1. Page 1 of 8
QE Intra-Day Movement
Qatar Commentary
The QE index declined 1.8% to close at 12,100.9. Losses were led by the
Telecoms and Banking & Financial Services indices, declining 3.6% and 2.0%,
respectively. Top losers were Qatar Cinema & Film Distribution Co. and Qatar
Islamic Bank, falling 10.0% and 5.3%, respectively. Among the top gainers,
Salam International Inv. Co. rose 2.3%, while Medicare Group was up 2.0%.
GCC Commentary
Saudi Arabia: The TASI index rose 0.6% to close at 9,581.0. Gains were led
by the Insurance and Tele. & IT indices, rising 2.0% and 1.2%, respectively.
Umm Al-Qura Cement gained 9.8%, while Co. for Coop. Ins. was up 8.7%.
Dubai: The DFM index gained 6.1% to close at 4,253.0. The Telecom. index
gained 7.8%, while the Financial & Investment Services index rose 7.0%.
Takaful Emarat Ins. surged 12.5%, while Takaful House was up 12.3%.
Abu Dhabi: The ADX benchmark index rose 1.9% to close at 4,639.4. The
Real Estate index gained 8.8%, while the Inv. & Financial Services index was
up 6.0%. Eshraq Properties rose 10.6%, while Aldar Properties was up 8.7%.
Kuwait: The KSE index gained 0.4% to close at 6,965.3. The Oil & Gas and
Telecommunication indices rose 1.7% and 1.4%, respectively. Tamdeen Real
Estate Co. gained 9.1%, while National Cleaning Co. was up 8.8%.
Oman: The MSM index rose marginally to close at 6,922.6. Gains were led by
the Financial index rising 0.3%, while the other indices ended in red. Oman
Fisheries gained 3.3%, while National Bank Of Oman was up 3.0%.
Bahrain: The BHB index gained 0.2% to close at 1,430.8. The Services index
rose 0.6%, while the Commercial Banking index was up 0.4%. Ithmaar Bank
gained 3.6%, while Al Salam Bank was up 1.8%.
Qatar Exchange Top Gainers Close* 1D% Vol. ‘000 YTD%
Salam International Investment Co. 17.00 2.3 973.0 30.7
Medicare Group 81.20 2.0 41.5 54.7
Al Meera Consumer Goods Co. 171.00 1.4 39.9 28.3
Al Khaleej Takaful Group 42.80 1.4 113.4 52.4
Qatar Islamic Insurance Co. 76.70 0.5 111.6 32.5
Qatar Exchange Top Vol. Trades Close* 1D% Vol. ‘000 YTD%
Masraf Al Rayan 50.40 0.0 2,199.5 61.0
Vodafone Qatar 18.86 (3.5) 1,043.4 76.1
Salam International Investment Co. 17.00 2.3 973.0 30.7
Ezdan Holding Group 19.81 (2.3) 818.5 16.5
Barwa Real Estate Co. 38.20 (1.7) 733.1 28.2
Market Indicators 25 Jun 14 24 Jun 14 %Chg.
Value Traded (QR mn) 580.0 458.8 26.4
Exch. Market Cap. (QR mn) 657,100.2 670,722.1 (2.0)
Volume (mn) 11.3 8.4 34.4
Number of Transactions 8,011 5,431 47.5
Companies Traded 42 43 (2.3)
Market Breadth 8:30 14:28 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return 18,048.43 (1.8) (2.8) 21.7 N/A
All Share Index 3,077.43 (1.7) (2.8) 18.9 14.7
Banks 2,907.88 (2.0) (3.7) 19.0 14.5
Industrials 4,129.10 (1.5) (2.8) 18.0 16.1
Transportation 2,147.53 (1.8) (2.8) 15.6 13.8
Real Estate 2,532.46 (1.3) (2.1) 29.7 12.7
Insurance 3,416.86 (0.4) (0.1) 46.3 8.9
Telecoms 1,588.41 (3.6) (1.1) 9.3 21.9
Consumer 6,680.54 0.2 (1.4) 12.3 26.3
Al Rayan Islamic Index 4,046.54 (1.3) (3.0) 33.3 17.5
GCC Top Gainers##
Exchange Close#
1D% Vol. ‘000 YTD%
Deyaar Development Dubai 1.07 11.1 74,562.3 5.9
Dubai Investments Dubai 3.05 9.3 40,329.8 31.1
Aldar Properties Abu Dhabi 3.61 8.7 49,289.8 30.8
Co for Coop. Ins. Saudi Arabia 43.00 8.7 1,585.5 22.2
Emirates Int. Telecom. Dubai 5.50 7.8 1,849.0 (17.4)
GCC Top Losers##
Exchange Close#
1D% Vol. ‘000 YTD%
United Arab Bank Abu Dhabi 5.70 (9.5) 0.3 1.6
Qatar Islamic Bank Qatar 85.20 (5.3) 219.2 23.5
Saudi Dairy & Food. Saudi Arabia 108.15 (4.3) 90.8 25.4
DP World Ltd. Dubai 19.00 (3.8) 258.5 7.3
IFA Hotels & Resorts Kuwait 0.21 (3.6) 5.0 (24.9)
Source: Bloomberg (
#
in Local Currency) (
##
GCC Top gainers/losers derived from the Bloomberg GCC
200 Index comprising of the top 200 regional equities based on market capitalization and liquidity)
Qatar Exchange Top Losers Close* 1D% Vol. ‘000 YTD%
Qatar Cinema & Film Distri. Co. 45.20 (10.0) 8.0 12.7
Qatar Islamic Bank 85.20 (5.3) 219.2 23.5
Zad Holding Co. 78.30 (4.5) 1.9 12.7
Ooredoo 129.70 (3.6) 196.9 (5.5)
Vodafone Qatar 18.86 (3.5) 1,043.4 76.1
Qatar Exchange Top Val. Trades Close* 1D% Val. ‘000 YTD%
Masraf Al Rayan 50.40 0.0 111,942.0 61.0
QNB Group 166.50 (3.3) 82,079.3 (3.2)
Industries Qatar 170.00 (2.6) 40,687.2 0.7
Doha Bank 56.30 (0.5) 29,369.3 (3.3)
Barwa Real Estate Co. 38.20 (1.7) 28,206.7 28.2
Source: Bloomberg (* in QR)
Regional Indices Close 1D% WTD% MTD% YTD%
Exch. Val. Traded
($ mn)
Exchange Mkt.
Cap. ($ mn)
P/E** P/B**
Dividend
Yield
Qatar* 12,100.93 (1.8) (2.8) (11.6) 16.6 159.31 180,505.4 15.1 2.1 4.1
Dubai 4,253.04 6.1 (7.4) (16.4) 26.2 563.52 84,243.1 17.1 1.7 2.4
Abu Dhabi 4,639.41 1.9 (3.4) (11.7) 8.1 158.62 130,038.5 13.7 1.7 3.6
Saudi Arabia 9,581.03 0.6 (0.7) (2.5) 12.2 1,834.10 521,111.4 19.1 2.3 2.9
Kuwait 6,965.30 0.4 0.4 (4.5) (7.7) 57.40 110,130.7 16.5 1.1 4.0
Oman 6,922.62 0.0 0.1 1.0 1.3 30.23 25,706.7 12.0 1.7 4.0
Bahrain 1,430.82 0.2 (0.3) (2.0) 14.6 1.38 53,477.4 11.2 1.0 4.8
Source: Bloomberg, Qatar Exchange, Tadawul, Muscat Securities Exchange, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any)
12,000
12,100
12,200
12,300
12,400
9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00

2. Page 2 of 8
Qatar Market Commentary
 The QE index declined 1.8% to close at 12,100.9. The Telecoms
and Banking & Financial Services indices led the losses. The
index fell on the back of selling pressure from non-Qatari
shareholders despite buying support from Qatari shareholders.
 Qatar Cinema & Film Distribution Co. and Qatar Islamic Bank
were the top losers, falling 10.0% and 5.3%, respectively. Among
the top gainers, Salam International Investment Co. rose 2.3%,
while Medicare Group was up 2.0%.
 Volume of shares traded on Wednesday rose by 34.4% to
11.3mn from 8.4mn on Tuesday. However, as compared to the
30-day moving average of 23.5mn, volume for the day was
51.9% lower. Masraf Al Rayan and Vodafone Qatar were the
most active stocks, contributing 19.5% and 9.2% to the total
volume respectively.
Source: Qatar Exchange (* as a % of traded value)
Ratings and Global Economic Data
Ratings Updates
Company Agency Market Type* Old Rating New Rating Rating Change Outlook Outlook Change
Banque Saudi
Fransi (BSF)
CI
Saudi
Arabia
FSR/LT FCR/ST
FCR/SR
A/A+/A1/2 A/A+/A1/2 – Stable –
Source: News reports (* LT – Long Term, ST – Short Term, FSR- Financial Strength Rating, FCR – Foreign Currency Rating, LCR – Local Currency Rating, IDR – Issuer Default Rating, SR – Support Rating, LC
– Local Currency)
Global Economic Data
Date Market Source Indicator Period Actual Consensus Previous
06/25 US MBA MBA Mortgage Applications 20 June -1.00% – -9.20%
06/25 US BEA GDP Annualized QoQ 1Q2014 -2.90% -1.80% -1.00%
06/25 US BEA Personal Consumption 1Q2014 1.00% 2.40% 3.10%
06/25 US BEA GDP Price Index 1Q2014 1.30% 1.30% 1.30%
06/25 US BEA Core PCE QoQ 1Q2014 1.20% 1.20% 1.20%
06/25 US Markit Markit US Composite PMI June 61.1 – 58.4
06/25 US Markit Markit US Services PMI June 61.2 58.0 58.1
06/25 France INSEE Manufacturing Confidence June 98.0 99.0 99.0
06/25 France INSEE Business Confidence June 92.0 94.0 94.0
06/25 France INSEE Production Outlook Indicator June -19.0 – -12.0
06/25 Germany GfK AG GfK Consumer Confidence July 8.9 8.6 8.6
06/25 Spain INE PPI MoM May 0.90% – 0.10%
06/25 Spain INE PPI YoY May -0.40% – -0.20%
06/25 Italy ISTAT Consumer Confidence Index June 105.7 106.4 106.2
06/25 China Deutsche Boerse AG Westpac-MNI Consumer Sentiment June 112.6 – 121.2
06/25 Japan Bank of Japan PPI Services YoY May 3.60% 3.30% 3.40%
Source: Bloomberg (s.a. = seasonally adjusted; n.s.a. = non-seasonally adjusted; w.d.a. = working day adjusted)
News
Qatar
 Qatar’s Cabinet issues draft law on investment by non-
Qataris – Qatar’s Cabinet has issued a draft law amending
some provisions of Law No. (13) of 2000 on regulation of non-
Qatari capital investment in economic activities. As per this
amendment, non-Qatari investors may have a ratio of not more
than 49% of the capital of sharing companies listed on the Qatar
Exchange (QE), after the approval of the Ministry of Economy
and Commerce on the ratio proposed in the memorandum of
association and articles of association. Non-Qatari investors
may have a ratio of more than the percentage referred to, with
the approval of the Cabinet upon the proposal of the Minister of
Economy and Commerce. The citizens of the GCC will be
treated like Qatari nationals in owning shares of companies
listed on the QE. The Cabinet issued draft laws based on the
recommendations of the Advisory (Shura) Council. The Cabinet
also issued a draft law on organizing Charitable Works. (Gulf-
Times.com)
 Panel discusses tax exemption for foreign stock investors –
A key committee of the Advisory Committee invited top officials
from the Ministry of Finance, Qatar Exchange and its regulator
to discuss the draft law that seeks to allow tax exemption for
foreign stock investors on capital gains and on income earned
from dividend and interest on bonds. The committee was earlier
asked by the council to study the draft law and give an opinion.
The panel had first given a favorable opinion which the council
rejected, saying it was against allowing foreign stocks investors
enjoying tax exemption. The council then sent back the draft law
to the committee again. (Peninsula Qatar)
 CBQK completes $750mn bond issue – The Commercial
Bank of Qatar (CBQK) has announced the successful pricing
and closing of an issuance of $750mn five-year senior
Overall Activity Buy %* Sell %* Net (QR)
Qatari 65.86% 44.11% 126,119,114.85
Non-Qatari 34.14% 55.90% (126,119,114.85)

3. Page 3 of 8
unsecured notes under it its subsidiary, CBQ Finance Limited’s
$5bn Euro Medium Term Note Program (EMTN). The Notes
were issued at a spread of 117 basis points over mid-swaps and
will carry a coupon of 2.875% per annum. Bank of America-
Merrill Lynch, HSBC and Morgan Stanley acted as joint lead
managers for the bond sale. Investor orders worth more than
$3bn have been placed for the issue. CBQK intends to use the
proceeds for general funding purposes to support its growth
plans. (QE)
 Empower settles first installment of Doha Bank loan –
Emirates Central Cooling Systems Corporation (Empower) has
repaid the first installment of the AED520mn loan to Doha Bank
(DHBK). The company secured this loan in August 2013, with
tenure of five years, and the repayment of the loan is scheduled
to commence from 2014 onward in ten equal semi-annual
installments. Empower used the loans to finance its operations
in the UAE, which now includes a portfolio of nearly one million
refrigeration tons of capacity. This is the largest capacity of any
single district cooling services provider in the world. (Bloomberg)
 Tanween Retail starts leasing Joud Mall – Tanween, the
development management arm of Qatar’s Barwa Real Estate
Company (BRES), has announced commencement of leasing its
latest project Joud Mall in Barwa Commercial Avenue. The
shopping complex comprises over 130 retail units, six-screen
cinemas, two large family entertainment areas for children and
teenagers, two food courts with nearly 40 outlets for fast food
and casual dining restaurants, as well as coffee shops.
(AmeInfo.com)
 Ashghal to introduce EAMS technology to boost operations
– The Public Works Authority (Ashghal) in collaboration with IBM
is introducing a new advanced technology – “Enterprise Asset
Management Solution” (EAMS) to enhance the efficiency of
operations, maintenance and management of road networks &
systems. The EAMS will also help in operations and
maintenance of drainage networks, pump & treatment stations
and surface & groundwater networks. (Peninsula Qatar)
 CRA eyes balanced approach to regulations – Qatar’s
Communications Regulatory Authority (CRA) has released a
policy statement outlining the key principles that would underpin
its approach to regulation of the communications sector. The
statement is intended to provide transparency and certainty to
stakeholders with regard to the focus of regulation while
ensuring that the sector thrives and meets the needs of the
people. (Peninsula Qatar)
 Katara Hospitality acquires five hotel properties in Europe –
Qatar-based Katara Hospitality has acquired five prime
properties – the InterContinental Carlton Cannes, the
InterContinental Amstel Amsterdam, the InterContinental
Madrid, the InterContinental Frankfurt, and the leasehold
interest in the InterContinental De La Ville Rome, in key
European cities from a private investor. The acquisition brings
Katara Hospitality’s global portfolio to some 32 hotels
operational or under development, topping its long-established
goal of 30 properties by 2016. (Gulf-Times.com)
 QATI to disclose results on July 13, 2014 – Qatar Insurance
Company (QATI) will disclose the financial reports for the period
ending June 30, 2014, on July 13, 2014. (QE)
International
 US economy shrank in first quarter by most in five years –
The US economy contracted in the first quarter by the most
since the depths of the last recession as consumer spending
cooled. The Commerce Department said GDP fell at a 2.9%
annualized rate, more than forecast and the worst reading since
the same three months in 2009, after a previously reported 1%
drop. It marked the biggest downward revision from the
agency’s second GDP estimate since records began in 1976.
The revision reflected a slowdown in health care spending.
Consumers returned to stores and car dealerships, companies
placed more orders for equipment and manufacturing picked up
as temperatures warmed, indicating that the early-year setback
was temporary. Combined with more job gains, such data
underscore the view of Federal Reserve policy makers that the
economy is improving and in less need of monetary stimulus.
Meanwhile, a survey showed the US services sector expanded
in June at the fastest pace in at least 4-1/2 years, pushed higher
by increasing business activities. Financial data firm Markit said
its "flash" services Purchasing Managers Index hit 61.2 in June,
the highest reading since the survey began in October 2009, as
compared to May's final reading of 58.1. A reading above 50
signals expansion in economic activities. The services sector
added employees at the fastest rate on record, matching the
55.4 reading hit in September 2013. Last month it read 52.8.
Markit's "flash" composite PMI, a weighted average of its
manufacturing and services indexes, hit 61.1 in June, also a
record high, versus 58.4 in May. (Bloomberg, Reuters)
 Deutsche Bank completes $11.6bn cap hike – Deutsche
Bank successfully completed an $11.6bn capital increase aimed
at fortifying its regulatory ratios and paying for restructuring at
Germany's biggest lender. Deutsche Bank Co-Chief Executives
Juergen Fitschen and Anshu Jain said the bank has taken
decisive steps to protect it against known capital challenges,
sharpen competitive edge, and accelerate investments in growth
in all its business divisions. Investors were generally supportive
of the capital increase when it was unveiled last month, saying it
showed Germany's biggest lender was moving to quell concerns
about a capital gap that had dogged it since the financial crisis.
But Deutsche Bank still faces worries over performance at the
investment bank, its largest division, as well as a host of legal
and regulatory threats such as an ongoing global probe into
currency price manipulation and a US probe into financial
dealings with Iran. (Reuters)
 IEA: World saved $3.5tn from emergency oil stocks – The
International Energy Agency (IEA) said the world has saved
$3.5tn over the last 30 years by maintaining emergency oil
stocks to offset supply shocks and curb price surges. The IEA
said in a report that emergency oil stocks held by member and
non-member states have acted as an "insurance" against oil
supply disruptions. Spiraling violence in key oil producer Iraq in
recent weeks has pushed global oil prices to nine-month highs,
reviving speculation of a release of strategic stocks in case of
severe supply disruptions. The IEA said significant economic
benefits are derived primarily from offsetting oil supply losses
and thereby reducing potentially significant oil price increases.
These comprise reduced GDP losses and reduced import costs.
Using a model to simulate tens of thousands of possible oil
supply disruption scenarios and market outcomes, the report
estimated the global net benefits derived from existing
emergency stocks to amount to $41 per barrel per year after
storage costs. This equates to some $3.5tn over 30 years, it
said. (Reuters)
 Euro Credit: Draghi gives Hollande’s faltering economy a
leg up – French President Francois Hollande has Mario Draghi
to thank for near-record-low borrowing costs. With France barely
expanding, Hollande had grown dependent on the European
Central Bank president’s actions to keep borrowing costs in
check. France pays 1.74% to borrow for 10 years, close to its
all-time low and 10 basis points less than before Draghi unveiled
an unprecedented package of measures to supply liquidity to the

4. Page 4 of 8
Euroarea and its banks. The drop from May 8, when Draghi
promised action, is 20 basis points. Draghi announced on June
5 that the ECB would cut its deposit rate to minus 0.1%,
becoming the first major central bank to take one of its main
rates negative. In a bid to get credit flowing, the ECB opened a
€400bn liquidity channel tied to bank lending and said officials
would start work on an asset-purchase plan. (Bloomberg)
 China local debt growth slows as economic expansion
cools – China’s chief auditor said the growth in local
government debt has slowed, a sign that tighter scrutiny on
borrowing and an economic slowdown have curbed credit.
According to a report delivered by Liu Jiayi, head of the National
Audit Office, outstanding debt for nine provinces and nine cities
grew 3.79% from the end of June last year through March, 7
percentage points slower than the pace in the first half of 2013.
A slower pace of debt growth would help ease financial risks in
local borrowings that surged 67% to 17.9tn Yuan as of June
2013 from the end of 2010. The government is trying to protect
its 7.5% target for gains in gross domestic product this year
without reviving a credit boom that has evoked comparisons to
the run-up to Japan’s lost decade. (Bloomberg)
 China removes cap on FX deposit rates in Shanghai – China
expanded banks’ freedom to set foreign-currency deposit rates
to all of Shanghai from the city’s free-trade zone, a step toward
easing controls across the nation. According to sources the
People’s Bank of China (PBOC) will remove the ceiling on
foreign-currency deposit rates in Shanghai effective tomorrow
for what it described as small accounts. The trial will start with
institutional accounts and individual accounts will be added later
based on “market conditions.” The PBOC abolished limits on
foreign-currency interest rates on March 1 for deposits of less
than $3mn inside the trade zone as part of plans to give markets
a greater role in setting prices. Governor Zhou Xiaochuan said
the central bank, which removed the floor on most lending rates
in July 2013, will liberalize state-set deposit rates within one to
two years. (Bloomberg)
 PBOC’s Ma urges joining TPP to boost growth – In the view
of the central bank’s chief research economist, Ma Jun, China
would increase the size of its economy by about 2% by joining a
Pacific trade pact. Ma Jun said the country should join
negotiations on the Trans-Pacific Partnership as soon as
possible to reap the benefits. South Korea and Vietnam would
also add more than 2% to their GDP as part of the TPP. While
joining the talks may help China counter an economic slowdown
without resorting to large-scale stimulus, the 12 nations currently
negotiating the TPP are expected to wrap up an initial
agreement before new members are admitted. The US and
Japan said in April that there is “still much work to be done” on
outstanding issues. The pact would link an area with about
$28tn in annual economic output, or 39% of the world total, and
would be the biggest trade deal in US history. In addition to the
US and Japan, nations seeking the deal are Australia, Brunei,
Canada, Chile, Malaysia, Mexico, New Zealand, Peru,
Singapore and Vietnam. (Bloomberg)
Regional
 Moody's: High-risk assets continue to dominate GCC
insurers' investment mix – Moody's Investors Service said in a
report that GCC insurers continue to face investment risks given
the dominance of high-risk assets in their investment mix.
Moody's Analyst Mohammed Ali Londe said equity and real
estate account for a material portion of GCC insurers' total
invested assets. Because of low interest rates in the GCC
region, traditional investment options offer low returns as
compared to those of equity and real estate, weakening the
appeal of traditional investments. Equities remain the key asset
class for GCC insurers, accounting for over 40% of the total
investments in 2013. Middle Eastern equities have historically
provided volatile returns given the market's relatively small size
and the recent turbulence in the global financial markets.
Furthermore, the Middle East lacks extensive use of risk
mitigation strategies such as hedging, and a significant rise in
the use of such techniques is unlikely over the medium-term.
Real estate is also a key investment class, accounting for over
20% of the total invested assets in 2013. Moody's expects
investment strategies of GCC insurers to shift toward higher
allocations to lower-risk assets over a period of time.
(Bloomberg)
 Alhokair completes SR500mn debut Sukuk issue – Saudi-
based Fawaz Abdulaziz Alhokair Company (Alhokair) has
completed a debut SR500mn five-year Sukuk issue. The
company did not provide the pricing of the Sukuk, which was
sold in a private placement to investors in Saudi Arabia. Samba
Financial Group's investment banking arm arranged the Sukuk
sale. (GulfBase.com)
 Egypt-Saudi company to invest $245mn in housing units –
A housing development company owned by Egypt and Saudi
Arabia said it was increasing its capital by $245mn, a four-fold
rise, to build houses in Egypt, in a further sign of support for the
country from its key Gulf ally. According to sources, Saudi
Arabia would inject $124mn into the Saudi Egyptian
Construction Company (SECON), with Egypt contributing 100
feddans (103.8 acres) of land in three cities worth about the
same amount. Saudi Arabia and its Gulf Arab neighbors Kuwait
and the United Arab Emirates have given more than $20bn to
help Egypt since the ouster of Islamist President Mohamed
Mursi last July following mass protests, leading to the election of
Abdel Fattah al-Sisi as president last month. (Reuters)
 Zain Saudi signs SR4.5bn supply deals to upgrade network
– Mobile Telecommunications Company Saudi Arabia (Zain
Saudi) has signed telecommunications infrastructure supply
contracts worth SR4.5bn. The turnkey project is to be delivered
over three years, providing Zain Saudi with a state-of-the-art
modern network to cope with the ever-growing data
communication demand. The deal parties are Huawei, Nokia,
NEC Corporation, Cisco Systems International and Alcatel
Lucent. The company will use its own financial resources to
finance the deals. With this, Zain Saudi’s network coverage will
increase to 96% and its network capacity & performance will be
significantly improved. The agreement is effective from June 25,
2014 and will be in effect for three years. (Tadawul)
 SADAFCO declares SR113.75mn dividends – Saudia Dairy
and Foodstuff Company’s (SADAFCO) AGM has approved the
distribution of dividends amounting to SR113.75mn i.e. 3.50
riyals per share, which is equivalent to 35% of the capital, for the
financial year ended March 31, 2014. (Tadawul)
 RCCI: Contracting market to register losses by 2014-end –
Riyadh Chamber of Commerce and Industry’s (RCCI)
Contractor Committee head, Fahad Al-Hammadi, said that the
contracting sector is expected to register losses by the end of
2014 due to rising costs of projects and labor, which are
estimated at 13%. The contracting sector has experienced rising
costs, which came to various commercial, industrial and service
sectors arising from decisions issued by the Ministry of Labor.
This has resulted in the high percentage of stalled projects at
nearly 40% and increased the rate of contractors quitting the
market due to losses. He expects the financial statements of
nearly 80% of the contracting firms to register losses by the end
of the year as a result of the specified problems. According to

5. Page 5 of 8
experts, the volume of contracting market is expected to hit
SR1.13tn in 2015. (GulfBase.com)
 Saudi CMA: Listing of Abdul Mohsen Al-Hokair Group on
June 26 – The Saudi Capital Market Authority (CMA) has
announced that the listing and trading of Abdul Mohsen Al-
Hokair Group for Tourism and Development Company will
commence on June 26, 2014 under the Hotel & Tourism sector
with the symbol 1820, with a fluctuation limit of 10%. (Tadawul)
 SWCC provides 60% of Saudi’s desalinated water – Saline
Water Conversion Corporation (SWCC) has produced 1bn cubic
meters of desalinated water in 2013 to supply the rising demand
from a growing population and the energy industry in Saudi
Arabia. The company produced 25mn megawatts of power at 27
desalination plants, which provided electricity to 41 cities and
housing centers. The production of 3.6mn cubic meters a day of
desalinated water by SWCC represented 60% of the Saudi’s
output. SWCC is planning to boost water production to 7mn
cubic meters a day by 2014. Saudi Arabia has allocated 16.6bn
riyals in 2014 for desalination projects. (Bloomberg)
 NTA: Phase one of UAE-wide federal railway network to be
operational soon – UAE National Transport Authority’s (NTA)
Director of Roads & Transport Department, Nazim Assad Bin
Taher, said that the 200-kilometre first phase of the UAE-wide
federal railway network will be operational in the near future to
link Shah area to Ruwais area in western region and provide
freight services. It will be followed by the completion of two other
phases by the end of 2018. The entire 1200-kilometre double-
track network, handling both freight and passenger services will
link the UAE to Oman and Saudi Arabia. The phase two of the
project will link the Saudi Arabian border to Dubai and extend to
Al Ain, while the final phase will include a line running from the
northern emirates to the industrial areas of the country. The
wider 2,177 km-long GCC rail project will connect all the six Gulf
Arab states and has a completion date of 2018. Each of the
GCC states will work on an individual link before the common
network is connected. (GulfBase.com)
 Guinea approves Emirates global's aluminum project –
Guinea's parliament has approved amendments in a deal with
Emirates Global Aluminium, which will see the start of bauxite
production in 2017 and the construction of a 2mn tons per year
alumina refinery from 2018. The adoption of the amendments
clears the path for the project after Guinea and Abu Dhabi-
based Mubadala signed a $5bn agreement in November 2013 to
develop a bauxite mine and an alumina refinery in minerals-rich
Guinea. The project was previously owned by a consortium that
included Dubai Aluminium (Dubal), Mubadala, BHP Billiton &
Global Alumina and had planned to build a 2.8mn tons refinery.
The project was delayed after failing to raise funds following the
financial crisis. Mubadala and Dubal acquired the stakes of BHP
and Global Alumina to form Emirates Global Aluminium. Under
the terms of the agreement bauxite will be ready for exports by
2017 and the refinery will be operational by 2022.
(GulfBase.com)
 MICAD: UAE spends AED1bn on water supply in 61
countries – According to the UAE Ministry of Development and
International Co-operation (MICAD), the country has offered
more than AED1bn in foreign aid over 2009-2013 to help ensure
water supply in 61 countries. AED494mn of the AED1bn were
channeled to improve basic water supply to households in the
targeted countries, of which Afghanistan emerged as the top
recipient with AED231mn, while AED352mn of the UAE's aid
contributed to the development of river basins in different
countries with Sudan receiving the lion's share of AED152.3mn.
(Bloomberg)
 Travelex buyer Shetty reportedly seeking $600mn
acquisition loan – Bavaguthu Raghuram Shetty, an Indian-born
entrepreneur buying a controlling stake in Travelex Holdings is
seeking about $600mn to finance his share of the deal. Shetty is
reportedly engaged in talks with Qatari banks about the loan and
expects to appoint an international bank as lead arranger for the
transaction. Earlier, in May 2014 London-based Apax Partners
has agreed to sell its majority stake in the chain of retail
currency exchanges to Shetty and entities linked to Saeed Bin
Butti Al Qubaisi’s Abu Dhabi-based Centurion Investments.
(Bloomberg)
 UAE auto industry reportedly witnessing record sales in
1H2014 –The UAE automobile market has reportedly been
witnessing record sales in 1H2014 and the growth is expected to
continue with the current investment momentum that has been
indicated by positive economic sentiments. The reason behind
the rapid growth in the auto business has been the inflow of
investments in the country, as global players are gearing up for
the Expo 2020 which will be hosted by Dubai. (GulfBase.Com)
 Damac launches sale of Fendi-styled villas at Akoya –
Damac Properties has launched sales of the world's first Fendi-
styled villas. The 34 properties are located in a private-gated
community in the 42mn square feet Akoya by Damac master
development off Umm Suqeim Road in Dubai. Each unit comes
with interior designs and decor from the Fendi Casa range and
offers a unique & stylish interpretation of the iconic Italian
fashion brand, all of which is uniquely designed by Fendi’s
specialist interior designers, to offer a contemporary home for
the most prestigious living experience. The villas, which come
with a starting price of AED36mn and will be ready in 1Q2017,
vary in size from 7,900 sq ft to 16,767 sq ft. (GulfBase.com)
 Nakheel to repay entire AED7.9bn bank debt in August –
Dubai developer Nakheel will repay all AED7.9bn owed to bank
lenders with an early repayment in August 2014, nearly four
years before the final loan installment due in March 2018.
Nakheel’s scheduled prepayment of AED5.54bn in August will
come just six months after its previous early repayment in
February 2014, when it paid off AED2.35bn of its bank loan.
Nakheel is able to prepay all of its bank debt ahead of schedule
due to savings of around AED23bn on its business plan,
achieved through improved cash flows generated from property
handovers, sales of new projects, leasing, retail, value
engineering of ongoing projects and amicable settlements with
the majority of trade creditors. (GulfBase.com)
 Aristocrat Star teams up with PAL and Pacific Ventures for
AED2.4bn property development – Aristocrat Star Real Estate
Development signed a JV agreement with PAL Developments
and Pacific Ventures to launch AED2.4bn mixed-use
development in Dubai in September 2014. This will feature
2,000 units in all, comprising apartments, villas, boutique retail
spaces, an office complex and a luxury hotel. The first phase,
which will cost about AED900mn, will be launched later in 2014
and upon its completion about 300 units will be delivered by
2H2016. The second phase will take another two years to
complete, while the third phase will mark the completion of the
project. (GulfBase.com)
 Etihad Esco signs agreement with DIFC to reduce energy
consumption – Etihad Energy Services Company (Etihad
Esco) has signed an agreement with the Dubai International
Financial Center (DIFC) to reduce energy consumption and
carbon footprint of the properties owned by the DIFC.
(GulfBase.com)
 GBI extends network to datamena center in Dubai – GBI, a
leader in subsea cable network in the Middle East, has

6. Page 6 of 8
partnered with UAE-based connectivity platform datamena to
extend its network from telecom operator Emirates Integrated
Telecommunications Company’s (Du) landing station in Fujairah
to the datamena data-center in Dubai. The extension of the GBI
network will enable all datamena customers to benefit from
seamless end-to-end connectivity within the GBI network in
Europe, Asia the Middle East & Africa, and will further enhance
their datamena experience. The collaboration is between GBI,
providers of carrier neutral network connecting the region to the
world, and datamena, serving the Middle East and Africa region.
(GulfBase.com)
 Arabtec construction projects are on track – Arabtec Holding
has confirmed that it is proceeding with the construction projects
and developing its work activities in order to achieve the highest
return to shareholders and investors, commensurate with its
position and reputation as a leading UAE company that
executes the most prominent projects in the UAE and the
region. (DFM)
 ADIB opens 79th branch in UAE – Abu Dhabi Islamic Bank
(ADIB) has opened its 79th branch in the UAE, at Jumeirah
Lake Towers in Dubai. The new branch takes the total number
of ADIB branches in Dubai to 16, five of which are in malls. The
bank will offer retail and commercial services to customers.
(GulfBase.com)
 Zurich Insurance, FGB sign general insurance distribution
deal – Zurich Insurance Middle East has entered into a long-
term agreement with Abu Dhabi-based First Gulf Bank (FGB) to
market and distribute its general insurance products in the UAE.
Zurich’s market-leading general insurance products will be
offered to FGB’s customers through the bank’s online insurance
portal. This will include travel, home and motor insurance, with
specialist personal lines propositions to be offered in the future.
(GulfBase.com)
 Tamouh Investments signs working capital facility
agreement with Mashreq – Abu Dhabi-based Tamouh
Investments signed a working capital facility agreement with
Dubai-based Mashreq Bank. The funding will ensure sufficient
cash flow for the company’s working capital requirements.
Tamouh is the master developer responsible for developing a
‘city within a city’ over an area of 3.3mn square meters on Reem
Island. (GulfBase.com)
 Abu Dhabi DoF signs deal with ATCUAE – Abu Dhabi
Department of Finance (DoF) / General Administration of
Customs has signed an agreement with the Automobile &
Touring Club of the UAE (ATCUAE) to work together to
introduce a global customs transit system in the emirates, which
will reduce the time trucks spend at borders from days to hours.
(GulfBase.com)
 Etihad agrees to acquire 49% stake in Alitalia – Etihad
Airways said it had agreed principal terms and conditions to buy
a 49% stake in the loss-making Italian airline, Alitalia. Alitalia's
board voted on June 13, 2014 to accept an offer by Etihad to
invest in the airline. The transaction is subjected to regulatory
approvals, and is expected to finalize as soon as possible.
(Reuters)
 Samena Capital considers selling off parts of RAK
Ceramics – Samena Capital is planning potential divestments in
Ras Al Khaimah Ceramic Company (RAK Ceramics). Samena’s
Vice-Chairman, Shirish Saraf said RAK Ceramics had a lot of
growth potential because of the construction boom in the Gulf
and rising consumption in Africa and Asia. (Reuters)
 Mobily to provide Intel cloud computing services – US-
based Intel Corporation has listed Etihad Etisalat Company
(Mobily) on its official internet website as a certified, secure and
a highly qualified provider of cloud computing services within an
elite group of major international companies providing this
service. This is in line with Mobily’s strategy to transform to
become a key ICT solutions provider by forging alliances with
major international companies, to provide an advanced range of
services to the business sector in Kingdom, especially cloud
computing and information security services. (GulfBase.com)
 Jazeera Airways secures $70.5mn debt facility – Jazeera
Airways has secured $70.5mn debt facility through Kuwait's Ahli
United Bank (AUB) as part of the its strategic debt restructuring
plans to align with future growth plans. (Bloomberg)
 HSBC Bank Oman appoints Chief Risk Officer – HSBC Bank
Oman has appointed Sulaiman bin Said Al Lamki as Chief Risk
Officer. Al Lamki will play a key role leading the bank's risk
management function, working closely with regional and global
risk practitioners, as well as the senior team in Oman, to provide
clear direction and sound judgement on all risk matters.
Sulaiman joined HSBC Bank Oman in October 2013 and has
been working in the regional risk function in Dubai for the last six
months. (GulfBase.com)
 EHC may privatize MEDC – Electricity Holding Company’s
(EHC) CEO, Omar bin Khalfan Al Wahaibi, said that the
company is looking at privatizing Muscat Electricity Distribution
Company (MEDC) either through an IPO or by selling ownership
to a strategic partner or a combination of both. A consultant will
be selected soon to study the privatization proposal.
(GulfBase.com)
 TRA, Huawei join hands to train Omani graduates – Huawei
in association with the Telecommunications Regulatory Authority
of Oman (TRA) have announced the launch of a new internship
program to support Omani university graduates in pursuing a
career within the region's growing telecommunications industry.
(GulfBase.com)
 India-Oman trade pegged at $5.77bn – According to the latest
data, the trade between India and Oman has increased to
$5.77bn in 2013-14, registering an impressive growth of 25%
over the previous year with exports from Oman growing at a
much faster rate of 47%. Indian and Omani firms have
undertaken joint ventures in a wide range of sectors including
fertilizers, energy, engineering, and IT. At last count, there were
over 1,500 Indo-Omani joint ventures in the Sultanate with an
investment of $7.5bn of which the Indian investment was
estimated at $4.5bn. (GulfBase.com)
 CBO: Omani banks’ credit disbursals stands at OMR15.8bn
– According to the Central Bank Oman (CBO), commercial
banks in the Sultanate disbursed credit amounted to around
OMR15.8bn as of April 2014, reflecting a rise of 10.6% as
compared to transactions conducted during the year-ago period.
Credit to the government declined by 39.8%, while credit to the
private sector & public enterprises increased by 10.5% and
11%, respectively. The banking sector in Oman continued its
positive growth trend with major accretion to bank deposits and
strong growth in loans and advances. Total assets of
commercial banks grew by 12% to OMR24.2bn in April 2014 as
compared to OMR21.6bn a year ago. According to the report,
the gross domestic product at current prices rose by 2.8% to
OMR30.6bn in 2013. On the price front, inflation has been well
contained with the average annual inflation based on the CPI for
the Sultanate at 1.0% in April 2014. On the liabilities side of the
balance sheet, total deposits held with commercial banks also
witnessed a significant rise of 13.3% to OMR16.8bn in April
2014 from OMR14.8bn in April 2013. Government deposits with
commercial banks increased by 17.8% to OMR5.1bn, while

7. Page 7 of 8
deposits of public enterprises increased by 12.8% to OMR1.1bn
over the same period. (GulfBase.com)
 Oman ruler suspends decision to scrap price controls after
public uproar – Oman's ruler Sultan Qaboos bin Said has put
on hold the government's decision to scrap price controls for
most products after a public uproar triggered an intervention by
his consultative council. Under new rules announced last week,
retailers and traders no longer needed to ask the government for
permission to raise prices, except for 23 basic items such as
rice, tea and fish which remained controlled. (Reuters)
 GIC sells 13.24% stake in A'Saffa Foods to Al-Hosn
Investment – Gulf Investment Corporation (GIC) has sold
15.890mn shares, representing a 13.24% stake of A'Saffa
Foods, to Al-Hosn Investment Company. (MSM)
 Oman fund to rescue Corpbank – Oman's sovereign wealth
fund held talks with the Bulgarian government and central bank
recently about recapitalizing Corporate Commercial Bank
(Corpbank). The sovereign wealth fund is Corpbank's second-
biggest shareholder, owing a stake of about 30%. (Reuters)
 Bahrain Parliament approves new building rule changes –
Bahrain Parliament has approved Shura Council's amendments
to a new building regulation law that gives Bahrain's
municipalities the power to demolish buildings in violation of the
regulations without a court order. Higher fines can also be
imposed under the law. MPs also approved plans to sign an
aviation convention with Pakistan and voted in favor of Shura's
amendments to their plans to scrap Manama Municipal Council.
(GulfBase.com)
 Seef Properties partners Menatelecom to provide free high-
speed internet access – Seef Properties has partnered with
Menatelecom, a wholly-owned subsidiary of Kuwait
FinanceHouse, to use Menatelecom’s 4G LTE network to
provide free high-speed internet access to shoppers at Seef
Mall. (GulfBase.com)
 Petra Solar completes installation of largest smart solar
project in Middle East – US-based Petra Systems’ wholly-
owned subsidiary, Petra Solar has completed the installation of
the largest smart solar power plant in Middle East with the help
of partner Caspian Renewable Energy. The five-megawatt (MW)
project will be owned by Bahrain Petroleum Company (Bapco)
and will deliver in excess of 8,000 MWh of clean renewable
energy. This capacity in real terms will present an energy offset
of 67,000 Mcf of natural gas and a savings of 6,900 metric tons
of carbon dioxide emissions each year. (Bloomberg)

8. Contacts
Saugata Sarkar Abdullah Amin, CFA Shahan Keushgerian
Head of Research Senior Research Analyst Senior Research Analyst
Tel: (+974) 4476 6534 Tel: (+974) 4476 6569 Tel: (+974) 4476 6509
saugata.sarkar@qnbfs.com.qa abdullah.amin@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa
Sahbi Kasraoui Ahmed Al-Khoudary QNB Financial Services SPC
Manager – HNWI Head of Sales Trading – Institutional Contact Center: (+974) 4476 6666
Tel: (+974) 4476 6544 Tel: (+974) 4476 6548 PO Box 24025
sahbi.alkasraoui@qnbfs.com.qa ahmed.alkhoudary@qnbfs.com.qa Doha, Qatar
DISCLAIMER: This publication has been prepared by QNB Financial Services SPC (“QNBFS”) a wholly-owned subsidiary of Qatar National Bank (“QNB”). QNBFS is regulated by the Qatar
Financial Markets Authority and the Qatar Exchange; QNB is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time only. It is not an
offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute legal, tax, accounting, or financial advice. We therefore strongly advise potential
investors to seek independent professional advice before making any investment decision. Although the information in this report has been obtained from sources that QNBFS believes to be
reliable, we have not independently verified such information and it may not be accurate or complete. While this publication has been prepared with the utmost degree of care by our analysts,
QNBFS does not make any representations or warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. QNBFS reserves the
right to amend the views and opinions expressed in this publication at any time. It may also express viewpoints or make investment decisions that differ significantly from, or even contradict, the
views and opinions included in this report.
COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS.
Page 8 of 8
Rebased Performance Daily Index Performance
Source: Bloomberg Source: Bloomberg
Source: Bloomberg Source: Bloomberg
80.0
90.0
100.0
110.0
120.0
130.0
140.0
150.0
160.0
170.0
180.0
190.0
200.0
210.0
Jul-10 Jul-11 Jul-12 Jul-13
QE Index S&P Pan Arab S&P GCC
0.6%
(1.8%)
0.4% 0.2% 0.0%
1.9%
6.1%
(4.0%)
(2.0%)
0.0%
2.0%
4.0%
6.0%
8.0%
SaudiArabia
Qatar
Kuwait
Bahrain
Oman
AbuDhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D% WTD% YTD%
Gold/Ounce 1,319.19 0.1 0.3 9.4 DJ Industrial 16,867.51 0.3 (0.5) 1.8
Silver/Ounce 21.04 0.5 0.8 8.0 S&P 500 1,959.53 0.5 (0.2) 6.0
Crude Oil (Brent)/Barrel (FM
Future)
114.00 (0.4) (0.7) 2.9 NASDAQ 100 4,379.76 0.7 0.3 4.9
Natural Gas (Henry
Hub)/MMBtu
4.57 1.6 1.2 5.1 STOXX 600 341.94 (1.1) (1.8) 4.2
LPG Propane (Arab Gulf)/Ton 108.50 0.5 (0.2) (14.2) DAX 9,867.75 (0.7) (1.2) 3.3
LPG Butane (Arab Gulf)/Ton 127.00 (0.4) (1.2) (6.4) FTSE 100 6,733.62 (0.8) (1.3) (0.2)
Euro 1.36 0.2 0.2 (0.8) CAC 40 4,460.60 (1.3) (1.8) 3.8
Yen 101.87 (0.1) (0.2) (3.3) Nikkei 15,266.61 (0.7) (0.5) (6.3)
GBP 1.70 (0.0) (0.2) 2.6 MSCI EM 1,041.78 (0.6) (0.2) 3.9
CHF 1.12 0.1 0.2 0.0 SHANGHAI SE Composite 2,025.50 (0.4) (0.1) (4.3)
AUD 0.94 0.4 0.2 5.5 HANG SENG 22,866.70 (0.1) (1.4) (1.9)
USD Index 80.23 (0.1) (0.2) 0.2 BSE SENSEX 25,313.74 (0.2) 0.8 19.6
RUB 33.76 (0.0) (2.1) 2.7 Bovespa 53,425.74 (1.6) (2.2) 3.7
BRL 0.45 0.7 1.0 7.0 RTS 1,383.02 (2.7) 1.8 (4.1)
173.9
148.4
131.7