investment fund aims to develop the existingcapital and achieve yearly internal revenue for investorsworth 10 per cent.

Khaled Jamjoum, CEO of SEDCO DevelopmentCompany with Ziad AlAkil, CEO of Dar Al-Wessal.

EXPERTS FROM 170 NATIONS FORABU DHABI ENERGY SUMMIT

More than 32,000 people from 170 countries areexpected to participate in the upcoming World FutureEnergy Summit (WFES) in Abu Dhabi, UAE, a keyplatform for clean energy investment opportunities,TradeArabia News Service said.

Now in its eighth year, WFES takes place during AbuDhabi Sustainability Week (ADSW), running from January17 to 24 at Abu Dhabi National Exhibition Centre.

Hosted by Masdar, Abu Dhabi's renewable energy com-pany, the ADSW is a yearly platform that addresses theinterconnected challenges of energy and water security, cli-mate risk and sustainable development.

The WFES provides participants with as an unmatchedplatform to meet with key international players from indus-try, technology, finance and government to drive actionablesolutions to the world's energy challenges, according toindustry leaders.

"WFES has proven to be the most important energy con-ference in the Middle East for cultivating sustainable ener-gy solutions that help countries to lower their carbon foot-prints," said a representative of the Abu Dhabi National OilCompany (Adnoc), a principal sponsor of WFES.

"WFES generates collaboration among industry leadersto encourage the commercialisation of energy-efficientprojects throughout the region," the Adnoc representativeadded.

Maria van der Hoeven, executive director of theInternational Energy Agency (IEA) who will chair a panelon the energy opportunities in Sub-Saharan Africa, said:"WFES is a platform to stimulate progress in helping thecountries of Sub-Saharan Africa realise their goals in sus-tainable energy. As an event that brings together the world'sleading minds to discuss and implement innovative energysolutions, WFES is an event with far-reaching internation-al significance."

Sami Khoreibi, CEO of UAE-based solar developerEnviromena Power Systems, said: "WFES is the mostimportant show in the region for meeting with partners,investors, and governments from all across the region andthe globe, and to get an upfront look at the innovationsdriving renewable energy at both the project and technolo-gy levels.”

The large solar turnout for WFES 2015 also will includeUS-based First Solar, which has more than 8 gigawatts ofinstalled capacity globally.

Investors Follow Market Shares in Abu Dhabi Stock Exchange.

EMAAR ANNOUNCES MAJOR ORGANISATIONAL REVAMPEmaar Properties, a major Dubai-based global real estate developer, has announced a new organisational struc-

ture focusing on timely delivery of projects and world class customer service.Mohamed Alabbar, chairman of Emaar Properties, said the new organisational structure draws on the Dubai Plan 2021

announced by Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President and Prime Minister and Ruler of Dubai,according to TradeArabia News Service.

“As Dubai builds its future as a smart, sustainable city and a preferred place to live, work and visit, Emaar is creating afresh template for its sustained growth and value creation. In today’s maturing property market, our priority is to manageand deliver our projects efficiently through our team of experienced professionals. They are supported by a new cadre ofyoung professionals, led by Emaar’s core values of developing quality-driven projects, timely delivery and excellent cus-tomer service while further enhancing the value of our masterplannned communities.”

Alabbar added that Emaar, under its new organisational structure, will continue to develop prime real estate assets in itshome-market of Dubai and other high-growth international markets, as well as strengthen its competencies in shopping mallsand retail, and hospitality and leisure.

“Among the key strategic directions defined by the new organisational structure are our concerted efforts to strengthenProject Management in Dubai. A seasoned professional has been appointed to head Emaar’s Project Planning &Programming Department for developing appropriate project management programmes and ensuring the timely completionand on-schedule delivery of Emaar’s projects,” he said.

Alabbar added that in today’s age of incredible advancements in information technology and the enormous reach of socialmedia networks, it is essential for any company to analyse customer’s behaviour on regular basis and implement proactivestrategies.

“As part of this, Emaar has established a Customer Relationship Management department, which will be responsible fordeveloping customer loyalty to the company’s products and services by regularly analysing internal and market data.”

Noel Madigan, with over 32 years of experience in Australia, Indonesia and the Middle East, will head the project plan-ning and programming department reporting to the managing director. Khalid Dalil has been appointed as head of the cus-tomer relationship management department.

Fred Durie, formerly CEO of Emaar International, will continue to serve on the boards of Emaar joint ventures in Jordanand India. Robert Booth, who has been serving as chief executive officer – Emaar Real Estate Dubai, will continue to workwith the company in an advisory capacity to the Emaar chairman.

“The organisational structure highlights our strategy of honouring merit and encouraging talented professionals to join usin our ambitious growth journey,” said Alabbar. “Our iconic projects in Dubai are the result of global collaborations withsome of the world’s brightest talents.”

With assets of Dh64.93 billion ($17.68 billion) as of 2013 end and an impressive land bank of over 226 million sq m inhigh-growth international markets, Emaar has launched several new major projects this year, which received strong investorresponse. ADCB SIGNS $81M FUNDING DEAL FOR PORT

Abu Dhabi Commercial Bank (ADCB) announced today a financing agreement with Abu Dhabi Terminals (ADT)for the expansion of the Khalifa Port Container Terminal (KPCT), the region’s first semi-automated and most tech-nologically advanced container terminal, TradeArabia News Service said.

The Dh300-million ($81.65 million) agreement marks the first long-term finance solution for ADT, and extends ADCB’srelationship with the terminal operator to include its complete suite of products and services. ADCB will act as the soleprovider of cash management, interest rate and lending services to support ADT’s ambitious growth strategy and contributeto its local and global competitiveness.

Colin Fraser, head of wholesale banking at ADCB, said: “ADCB is committed to playing an integral role in the develop-ment of the UAE’s critical infrastructure and is proud to be the key relationship bank forAbu Dhabi Terminals. This facility exemplifies the excellent, strategic engagement we havewith ADT. We look forward to supporting the company in the future.”

ADCB's facilities will be utilised primarily for capital expenditure, corporate services,and the re-financing of an existing short-term bridge loan. The deal is one of many initia-tives undertaken by ADCB to encourage and support the socio-economic progress of AbuDhabi through the emirate’s strategic development goals. In line with Abu Dhabi’s visionfor 2030, ADCB is setting new banking services standards for the country’s future andinvesting in its people, sectors and long-term policies.

Martijn Van De Linde, CEO of Abu Dhabi Terminals, said: “We are extremely pleasedto sign this long-term agreement with ADCB, a key partner for Abu Dhabi Terminals’ futuregrowth strategy. Khalifa Port Container Terminal has witnessed a 20 per cent year-on-yearincrease in containers handled since its opening in December 2012. This important finan-cial partnership with ADCB allows us to invest in the required expansion to support the eco-nomic growth of the UAE and at the same time provide our customers with fast and effi-cient services.”BAHRAIN’S ENTREPRENEURIAL FIRMS OPTIMISTIC ONGROWTH

Local entrepreneurial firms in Bahrain project an optimistic outlook with profitmargins and the number of full-time employees are expected to increase over theforthcoming months, TradeArabia News Service said.

This is according to the latest survey results from the Entrepreneurs' Organisation's (EO)Global Entrepreneur Indicator research project report, said a report in the Gulf Daily News(GDN). The results reveal renewed optimism in the local market," EO Bahrain chapterpresident Safa Sharif said.

The survey shows that in the past six months, 70 per cent of EO Bahrain members havehired more full-time employees and 80 per cent predict they will continue hiring permanentemployees over the coming six months.

It adds that 85 per cent of EO Bahrain members expect a growth of business revenuewhile 75 per cent predict a rise in net profit in the following six months.

The current proclivity to start a new business in Bahrain is 80 per cent.EO Bahrain finance chair Khalid Alshakrani said the numbers indicate that businesses

expect to see an expansion in their activity over the next six months.This would encourage business owners to increase employment and short-term spending,

he pointed out.

ARAMCO HALTS RASTANURA CLEANFUELS PROJECT

State oil giant Saudi Aramcohas suspended plans to build a$2 billion clean fuels plant at itslargest oil refinery in RasTanura, three industry sourcessaid, according to Reuters.

The energy project appears tobe one of the first suspended inSaudi Arabia in response to thehalving of the oil price in the lastsix months.

The Ras Tanura clean fuelsproject, including a naphthahydrotreater, was to be part of asecond phase of upgrades toAramco's refineries, and wasoriginally due to go on stream in2016.

"They withdrew the bidding,"said one source familiar with thematter, adding that no reason wasgiven for the move.

Another source said: "Theyindicated they will postpone theproject by a year and rebid."

He told Reuters that Aramcowas evaluating its projects fol-lowing the fall in oil prices todetermine which should have pri-ority.

Aramco's chief executive,Khalid Al-Falih, said inNovember that the cyclicalmoves of oil markets would nottake Saudi Aramco's long-termcorporate strategy off track.

Company officials were notavailable to comment.

Aramco invited bidders in 2013for the Ras Tanura project butlater decided to hold anotherround as proposals were higherthan its budget. The companyalso cancelled one of the pack-ages for paraxylene productionafter finding it was not economi-cally feasible.

The new round of bidding wasdue to close in mid-November butwas postponed before the deci-sion was taken to delay the proj-ect, one of the sources said. CAPITALINVESTMENTS INARAB ENERGY TOTOP $684B.

(Cont. from page 1)These were the unrelenting cost

of project inflation; the paradoxicalscarcity of fuel and feedstock suchas natural gas and ethane; and theaccessibility of funding, which willbe exacerbated if oil prices remainlow and below national break-evenlevels over the long term.

"The energy scene is changingrapidly but we expect oil prices toremain depressed for some time,"Apicorp senior consultant andauthor of the outlook Ali Aissaouisaid.

"The general macroeconomicand energy investment climate isalready impacting many Arab coun-tries' ability to access the necessaryfunding for investment in energyrelated projects, but the lower priceof oil will likely be an additionalconstraint on access to finance.

"While we are not a policy mak-ing organisation, given the invest-ment outlook and current con-straints, we would propose steps aretaken by the relevant authorities toimprove the overarching invest-ment climate.

"They should consider methodsto reduce the cost of projects andthe impact of inflation, address thefeedstock scarcity paradox, andpromote the full sweep of equityand debt financing options avail-able to the sector," he added.

Apicorp, an investment companywas established by 10 memberstates of the Organisation of ArabPetroleum Exporting Countries(OAPEC) in 1975, and a sponsor ofthe 10th Arab Energy Conference,participated in sessions with otherindustry leaders to discuss energysector developments under the cen-tral theme of "Energy and Arab Co-operation".

"Next year will see Apicorp cele-brate its 40th anniversary," Apicorpchief executive and general manag-er Ahmed Al Nuaimi said.

"Over the past four decades, ourefficient and effective equityinvestments and loans have helpedto develop the energy industry inthe Middle East and North Africa,enabling this vital sector to make asignificant contribution to econom-ic growth and prosperity for theArab people."

"The Arab Energy Conferencehas become an important platformfor OAPEC members and energysector experts to gather and discussthe current issues and opportunitiesfacing the industry.

"With uncertainty around hydro-carbon futures, many in the regionare increasingly looking at alterna-tive sources of energy.

"Apicorp was a regional pioneerin financing renewables and is nowhelping investors make smartchoices as countries in the regionincrease their energy security.

"We had a lot of interest at thisyear's conference in our experiencein this growth area," he added.

Discussions at the 10th ArabEnergy Conference covered currentdevelopments in the oil and naturalgas markets and their implicationsfor Arab countries, and investmentrequirements to develop the energysector in Arab countries highlight-ing sustainable development.

Bahrain's sovereign wealth fundis a stakeholder in Apicorp, whichalso operates an offshore bankingbranch in the kingdom.

The Egyptian Electricity Holding' Company (EEHC) hassecured a loan from the European Bank for Reconstructionand Development (hereinafter referred to as EBRD)towards the cost of Al Shabab Power Project Phase II.

The East Delta Electricity Production Company, a whol-ly owned subsidiary of EEHC hereinafter called "Owner",now invites sealed Tenders from eligible Tenderers. for theElectrical Equipment / Instrument Installation contractpackage to be funded from part of the proceeds of the loan.The contract package includes all works related to, includ-ing but not limited to for designing, engineering, fabricat-ing, furnishing, testing, delivering to Site, receiving, stor-ing, installing, training, start-up, commissioning, putting.into successful operation, maintaining until OperationAcceptance Certificate (OAC), and preparing the detaileddrawings and other technical documents and as-built docu-ments of all the materials, equipment, and all required elec-trical, instrumentation, and civil works described for AlShabab Power Project Phase II. The planned delivery/con-struction period is 693 Days from the commencement of theContract..

The Tender Document for the above Package available atEDEPC's offices on December 30, 2014. TenderDocuments may be obtained from the address below uponpayment of a non-refundable fee of USD 1,000 payable atthe National Bank of Egypt (Al Ahly Bank), IsmailiaBranch, Account No. 11000441395.

East Delta Electricity Production CompanyShebeen El Kom Street, Araishia Misr, Ismailia, Egypt

Attn: Head of Procurement Sector . Tel No.: (20-84) 3371906 Fax No.: (20-84) 3204590

All Tenders must be accompanied by a Tender security ofUSD 400.000 and must be delivered to EDEPC's offices byMarch 1, 2015 at 12:00 (noon) In two sealed envelopes.

Envelope A (Technical Envelope) and B (PricingEnvelope) of the Tenders will be opened on the same dayImmediately thereafter, in the presence of Tenderers' repre-sentative, who choose to attend, at East Delta.

Electricity Production Company Shebeen El Kom Street, Arishia Misr, Ismailia, EgyptProspective tenderers may obtain further information

from the following office:Power Generation Engineering and Services Company

(PGESCo)41 Al-Salam Avenue, Central District, New Cairo,

EgyptAttention: Project Procurement Manager

Tel. No.: 20-2-2618-5829 Fax. No.: 20-2-2617-6519

GOVERNMENT OF ARAB REPUBLIC OF EGYPT

MINISTRY OF ELECTRICITY ANDRENEWABLE ENERGY

EGYPTIAN ELECTRICITY HOLDINGCOMPANY

AL SHABAB POWER PROJECTPHASE II

CONVERTING EXISTING SIMPLECYCLE TO COMBINED CYCLE

Electrical Equipment / InstrumentInstallation

SPECIFIC PROCUREMENT NOTICE (72)

From Arab News

A.R.E. Texts, Laws and RegulationsBusiness Opportunities

(Tenders Prepared by Our Staff)- Maintenance and supplyof Boilers EquipmentNos. 3&4 of DamiettaElectricity station.Due date : 2.2.2015Booklet : LE 50 000Bid Bond : LE 1300 000 Client : East Delta Co. forElectricity Production.

***- Supply of AgriculturalFertilizer.Due date : 13.1.2015Booklet : LE 1000Client : El-Salheia Co. forInvestment - Salheia City.

***- Supply, Erection andmaintenance of SmartMeter in October City.Due date : 23.2.2015Booklet : LE 25 000Bid Bond : LE 600 000Client : Ministry ofElectricity (South CairoElectricity Co. - Cairo.

***- Supply of Student Books(English Language) for2014 - 2015.Due date : 13.1.2015Booklet : LE 200Bid Bond : LE 7000Client : Cairo University -Faculty of Commerce.

***- Supply of DifferentKinds of Chemicals,Due date : 11.1.2015Bid Bond : LE 41 000Client : PetroleumResearches Institute,Nasr City - Cairo.

***- Supply of a Crane onChain 200 tonnes fromthe European Union,USA, Japan Countries,Due date : 20.1.2015Booklet : LE 300Bid Bond : LE 500 000Client : El-Nasr Co. forBuilding and Construction,Tel. : 22716317.

***- Import of 3 PackingMachines for the cover ofOil botels,Booklet : LE 150Client : Oils Extracts Co. -Alex.

***- Supply of 40 000 - 50 000tonnes of Journals paper 45GM/M2 Rolles,Due date : 13.1.2015Booklet : LE 2000Client : Ministry ofInformation - Fax : 25757162

***- Implementation andOperation of Five HighQuality Bus Lines in 6thof October and SheikhZayed CitiesDue date : 31.3.2015Booklet : LE 5000Bid Bond : LE 200 000.The winning bidder shallincrease this amount to LE 2 000 000 aPerformance Bond.Client : New UrbanCommunities Authority.

***Supply of :6 Transport Cars (DoubleCabin) 3/4 to one tonne Bid Bond : 50 0005 Transport Cars 10tonnes Bid Bond : LE 100 0005 Transport Cars (3 - 5tonnes Bid Bond : LE 50 00015 Van Cars Bid Bond : LE 20 000Booklet : LE 300 each ten-derClient : Eastern Co.6 October City.

***- Tender for supply,Installation supervision ,and startup 1500 TPDCorn Wet Milling and1000 TPD fructose.Due date : 27.1.2015Booklet : LE 30 000Bid Bond : LE 1 000 000Client : Arab SweetnersCo. (Naeem Holding) Alex. - Cairo Road.

***- The East DeltaElectricity ProductionCompany, a whollyowned subsidiary ofEEHC hereinafter called“Owner”, now invitessealed Tenders for per-

forming all works relatedto, including but not lim-ited to, designing fabri-cating, furnishing, deliv-ering to site, storing,installing, training, test-ing, starting up, commis-sioning and placing intosuccessful operation andmaintaining all equip-ment and systems withinthis Tender Package untilTaking Over andAcceptance Certificate(TOAC) is issued, prepar-ing of detailed drawing,Technical documents andas-built documents forthe MechanicalEquipment/PipeInstallation for Al-Shabab Power ProjectPhase II. Thed e l i v e r y / c o n s t r u c t i o nperiod is 695 Days fromthe contract executiondate.Booklet : US$ 1,000 toNational Bank of Egypt (ElAhly Bank), IsmaillaBranch.Bid Bond : US$ 1,000,000Client : EgyptianElectricity HoldingCompany.

***- Tender for preparationand erection of 1000 ATMMachines (500 Machinesevery year for Branchesof the Bank in all theArab Rep. of EgyptClient : Banque Misr -Cairo - Egypt.

***- Supply and installationof 3 feeding Pumps andits parts for Abu QirElectricity stationBooklet : LE 10 000Bid Bond : LE 272 000Client : West Delta forElectricity Production -Alex.

***- Replacement, Renewaland construction ofWater lines for theIndustrial zones in (Al-Matahra - El-Menia)Booklet : LE 5000

Bid Bond : LE 50 000Tel. Hot Line 125Client : Potable water andHealth Sanitary - El-Menia

***REP. OF MALDIVES- Tender forReconstruction ofHarbours Project (Phase11) for more InformationMinistry of Finance andTreasury,Ameenee Magu, Male 20 -03 Client : Rep. of MaldivesEmail : tender@finance-gov.mv

***ARAB TENDERS ABU DHABI- Hire of Fast support andIntervention vessel.Due date : 7.1.2015Bid Bobd : US$ 180 000Client : Dolphin Energywww.dolphinenergy.com

***QATAR- The Arab Qatari Co. forPoultry Production,announces its desire toestablish the 4th stage ofits project in Shamal Rd.Exit# 32, Um Qam Area,Qatar. The said projectincludes all the civilworks, electro mechanicand equipment necessaryto construct, erect andguarantee the followings :1 - Buildings of the poul-try houses.2 - Extension of thehatchery building.3 - Extension of theslaughterhouse building.4 - The water tanks of thewaste water treatmentolant.5 - Various Civil worksand accessories.Tender documents can beobtained against a non-refundable amount ofQR. (4000), from Due date : 31.1.2015Client : Arab Qatari Co.for Poultry Production.

***

JANUARY 7, 2015 4Official Journal- Issue No. 46 (Supplement) -

Dated the 13 November 2014 Decree-Law of the President of the Arab Republic of Egypt

No. 141 of the Year 2014 Organizing the Activity of Microfinance

(Cont. from last week)Article (8)

The company shall get the approval of the Authority on the activities, services, products and instrumentsit intends to deal in and the types of guarantees associated therewith. It shall also disclose to its clients ineach contract the detailed finance services or products, the finance burdens, the prices of the other servic-es it provides, the transaction risks that the clients may be exposed to and their current and future obliga-tions in accordance with the disclosure rules laid down by the board of directors of the Authority.

The company shall not open branches thereof, merge in or integrate with another entity, cease the activ-ity, liquidate its assets or the major part thereof or transfer its credit portfolio without obtaining the priorwritten approval of the Authority in accordance with the conditions and procedures laid down by the boardof directors of the Authority.

All licensed companies shall pay the control and supervision costs to the Authority at the rate of halfper thousand of the average balance of the finance provided to the clients of the company. Such costs shallbe calculated and paid every quarter.

Article (9)The licensed company shall prepare financial and quarterly statements in accordance with the Egyptian

Accounting" Standards and subject to the rules laid down by the Authority in this respect. 'These state-ments shall be audited in accordance with the Egyptian Auditing Standards and subject to the audit man-ual issued by the Authority. The accounts of the company shall be audited by one auditor at least fromamong the auditors whose names are recorded in the register created for that purpose by the Authority. Theboard of directors of the Authority shall lay down the conditions and provisions of recording and deletingauditors ' in and from such register.

Article (10) The following shall be considered deductible costs upon the determination of the net taxable income

in accordance with the provisions of the Income Tax Law referred to: 1. Debit interests paid by the company on loans and the other means of finance; 2. The provisions that the company calculates on the doubtful finance in accordance with the standards

laid down by the Authority and what is acknowledged by the auditor of the company; 3. The debts that the board of directors of the company decides to write off based on the auditor's report

in excess of the provisions referred to after taking serious actions to refund them in accordance with thecontrols and procedures laid down by the Authority.

The loan balances and 'all types of finance provided by the company to its clients in accordance withthe provisions of this Law shall be exempted from the stamp duty and the other taxes and duties.

Article (11)To stabilize the market and protect the rights of dealers with the company or in case the company is

exposed to financial situations that may impact its financial position,the board of directors of the Authoritymay oblige the company to increase its paid-up capital or the funds allocated for practicing the activity orits financial solvency rate in accordance with a specific schedule.

In case the company violates the provisions of this Law or the decrees issued in implementation there-of or if it loses one of the license conditions or carries out what may threaten the stability of the market orthe interests of its shareholders or members or the parties dealing therewith, ' the board may also take oneor more of the following measures:

1. Warn the company to remove the violation within the period and according to the conditions set forthin the warning;

2. Request its board chairman to call for a meeting of the board or general assembly to consider the vio-lations ascribed thereto and take the necessary action towards removing them;

3. Prevent it from practicing all or some of the licensed activities for a certain period or prevent it fromdealing with new clients;

4. Dissolve the board of directors of the company and appoint an authorized agent to manage it till theappointment of a new board by means of the prescribed legal instrument;

5. Issue a resolution to merge the company into another one provided that the merging company acceptsthat;

6. Cancel the license of practicing some or all of the licensed activities. The two measures stipulated in Items (1 and 2) may be taken by the chairman of the Authority. He may

also take any of the measures stipulated in Item (3) of this article if the threat referred to may result inirreparable damage for a maximum period of one month or pending the issue is presented to the board ofdirectors of the Authority, whichever is earlier.

Article (12) A separate unit of special nature shall be established in the Egyptian Financial Supervisory Authority to

control the activity of micro finance by the non-governmental organizations. It shall have a board oftrustees on which the ministries and entities concerned shall be represented. The formation of such boardof trustees and the determination of the financial treatment of its members shall take place by a resolutionof the board of directors of the Authority, and it shall assume the responsibilities set forth in this Law.

The board of directors of the Authority shall issue a resolution with regard to the articles of association,the financial, administrative and personnel regulations as well as the organizational structure of the unitwithout being restricted to the systems and rules in force in the government, the public sector and the pub-lic business sector.

Article (13) The Unit shall be responsible for organizing, controlling and monitoring the activity of micro

finance. It shall particularly carry out the following: 1. Laying down the conditions for obtaining the license of practicing the activity of micro finance by

the non-governmental organizations; 2. Setting the rules and standards required for practicing the activity referred to by the non-governmen-

tal organizations and managing the risks associated therewith; 3. Laying down the controls of the contribution of the non-governmental organizations to the compa-

nies working in the field of microfinance; 4. Obtaining the data and information about that activity practiced by the non-governmental organiza-

tions, developing the studies associated therewith and issuing the relevant reports and statistics; 5. Monitoring the performance of the non-governmental organizations practicing this activity and tak-

ing the necessary action to ensure their compliance with the provisions of this Law and the rules and stan-dards laid down by the Unit;

6. Setting the rules of inspecting and controlling the non-governmental organizations in the field ofpracticing the activity of microfinance;

7. Presenting the follow-up reports to the chairman of the Authority including the necessary recommen-dations with regard to the non-governmental organizations which violate the provisions of this Law or failto abide by the rules and standards of practicing the activity;

8. Coordinating with the entities concerned thus contributing to the development of the activity of microfinance and management of the risks associated therewith and working on having similar rules and con-trols for practicing the activity among the companies and the non-governmental organizations practicingsuch activity.

Article (14) All companies and non-governmental organizations subject to the provisions of this Law shall provide

the Authority or Unit, as the case may be, with the required reports, statistics or information related topracticing the activity of micro finance.

Article (15) The non-governmental organizations practicing the activity of micro finance shall keep accounts and

prepare separate financial statements for this activity in accordance with the standards and conditions setforth in Article (9) of this Law.

Article (16)The boards of directors of all licensed companies or non-governmental organizations practicing the

activity of microfinance , shall determine the cost of finance provided to their clients without beingrestricted to the limits set forth in any other law.

Article (17)The transactions concluded by the companies and the non-governmental organizations practicing the

activity of micro finance with their clients shall be considered commercial activities. In this respect, theprovisions of the Trade Law shall apply thereto.

(To be cont.)

Banque Du CaireTreasury Department

FOREIGN EXCHANGE RATESIN EGP POUNDS

DATED JANUARY 5, 2015

CURRENCYUS DollarEuroPound SterlingCanadian Dollar Danish KroneNorwegian KroneSwedish KroneSwiss FrancJapanese Yen (100)Australian DollarKuwaiti DinarSaudi Arabian RialUAE DirhamBahraini DinarOmani Rial Qatar RialJordanian Dinar

SELL7.180100 8.61500011.0045006.0949001.1570000.9452000.90620017.1677005.9802005.81800024.4373001.9125001.95240019.04380018.6491001.97170010.114200

BUY7.150000 8.49100010.8704006.0462001.1449000.9347000.8956007.0839005.9230005.74210024.3100001.9023001.94430018.96450018.5709001.96320010.067500

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Economic & Social Indicators Bulletin of the Arab Republic of Egypt

The Egyptian Cabinet - Information and Decision Support Centre

JANUARY 7, 2015 5BAHRAIN SETS UPCOMMITTEE TOMONITOR PROJECTS

Bahrain has set up a high-powered committee to moni-tor the implementation of itsblueprint for growth, a reportsaid, according toTradeArabia News Service.

Prime Minister PrinceKhalifa bin Salman Al Khalifahas outlined the blueprint ofgovernment plans for the nextfour years at a rare joint parlia-ment and Shura Council ses-sion.

The committee supervisesspecialised sub-groups thatfocused on individual pro-grammes, according to a reportin Akhbar Al Khaleej.

The move is part of thePremier's keenness to discussthe programmes with parlia-ment and ensure their timelyimplementation, the report said.

For the first time in Bahrain'shistory, MPs have the right toreject the blueprint - and if par-liament rejects it three times,His Majesty King Hamad thenhas the right to dissolve eitherparliament or the Cabinet.

Parliament chairman AhmedAl Mulla said this was an his-toric step, a first in the regionand the Arab world.

The unprecedented step is theresult of National Dialogue, hesaid.

Dr Al Mulla said it will be amajor challenge for parliamentto assess programmes objec-tively to optimise them to meetcitizens' aspirations.SAUDI ACCOUNTSFOR 70% OF TOTALGCC PACKAGINGMARKET

Saudi Arabia maintains 70per cent share of the GCC’stotal packaging industry asper recent industry studies,with local business posting a15 per cent annual growth,TradeArabia News Servicesaid.

Due to a widespread use ofplastic as a raw packagingmaterial over glass and metal,packaging has emerged as oneof the most active industries ofthe country, with demand con-tinuing to rise for both flexibleand solid packaging.

The current surge in demandfor safe and sustainable packag-ing solutions alongside foodpackaging requirements comesat a time when food consump-tion is expected to grow at anannual rate of 4.6 per centbetween 2011 and 2015 to even-tually reach 51.1 million tonnes.

The new challenges andopportunities have emerged inthe packaging industry due toadvancement in technology,new machineries, and innova-tive products.

To throw the spotlight onfresher concepts of packaging,Riyadh Exhibitions Company isset to host the Saudi Print andPack 2015, the 12th internation-al trade exhibition for printingand packaging technologies forthe first time in Jeddah, themajor urban centre of the SaudiArabia’s Western Region andone of the country’s mostimportant commercial centres.

Petrochem, the 12th interna-tional plastics and petrochemi-cals trade fair, from March 1 to

OIL DECLINES IN THIN, VOLATILETRADING

Global benchmark Brent crude oil closed downnearly a dollar a barrel last Friday after a day of chop-py trading despite expectations of new investments inthe new year, as strong mid-day rallies in crude fiz-zled, Reuters said.

Brent was down 91 cents at $56.42 a barrel. Earlier, ittouched a post-2009 low of $55.48, having averagedaround $110 a barrel between 2011 and 2013.

Front-month US crude for February delivery settleddown 58 cents a barrel at $52.69, before a steep 50-centdrop post-settlement.

The US dollar index was 0.9 per cent stronger lastFriday. The combination of the supply glut and the strongdollar has been a "double whammy" for crude oil prices,said Walter Zimmerman, chief technical analyst atUnited-ICAP.

"This is a long-term cyclical downtrend," Zimmermansaid. "It's going to take a while for prices to fall lowenough to cut off that excess production."

Low trading volume also made the market vulnerableto knee-jerk reactions.

Saudi Arabia's King Abdullah bin Abdulaziz is suffer-ing from pneumonia and temporarily needed help tobreathe through a tube on Friday but the procedure wassuccessful and his condition was now stable, the royalcourt said.

Opec, the Organisation of Petroleum ExportingCountries, which includes Saudi Arabia, declined torestrict oil output in November despite pressure from itsmember nations.

Iran's deputy foreign minister urged regional rivalSaudi Arabia last Thursday to take action to support oilprices, saying producer countries across the Middle Eastwill be hurt unless the price slump is reversed.

In the US, benchmark oil prices took some supportfrom data last week showing inventories fell by 1.8 mil-lion barrels in the last week, but an increase of 2 millionbarrels at the US crude contract's delivery hub ofCushing, Oklahoma, kept prices under pressure.

The traders were searching for a bottom in US crudearound the $52 a barrel mark, but Friday contained most-ly sideways trading due to thin volume, said Carl Larry,director of business development at Frost & Sullivan.

"We're all waiting for the new money to come in nextweek," he said.IRAQ OIL EXPORTS SOAR BUT LOWPRICES HIT REVENUE

Iraq’s oil exports reached their highest level in decadesin December, the oil ministry’s spokesman said, but vitalrevenues were being hit by the plummeting prices ofcrude.

Iraq exported 91.141 million barrels of oil in December foran average of 2.94 million barrels per day, the highest dailyaverage since 1980, Assem Jihad said, citing initial figures.

December exports were far and away the highest in 2014,eclipsing the previous best month by more than 11 millionbarrels, according to ministry figures.

But revenues were $5.247 billion, only up slightly onNovember and much lower than the early months of 2014because of sharply declining oil prices.

Jihad said prices averaged $57 a barrel in December, downfrom $100 or more during the first half of the year.

The average December price was even lower than the $60per barrel used to calculate Iraq’s 2015 budget, whichalready includes a more than $19 billion deficit.

Oil producing cartel “OPEC must move to address thisissue,” Jihad said.

“Prices are falling now to abnormal levels, and it is up tothe organisation to move instead of watching prices collapseto illogical levels,” he said, adding that this was his personalopinion rather than that of the ministry.

The dramatic decline in oil prices poses a major problemfor Iraq, which depends on oil revenues for the vast majorityof government funds.

The oil ministry said in November that Baghdad lost morethan 27 per cent of its projected revenues for 2014 becauseof the fall in prices.

It comes at a time when expenditures are higher thanusual, with the country battling to regain ground from theIslamic State jihadist group, which spearheaded a sweepingoffensive that overran swathes of territory in June.

PRINCE ALWALEEDATTACKS SAUDIDEFICIT BUDGET

Billionaire PrinceAlwaleed bin Talal haslashed out at the Saudi fiscalpolicy after projecting thelargest-ever budget deficitfor 2015 following the slumpin oil prices, TradeArabiaNews Service said.

"We have reached the dan-ger point... after starting towithdraw from the reserves,"to meet the budget shortfall,Alwaleed said in a letteraddressed to the finance minis-ter, according to a report in theGulf Daily News.

Last week, the world'sbiggest crude exporterannounced an expansionary2015 budget with the largest-ever deficit of $38.6 billion.

It projected spending at$229.3 billion, a slightincrease from last year's esti-mates, and revenues at $190.7billion, sharply down from$228 billion projected in 2014.

Saudi Arabia, the lead pro-ducer in the Organisation ofthe Petroleum ExportingCountries, also said it esti-mates 2014 actual budgetdeficit at $14.4 billion as bothspending and revenues farexceeded projections.

Alwaleed, a member of theSaudi ruling family and thewealthiest Arab privateinvestor, said Riyadh shouldnot have let spending riseabove projections, especiallyafter oil prices began todecline.

Oil income contributesabout 90 per cent of publicrevenues in Saudi Arabiawhich pumps around 9.6 mil-lion barrels per day.

If the government had con-tained last year's spendingwithin projections, a surplus ofat least $50 billion would havebeen posted, the prince said.

As a result of failing tocheck rising spending, a totalof $53 billion will be with-drawn from fiscal reserves,estimated at $750 billion, injust two years, he said.

Alwaleed also criticised theway Saudi reserves are invest-ed, saying because most ofthem are invested in US andEuropean bonds, they havelow yields at around 2.4 percent annually.

The reserves are currentlymanaged by the Saudi ArabianMonetary Agency, or the cen-tral bank.

Alwaleed called for the cre-ation of an independent sover-eign wealth fund to invest thereserves and increase thereturns to around 7-8 per cent.

If oil prices remain at thecurrent level of under $60 abarrel for benchmark Brentcrude, Saudi Arabia is expect-ed to lose half of its oil rev-enues of $276 billion posted in2013. Oil income in 2014 wasestimated at $248 billion.

DUBAI TO LIFTSPENDING 9%,END DEFICIT IN2015 BUDGET

Dubai would raise spend-ing nine per cent in 2015under a state budgetapproved by the emirate'sruler, designed to keep theeconomy growing stronglywhile eliminating its budgetdeficit, official news agencyWAM reported on Saturday,according to Reuters.

Economies in the Gulf facefinancial pressure this yearbecause of the plunge of oilprices. Although Dubai's oiloutput provides only 4 percent of its revenue, the emiraterelies on trade, tourism andinvestment ties with the rest ofthe Gulf.

Its 2015 budget plan showsit believes the regional econo-my will stay healthy enoughfor revenue to continueexpanding rapidly, allowingDubai to close a budget short-fall that opened up during its2009 financial crisis.

Spending this year is pro-jected at about Dh41 billion($11.2 billion), up from 37.88billion in the original budgetfor 2014, WAM quoted a gov-ernment statement as saying.

Revenue is expected tojump 11 per cent in 2015 froma projected Dh37 billion($10.07 billion) for 2014,reducing the budget deficit tozero from Dh882 million($240 million) last year. From Al-Sharq Al-Awsat

STOCKS TO OPEN ON HIGHER NOTE IN UAEThe UAE bourses are expected to start new-year trad-

ing on a positive note when the markets opened lastSunday.

The leading fund managers, experts and analysts say theUAE equities will sustain the upward trend last week as theblue chip stocks are available at very attractive prices fol-lowing market correction last month.

The DFM benchmark Index ended 2014 up 12 per cent at3,774.00 points after dipping below the 2013 close inDecember. The last day of the trading in 2014 witnessed 1.3per cent increase in the index.

“The current levels are very attractive to book profit, sothe UAE equity markets will sustain the upward direction ifnot move into bullish circle,” according to an equity analyst.

Banking stocks, which witnessed record growth last year,will be prime focus of investors who are expected to backinto the ring after long weekend, he said, adding that lead-ing banking scrips are expected to sustain an upward trend.

Emirates Islamic Bank stocks climbed by nearly 74 percent, Emirates NBD surged 40 per cent while CommercialBank of Dubai soared 37 per cent in 2014 despite volatiletrading in last quarter. Mashreq and Dubai Islamic Bankadvanced 36 per cent and 29 per cent, respectively, last year.

Dubai Financial Market (DFM) Index, which has

increased steadily for the past three years, was the mostvolatile in 2014, surging about 60 per cent in the year beforelosing most of the gains in the fourth quarter.

Abu Dhabi Securities Exchange also relinquished most ofthe years’ gains but ended 2014 up 5.6 per cent at 4,528.93points.

By the end of 2014 in Gulf countries, four markets, Qatar,Dubai, Abu Dhabi and Bahrain, posted annual gains whilethe Saudi Arabian, Kuwaiti and Omani bourses recordeddips.

All the seven stock markets in the Gulf countries record-ed strong gains in the first nine months of 2014 but endedthe October to December period in the red amid a wave ofpanic selling after oil lost about 50 per cent of its valuebecause of weak demand, a glut in production and a strongUS dollar.

The UAE economy is diversified and there is no immedi-ate impact is expected to be noticed because of free fall ofoil prices in the country, top government officials have con-firmed several times last month.

The capitalisation of the GCC bourses, however, rose byaround $70 billion to $1.04 trillion at the end of 2014 from$970 billion a year ago. But they shed around $131 billionfrom their value on September 30.

The DFM benchmark Index ended 2014 at 3,774.00 points, or an increase of up 12 per cent, from previous year. — Kt filephoto

OMAN RAISES STATE SPENDING AT EXPENSEOF BIG DEFICIT

Oman's finance ministry released a state budget for 2015 that raises spend-ing at the cost of a big projected deficit due to the plunge in oil prices.

Government expenditure this year is estimated at RO14.1 billion ($36.6 billion),up 4.5 per cent from last year's original plan, the ministry said. according toReuters

Revenues are projected at RO11.6 billion, down one per cent, leaving an antici-pated deficit of RO2.5 billion, equivalent to about eight per cent of Oman's annu-al gross domestic product.

The ministry said it would look at a range of ways to cover the shortfall. Grantsfrom foreign donors could provide RO200 million, international loans RO200 mil-lion, borrowing from the local market RO400 million, state reserve funds RO700million, and previous years' surpluses RO1 billion.

The state finances of all the Gulf oil exporters have been hit by the halving ofcrude prices in the past six months, with Brent crude now standing at about $57 abarrel.

But Oman's oil resources are not as ample as those of its bigger neighbours andit has not built up their huge fiscal reserves, so it is more vulnerable than most.

The government has been spending heavily to build industrial projects and infra-structure to diversify the economy beyond oil, and it ramped up social spending tomaintain stability after the 2011 Arab Spring uprisings elsewhere in the region. Itappears to have decided it cannot cut either form of spending sharply.

The ministry statement did not specify the oil price assumed in its budget calcu-lations, and a regular annual news conference by Financial Affairs MinisterDarwish Al-Balushi to discuss the budget was cancelled without explanation lastThursday.

The ministry's statement did not explain how it could limit this year's drop inrevenues to one per cent if oil prices stayed around $60; oil accounts for aboutfour-fifths of revenues.

In November an advisory body to the government suggested sweeping spendingcuts and tax rises, including a levy on liquefied natural gas exports, a royalty onthe revenues of telecommunications operators, and a hike in royalties paid for min-eral exploitation.

The ministry did not say which if any of these steps had been adopted. Lastmonth, Omani cement firms said the government would double the natural gascharges they pay. A proposal to tax foreign workers' remittances was rejected, localmedia said.

A privatisation programme will be carried out in the next three years, the min-istry said without elaborating.

"Due to low oil prices, it was necessary to make some temporary measures tomaintain financial stability. These measures will not affect the common people,their living standards or employment," it said.

Actual government spending in 2014 was about RO14.5 billion, higher than theoriginal budget plan because of "additional unplanned costs", the ministry said.Actual revenues in 2014 were RO13.9 billion, largely because of the conservativeoil price of $85 assumed for that year.

FIRE AT LIBYAN OIL PORT DESTROYSUP TO 1.8M BARRELS OF CRUDE

A fire raging for almost a week at Libya's biggest oilport of Es Sider has destroyed up to 1.8 million barrelsof crude and damaged seven storage tanks, causing totaldamage of $213 million, a top oil official said, accordingto Reuters.

The Es Sider terminal and nearby Ras Lanuf stoppedworking three weeks ago when forces loyal to a rival gov-ernment in Tripoli tried seizing them from forces allied tothe recognised Prime Minister Abdullah Al Thinni.

The terminals are still under control of Thinni's forces butthe area has become a battlefield against former rebels whohelped oust Muammar Gaddafi in 2011 but now fight forcontrol of the North African country.

A huge fire at a tank farm outside the terminal was report-ed after a rocket hit, with both sides blaming the other.

Thinni's top oil official, Al Mabrook Al Buseif, toldReuters the fire had damaged seven tanks and destroyed upto 1.8 million barrels of crude - roughly four times Libya'sdaily production.

Two tanks have collapsed and two others are still on fire,said Mohamed El Harari, a spokesman for state National OilCorp (NOC). Two tank fires had been extinguished.

Thinni has been forced to work out of the east since arival group called Libya Dawn seized Tripoli in August, set-ting up its own government and parliament that is not recog-nised by world powers.

Es Sider is fed from fields run by Waha Oil Co, a joint-venture between Libya's National Oil Corp with US compa-nies Hess, Marathon and ConocoPhillips.

Without the two ports, which accounted for around300,000 bpd of exports, Libya's total output was in the rangeof the 380,000 bpd reported, Harari said.

The ports of Zawiya and Mellitah in the west of the coun-try have also halted oil exports as the conflict has shut downthe connecting fields of El Sharara and El Feel.

Only the ports of Hariga and Brega in the east and twooffshore fields are still working but part of the output isneeded to feed the 120,000 bpd Zawiya and 20,000 bpdTobruk refineries.

FIRE AT LIBYAN OIL PORT DESTROYS UP TO 1.8M BARRELS OFCRUDE

FUNDS POSITIVE ON UAE, EGYPT STOCKS IN ERA OF CHEAP OIL:SURVEYThe UAE and Egypt appear the most attractive among major Middle Eastern stock markets in an era of low oil

prices, the latest Reuters survey of regional asset managers suggests, Reuters said.The plunge of oil and equity prices over the last several months has stunned managers, and they may therefore invest their

2015 equity allocations to the region only gradually.“I think the next three months will witness a wait-and-see approach by most fund managers, as they wait to see stability

in the equity markets after the wild swings of December," said Mohammed Ali Yasin, managing director at Abu Dhabi'sNBAD Securities.

A key question, he said, is "if the predictions of more stable oil prices in the range of $65-$75 materialise - that will bea major defining factor for their investment strategy over the rest of 2015."

However, the Reuters survey of 15 leading Middle East investment professionals, conducted over the past 10 days, showsthe markets' tumble has not turned funds away from regional stocks in general.

Forty-seven per cent expect to raise overall equity allocations in the next three months against 20 per cent who anticipatereducing them.

Many fund managers note that the markets' slide - Saudi Arabia .TASI is down 24 per cent from its September peak - hasgreatly improved valuations, reducing or eliminating big premiums to other emerging markets.

The big difference shown by the latest survey is that funds have become much more selective about which stock marketsthey plan to buy in coming months. On balance they are still wary of Saudi Arabia, for example; 40 per cent expect to lowertheir equity allocations there and 33 per cent to increase them.

That is because petrochemical stocks are heavily weighted in the Saudi market and they remain vulnerable to further fallsin oil prices, which would reduce the advantage that Saudi companies enjoy over foreign rivals due to cheap feedstock.

"With oil prices expected to remain low and the petchem sector weight big in the index, next year will be very interest-ing when it comes to stock picking,” said Bader Al Ghanim, head of asset management at Kuwait's Global InvestmentHouse.

Fund managers are also cautious about Qatar, where petrochemical firms such as Industries Qatar are heavily weighted,and Kuwait, which has one of the richest governments in the region but where bureaucracy and political tensions have madeit hard for authorities to spend money effectively to offset poor global economic conditions.

But towards the UAE and Egypt, managers are considerably more optimistic. Forty-seven per cent expect to raise over-all equity allocations to the UAE in the next three months and 20 per cent anticipate reducing them.

There are two major reasons. Partly because of the contribution of Dubai, economic growth depends less on oil in theUAE than it does in the other wealthy Gulf states.

Prince Alwaleed bin Talal

JANUARY 7, 2015 6

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A new sterile area was set up in accordance with the GMP regulations where sterilepharmaceuticals are being processed and packed like ampoules, drops, eye ointments,as well as the other non-sterile medicaments of antibiotics like Cephalesporins in formof capsules or suspensions. The company has also bought new machines which effec-tively contributed to improving the quality of products and reducing the waste. Amongthe new equipment are eight electrical ovens for powder, capsule and tablets depart-ments with a productive capacity of 200 kilograms for each oven. The company hasalso bought two self-adhesive labeling machines with a capacity of 10,000 bottles perhour and one eye drop filling machine with a productive capacity of 4,500 bottles perhour.

Other new equipment that gave an impetus to production rates and improved qualityof products was heat sealing machine for effervescence powder boxes with a produc-

tive capacity of 3,000 packets per hour, an automated wrapping machine for drops, twosyrup filling machines, a tablet press machine and one tablet strip de-foiling machine.

The development of some productive areas, labs and warehouses is under way tocomply with GMP regulations covering the fields of oral drops, strip de-foiling, sugar-coating tablets, colored tablet production, sample receipt room, pharmaceutical moni-tory lab and cronbach's alpha lab. Over the past period, the company manufacturednew products, including Thinetens 50mg and 100mg, Pyral Extra (tablets), Ceftriaxone1mg and Indol 10mg and 40mg.

Known for its good reputation as pharmaceutical manufacture, high-quality productsand latest-of-the-art scientific research techniques, the company succeeded in gainingthe confidence of many global pharmaceutical companies that gave it the permissionto manufacture its products locally.

5, El-Hadika St., Garden City, Cairo Tel.: 27956578 - 27956579