DUBAI: Middle Eastern stock markets fell on Tuesday because of the global downturn in equities.
But the region outperformed emerging markets in Asia, where MSCI’s broadest index of Asia-Pacific shares excluding Japan plunged 3.6 percent.
Because of low oil prices and poor liquidity, the Gulf greatly underperformed the uptrend in global emerging markets last year, so fund managers said it may be less prone to profit-taking and have less distance to fall on the way down.
The Saudi stock index fell 1.6 percent with declining stocks outnumbering gainers by 169 to 13. Cement shares continued to pull back after big gains last week, with Jouf Cement down 3.3 percent.
Mediterranean & Gulf Cooperative Insurance and Reinsurance fell a further 5 percent, having lost almost 10 percent on each of the previous two days. The Capital Market Authority has said it might suspend or cancel trade in the stock following the central bank’s decision to prohibit the firm from issuing or renewing policies pending a capital increase.
But the biggest bank, National Commercial Bank, rose 0.7 percent. It reported a fourth-quarter net profit of SR2.56 billion ($683 million), up from SR2.29 billion a year ago. SICO Bahrain had forecast SR2.16 billion.
PetroRabigh added a further 3.1 percent after soaring 9.9 percent on Monday, when it reported a leap in fourth-quarter net profit.
Dubai’s index fell 1.5 percent as losing stocks outnumbered gainers by 32 to three. Abu Dhabi’s index sagged 0.9 percent.
In Qatar, the index lost 2.1 percent. Salam International Investment, the most heavily traded stock, closed 3.2 percent lower, far off its intra-day low. It had plunged by its 10 percent daily limit on Monday, when it posted an annual net loss of 89.9 million riyals ($24.7 million) versus a year-earlier profit of 119.7 million riyals.
Egypt’s index lost 1.6 percent but exchange data showed foreign investors were net buyers of strocks, by a modest margin.
Gulf stocks dragged down by rout across global markets
Gulf stocks dragged down by rout across global markets
Saudi Arabia launches Social Infrastructure Financing Program
RIYADH: Saudi Arabia has announced the launch of the Social Infrastructure Financing Program, a strategic initiative to boost private sector investment in the Kingdom’s healthcare and education sectors.
The program was unveiled on Dec. 9 under the patronage of Minister of Economy and Planning and National Infrastructure Fund Board Chairman Faisal Alibrahim during the three-day Momentum 2025 conference, organized by the National Development Fund.
SIFP is a strategic initiative designed to catalyze private-sector investment in the Kingdom’s healthcare and education sectors.
The program supports the realization of Saudi Vision 2030 objectives, increasing private sector contribution to gross domestic product from 40 percent to 65 percent, while directly supporting sectoral ambitions to raise private sector participation in healthcare to 32 percent, and student enrollment in private schools to 25 percent by 2030.
Developed in close collaboration with the Ministry of Health, the Ministry of Education, and the Education and Training Evaluation Commission, the program enables the private sector to expand its role in priority sectors while enhancing the quality, accessibility, and diversity of services provided.
The program introduces two innovative financing solutions in the form of Co-Financing and Credit Guarantees, with tenures of up to 15 years, to be deployed in partnership with leading local banks, including Arab National Bank, Al Rajhi Bank, and Banque Saudi Fransi, as well as Riyad Bank, Saudi Awwal Bank, and Saudi National Bank.
The program targets private sector projects with a minimum cost of SR30 million ($8.1 million).
Esmail Al-Sallom, CEO of Infra, said that the program advances the Kingdom’s ambitions for stronger private-sector participation.
“Through SIFP, we aim to support elevating the quality of healthcare and education services, diversify offerings in line with national priorities, and empower banks to expand their lending to high-impact social infrastructure,” he said.
SIFP supports a broad spectrum of social infrastructure projects, including general and specialty hospitals, long-term care and rehabilitation centers, and educational institutions from early childhood to higher education, including facilities for students with special needs.
As part of Infra’s developmental role and in coordination with the Ministry of Health, the Ministry of Education, and their respective ecosystems, the program offers additional coverage of up to 20 percent for beneficiaries who meet strategic target criteria.
It also provides performance-linked incentives based on project quality, outcomes, and services delivered.
