UAE banks back Pakistan with USD 1 bn facility. PLUS: We have a new unicorn

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WHAT WE’RE TRACKING TODAY

THIS MORNING: MGX in talks to invest in French AI startup Mistral?

Good morning, friends, and happy hump day — also known as news dump day here at EnterpriseAM HQ. Continuing the debt theme this week, our big story today is the USD 1 bn syndicated facility arranged by UAE banks for Pakistan.

We also have plenty of investment news, with a fresh investment from the Abu Dhabi Investment Authority in a private equity fund dedicated to engineering firm Egis, a bumper funding round for Huspy, and a new unicorn.

Plus: Fresh real estate figures suggest the luxury and ultra-prime segments of the market are stronger than ever, and investment platform BlueFive Capital wrapped its founding shareholders circle round.

WEATHER- The mercury peaks at 40°C in Dubai before cooling to an overnight low of 31°C. Over in Abu Dhabi, temperatures will reach as high as 37°C before cooling to 30°C overnight.

WATCH THIS SPACE-

#1- French AI startup Mistral is reportedly in talks to raise as much as USD 1 bn from Abu Dhabi AI investor MGX and others, Bloomberg reports, citing people familiar with the matter. It’s also in talks for debt financing with existing investors like Bpifrance, that could reach hundreds of mns of EUR.

REMEMBER- Mistral and MGX are already working together on the 1.4 GW AI data center campus in Paris, set to be Europe’s largest, alongside Nvidia, with MGX set to bankroll a big portion of the project. It forms part of the UAE’s pledge to invest USD 30-50 bn in French AI and data infrastructure. MGX has also backed OpenAI and xAI, and is helping fund the USD 100 bn “Stargate” AI initiative in the US.

#2- Space42 eyes AED 2.6 bn financing for Al Yah 4 and 5 satellites: Space tech firm Space42 is set to review a proposed AED 2.6 bn (c. USD 695.5 mn) financing package for its Al Yah 4 and Al Yah 5 satellite program, according to a disclosure (pdf).

Breaking it down: The transaction would see Space42 along with two subsidiaries — Yahsat Treasury Sole Proprietorship and Star Satellite Communications Company — enter into a multi-lender financing agreement with a group of unnamed financial institutions. The capital will be allocated toward the development and deployment of the Al Yah 4 and Al Yah 5 satellites. The company has not disclosed a timeline for the expected financing or the names of the institutions with which it is in talks.

ICYMI- Abu Dhabi’s Al Yah Satellite Communications Company (Yahsat) — which was merged with Bayanat later to create Space42 — partnered with SpaceX last year for the launch of its two AED 3.9 bn satellites — Al Yah 4 and Al Yah 5, which will replace two currently operational satellites. Scheduled for launch in 2027 and 2028, the satellites will be sent into space on the US company’s Falcon 9 rocket.

#3- Sectors to watch under the UAE-EAEU Cepa: A new trade pact between the UAE and the Eurasian Economic Union (EAEU) will expand market access for industries including metals, petrochemicals, processed foods, polymers, and consumer goods, Eurasian Economic Commission Trade Minister Andrey Slepnev told state news agency Wam. Over 85% of goods will see tariff reductions, with Emirati exports like polyethylene, cosmetics, and home appliances gaining wider entry to Eurasian Economic Union (EAEU) markets, while goods from the bloc such as dairy, steel and aluminium, and transport products will face fewer barriers entering the UAE.

IN CONTEXT- The UAE ratified a comprehensive economic partnership agreement with the EAEU last month, after concluding trade talks earlier in December. The agreement also targets cooperation in sectors like renewable energy, logistics, and construction across the bloc’s five member states: Armenia, Belarus, Kazakhstan, Kyrgyzstan, and Russia.

#3- Abu Dhabi Investment Group (ADIG) and Banco do Brasil inked an MoU to launch a development investment fund valued at over USD 100 bn on the sidelines of the Brics summit, Khaleej Times reports. The fund aims to support strategic development projects in Brazil and other participating countries.

The announcement formalizes ADIG’s earlier pledge in December 2024 to invest USD 100 bn in Brazil’s infrastructure and agricultural sectors. Plans also included establishing a bank and launching agricultural projects on 400k sqm to support food security programs.

Where will the funds be deployed? The new development fund will target a wide range of sectors, including industry, agriculture, real estate, technology, environment and recycling, energy, retail, infrastructure, healthcare, education and training, transportation, trade, and public debt instruments.

DATA POINTS-

#1- UAE banks’ market cap grew the most in the region in 2Q 2025: Emirati banks saw one of the highest q-o-q growth in market capitalization in the Middle East and Africa in 2Q 2025, according to S&P Global Market Intelligence data published in a recent research note.

Abu Dhabi Islamic Bank saw the biggest jump in market cap, climbing three spots in a ranking of the top 20 banks by market cap in the region with a market cap of USD 21.3 bn by the end of the second quarter, a 34% rise from the previous quarter. The bank posted a 18% y-o-y increase in its 1Q 2025 net income after tax to AED 1.7 bn on the back of a robust balance sheet, accelerated business momentum, and consistent customer growth.

How other local banks fared: Other major Emirati lenders in the list, including First Abu Dhabi Bank, which is the third largest in the region by market cap, Emirates NBD Bank, Abu Dhabi Commercial Bank and Dubai Islamic Bank, also saw double-digit growth in their market caps. Their improved performance stemmed from a reduction in credit risks as a result of measures by the UAE government as part of its economic and social reforms, the research note added. Despite these positive results, UAE banks remain vulnerable to any sudden spikes in geopolitical tensions, S&P Global warned.

#2- The Abu Dhabi Chamber of Commerce and Industry grew to over 157.2k member companies in 9M between September 2024 and June 2025, marking a 4.9% increase during the period, Wam reports.

PSA-

Emirates extended its suspension of flights to and from Tehran until 17 July, citing operational reasons, according to a travel update. Emirates had initially suspended Tehran flights until 5 July following the so-called 12-day war between Iran and Israel earlier in June.

THE BIG STORY ABROAD-

US President Donald Trump’s latest tariff threats are getting top billing in the foreign press. The latest victim: Copper, which could see a 50% tariff on all US imports. US copper prices soared to a record high on the news, with futures trading at USD 5.69 a pound. Commerce Secretary Howard Lutnick said the tariffs could go into effect as soon as at the end of the month or early August.

Plus: Trump said tariffs on pharma products could reach 200%, though he would give manufacturers at least a year or a year and a half to get things in order.

Oh, and the 1 August deadline for reciprocal tariffs? That’s a firm deadline, Trump said, backtracking on earlier comments that suggested he could offer some leeway for talks over trade agreements to resume beyond the deadline. (Bloomberg | CNBC | Reuters | Financial Times | CNN | Guardian)

ALSO- Trump is set to meet with Israeli Prime Minister Benjamin Netanyahu again today with talks focused “exclusively” on Gaza, the US president said, according to Bloomberg. A proposal for a 60-day ceasefire in Gaza has been on the table since last week, with Trump suggesting this week could see an agreement from both sides.

AND- The US Supreme Court cleared the way for Trump to pull the trigger on mass government layoffs after lifting a lower court order that had frozen them earlier. The layoffs — potentially set to reach hundreds of thousands — will affect the departments of agriculture, commerce, health and human services, state, treasury, veterans affairs and other agencies. (Wall Street Journal | Bloomberg | Guardian | Reuters)

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MARKET WATCH-

The latest output boost from Opec+ could tip global oil markets into surplus later this year, Bloomberg reports, after the group blindsided traders with a decision to accelerate the return of more crude to the market. The hike of 548k barrels per day in August will benefit consumers, who could see lower fuel costs in the short-term, but could weigh on producers in the long term.

Even before the new barrels were announced, the International Energy Agency was already forecasting a 1.5% global supply surplus for 4Q. The market was already looking shaky, with Brent futures down 11% over the past two weeks and big banks like Goldman and JPMorgan forecasting a drop toward USD 60/bbl largely due to weak Chinese demand and economic hits from tariffs.

Yes, but: Some analysts believe the real supply impact will be more muted. “The official return of barrels is one thing, but actual new supply versus the headline numbers is another,” RCMA Capital CEO Doug King told Bloomberg. Diesel premiums suggest persistent market tightness and unless inventories visibly rise, crude prices may hold.

UAE banks back Pakistan with USD 1 bn sovereign facility

DIB leads USD 1 bn Islamic financing facility for Pakistan: Dubai Islamic Bank (DIB) led a consortium securing a five-year USD 1 bn syndicated term-finance facility for the Pakistani government, according to a press release.

The details: The transaction features a USD 890 mn Islamic tranche structured as a commodity Murabaha. The facility benefits from a partial guarantee by the Asian Development Bank (ADB), representing the first policy-based assurance issued by ADB for Pakistan.

The facility marks Pakistan’s return to the Islamic finance market after a two-year hiatus, the statement said.

ADVISORS- DIB served as sole Islamic global coordinator for the transaction, with Standard Chartered acting as joint mandated lead arranger. Abu Dhabi Islamic Bank, Ajman Bank, Sharjah Islamic Bank, and Pakistan’s Habib Bank Limited were also arrangers.

DIB has been on a roll: DIB and Emirates NBD also inked a USD 175 mn Murabaha financing agreement with Turkish low-cost retail giant A101 last month. The move will see the Dubai lenders extend a five-year Islamic loan to A101 to support its expansion drive in Turkey.

Adia, Apollo invest in Tikehau’s EUR 1 bn fund to back Egis growth

Adia subsidiary joins Tikehau’s EUR 1 bn private equity fund: A consortium comprising a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA) and private capital group Apollo’s private markets fund Apollo S3 invested in global asset manager Tikehau Capital ’s EUR 1 bn private equity continuation fund, according to a press release (pdf). The fund is dedicated to Tikehau’s engineering and consulting portfolio company Egis.

Use of proceeds: The funding will help Egis pursue strategic acquisitions, as it looks to double in size by 2028, with a particular focus on building a stronger platform in North America “that matches the scale of the market,” CEO Laurent Germain said.

Who else joined in? The fund also received backing from investment manager Neuberger Berman and the Tikehau Decarbonization Fund II — Tikehau’s second decarbonization-focused private equity fund, which recently surpassed EUR 2 bn in total commitments.

The continuation fund also received additional subscription commitments, providing Egis with further support for future capital raises.

Adia has been an active investor in private equity + private credit funds this year: Adia also acquired an additional USD 5 mn stake in Jefferies Credit Partners’ debt fund last month and anchored AlbaCore’s USD 1.8 bn European lending strategy in March.

Dubai’s USD 10+ mn home sales grow in 2Q 2025 as global HNWIs demand holds strong

Dubai’s ultra-prime real estate market logged USD 2.6 bn in home sales priced above USD 10 mn in 2Q 2025, up 37% q-o-q and 63% y-o-y, Bloomberg reports, citing Knight Frank data. The surge came despite a volatile quarter — marked by the 12-day Israel-Iran conflict and the announcement of US President Donald Trump’s reciprocal tariffs — as favorable visa reforms and continued demand from wealthy expats sustained momentum.

A total of 143 high-value transactions were logged, up 52% y-o-y, including 22 sales above USD 25 mn in value. For the first time since 2Q 2023, more apartments above the USD 10 mn mark were sold than villas — 80 compared to 63 — signaling a shift in buyer preferences at the top end of the market.

ICYMI- Dubai recorded 111 transactions over USD 10 mn in 1Q — the highest 1Q total on record. That followed a record 435 such sales in 2024, nearly matching the combined tally for London and New York.

Prices steady q-o-q: Average prices across 10 prime neighborhoods rose 18% y-o-y but held flat q-o-q. This suggests that “healthy market activity,” rather than price inflation, drove the jump in total transaction value, Knight Frank notes.

More holding, less flipping: The share of homes resold within a year fell to around 5% in 2Q, well below the 28% peak seen in 2008 and pointing to a more stable, long-term investor base and reduced speculative investing.

REMEMBER- It’s going to be a big year for HNWIs eyeing the UAE: Knight Frank forecasts USD 10.3 bn in global capital will flow into Dubai’s property market by year-end, up from USD 6.9 bn in 2024. In a survey of 387 high-net-worth individuals (HNWIs), 68% ranked UAE residential real estate as their top asset class, with 33% planning to invest in 2025. Over half are considering relocating to Dubai as a primary residence. That’s not to mention that some 9.8k m’naires are set to relocate to the UAE this year.

Yes, but: Fitch Ratings expects a moderate correction in Dubai home prices beginning in 2H 2025, following a roughly 70% increase since 2021. While prime areas are seen as more resilient, non-core neighborhoods could see declines of up to 15% as new supply — projected to exceed 250k units by 2027 — begins to outpace population growth. Moody’s and Deloitte also forecast a slowdown or stabilization in price and rent growth.

LUXURY SECTOR FARED BETTER THAN MOST IN JUNE-

The ValuStrat Price Index (VPI) for Dubai residential properties rose 23.9% y-o-y and 1.5% m-o-m in June, according to ValuStrat’s latest report (pdf). Villa prices continued to outperform apartments, with values up 28.7% y-o-y compared to 19.1% for apartments. Freehold villa values across Dubai are now 180% higher than post-pandemic levels, while apartment values are up 73%.

Luxury neighborhoods led price gains: Villa prices in Jumeirah Islands and Palm Jumeirah saw the strongest annual growth, rising 41.1% and 40.5% respectively. Among apartments, The Greens topped the chart with a 24.4% increase, followed by Dubai Silicon Oasis at 23.4%. ValuStrat logged 40 ready-property transactions priced above AED 30 mn in June alone, including 15 that exceeded AED 50 mn.

Off-plan demand led the rally: Off-plan transactions accounted for 73.4% of all residential transactions in June. While registrations dipped 8% m-o-m, they remained up 60.1% y-o-y. Ready secondary-home transactions fell 14.3% m-o-m but were still 11% higher y-o-y. Jumeriah Village Circle and Business Bay were among the most active areas for both off-plan and secondary market sales.

Developer leaderboard: Emaar led June sales with a 13.9% market share, followed by Damac, which held a 13.3% market share.

Smart contact lens startup Xpanceo joins unicorn club

Dubai-based deeptech startup Xpanceo achieved unicorn status after raising USD 250 mn in a Series A round led by Hong Kong’s Opportunity Venture, bringing its valuation to USD 1.35 bn, according to a press release. The same investor previously backed the firm in 2023 with USD 40 mn in seed funding.

Xpanceo? Founded in 2021 by Russian entrepreneur Roman Axelrod (LinkedIn) and Ukrainian scientist Valentyn Volkov (LinkedIn), Xpanceo is developing smart contact lenses that seek to replace personal gadgets by integrating extended reality (XR) technology directly into the human eye — aiming to reach clinical trial readiness by the end of 2026. The company has built 15 lens prototypes to date and has already developed lenses with health monitoring and enhanced night vision features.

Where will the money go? The capital will fund the development of what the company claims will be the world’s first AI-powered XR contact lens, with features including night vision, optical zoom, real-time health monitoring, and XR options. Other lenses in the pipeline integrate real-time wireless charging and data transfer, 3D imaging, and color correction.

Proptech Huspy raises USD 59 mn for Saudi and Europe expansion

Huspy secures USD 59 mn in Series B funding for Saudi expansion: UAE-based property tech and mortgage firm Huspy raised USD 59 mn in a Series B funding round led by returning investor UK venture capital firm Balderton Capital, according to a press release. The financing round also saw participation from Peak XV, ExBorder Partners, Turmeric Capital, BY Ventures, Dara Management, and KE Partners.

The funding will help fuel Huspy’s expansion, as it looks to enter Saudi Arabia this year, and launch services in six more cities in Spain by the end of the year, with plans to launch operations in all major European and Middle Eastern cities in the next four years.

Huspy? Founded in 2020, the startup offers end-to-end real estate services in the UAE and Spain, bringing in USD 7 bn annually from real estate transactions. Its mortgage business is the largest in the Emirates, accounting for over 25% of the financing in Dubai’s residential segment, the press release read. The proptech firm wrapped a funding round also led by Balderton Capital in May last year. Back in 2022, it raised USD 37 mn in capital in a Series A round led by Peak XV.

BlueFive Capital closes oversubscribed funding round at USD 120 mn valuation

Hazem Ben-Gacem’s BlueFive Capital closes oversubscribed founding round at USD 120 mn valuation: BlueFive Capital, the investment platform founded by former Investcorp Co-CEO Hazem Ben-Gacem, closed its oversubscribed founding shareholders circle round, valuing the firm at USD 120 mn, according to a press release. The round wrapped up in under six months since the firm’s launch in November 2024. The size of the investment and stake allocations were not disclosed.

Who’s backing it? BlueFive’s founding shareholder base includes 25 institutions and family offices, including prominent GCC merchant and royal families, alongside finance leaders from North America, Europe, and Asia.

The fund manages over USD 650 mn in assets, operated by a 27-member team spread across London, Bahrain, Abu Dhabi, Dubai, Riyadh, Jeddah, Singapore, and Beijing.

What they said: “The GCC is our launchpad, but our vision is hemispheric: connecting institutional-grade platforms to underserved capital markets, driving the next wave of global prosperity,” Ben-Gacem said.

ICYMI- BlueFive Capital was launched in November 2024, targeting investments across the Gulf, Asia, and Latin America, with the goal of becoming a USD 25 bn platform within five years. It plans to operate through two entities: BlueFive Financial, focusing on consolidating potential investments in financial services; and BlueFive Asset Management, expected to launch next year, which will target private equity and infrastructure investments.

Taaleem appoints new head for Harrow Schools + Al Masraf taps new CFO. Plus: New leadership at Dubai Silicon Oasis and DIEZ

Taaleem tap head for UAE Harrow schools: Our friends at Taaleem have appointed Simon O’Connor (LinkedIn) as executive principal of Harrow International UAE, overseeing both Harrow International School Dubai, opening in August 2026, and Harrow International School Abu Dhabi, set to open in 2027, according to a press release. The two campuses mark the UAE debut of Britain’s Harrow International Schools.

O’Connor has over 25 years of experience leading both British and international schools, including his most recent role as director of Deira International School and chief education officer at Al Futtaim Education Foundation.

The Arab Bank for Investment and Foreign Trade (Al Masraf) tapped Hitesh Thakkar (LinkedIn) as chief financial officer, according to a press release. Thakkar will oversee financial planning, performance management, and capital efficiency. He joins from Emirates NBD, where he served as group head of finance for retail banking and wealth management. His previous roles include CFO of Emirates Islamic Bank, as well as positions at ABN Amro and BNP Paribas.

DIEZ appoints new leadership: The Dubai Integrated Economic Zones Authority’s (DIEZ) chairman Sheikh Ahmed bin Saeed Al Maktoum appointed Juma Al Matrooshi (LinkedIn) as Assistant Executive Chairman for Investments and Partnerships, according to the Dubai Media Office. Al Matrooshi was most recently the director general of Dubai Silicon Oasis. Badr Buhannad (LinkedIn), formerly the deputy director general at DSO, will now take his place, the statement read.

Du, Omantel activate 275-km subsea cable

TELECOMS-

UAE-Oman subsea cable goes live: State telco du and Oman Telecommunication Company’s (Omantel) activated a new 275 km fiber-optic submarine cable linking the DX1 data center in Dubai with ones in Oman’s Barka and Salalah, according to a press release. The Oman Emirates Gateway system includes both terrestrial and subsea routes, and aims to boost cross-border connectivity and cloud access for hyperscalers, content providers, and international carriers.

More cables in the pipeline: The launch comes amid a wider regional push to expand digital and power infrastructure. Key projects underway include the 1.4k km Al Khaleej subsea data cable connecting Bahrain to the UAE and other Gulf states, which is set to go live in 2Q 2026, and an 11k km ICE IV data cable linking southeast Asia to the Gulf, set to be operational in 4Q 2027. A EUR 1 bn UAE-Italy-Albania renewable energy cable is also expected to be up and running within three years, while a USD 6 bn UAE-India electricity export cable is in the works.

INFRASTRUCTURE-

#1- Parsons wins Dubai Metro Blue Line contract: US multinational Parsons Corporation secured a five-year project management consultant contract for Dubai Metro’s Blue Line from Dubai’s Roads and Transport Authority (RTA), according to a press release. Parsons previously worked on the Dubai Metro Red and Green lines, and Route 2020 extension projects.

The details: The firm will provide design review, construction supervision, and commissioning oversight. The AED 20.5 bn, 30 km line spans 14 stations and connects districts like Mirdif and Dubai Silicon Oasis. It has a target capacity of 320k daily passengers per day, and aims to become operational in 2029.

ICYMI- Construction work on the Dubai Blue Metro line started last month, after the RTA awarded the project to a consortium of Turkey’s Mapa and Limak, and China’s CRRC last year.

#2- Abu Dhabi + Plenary Group partner on infrastructure: The Abu Dhabi Projects and Infrastructure Center (ADPIC) inked a MoU with Australian infrastructure investment and development firm Plenary Group to plan, develop, and implement private sector engagement in infrastructure projects within the emirate, according to the Abu Dhabi Media Office.

REMEMBER- ADQ acquired 49% of Plenary last year, and rolled out a co-development and investment platform, Plenary Middle East, for public and social infrastructure prospects in regions across the Middle East and Central Asia.

The bigger picture: Abu Dhabi is looking to sign AED 47 bn worth of infrastructure projects with the private sector in 2H 2025 and is planning to develop AED 450 bn in infrastructure projects over the next five to ten years.

CAPITAL MARKETS-

ASB Capital + Amwal Capital launch MENA equity fund: Al Salam Bank-backed asset manager ASB Capital and Dubai-based asset management firm Amwal Capital Partners launched the ASB MENA Equity Fund, according to a press release. The co-managed fund targets long-term growth through investments in publicly-listed MENA region equities.

The details: The fund aims to outperform the S&P Pan Arab Composite Shariah Equities Index. It will spread exposure over sectors including the finance, industrial, consumer, and healthcare fields, and is open to institutional and individual investors, offering Shariah-compliant structures.

ICYMI- ASB Capital, which entered the market in February, also launched the ASB Global Sukuk Fund with Arqaam Capital to invest in a portfolio of sukuk securities, and partnered with State Street Global Advisors (SSGA) in April to roll out a Shariah-compliant global equity fund.

BANKING-

Ruya partners with UK Shariah-compliant solutions provider: Homegrown digital Islamic community bank ruya has partnered with London-headquartered DDCAP Group, which provides Shariah-compliant intermediary services for the banking and finance sector, for a commodity Murabaha offering, according to a press release.. The bank will use DDCAP’s platform, Ethos AFP, to structure and execute the transactions digitally.

The collaboration comes amid a wider Islamic banking push, after a national strategy to increase Islamic banking assets to AED 2.6 tn was approved in May.

STARTUPS-

UAE's ICV-certified SMEs gain access to e& UAE's digital benefits: The Industry and Advanced Technology Ministry inked a MoU with e&’s tech solutions arm e& UAE to provide benefits for In-Country Value (ICV)-certified small and medium enterprises, according to a press release. e& will offer tailored packages to the firms, including discounted rates on internet services, mobile plans, digital payment solutions, and Microsoft productivity tools. The agreement covers over 7k SMEs registered under the National ICV Program.

REFRESHER- The ICV program supports the country’s industrial strategy by redirecting procurement budgets from major companies and government entities into the domestic economy. It also includes ICV certificates which hands firms prioritizing supply chain localization an advantage in tenders and contracts.

AVIATION-

AirEuropa marks Middle East debut: Spanish carrier Air Europa launched a direct route between Abu Dhabi and Madrid through a wet lease arrangement with Etihad Airways, using its own B787-9 aircraft and crew, according to a press release. The aircraft seats 32 business and 307 economy passengers, and the route marks the first time Air Europa has launched operations from the region.

SOUND SMART- A wet lease is when an airline provides an aircraft along with its crew, maintenance, and ins. to another airline for a set period.

DEVELOPMENT-

ADFD inaugurates AED 367 mn Maldives airport project: The Abu Dhabi Fund for Development (ADFD) inaugurated the Maafaru International Airport in the Maldives, an AED 367 mn infrastructure project, Wam reports. The ADFD was involved in the construction of the airport, which includes a 2.8 km runway facility that can accommodate wide-body aircraft including Airbus A330s and Boeing 777s. To date, the ADFD has helped finance AED 1.1 bn worth of development projects in the Maldives.

Global sukuk issuance down 15% in 1H -S&P Global

The global sukuk market fell 15% y-o-y to USD 101.3 bn during the first half of 2025, S&P Global Ratings said in a report. The ratings agency expects sukuk to be instrumental in financing countries heavily reliant on oil revenues, with expectations that oil prices will average USD 60 bbl/d this year, and USD 65 next year.

Foreign currency sukuk issuances grew 9% to reach USD 41.4 bn in 1H, during the period, as banks and corporates tapped Islamic capital markets for expansion funding amid strong economic conditions. The uptick was led by a rise in issuances in the UAE, Kuwait, and Bahrain, while Saudi Arabia saw a small decline.

Holding the line: The ratings agency expects the upward foreign currency issuances trend to continue for the rest of the year, accounting for USD 70-80 bn in 2025. The regional geopolitical situation is not expected to see escalation, and the US Federal Reserve’s expected interest rate cut should also bolster the market.

A different story for local issuances: Local currency issuances shed 26.2% to log USD 59.8 bn in 1H, expected to continue its downward trend in the second half of the year. The decline was attributed to lower local currency issuances in core markets, most notably in government issuances from Saudi Arabia, where liquidity is channeled into financing Vision 2030 projects. Malaysia is also seeing lower borrowing needs after it managed to reduce financial deficits.

MEANWHILE- Sustainable sukuk issuance rose by 27% y-o-y to USD 9.3 bn, with banks accounting for 50% of issuance volumes, while Saudi Arabian issuers accounted for 60%. The rise was aided by the “significant” role of the Islamic Development Bank, and the high financing needs of Saudi banks.

MARKETS THIS MORNING-

Asian markets are mixed this morning, after US President Trump signaled he won’t budge on the 1 August tariffs deadline. Hong Kong’s Hang Seng is down 0.8%, while Japan’s Nikkei remains unchanged, and the Shanghai Composite is up 0.3%. Meanwhile, Wall Street futures are holding steady as investors wait for more clarity on the tariffs situation.

ADX	10,012	+0.1% (YTD: +6.3%)
DFM	5,794	-0.1% (YTD: +12.3%)
Nasdaq Dubai UAE20	4,789	-0.1% (YTD: +15.0%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	4.1% o/n	4.3% 1 yr
TASI	11,294	-0.5% (YTD: -6.3%)
EGX30	33,038	+0.4% (YTD: +11.1%)
S&P 500	6,226	-0.1% (YTD: +5.9%)
FTSE 100	8,854	+0.5% (YTD: +8.3%)
Euro Stoxx 50	5,372	+0.6% (YTD: +9.7%)
Brent crude	USD 70.02	+0.6%
Natural gas (Nymex)	USD 3.34	-2.1%
Gold	USD 3,317	-0.8%
BTC	USD 108,711	+0.5% (YTD: +16.1%)
Chimera JP Morgan UAE Bond UCITS ETF	AED 3.51	-0.6% (YTD: -1.6%)
S&P MENA Bond & Sukuk	145.83	0.0% (YTD: +4.2%)
VIX (Volatility Index)	16.81	-5.5% (YTD: -3.1%)

THE CLOSING BELL-

The DFM fell 0.1% yesterday on turnover of AED 729.1 mn. The index is up 12.3% YTD.

In the green: International Financial Advisors (+10.9%), GFH Financial Group (+10.4%) and National Industries Group Holding (+7.7%).

In the red: Dubai National Ins. and Reins. (-9.4%), National General Ins. Company (-7.5%) and Agility The Public Warehousing Company (-6.0%).

Over on the ADX, the index rose 0.1% on turnover of AED 1.4 bn. Meanwhile, Nasdaq Dubai was down 0.1%.

CALENDAR

JULY

7-25 July (Monday-Friday): Subscription window for Al Mal Capital REIT’s follow-on offering on the DFM.

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

AUGUST

8-15 August (Friday-Friday) Expected trading window for Al Mal Capital REIT’s new units on the DFM.

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 Center.

10-11 September (Wednesday-Thursday): Mena Public-Private Partnership Forum ,Dubai.

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): The KT UniExpo, The H Dubai.

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 Center.

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

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 October (Thursday): Family Office Summit, Park Hyatt, Dubai.

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 Center 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

11-17 November (Tuesday-Monday): International Council of Museums (ICOM) General Conference, Dubai

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 Center, 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.

29-30 December (Monday-Tuesday): World Sports Summit, Dubai.

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 2H 2025:

Closing of XRG's acquisition of Covestro

Signposted to happen sometime in 2026:

1 January: Client asset regime changes in Dubai International Financial Center take effect.
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
Investopia Global Talks, Tashkent

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:

Sibos 2029 organized by the Society for Worldwide Interbank Financial Telecommunication (SWIFT), Dubai.
The commissioning of the seventh phase of Mohammed bin Rashid Al Maktoum Solar Park.

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