SHANGHAI: The New Development Bank (NDB), set up by the BRICS group of major emerging economies, wants loans to the private sector to eventually take up a 30 percent share of its project portfolio, a senior executive at the bank said on Tuesday.
Xian Zhu, the NDB’s chief operating officer, said that the bank was targeting an overall 70-30 split between sovereign and non-sovereign loans in its project portfolio, and was seeing strong demand for private sector loans especially in Brazil, South Africa and Russia.
The Shanghai-based bank on Monday approved six new projects which brought its loan portfolio up to over $5.1 billion across 21 projects. Two of these were non-sovereign loans, which are issued to companies without a government guarantee.
“In India and China, there’s very strong demand for sovereign ... But on the other hand, some other countries for different reasons they probably prefer more non-sovereign lending,” he said.
“Some countries they still have some sort of fiscal difficulties. Secondly, the debt sustainability is a concern. They don’t want to borrow too much in sovereign terms. So they prefer you do more market transactions.”
The bank’s first non-sovereign project was a $200 million loan to Brazil’s Petrobras for an environmental protection scheme and the second a $200 million loan to South Africa’s Transnet to reconstruct a port in Durban.
Xian said that there was a gap in the market for them to fill as they were willing to make long-term loans with tenures of at least 10 years.
The NDB is seen as the first major achievement of the BRICS — Brazil, Russia, India, China and South Africa — since they joined forces in 2009 to press for a bigger say in the global financial order created by Western powers after World War Two.
BRICS development bank to expand lending to private sector
BRICS development bank to expand lending to private sector
Egyptian state-run infrastructure firm to establish Saudi branch
RIYADH: Egypt’s Holding Co. for Roads, Bridges, and Land Transportation Projects is planning to establish a branch of its headquarters in Saudi Arabia after securing contracts for infrastructure projects in the Kingdom.
The decision to set up the Saudi branch was approved by Egyptian Transportation Minister Kamel Al-Wazir during the company’s general assembly meeting held on Tuesday.
Al-Wazir, in a statement to the cabinet, emphasized the company’s expansion plans and its interest in exploring business opportunities, particularly in African and Arab countries.
He also expressed interest in broadening the scope of the holding company beyond its primary focus.
“There is a need to expand into activities other than roads and bridges, such as the establishment of concrete sleepers’ factories,” added Al-Wazir in the cabinet note.
Saudi Arabia aims to be among top 10 countries in logistics: transport minister
RIYADH: Saudi Arabia aims to be among the top 10 countries in logistics services, said Transport Minister Saleh bin Nasser Al-Jasser on Wednesday at the fourth Extraordinary Congress of the Universal Postal Union.
Dubai launches family-business support program
RIYADH: Dubai has introduced an initiative aimed at empowering the next generation of leaders in family-owned businesses, a vital component of the UAE’s local economy. The announcement was made by Sheikh Maktoum bin Mohammed, first deputy ruler of Dubai, deputy prime minister and minister of finance of the UAE, on Tuesday.
The Dubai Family Business Management Program is designed to empower the future leaders within family businesses, ensuring their sustained success and effective navigation through generational transitions.
Emphasizing the program’s goals, Sheikh Maktoum said: “As part of the Dubai Centre for Family Businesses activities and in partnership with Mohammed Bin Rashid Center for Leadership Development, we launched the Dubai Family Business Management Program.”
He added that the move aims to empower the second tier of leaders in family businesses to ensure their continuity, smooth succession of ownership and management, and strengthen their global presence.
On the X platform, formerly Twitter, he further emphasized the integral role of family businesses in Dubai’s economic success. He expressed that by empowering them, the country strives to achieve the goals outlined in Dubai’s economic agenda D33, positioning Dubai among the world’s top economic cities.
Egypt, Maersk’s C2X sign $3bn agreement to produce green fuel in Suez Canal
RIYADH: Egypt is poised to produce green fuel through its recent agreement with Maersk’s C2X worth up to $3 billion signed on Wednesday, according to its prime minister’s office.
The deal, signed during a meeting between Egyptian Prime Minister Mostafa Madbouly and C2X CEO Brian Davis, is aimed at producing green fuel for ship supplies and achieving zero carbon emissions.
The agreement was formalized during a signing ceremony involving the General Authority for the Suez Canal Economic Zone, the Sovereign Fund of Egypt, the New and Renewable Energy Authority, the Egyptian Electricity Transmission Co., and the C2X company.
Egyptian AI startup Intella raises $3.4m from Saudi investors
RIYADH: In a significant development for Saudi Arabia’s technology sector, Egyptian deep tech firm Intella has successfully secured $3.4 million in a pre-series A funding round. This funding round was led by Saudi-based HALA Ventures and Wa’ed Ventures, the venture arm of Aramco.
The capital injection is set to accelerate Intella’s foray into the Saudi market and underpin the development of artificial intelligence models tailored for the Middle East and North Africa audience.
To demonstrate its commitment to the market, Intella is strategically relocating its headquarters to Saudi Arabia, positioning itself in the midst of the Kingdom's growing tech and AI landscape.
“Saudi Arabia is quickly becoming a hub for technological advances. This move fits perfectly with our plans for expansion,” said Nour Taher, CEO and co-founder.
In its pursuit of technological excellence, Intella’s Voice system achieved a 95.73 percent accuracy rate after extensive testing involving 30,000 hours of Arabic audio. This accuracy rate surpasses industry giants like Google and IBM Watson.
Omar Mansour, Intella’s co-founder and chief technology officer, highlighted the Arabic-focused voice technology, emphasizing its move into advanced audio analytics.
Hailing Intella’s pioneering approach, Ali Abussaud of HALA Ventures noted: “We’re excited to back Intella’s vision. They’re making significant strides in connecting global AI progress with the needs of the Arab-speaking community, and it’s exactly the kind of initiative the region needs right now.”
As Intella aims to lead the way in Arabic voice technology, this funding brings it closer to its goal of aligning the MENA region with global tech advancements.
The funding round also received contributions from Sanabil500, INSEAD’s alumni angel network, and several other prominent investors.
