Central Banks in Saudi Arabia, Bahrain, and Qatar Follow US Federal Reserve’s Lead and Raise Benchmark Rates

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The central banks of Saudi Arabia, Bahrain, and Qatar increased their benchmark borrowing rates following a 25 basis point increase in the US Federal Reserve’s key interest rate. Saudi Arabia’s Repurchase Agreement (Repo) rate rose 25 basis points to 5.50%, while the Reverse Repurchase Agreement (Reverse Repo) rate increased 25 basis points to 5.00%. Bahrain’s Central Bank tweeted that the one-week deposit facility rate rose to 5.75% from 5.5%, and the overnight deposit rate increased to 5.5% from 5.25%. 

Meanwhile, the Central Bank of Qatar raised deposit, lending, and repo rates by 25 basis points to 5.25%, 5.75%, and 5.5%, respectively, effective on Thursday. The Central Bank of the UAE had previously raised the base rate for the Overnight Deposit Facility (ODF) by 25 basis points to 4.90% from 4.65%, effective from March 23, 2023.

Gold Prices Rise as US Fed Signals a Less Aggressive Stance on Inflation

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According to Reuters, gold prices rose on Wednesday as the US Federal Reserve tempered its efforts to control inflation. Spot gold climbed 1.7% to $1,973.52 per ounce by 3:56 p.m. EDT (1956 GMT) after rising by as much as 2%, while US gold futures settled 0.4% higher at $1,949.60 prior to the Fed’s announcement. Despite raising interest rates by 0.25%, the Fed hinted at a potential pause in future increases due to ongoing financial market turmoil.

Dubai retailers advise consumers to seek alternatives and promotions ahead of Ramadan

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Retailers in Dubai are advising consumers to explore alternative options and take advantage of promotions during the upcoming holy month of Ramadan. This comes after the UAE’s Ministry of Economy permitted a temporary 13% increase in prices of eggs and poultry due to challenges related to raw material imports and high production costs. 

In response, retailers such as Union Coop, Al Maya, and Noon have announced discounts and promotions to support consumers. Union Coop, a government-backed retailer, stated that the ministry’s decision aims to preserve food security and a balanced merchant-consumer relationship across all marketplaces at the national level. Al Maya Supermarket has prepared various offers and promotions to meet the demands of customers during Ramadan, with a focus on the food and beverage category. Noon.com has announced discounts of up to 70% on several items, with the campaign running from March 27 until April 4. The Redseer Strategy Consultants suggest that consumers in the UAE and Mena region are increasingly turning towards community channels for informed purchasing decisions during Ramadan.

Dubai to Host Spectacular Free Fireworks Displays Every Saturday During Ramadan 2023

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Starting next week, every Saturday during Ramadan, visitors to Dubai can enjoy fireworks displays at various locations including Bluewaters, The Beach at Jumeirah Beach Residence (JBR), Al Seef, and Dubai Festival City Mall. The shows will run from April 1 to April 15 and begin at 10pm, with no admission fee. To make it easier to attend, bus or marine transport will also be available to the venues, timings for which can be found on the RTA website.

UAE Traffic Police Urge Safe Driving During Ramadan in Sharjah and Ras Al Khaimah

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Traffic police officials in the UAE are reminding motorists to drive safely and follow traffic rules during the month of Ramadan. Lieutenant Colonel Mohammad Alay Al Naqbi, Director of the Sharjah Police Traffic and Patrol Department, emphasized the importance of driving responsibly, maintaining a safe distance, and adhering to the speed limit, especially during the holy month. He also urged drivers to avoid parking in front of mosques and to call the police if they observe any violations.

 To ensure road safety, Sharjah’s traffic department will deploy 100 patrols, distribute iftar meals, and regulate entry and exit to and from mosque parking lots. Lt Col Al Naqbi reminded the public to exercise caution and not to let their children go out before iftar to prevent accidents. Meanwhile, Brigadier Dr Mohammad Saeed Al Hamidi, Director-General of Central Operations at Ras Al Khaimah Police, warned of common mistakes that cause fatal accidents during Ramadan, such as speeding, exhaustion, and lack of lane discipline. He also urged drivers with diabetes to prioritize their health and call for medical support if necessary.

UAE announces public transport and parking timings during Ramadan

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Free parking during Ramadan and special timings for public transport services have been announced by transport authorities in different emirates in UAE. During Taraweeh prayers, motorists are urged to avoid parking their vehicles in front of mosques and follow traffic rules. The timings for Darb toll gates in Abu Dhabi will be changed with peak hours being between 8am and 10am and 2pm to 4pm from Monday to Saturday. The Integrated Transport Centre (ITC) of the Department of Municipalities and Transport also announced that Mawaqif parking fees will remain the same from 8am to 12am, except on Sundays when it’s free. The customer happiness centres in Abu Dhabi City Municipality and Al Ain City Municipality will be open on Monday to Thursday from 9am to 3pm and on Fridays from 9am to 12pm. Public bus timings in Abu Dhabi and suburbs will be from 5am/6am to 1am the next day, while in Al Ain, buses will operate from 7am to 2am, and in its suburbs from 6am until 11pm, with some services operating until 12am. Abu Dhabi Express services will operate from 6am to 11pm during weekdays and 6am to 1am on weekends, while the Abu Dhabi Link service will operate from 6am to 11pm daily. 

Dubai’s public parking timings on Monday to Saturday will be from 8am to 6pm and 8pm to 12 midnight, while TECOM area will be from 8am to 6pm. Dubai Metro’s Red and Green Stations will operate from 5am to 12 midnight on Monday to Thursday, 5am to 1am on Friday, and 5am to 12 midnight on Saturday. On Sunday, services will be from 8am to 12 midnight. The Dubai Tram will operate from 6am to 1am from Monday to Saturday and 9am to 1am on Sunday, while bus routes will operate from 6am to 1am the next day. The intercity bus routes that will be operational include E16 from Al Sabkha to Hatta, E100 from Al Ghubaiba to Abu Dhabi, E101 from Ibn Battuta to Abu Dhabi, E102 from Ibn Battuta to Al Mussafah, E201 from Al Ghubaiba to Al Ain, E303 from the Union Station to Al Jubail in Sharjah, E306 from Al Ghubaiba to Al Jubail in Sharjah, E307 from City Centre Deira to Al Jubail in Sharjah, E307A from Abu Hail to Al Jubail in Sharjah, E315 from Etisalat station to Muwaileh in Sharjah, E400 from the Union station to Ajman, E411 from the Union station to Ajman, and E700 from the Union Station to Fujairah. Vehicle technical testing centers will have business hours from Saturday to Thursday between 9am to 3pm.

AD Ports Group partners with Egypt’s Suez Canal Economic Zone for port development projects

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The AD Ports Group from UAE is expanding its operations in Egypt through a partnership with the Suez Canal Economic Zone (SCZone) to develop several projects in ports located within the economic zone. The ports of East Port Said, West Port Said, and Al Areesh will be developed by AD Ports as part of this initiative. The company sees significant investment opportunities in Egypt and plans to strategically expand its operations in the country, backed by ambitious economic development plans. AD Ports recently signed a 30-year concession agreement worth $200 million to develop, manage, and operate the Egyptian multi-purpose terminal in the Red Sea port of Safaga, and also signed additional agreements concerning ports in the country’s Red Sea and Mediterranean Sea regions.

 The partnership with SCZone will see AD Ports invest in building two cement terminals worth a combined $33 million at Al Arish Port and West Port Said Port. The terminals are expected to double Egypt’s cement exports to global markets and become operational by the last quarter of 2023. AD Ports also operates ports and logistics parks in Abu Dhabi and Fujairah, has a facility in Guinea, and plans to develop extensive trade corridors connecting the UAE with international markets.

World Bank approves new five-year strategy to support Egypt’s business environment and green development goals.

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The World Bank has approved a new five-year strategy for Egypt, with a focus on improving the nation’s business environment and promoting green development. The plan, which falls under the country partnership framework, outlines lending plans and operations for the bank in Egypt. It aims to create more private-sector jobs, enhance healthcare and education services, and bolster Egypt’s resilience to economic shocks through better macroeconomic management and climate change adaptation. Marina Wes, country director for Egypt, Yemen, and Djibouti, emphasized the program’s emphasis on job creation and leveling the playing field for the Egyptian people. 

The World Bank and International Monetary Fund have long advocated for reducing the government’s role in Egypt’s economy to support private enterprise, a position that was reflected in an IMF loan package negotiated last year. The framework will be backed by $7 billion in lending, including $1 billion annually from the International Bank for Reconstruction and Development and approximately $2 billion from the International Finance Corp over the entire period. In other news, the World Bank’s Global Economic Prospects report indicates that global growth is expected to slow sharply in 2023, with the global economy projected to grow by 1.7% in 2023 and 2.7% in 2024 due to elevated inflation, higher interest rates, reduced investment, and disruptions caused by the Russia-Ukraine crisis.

ADQ’s AgTech Park Launches Vertical Farming Project in Partnership with Zero to Enhance Indoor Farming in UAE

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AgTech Park, an agricultural ecosystem established by ADQ, an investment and holding company based in Abu Dhabi, has begun its operational phase with the launch of a vertical farming project in partnership with Zero, a high-impact technology company based in Italy. The farming facility is the first of several controlled environment agricultural concepts that will be housed in AgTech Park and will focus on enhancing indoor farming locally and exploring desert-climate farming in the UAE. The project aims to strengthen the local production of crops, fruits, and vegetables for multiple applications, including fresh food, nutraceuticals, and biopharmaceuticals. The inaugural farming facility is located in KEZAD, which has a well-established ecosystem for food industries across the entire value chain, creating a strong base for growth for both local producers and the food industry as a whole. 

The 200-hectare AgTech Park aims to target production volumes of over 40 kilotonnes of fresh fruits and vegetables annually, accounting for up to 6 per cent and 12 per cent, respectively, of the UAE’s total consumption and import of the produce grown within the park. The park will utilize a variety of sustainable farming techniques to localize the food supply chain in line with the National Food Security Strategy 2051. The pilot phase of the Zero project will conclude in the summer of 2023, and a 40,000 square metres commercial phase of the vertical farm is expected to be launched in Al Ain, along with other projects featuring controlled-environment technologies.