Abu Dhabi trade rises in 1Q

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WHAT WE’RE TRACKING TODAY

THIS MORNING: Abu Dhabi’s G42 among key backers in Neuralink series E round

Good morning, friends. We’re within arm’s reach of a four-day weekend for Eid Al Adha, but it appears the news cycle caught a second wind before the break, giving us one last busy morning. Abu Dhabi is out with its 1Q 2025 trade figures, Edge landed a AED 9 bn supply contract for Kuwait’s Defense Ministry, and ADGM’s latest data shows a jump in AUM and new licenses.

ALSO- It’s PMI day: S&P Global’s purchasing managers’ index for the UAE is set to be released shortly after we hit “send” on this morning’s issue. We’ll have the full rundown in Monday morning’s edition of EnterpriseAM UAE.

** A QUICK PROGRAMMING NOTE BEFORE WE DIVE IN- EnterpriseAM UAE is off tomorrow and after for the Eid Al Adha holiday, and will be back in your inboxes at the usual time on Monday.

WATCH THIS SPACE-

#1- G42 joins Neuralink’s USD 650 mn funding round: Elon Musk’s Neuralink raised USD 650 mn in a series E round with Abu Dhabi AI giant G42 among its key backers, alongside ARK Invest, Founders Fund, Sequoia, and others, according to a statement. The funding will support expanded patient access and further development of its brain-computer interface technology.

REMEMBER- The UAE is set to host Neuralink’s first international human trials under the UAE-PRIME program, in partnership with Cleveland Clinic Abu Dhabi and the Department of Health. The trials will implant Neuralink’s chip in quadriplegic patients, aiming to restore motor and communication functions by enabling brain-controlled interaction with digital devices.

#2- Huda Beauty is once again fully-founder owned: Founder and Co-CEO of Huda Beauty Huda Kattan bought back TSG Consumer Partners ’ minority stake in the company for an undisclosed sum, reclaiming full control of the globally renowned beauty brand, according to a press release. We reported in February that HUDA Beauty plans to spin off its fragrance arm, giving Kattan runway to buy back the US PE firm’s stake, which was acquired in 2017.

#3- Former Lebanese Prime Minister Saad Hariri is launching an Abu Dhabi-based investment firm, Bloomberg reports, citing sources familiar with the matter. Genesis SPV will invest across global tech while prioritizing AI ventures and Hariri is listed as its sole shareholder.

BACKGROUND- Hariri has maintained close ties to the UAE’s National Security Advisor Sheikh Tahnoon bin Zayed Al Nahyan since his move to Abu Dhabi in 2022, as the emirate looks to become a global leader in AI.

#4- Rising ins. premiums are changing how UAE consumers spend: Soaring ins. costs are prompting UAE residents to reassess their spending habits and prioritize long-term financial stability, Gulf Business reports, citing a new NielsenIQ (NIQ) survey. Over half of consumers surveyed reported recent increases in ins. premiums, with more than 80% expecting further hikes, particularly in auto ins. The shift has fueled stronger interest in cost-saving features, such as no-claims discounts, loyalty rewards, and reduced-coverage policies, according to the report.

REMEMBER-Ins. premiums in the UAE have surged in recent months, with motor ins. rates up 15-20% y-o-y and home ins. premiums rising 10-15% in the wake of last year’s record floods. Industry experts have pointed to reinsurer pressure and elevated climate-related claims as key drivers, warning of continued double-digit hikes across most categories.

Consumers want predictability: The NIQ survey found that 76% of UAE consumers are interested in multi-year fixed-rate auto ins. policies to protect against future price shocks. Another 70% said they are willing to pay a premium for products that offer durability and longevity, underscoring a shift toward more strategic, stability-driven spending.

DATA POINTS-

The Dubai Future District Fund (DFDF) supported 190 startups with USD 1.7 bn in capital commitments across 2024, according to a DIFC statement. Support came in the form of direct investments as well as fund initiatives. Among DFDF’s key focus areas for 2025 are expanding capital deployment and channeling funds to build economic resilience.

PSAs-

#1- Planning to get around during Eid Al Adha? Here’s what you need to know, according to the Dubai’s Roads and Transport Authority (RTA).

Dubai Metro + Tram: The metro’s red and green lines will operate from 5am to 1am daily between today until Saturday, while the tram will run from 6am to 1am on the same dates.
Public buses: Bus Route E100 from Al Ghubaiba will be suspended from today until Sunday, but you can use the E101 from Ibn Battuta or E102 from Al Jafiliya to Zayed Intl. Airport as alternatives. The S’hail app has updated holiday schedules.
Marine transport: Service timings are available here.

Parking’s on pause: Public charges will be suspended from Thursday until Sunday, except at multi-level terminals.

#2- RTA to revamp Wasl Road: The RTA launched a project to expand Al Wasl Road from its intersection with Umm Suqeim Street over a strait spanning 15km with two three-lane carriageways, according to a statement. The project features plans to develop six intersections and implement five tunnels spanning 3.85 km. The revamp project is slated to cut journey time by half and boost capacity to 12k vehicles per hour in both directions.

The project is part of a larger Dubai street makeover project, with the RTA planning on upgrading the section of Umm Suqeim Street between Jumeirah Street and Al Khail Road, as well as upgrading key intersections along Al Qudra Road.

#3- The annual midday break for outdoor workers is coming into effect from 15 June through to 15 September, with workers taking a break from 12:30 pm until 3pm, state news agency Wam reports. Employers found in violation of the rule face fines of AED 5k per worker, and up to AED 50k for multiple violations. Companies are required to provide shaded areas, cooling equipment, and water to workers during the midday break. Exceptions exist for essential sectors such as water, electricity, traffic management, and road work.

#4- Dubai publishes unified financial services guidebook: The Dubai Department of Economy and Tourism released the Dubai Financial Services Unified Guidebook, developed in collaboration with the DFSA, DIFC, VARA, Nasdaq Dubai, Dubai Financial Market, and Al Tamimi & Co, according to a press release. The guidebook consolidates information on regulatory frameworks, licensing, and jurisdictional boundaries for financial services firms considering operations in the emirate.

THE BIG STORY ABROAD-

No one story is dominating the world’s digital front pages this morning, but one personality is — and I think you know who. On day 135 of Trump’s second term, his administration is once again turning up the heat on trade partners, sending out letters this week to trade partners,demanding that they submit their best tariff offers by today — or risk the return of sweeping duties next month with the end of the 90-day trade war pause. So far, only a limited agreement with the UK has been reached, while talks with the EU, India, Vietnam, and other nations drag on. (Bloomberg | Reuters)

Also headlining many of the world's press outlets is Elon Musk’s chaotic split with this former boss at the White House. Despite Musk’s claims to be standing back from politics, it seems he can’t quite resist the limelight, taking to X to issue a fiery tirade torching Trump’s signature tax-and-spend bill as a “disgusting abomination” and a “pork-filled” disaster. “It will massively increase the already gigantic budget deficit to USD 2.5 tn,” Trump’s former bn’aire backer said, adding that it will lead to “crushingly unsustainable debt.” (Associated Press | Guardian | Financial Times)

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Abu Dhabi’s non-oil foreign trade up 25.7% y-o-y in 1Q 2025

Abu Dhabi’s non-oil foreign trade hit AED 89.6 bn in 1Q 2025, marking a 25.7% y-o-y increase, according to import and export data from January, February, and March (here, here, and here) from Abu Dhabi’s statistics center. Imports for the quarter settled at AED 34 bn, while total exports — including re-exports — accounted for AED 55.6 bn.

REFRESHER- Abu Dhabi’s non-oil foreign trade grew 7.6% to AED 306 bn in 2024. Imports fell 3% y-o-y to AED 35 bn, while exports and re-exports increased 30.2% y-o-y to AED 42.8 bn, widening its trade surplus to AED 7.8 bn.

UAE ? Switzerland: Switzerland was the largest importer of non-oil goods in terms of value, amounting to AED 14.5 bn. The Swiss were followed by India with AED 6.4 bn and Saudi Arabia with AED 6.2 bn.

Export values for major commodities in 1Q: The top export during the quarter was pearls, precious stones, and precious metals, valued at AED 22.7 bn. This was followed by ordinary metals and their derivatives landing at AED 6 bn, then by plastics, rubber and its derivatives at AED 4.4 bn.

Over on the imports side: Audio and video recording equipment look the lead valued at AED 8 bn, followed by base metals at AED 7.9 bn and transport equipment at AED 5.8 bn. China was the nation’s top importer, with goods imported worth AED 4.6 bn, while KSA trickled behind at AED 3.7 bn, followed by the US at AED 3.6 bn.

ADGM sees 33% surge in AUM, 67% jump in new licenses in 1Q

Firms operating out of the Abu Dhabi Global Market (ADGM) recorded a 33% y-o-y increase in assets under management (AUM) during 1Q 2025, according to a press release (pdf). A total of 119 fund and asset managers were managing 184 funds out of ADGM by the end of the quarter.

The number of new licenses issued to operate in the ADGM rose 67% y-o-y in 1Q. The total number of operational entities within the financial center rose 43% to 2.8k by the end of 1Q, and the number of financial service providers located in the financial center jumped 26% to 367 in the same period.

ADGM issued 3.5k new work permits to businesses establishing themselves on Al Reem Island in 1Q, where a total of 1.1k new entities are now operating under ADGM’s expanded jurisdiction. This includes 600 new businesses, and more than 500 companies that migrated to an ADGM license.

Legal clarity can go a long way in attracting investors: ADGM has been attracting investors through an autonomous legal system based on the English common law, which offers legal clarity and familiarity to international firms, the press release notes.

…as can financial incentives: ADGM cut commercial licence fees for non-financial and retail businesses by at least 50% in January, replacing its tiered model with a flat AED 1k fee to make setup easier for SMEs.

Some of the names that have recently opened shop in the ADGM include global law firm Skadden, PE firm Investindustrial, NewVest, global alternative asset manager Arcapita, Polen Capital, sustainable finance player Olive Gaea, The Open Network, and Aquila Group.

REMEMBER- Swiss digital asset firm Bitcoin Suisse last month secured preliminary approval from the ADGM Financial Services Regulatory Authority for its Middle East subsidiary BTCSto offer virtual asset trading, crypto securities, derivatives, and custody services in ADGM. Deutsche Bank also secured financial service permission from the authority to conduct regulated activities including arranging credit and investment transactions, as well as advising on investment or credit.

New moves in play that could impact businesses in the ADGM: The financial hub’s Registration Authority last month proposed stricter rules for legal, tax, and company service providers, including tougher licensing criteria, mandatory professional indemnity ins. of USD 2 mn, and clearer separation of services to avoid conflict of interests and maintain confidentiality. These changes aim to raise professional standards, but we are yet to see how they will impact ADGM’s business attractiveness in the months ahead.

IHC’s Emirates Stallions Group consolidates real estate arm under new holding company

ESG consolidates real estate assets under new holding company: ADX-listed Emirates Stallions Group (ESG), the construction and real estate subsidiary of International Holding Company (IHC), launched Royal Development Holding to consolidate its real estate development activities under a single platform, according to an ADX disclosure (pdf). The new entity brings together its firms Royal Development Company, which has managed upwards of 60 projects in more than 15 countries, and Royal Architect Project Management.

What it does: Royal Development Holding will expand ESG’s footprint across 20+ global markets, offering end-to-end development capabilities. The new platform is positioned as a boutique developer building lifestyle and sustainability-driven communities. Tariq Nazzal (LinkedIn) will serve as general manager.

The bigger picture: The launch supports ESG’s growth strategy by listing its real estate development and project management companies under the new entity. ESG recently opened a new branch in Saudi Arabia and acquired warehouse space in the kingdom, as it looked to capitalize on an uptick in demand on the back of the country’s ongoing infrastructure push.

Meanwhile, its parent IHC has also been busy, launching a wave of new verticals this year, including a global AI-powered reinsurer with BlackRock and Lunate, the Gridora infrastructure platform with ADQ and Modon, and a UAE-built global AI marketplace. In 2024, it also rolled out Rorix Holdings, focused on finance and trade facilitation, and 2PointZero, a AED 100 bn umbrella entity housing Chimera, Lunate, Citadel, Sagasse, Beltone, and others.

Edge signs AED 9 bn missile boats contract with Kuwait’s Defense Ministry

State defense firm EdgeGroup secured a AED 9 bn (USD 2.5 bn) contract to supply Kuwait’s Defense Ministry with FALAJ3-class 62-metre missile boats, according to a press release (pdf). The agreement came during an official visit by Vice President Sheikh Mansour bin Zayed Al Nahyan to Kuwait yesterday, and will be the largest shipbuilding export in the region.

Who’s doing what: Edge will act as the prime contractor, handling design, construction, trials, delivery, as well as integrated logistics support, in-service support, and ammunition supply. Edge’s naval unit Abu Dhabi Ship Building is the build subcontractor for the agreement.

FALAJ3-class? The FALAJ3-class is already in service with the UAE Navy, with the first vessel commissioned in early 2025. These boats offer advanced combat systems and capabilities that serve littoral defense missions.

This is the latest in a series of agreements Edge signed with international partners this year, having recently partnered with Hungary’s 4iG Space and Defence Technologies in April to co-develop unmanned aerial systems and space observation technologies, as well as with a South African firm to develop land systems equipment, and with European ship building group CMN Naval on a shipbuilding JV.

Alterra backs Italy’s Absolute Energy with EUR 50 mn

UAE-backed climate fund Alterra committed EUR 50 mn to Italian renewables platform Absolute Energy via the Alterra Acceleration Fund, according to a press release. Absolute Energy specializes in small to medium-scale solar projects in Italy, which has a national target of upping its solar capacity to 46 GW by 2030.

The details: The co-investment — made alongside US-based infrastructure firm I Squared Capital — will support the development of an initial 1.4 GW worth of solar and battery storage capacity across Italy, as well as Absolute Energy’s broader development pipeline of over 6 GW. The move is predicted to avoid 380k metric tons of CO2 emissions annually in its initial phase.

This marks the third co-investment for Alterra, which deployed USD 100 mn into Indian renewables firm Evren in April — Alterra’s first Global South Investment — alongside Brookfield and other co-investors. The fund, unveiled during COP28 and set to mobilize USD 250 bn in green investments by 2030, also deployed USD 100 mn to back French renewables developer Neoen, Alterra CEO Majid Al Suwaidi told Reuters.

REFRESHER- The acceleration fund was struggling to deploy capital, amid what CEO Majid Al Suwaidi described last year as a lack of viable projects in the energy transition space. Alterra committed USD 6.5 bn to seven investment strategies managed by BlackRock, Brookfield Asset Management, and TPG, though the actual funds deployed are significantly less.

XRG greenlights five-year growth plan across gas, chemicals, and energy platforms

XRG outlines five year expansion plan across gas, chemicals, energy: XRG’s, Adnoc’s low-carbon investment arm, board approved a five-year business plan aimed at scaling up the company’s three core pillars — International Gas, Global Chemicals, and Energy Solutions — as it seeks to drive long-term returns, according to a press release.

XRG will establish a top-five integrated global gas and LNG business, setting a target of 20-25 mn tons per annum (mtpa) in capacity by 2035, having already secured an enterprise value of over USD 80 bn in its first six months.

M&A across the pond in the pipeline: The group is assessing upstream gas M&A and LNG moves in the US and Canada to up its regional footprint there, the statement read. Back in March XRG said it would make a “very large and significant investment,” in the US and last month it was reported that XRG would soon begin deploying capital — including in the US — after fine-tuning its internal strategy. The five-year strategy also builds on recent agreements in the US, Mozambique, Egypt, and Turkmenistan.

The company is also moving to establish itself as one of the top three chemicals players, with the proposed formation of Borouge Group International and the planned acquisition of a 91.3% stake in Covestro, anchoring its chemicals portfolio. The platform will focus on polyolefins, performance materials, and new speciality chemicals.

On the energy front, XRG will scale up investments to capitalize on AI-driven power demand growth, particularly in the US, while advancing low-carbon opportunities in biofuels, CCS, and hydrogen. The board directed immediate execution of the plan, prioritizing the disciplined capital deployment, platform integration, and the full value chain expansion.

Qora71 kicks off lead investing with seed round into eVoost AI

Abu Dhabi-based proptech startup eVoost AI has secured seed funding from Qora71, marking the syndicate’s first lead investment, according to LinkedIn posts (here and here). eVoost AI was founded by Cristian Pastrana (LinkedIn) in 2024 and uses emotional profiling and behavioral segmentation to provide real estate buyers with AI-driven virtual agents to offer personalized property recommendations and real-time analytics. The capital will be used to expand eVoot’s AI-native real estate sales infrastructure globally.

And for Qora71? While Qora71 did not specify the size of the round, it will now support eVoost through its network of 114 angels to help the startup sign additional projects, Qora71 founder Youssef Salem (LinkedIn) told EnterpriseAM UAE. eVoost’s substantial signed GMV value at seed stage, their exclusive-contracts business model, and the founding team’s strong track record were behind Qora71’s investment, he added.

eVoost has signed USD 1.9 bn in GMV, entered late-stage negotiations for an additional USD 1.5 bn, and activated 197 units across five projects. Its current rollout includes a partnership with an Emirati developer to manage digital sales funnels across the US, Europe, and Latin America.

Qora71 has been actively investing in proptech, having recently led the pre-seed round of Roomz, and previously backed Partment and Hotdesk, with more proptech investments in the pipeline, Salem added.

Agthia taps FMCG veteran and Flora Food Group exec as Group CFO

Agthia Group has appointed Jeroen Nijs (LinkedIn) as its new group CFO, according to an ADX disclosure (pdf). Nijs brings over 25 years of experience working with fast-moving consumer goods players including with Mondelēz, Danone, and PepsiCo. He most recently served as Global Deputy CFO at Flora Food Group, where he led performance improvement and AI-driven revenue initiatives.

REMEMBER- Agthia was on the lookout for a new CFO: In January, the company named Hala Hobeiche Katounas (LinkedIn) as acting CFO following the departure of Sherif Elfaham (LinkedIn). Katounas will now resume her position as head of M&A, the statement said.

Kuwait Investment Authority latest to join MGX-backed AIP

AI-

Kuwait’s KIA joins MGX’s AI infrastructure fund: The Kuwait Investment Authority (KIA) has joined the AI Infrastructure Partnership (AIP) as its first non-founding financial anchor investor, according to the Abu Dhabi Media Office.

REFRESHER- The AI Infrastructure Partnership is an AI infrastructure fund founded by Abu Dhabi-based investment firm MGX, BlackRock, Global Infrastructure Partners, and Microsoft, and also includes Nvidia and Elon Musk’s xAI among its partners. The group is looking to raise USD 30 bn from investors and deploy up to USD 100 bn, including from debt, into AI data centers and related infrastructure systems.

AVIATION-

#1- Aerospace MRO provider DTX launches: Dubai-based commercial maintenance, repair, and operation (MRO) provider DTX Group has launched its operations, according to a DTX statement. The group currently operates a parts trading business in the USA and two MRO facilities in Brazil. DTX is on track to roll out a new regional MRO facility 3Q 2025, with additional expansion targeted in Africa and Europe.

Background: DTX Group, headed up by Hussein Lookmanjee, was formerly the international arm of Drayton Aerospace. Lookmanjee is now the sole owner of DTX Group, having fully divested from Drayton after British private equity firm Lion Capital bought his remaining equity, and Drayton Aerospace’s entities outside of China fall under DTX’s remit now.

#2- Emirates and Air China agreed to cooperate more across their respective cargo operations as well as develop a mutual codeshare on select routes, building on the pair's existing interline agreement, according to a statement. The agreement — signed on the sidelines of the World Air Transport Summit — aims to streamline travel links between the two countries as the airlines seek to evaluate how to coordinate flight schedules as well as adjust minimum connecting times.

REMEMBER- Emirates is kicking off flights to Shenzhen in mid-2025, as part of plans to increase its air traffic to China by 40% on the back of rising demand, with plans to also launch daily non-stop flights to Hangzhou effective 30 July. The airline already travels to Beijing, Guangzhou and Shanghai.

MANUFACTURING-

Wasco Energy opens modular fabrication yard in Jafza: Malaysia-listed Wasco Berhad’s energy services arm, Wasco Energy, has opened a new 25k sqm fabrication yard in Dubai’s Jebel Ali Freezone (Jafza) to expand its modular engineering and infrastructure capabilities across the Middle East, according to a statement.

The details: The facility has an annual production capacity of 10k tons and will produce pre-assembled units and rack modules, gas compressor packages, substations, and e-houses for onshore and offshore projects. The site complements Wasco’s existing fabrication hubs in Indonesia and Malaysia.

ENTERTAINMENT-

UAE grants music rights license to Music Nation: The Economy Ministry has issued its second collective music management license to music rights management organization Music Nation, authorizing it to manage music rights distribution and enforce compliance nationwide, Wam reports. The license aligns with a push to strengthen the UAE’s creative economy and comes as Dubai recently maintained its top position as a greenfield FDI destination for creative projects. The ministry granted its first license to the Emirates Music Rights Association in April.

WEALTH MANAGEMENT-

India’s Spark Global PWM expands to DIFC: Indian private wealth manager Spark Capital PMW has launched operations in the Dubai International Financial Center (DIFC) via its subsidiary Spark Global PWM Private Limited, according to a press release. The move aims to deliver wealth management solutions to a wider range of clientele in the region and the office will be the headquarters of its regional operations.

The move comes as part of a wider expansion drive, with the firm’s assets under management and advisory surging from USD 360.2 mn in April 2023 to USD 3.6 bn in May 2025. Its team also was bolstered from 60 professionals to 400 strong.

FINTECH-

Dubai’s Mawarid Finance + Bahraini AFS team up in credit card services: Dubai-based Mawarid Finance launched an application in partnership with Bahraini Arab Financial Services (AFS) on a new digital payment solutions application, according to an AFS statement. The move makes it easier to issue credit cards, track transactions, and manage accounts in real time via a phone application, eliminating the need for bank visits.

REAL ESTATE-

Kuwait’s Aqarat taps Darwish Engineering for Sharjah residential project: Kuwait Real Estate Company (Aqarat), in partnership with IFA Hotels and Resorts, awarded an AED 198 mn infrastructure contract to UAE-based Darwish Engineering for its AED 3.5 bn Tay Hills residential project in Sharjah, according to a press release.

More on Al Tay Hills: The three-phase development spans 6 mn sq ft in the Al Tay area on the Sharjah-Dubai border. It will feature 1.1k villas and townhouses, three community malls, a 2.5-km green spine, and 11 km of walking and cycling paths. Aqarat subsidiary Nakheel Village Real Estate Company is overseeing execution, and the first phase is slated for handover in 1Q 2028.

CRYPTO-

#1- Emirates Coin Investment (EmCoin) can now provide regulated virtual asset services after it was licensed by the Securities and Commodities Authority (SCA), according to a press release. The move makes it the first UAE firm licensed by the SCA to offer the services.

More in the pipeline: EmCoin is set to launch an investment platform that will integrate digital assets and traditional finance into a single, regulated mobile application, allowing users to trade virtual assets, invest in equities and commodities, and access managed portfolios. It is also collaborating with the SCA to introduce regulated Initial Coin Offerings, which will open up new avenues for raising capital and potential investments.

#2- Ripple’s stablecoin receives DFSA approval: Blockchain firm Ripple’s RLUSD stablecoin has received the stamp of approval from the Dubai Financial Services Authority (DFSA) for use within the Dubai International Financial Center effective immediately, according to a DFSA notice. RLUSD is targeted towards enterprises rather than retail users, and aims to improve the speed and efficiency of cross-border payments.

The ripple effect: The move comes as Ripple continues to expand its footprint, having received approval from the DFSA to provide regulated crypto payments and services in March. It also recently partnered with UAE-based digital bank Zand Bank and fintech Mamo to run blockchain-settled global transfers, and teamed up with Ctrl Alt to support Dubai Land Department’s real estate tokenization project, the statement read.

BANKING-

The Central Bank of the UAE (CBUAE) and the Central Bank of Kenya (CBK) signed two MoUs to reduce reliance on foreign currencies in bilateral trade, speed up settlements, and lower transaction costs, according to a press release (pdf).

The details: The first MoU will see the two cooperate to promote the use of local currencies in cross-border commercial transactions. The second MoU focuses on boosting cooperation in payment infrastructure, including instant payment systems and national card switches. Both agreements aim to pave the way for more bilateral investment and commercial activity.

LOGISTICS-

#1- Emirates SkyCargo launches dedicated engine transport solution: Emirates SkyCargo has introduced Aircraft Engines, a new cargo product tailored for the transport of high-value, time-sensitive aviation parts, according to a company statement. The offering provides specialist handling, certified loadmasters, shock-absorbing dollies, priority loading, and real-time tracking via Emirates’ control tower. The service is part of the carrier’s newly launched Aerospace and Engineering vertical, targeting customers in the aviation, defence, and space sectors.

#2- AD Ports Group has opened the first phase of the Tbilisi Intermodal Hub in Georgia, the company said in a press release. The first phase is a dry port and inland container depot to handle cargo delivered by rail and truck to the hub — located between Georgia’s key Black Sea ports and major land crossings with Armenia and Azerbaijan, and set to be both a domestic logistics platform and a regional gateway.

The next steps: Phases two and three will see the Tbilisi Intermodal Hub expand the cargo it handles and process to include containerized vehicles and break-bulk commodities like minerals, fertilizers, and ores, supporting trade flows between China, the South Caucasus, and Europe.

REMEMBER-AD Ports acquired a 60% stake in Georgia’s Tbilisi Dry Port to develop the Tbilisi Intermodal Hub in last March. The remaining 40% is owned by and 40% by Inveco LLC and Wilhelmsen. The hub is designed to scale up capacity from 96k TEUs today to 200k TEUs by 2026, and will feature a container freight station, warehouses, and an additional railway.

ALSO ON OUR RADAR artificial intelligence Aviation banking Central Bank of the UAE CRYPTO energy entertainment fintech Healthcare Jafza Jebel Ali Free Zone logistics M42 MANUFACTURING MGX Rakez Real estate Ripple sustainable aviation fuels UAE-India relations UAE-Kenya Relations Virtual Assets Regulatory Authority

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PLANET FINANCE

Global growth is stalling as tariffs and uncertainty rise -OECD

Global economic growth is losing steam, and is expected to decelerate to 2.9% in 2025 and 2026, down from 3.3% in 2024, the Organization for Economic Cooperation and Development (OECD) warned in its latest Economic Outlook (pdf). The figures for this year and next would mark the first time since the pandemic that global growth would come in below 3%, the Financial Times reports.

The slowdown will be led by the world’s largest economies: US growth is forecasted to fall sharply to 1.6% in 2025 and 1.5% in 2026 from 2.8% in 2024, while China could see a slowdown from 5.0% to 4.7% and then 4.3%. In contrast, the eurozone will inch forward, with growth picking up slightly to 1.0% in 2025 and 1.2% in 2026, from just 0.8% in 2024. Despite this, “[weakened] economic prospects will be felt around the world, with almost no exception,” the OECD said.

The OECD attributed the downshift to tighter financial conditions, elevated trade barriers, and falling investment confidence. “The global economy has shifted from a period of resilient growth and declining inflation to a more uncertain path,” Secretary-General Mathias Cormann said in an accompanying press release.

In our neck of the woods: The OECD sees Saudi Arabia’s real GDP growing 1.8% in 2025 and 2.5% in 2026, up from 1.2% in 2024, outpacing the US, Germany, the UK, and France, while falling below average growth for G20 countries (forecasted to remain stable at 2.9% this year and next). Inflation is seen by the OECD rising slightly by 0.2 percentage points y-o-y to 1.9% in 2025, before easing to 1.8% in 2026, ranking among the top three lowest inflation rates among G20 countries.

Trump tariffs bite: The OECD cited President Donald Trump’s recently enacted tariffs as a major drag and risk for economies. The effective tariff rate has jumped from 2.5% to over 15% — the highest since WWII — and could keep US inflation elevated around 4% into 2025, the FT reports. That’s likely to delay any rate cuts from the Federal Reserve; however, policy rate cuts could follow in countries more shielded from trade tensions if inflation stays under control.

Global inflation is easing, but slowly: Inflation across G20 economies is expected to decline to 3.6% in 2025 and 3.2% in 2026. However, trade tensions could keep price pressures stubborn in some countries, although this will be tempered somewhat by lower commodity prices, the OECD said.

Trade recovery remains sluggish: Global trade growth is seen slowing to 2.8% this year and just 2.2% in 2026 — far below historical averages, the FT reports. Any further retaliatory moves in response to tariffs would also weigh on trade flows through supply chain disruptions.

What’s needed? The OECD called for renewed global cooperation to “[preserve] the economic benefits of rules-based global trade” and urged governments to enact structural reforms that could jumpstart investment, which has stagnated since the 2008 financial crisis.

MARKETS THIS MORNING-

Asian markets are firmly in the green this morning, led by South Korean markets, which are up on the back of the country electing the opposition party leader as president. The Kospi index rose to its highest level since last August, according to CNBC.

Wall Street futures indicate another day of markets opening in the red, despite consecutive days of gains buoyed by tech stocks.

ADX	9,691	+0.5% (YTD: +2.9%)
DFM	5,522	+0.7% (YTD: +7.0%)
Nasdaq Dubai UAE20	4,500	+0.8% (YTD: +8.1%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	4.2% o/n	4.2% 1 yr
TASI	10,832	-0.2% (YTD: -10.1%)
EGX30	32,355	+0.1% (YTD: +8.8%)
S&P 500	5970	+0.6% (YTD: +1.5%)
FTSE 100	8787	+0.2% (YTD: +9.6%)
Euro Stoxx 50	5376	+0.4% (YTD: +9.8%)
Brent crude	USD 65.63	+1.6%
Natural gas (Nymex)	USD 3.72	-0.1%
Gold	USD 3383.50	+0.2%
BTC	USD 105,449.20	+0.5% (YTD: +12.8%)
Chimera JP Morgan UAE Bond UCITS ETF	AED 3.65	+0.3% (YTD: +2.4%)
S&P MENA Bond & Sukuk	143.67	+0.1% (YTD: +2.7%)
VIX (Volatility Index)	17.69	-3.7% (YTD: +2.0%)

THE CLOSING BELL-

The DFM rose 0.7% yesterday on turnover of AED 626.1 mn. The index is up 7% YTD.

In the green: Amlak Finance (+14.3%), Al Mazaya Holding Company (+14.0%) and Shuaa (+5.7%).

In the red: Emirates Investment Bank (-6.3%), Agility The Public Warehousing Company (-3.2%) and Al Salam Sudan (-2.9%).

Over on the ADX, the index rose 0.5% on turnover of AED 1.3 bn . Meanwhile, Nasdaq Dubai was up 0.8%.

CORPORATE ACTIONS-

United Arab Bank (UAB) invited its existing shareholders to subscribe to a rights issue as it looks to increase its capital from AED 2.06 bn to AED 3.09 bn, according to a disclosure (pdf) to the ADX. Some 1.03 bn new shares will be issued at a price of AED 1 each, for the AED 1.03 bn rights issue which the firm signed off on back in March as it looks to shore up its financial position and boost its growth plans. UAE’s general assembly and the Securities and Commodities Authority (SCA) approved the move. Shareholders have until 17 June to subscribe and the rights will be deposited into a clearing or brokerage account.

ADVISORS- First Abu Dhabi Bank was appointed as the lead manager and bookrunner for the issue, with Al Tamini & Co serving as counsel.

UAE signs cooperation MoUs with Kuwait, talks cooperation with Belgium

UAE and Kuwait sign cooperation MoUs during prime minister’s Kuwait visit: The UAE and Kuwait signed a series of MoUs across healthcare, education, industry, infrastructure, social development, energy, oil and gas, justice, anti-human trafficking, direct investment, data protection, and diplomatic training, state news agency Wam reports. The agreements came during an official visit to Kuwait by Vice President and Deputy Prime Minister Mansour bin Zayed Al Nahyan.

UAE Deputy Prime Minister Sheikh Abdullah bin Zayed Al Nahyan met with Belgium’s Deputy Prime Minister and Foreign Minister Maxime Prévot in Abu Dhabi to discuss strengthening collaboration across economic, trade, and investment sectors, state news agency Wam reports. The two leaders also exchanged views on international issues.

CALENDAR

5 June (Thursday): Arafat Day, public holiday.

6-9 June (Friday-Tuesday) Eid Al Adha, public holiday TBD.

10 June (Tuesday): Investopia Global - Mediterranean, Cyprus.

11-13 June (Wednesday–Friday): China Home Life Expo, Dubai World Trade Center.

11-13 June (Wednesday–Friday): International Appliances and Electronics Show, Dubai World Trade Center.

12 June (Thursday): Deadline for Sidara to submit a formal takeover bid to Wood Group.

17-18 June (Tuesday–Wednesday): Middle East Event Show, Dubai World Trade Center.

17-18 June (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

17-18 June (Tuesday-Wednesday): Abu Dhabi Infrastructure Summit, Abu Dhabi Energy Center.

24-25 June (Tuesday-Wednesday): EVCharge Live Middle East, Dubai World Trade Center.

24-25 June (Tuesday-Wednesday): Solar & Storage Live, Dubai World Trade Center.

24-25 June (Tuesday-Wednesday): Mobility Live Middle East, Dubai World Trade Center.

24-25 June (Tuesday-Wednesday): Middle East Rail, Dubai World Trade Center.

27 June (Friday): Islamic New Year.

Signposted to happen sometime in 2H 2025:

Closing of XRG's acquisition of Covestro

JULY

6-7 July (Sunday-Monday): BRICS Summit, Rio de Janeiro.

29-30 July (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

SEPTEMBER

1-6 September (Monday-Saturday): Dubai Fashion Week, Dubai Design District.

8-10 September (Monday-Wednesday): DigiHealth exhibition, World Trade Center, Dubai.

8-19 September (Monday-Wednesday): WHX-Tech Expo, Dubai World Trade Centre.

12-14 September (Friday-Sunday): The International Real Estate and Investment Show, Abu Dhabi.

16-17 September (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

24-25 September (Wednesday-Thursday): Mohammed Bin Rashid Leadership Forum, Mohammed Bin Rashid Center for Leadership Development, Dubai.

24-25 September (Wednesday-Thursday): Dubai World Congress for Self-Driving Transport, Dubai.

OCTOBER

1-2 October (Thursday-Friday):World Green Economy Summit (WGES), Dubai World Trade Centre.

30 September - 2 October (Tuesday-Thursday): The Water, Energy, Technology, and Environment Exhibition (WETEX), Dubai World Trade Centre.

3-16 October (Friday-Thursday): Dubai Home Festival.

7-9 October (Tuesday-Thursday): The International Symposium on the System of Radiological Protection, the Ritz-Carlton Abu Dhabi, Grand Canal.

9-15 October (Thursday-Wednesday): IUCN World Conservation Congress, Abu Dhabi.

14-16 October (Wednesday-Friday): Global Future Councils, Dubai.

22-24 October (Wednesday-Friday): World Investment Conference, Expo Centre Sharjah.

27-29 October (Monday-Wednesday): Future Hospitality Summit, Madinat Jumeirah, Dubai.

27-29 October (Monday-Wednesday): Asia Pacific Cities Summit, Dubai Exhibition Center.

28-29 October (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

NOVEMBER

12-17 November (Wednesday-Monday): RoboCup Asia-Pacific, Khalifa University, Abu Dhabi.

15-17 November (Saturday-Monday): Myplant & Garden Middle East Green Expo, Dubai Exhibition Centre, Expo City.

17-21 November (Monday-Friday): Dubai Airshow 2025, Al Maktoum International Airport, Dubai.

18-19 November (Tuesday-Wednesday): Dubai Future Forum, Museum of the Future, Dubai.

DECEMBER

1-3 December (Monday-Wednesday): Eid Al Etihad (UAE National Day).

1-5 December (Monday-Friday): The World Congress of Neurosurgery, Dubai World Trade Center.

7-14 December (Sunday-Sunday): Asian Youth Para Games, APC headquarters, Dubai.

8-9 December (Monday-Tuesday): BTC Mena Conference, Adnec, Abu Dhabi.

8-10 December (Monday-Wednesday): BRIDGE media summit, Abu Dhabi.

9-10 December (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

18-23 December (Thursday-Tuesday): Games of the Future, Adnec, Abu Dhabi.

Signposted to happen sometime in 2025:

The Middle East Electric Vehicle Show, Expo Center Sharjah.
e& will complete Adnoc’s private 5G network.
Executive Committee Meeting (EXCOM 2025) conference of the World Smart Sustainable Cities Organisation (WeGO)
The International Civil Aviation Organization’s Global Implementation Support Symposium, Abu Dhabi.
Universal Postal Congress 2025, Dubai.

Signposted to happen sometime in the fall of 2025:

ICOM General Conference 2025, Dubai

Signposted to happen sometime in 2026:

9-11 January (Friday-Sunday): 1 Bn Followers Summit’s fourth edition, UAE.
28-29 January (Wednesday-Thursday): IBA Arbitration Day Conference, Abu Dhabi.
3-5 February (Tuesday-Thursday): The World Governments Summit.
12-15 February (Thursday-Sunday): The Society for Incentive Travel Excellence Global Conference, Abu Dhabi.
11-13 May (Monday-Wednesday): AI Everything Global, Adnec Center.
The UAE to host the Arab Competition Forum
Dubai to host the Arab Actuarial Conference
United Nations Water Conference 2026, UAE
The first edition of Dubai Future Finance Week.

Signposted to happen sometime in October 2026:

Abu Dhabi Space Week, Abu Dhabi.

Signposted to happen sometime in 2027:

Abu Dhabi’s solar and battery energy facility, combining 5.2 GW of solar capacity and 19 GWh of battery storage, is set for commissioning.

Signposted to happen sometime between 2027 and 2029:

The commissioning of the seventh phase of Mohammed bin Rashid Al Maktoum Solar Park.

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