id: 2025-02-06-03:02:48:699t Good morning, friends. It’s another busy day of news, with fresh data on non-oil sector activity in January and the UAE’s non-oil foreign trade in 2024. Let’s dive in.

WEATHER- We’re in for another sunny day across the country, according to the NationalCenter of Meteorology (pdf). Temperatures today will hit 28°C in Dubai with an overnight low of 18°C, and 27°C in Abu Dhabi before cooling to an overnight low of 18°C.

WATCH THIS SPACE-

#1- Eshraq considers stake in Shuaa’s bond offering: Real estate investment firm Eshraq Investments is set to discuss a potential investment in Shuaa Capital’s mandatory convertible bond offering during a board meeting tomorrow, it said in an ADX disclosure (pdf).

REMEMBER- Investment platform Shuaa Capital plans to issue a total of AED 642.5 mn in mandatory convertible bonds for capital optimization. The firm was set to vote on the issuance of AED 425.5 mn in convertible bonds and their conversion into shares during a general assembly meeting earlier this week, which was later postponed (pdf) to 17 February, following approval from its board of directors last year.

It’s all part of a correction plan: The company went through a restructuring in 2024 after reaching an agreement with bondholders to extend the payment terms for USD 150 mn worth of bonds, appointing a new management team, and settling around AED 500 mn in margin facilities. It also finalized an agreement with its senior creditor to restructure AED 208 mn in outstanding facilities and secured a USD 300 mn seven-year facility from the National Bank of Fujairah and the Arab Energy Fund just last month.

#2- Dubai is set to see the fastest growth in luxury real estate prices globally in 2025, with values forecast to climb 8% to 9.9%, according to a Savills report. Global luxury property values are expected to grow by 1.6% on average — down from 2.2% in 2024 — with cities like Sydney, Madrid, Barcelona, Lisbon, and Cape Town also seeing gains, while London, Singapore, Shenzhen, and San Francisco are expected to face declines due to policy changes and market headwinds.

#3- The UAE’s judicial system has begun trialing AI-powered decision-making in select cases, Khaleej Times reports, citing Salem Ali Juma Al Zaabi, head of Emergency, Crisis, and Disaster Prosecution.

The AI is being tested in cases “where the outcome is very clear,” Al Zaabi said at AI Everything in Abu Dhabi, stressing that “in the justice sector, it is important not to act slow.” While AI aids in document analysis, translation, and case summaries, he clarified that decision-making remains under human oversight due to ethical considerations.

DATA POINTS-

#1-Abu Dhabi Airports sees record passenger and cargo growth in 2024: Passenger traffic rose 28.1% at Abu Dhabi Airports in 2024 to 29.4 mn travelers, according to an Abu Dhabi Media Office statement. Zayed International Airport was the key growth driver, adding 29 new destinations and welcoming eight new airlines, including British Airways and Air Astana. Aircraft movements increased 10%, to 249k in 2024, with strong demand from the UK, India, Qatar, and Egypt.

Cargo volumes also saw a major boost, climbing 21% y-o-y to 678.9k tonnes. The surge was supported by infrastructure investments, including a new AED 85 mn storage facility in Al Falah and a AED 320 mn warehouse project with RadiusGroup.

PSAs-

#1-UAE opens applications for 10-year Blue Residency visa: The UAE has begun accepting applications for its 10-year Blue Residency visa, designed for environmental experts, sustainability advocates, and climate change specialists, Gulf News reports. Eligible applicants include scientists, researchers, investors, entrepreneurs, and award-winning environmentalists.

Applications are processed via the Federal Authority for Identity, Citizenship, Customs, and Port Security through its smart services platform. The visa requires proof of contributions to sustainability and climate action, and applicants must first submit a nomination request before proceeding with the visa application.

REMEMBER-The Blue Residency visa was first approved in May 2024 by Dubai Ruler Mohammed bin Rashid Al Maktoum as a 10-year residency program for professionals making extraordinary contributions to environmental sustainability.

#2- You might now get served for unlawful use of the Emirate of Dubai and Government of Dubai emblems, after Dubai officials enacted a law against their use by unauthorized entities, according to the Dubai Media Office. Use is limited to authorized locations, events, documents, and seals, with use now requiring permission from the Chairman of Dubai’s Ruler’s Court.

Criminal penalties and fines: Violations may result in imprisonment of up to five years or fines between AED 100k and AED 500k, or both. The law takes effect upon publication in the Official Gazette, with implementation resolutions to be issued by the chairman of The Executive Council.

HAPPENING TODAY-

#1- The Mubadala Abu Dhabi Open continues today with the quarter finals at Zayed Sports City. The big games to watch out for today:

  • Starting 11am: Markéta Vondroušová vs. Belinda Bencic and Leylah Fernandez vs. Ashlyn Krueger
  • After 5pm: Elena Rybakina vs. Ons Jabeur, and Linda Nosková vs. Magda Linette

You can still buy tickets for the tournament, which ends on 8 February, here.

#2- Medlab Middle East ‘s final day is in full swing at Dubai World Trade Center. The event is a platform for attendees to explore the latest innovations in medical lab technologies, diagnostics, and research. It features the participation of laboratory manufacturers, healthcare experts, procurement professionals, suppliers, and distributors from across the region.

#3- AI Everything Global will wrap up today at the Dubai Exhibition Center. The event brings together policymakers, industry leaders, and tech pioneers to explore AI’s transformative role across many industries.

#4- The International Dental Conference and Arab Dental Exhibition is on its final day at the Dubai World Trade Center. The event hosts visitors, brands, companies, speakers, lectures, seminars, scientific discussions, and country pavilions showcasing dental innovations.

#5- The SWAAC ELSO Annual Conference 2025 will run today through 8 February at the Conrad Hotel Abu Dhabi, bringing over 1k global experts, doctors and lecturers in Extracorporeal Membrane Oxygenation (ECMO). The conference will feature discussions on ECMO research, clinical advancements, and future priorities in life-saving therapies.

HAPPENING THIS WEEK-

OpenAI CEO Sam Altman is set to visit the UAE this week to discuss raising funds with state-backed tech-focused investor MGX, Reuters reports, citing sources with knowledge of the matter. The talks come as competition in AI heats up, with Chinese rival DeepSeek emerging as a lower-cost alternative to OpenAI’s technology. OpenAI is also in talks with SoftBank to lead a funding round of up to USD 40 bn, which would value the ChatGPT maker at USD 300 bn, sources have said.

REMEMBER-MGX took part in OpenAI’s USD 6.6 bn funding round last year. The investment firm is also backing Stargate, a joint venture with OpenAI, SoftBank, and Oracle that plans to invest USD 100 bn in AI infrastructure in the US, ramping up to as much as USD 500 bn over the next four years. It has also invested in Elon Musk’s rival AI startup xAI.

THE BIG STORY ABROAD-

For the second morning running, the foreign pages are laser-focused on Trump’s proposal for Gaza’s future, which was met with a strong stance from international leaders.

Calls of permanently displacing Gazans sparked a strong international outcry with UN Secretary General Antonio Guterres calling for adherence to international law and avoiding “any form of ethnic cleansing.” Meanwhile, German Foreign Minister Annalena Baerbock warned the plan would “lead to new suffering and new hatred.” The UAE also rejected any infringement on Palestinians’ “unalienable rights” in a statement yesterday.

Toning down: Trump’s aides scrambled to walk back the most controversial elements of his proposal, stating he did not commit to deploying US troops in Gaza and clarifying a resettlement would be temporary to pave the way for reconstruction efforts and that the US will not pay the bills. (Bloomberg | New York Times | FT)

AND IN THE BUSINESS PAGES- Beijing filed a World Trade Organization complaint against “protectionist” 10% tariffs on Chinese imports. Trump had said earlier he was in “no hurry” to speak with President Xi Jinping.

ALSO- It’s not looking good for Nissan + Honda: Negotiations over the USD 60 bn anticipated merger — that would have created the world’s third-biggest automaker — have reportedly hit a wall. One major sticking point was Honda wanting a bigger piece of the holding company, with Nissan becoming a subsidiary — a plan the latter rejected as it opted for a merger of equals. (Reuters | New York Times | WSJ)

MARKET WATCH-

TheAUM of the world’s largest sovereign wealth fund in UAE stocks rose 57% on an annual basis: Norway’s Government Pension Fund Global held AED 11.3 bn worth of stocks in 42 listed Emirati companies as of 31 December 2024, Mubasher reports citing data (pdf) from the fund’s webpage. This marks a 56.9% increase in value from AED 7.2 bn in some 36 companies on 31 December 2023.

Heavy on education + F&B + transport: The fund’s biggest equity position is in DFM-listed K-12 operator Taaleem Holdings at 5%, followed by ADX-listed food and beverages giant Agthia Group at 4.87% and mobility solutions provider Dubai Taxi at 3.16%.

***

You’re reading EnterpriseAM UAE, your essential daily roundup of business, economics, and must-read news about the UAE, delivered straight to your inbox. We’re out Monday through Friday by 7am UAE time.

EnterpriseAM UAE is available without charge thanks to the generous support of our friends at Mashreq.

Were you forwarded this email? Tap or click here to get your own copy of EnterpriseAM UAE.

Want to send us a story idea, request coverage, ask for a correction, or otherwise get in touch? Reach out to us on UAE@enterpriseAM.com .

DID YOU KNOW that we also cover Egypt, Saudi Arabia, and the MENA climate and logistics industries?

***

Tags: