The QSE Index rose 0.7% to close at 10,653.8.

1. Page 1 of 6
QSE Intra-Day Movement
Qatar Commentary
The QSE Index rose 0.7% to close at 10,653.8. Gains were led by the Real Estate and
Banks & Financial Services indices, gaining 1.3% and 0.7%, respectively. Top gainers
were Barwa Real Estate Co. and Islamic Holding Group, rising 8.3% and 3.5%,
respectively. Among the top losers, United Development Co. fell 3.0%, while Mazaya
Qatar Real Estate Development was down 1.9%.
GCC Commentary
Saudi Arabia: The TASI Index fell 1.0% to close at 6,967.4. Losses were led by the
Transportation and Consumer Services, falling 2.6% and 2.1%, respectively. Wataniya
Insurance Co. fell 5.3%, while SABB Takaful Co. was down 4.5%.
Dubai: The DFM Index gained 0.2% to close at 3,725.9. The Insurance index rose 2.7%,
while the Consumer Staples index gained 0.8%. Emirates Islamic Bank rose 14.9%,
while Hits Telecom Holding was up 13.3%.
Abu Dhabi: The ADX benchmark index rose 0.6% to close at 4,574.2. The Energy index
gained 1.9%, while the Banks index rose 1.1%. National Takaful Co. gained 14.6%,
while Union Cement Co. was up 8.4%.
Kuwait: The KSE Index rose 1.1% to close at 6,655.5. The Health Care index gained
2.1%, while the Industrial index rose 2.0%. National Consumer Holding Co. gained
17.7%, while Real Estate Asset Management Co. was up 13.6%.
Oman: The MSM Index rose 0.1% to close at 5,827.7. The Industrial index gained 0.2%,
while other indices ended in red. Al Anwar Ceramic Tiles rose 2.4%, while Port Services
Corporation was up 1.6%.
Bahrain: The BHB Index fell marginally to close at 1,310.0. The Commercial Banks index
declined 0.2%, while other indices ended flat or in green. Khaleeji Commercial Bank
declined 2.8%, while Al Salam Bank was down 2.4%.
QSE Top Gainers Close* 1D% Vol. ‘000 YTD%
Barwa Real Estate Co. 38.70 8.3 2,587.0 16.4
Islamic Holding Group 59.00 3.5 11.6 (3.3)
Al Khalij Commercial Bank 16.70 3.4 12.9 (1.8)
Commercial Bank 33.05 3.3 276.8 1.7
Doha Bank 38.00 2.7 390.8 8.9
QSE Top Volume Trades Close* 1D% Vol. ‘000 YTD%
Barwa Real Estate Co. 38.70 8.3 2,587.0 16.4
Vodafone Qatar 9.19 (0.1) 1,829.8 (1.9)
Masraf Al Rayan 41.50 1.1 1,591.9 10.4
Ezdan Holding Group 15.20 (0.1) 929.8 0.6
Salam International Inv. Ltd 11.92 (0.3) 674.4 7.9
Market Indicators 08 Feb 17 07 Feb 17 %Chg.
Value Traded (QR mn) 361.0 261.5 38.1
Exch. Market Cap. (QR mn) 570,466.8 567,856.1 0.5
Volume (mn) 10.9 8.5 28.7
Number of Transactions 4,240 3,832 10.6
Companies Traded 40 42 (4.8)
Market Breadth 16:17 21:18 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return 17,294.23 0.7 1.1 2.4 15.5
All Share Index 2,931.26 0.6 1.0 2.2 14.5
Banks 3,016.42 0.7 1.3 3.6 13.4
Industrials 3,258.90 0.5 (0.7) (1.4) 19.4
Transportation 2,592.17 0.1 0.8 1.8 13.3
Real Estate 2,345.09 1.3 3.2 4.5 15.9
Insurance 4,303.48 (0.3) (0.3) (3.0) 11.6
Telecoms 1,233.74 0.1 1.2 2.3 21.9
Consumer 6,233.51 (0.0) (0.7) 5.7 12.4
Al Rayan Islamic Index 4,026.28 0.8 1.1 3.7 16.6
GCC Top Gainers## Exchange Close# 1D% Vol. ‘000 YTD%
National Real Estate Kuwait 0.12 8.8 13,277.5 19.2
Barwa Real Estate Qatar 38.70 8.3 2,587.0 16.4
Ithmaar Holding Bahrain 0.19 5.6 750.0 52.0
Solidarity Saudi Takaful Saudi Arabia 10.47 4.2 13,981.0 22.5
Boubyan Petrochem. Co Kuwait 0.60 3.4 498.9 21.2
GCC Top Losers## Exchange Close# 1D% Vol. ‘000 YTD%
United Real Estate Co. Kuwait 0.10 (5.7) 252.0 6.4
Saudi Int. Petrochem. Saudi Arabia 18.24 (3.7) 1,029.8 (3.5)
Nama Chemicals Co. Saudi Arabia 4.51 (3.2) 1,147.4 (27.3)
United Dev. Co. Qatar 21.88 (3.0) 513.3 6.0
Samba Financial Group Saudi Arabia 21.13 (2.9) 789.8 (13.2)
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)
QSE Top Losers Close* 1D% Vol. ‘000 YTD%
United Development Co. 21.88 (3.0) 513.3 6.0
Mazaya Qatar Real Estate Dev. 14.23 (1.9) 206.8 (1.1)
Doha Insurance Co. 18.00 (1.4) 9.1 (1.1)
Mesaieed Petrochemical Holding 15.40 (0.8) 138.7 (2.5)
Al Meera Consumer Goods Co. 175.00 (0.8) 23.0 (0.3)
QSE Top Value Trades Close* 1D% Val. ‘000 YTD%
Barwa Real Estate Co. 38.70 8.3 98,742.7 16.4
Masraf Al Rayan 41.50 1.1 65,893.1 10.4
QNB Group 146.00 (0.2) 21,711.3 (1.4)
Vodafone Qatar 9.19 (0.1) 16,734.2 (1.9)
Doha Bank 38.00 2.7 14,653.2 8.9
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* 10,653.83 0.7 0.8 0.5 2.1 99.14 156,707.2 15.5 1.6 3.8
Dubai 3,725.93 0.2 2.8 2.3 5.5 231.86 100,780.5 12.4 1.3 3.6
Abu Dhabi 4,574.20 0.6 2.9 0.6 0.6 59.45 119,209.1 11.9 1.4 5.3
Saudi Arabia 6,967.40 (1.0) (1.8) (1.9) (3.4) 1,177.30 434,941.9 17.2 1.6 3.4
Kuwait 6,655.53 1.1 (2.7) (2.6) 15.8 159.01 96,116.5 22.9 1.2 3.6
Oman 5,827.70 0.1 0.4 0.9 0.8 10.05 23,391.7 10.9 1.2 4.9
Bahrain 1,310.04 (0.0) 0.2 0.5 7.3 3.12 20,404.1 9.4 0.4 4.3
Source: Bloomberg, Qatar Stock Exchange, Tadawul, Muscat Securities Exchange, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any)
10,550
10,600
10,650
10,700
9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00

2. Page 2 of 6
Qatar Market Commentary
 The QSE Index rose 0.7% to close at 10,653.8. The Real Estate and Banks &
Financial Services indices led the gains. The index rose on the back of
buying support from non-Qatari shareholders despite selling pressure from
Qatari and GCC shareholders.
 Barwa Real Estate Co. and Islamic Holding Group were the top gainers,
rising 8.3% and 3.5%, respectively. Among the top losers, United
Development Co. fell 3.0%, while Mazaya Qatar Real Estate Development
was down 1.9%.
 Volume of shares traded on Wednesday rose by 28.7% to 10.9mn from
8.5mn on Tuesday. Further, as compared to the 30-day moving average of
8.7mn, volume for the day was 25.4% higher. Barwa Real Estate Co. and
Vodafone Qatar were the most active stocks, contributing 23.7% and 16.7%
to the total volume, respectively.
Source: Qatar Stock Exchange (* as a % of traded value)
Ratings, Earnings Releases, Global Economic Data and Earnings Calendar
Ratings Updates
Company Agency Market Type* Old Rating New Rating Rating Change Outlook Outlook Change
Aldar Properties Moody's
Abu
Dhabi
IR Baa3 Baa2  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, IR- Issuer Rating)
Earnings Releases
Company Market Currency
Revenue (mn)
4Q2016
% Change
YoY
Operating Profit
(mn) 4Q2016
% Change
YoY
Net Profit
(mn) 4Q2016
% Change
YoY
United Foods Co.* Duabi AED 402.2 0.5% – – 26.2 -5.8%
Takaful Emarat Insurance* Dubai AED – – – – 15.0 46.9%
Int. Fish Farming Holding Co.* Abu Dhabi AED 384.5 8.6% 13.1 379.2% 30.1 -46.7%
Sharjah Group Co.* Abu Dhabi AED 15.2 6.5% – – 19.7 28.1%
AL Khaleej Investment* Abu Dhabi AED 27.7 13.9% 24.2 19.0% 30.8 12.2%
Source: Company data, DFM, ADX, MSM, TADAWUL (*FY 2016)
Global Economic Data
Date Market Source Indicator Period Actual Consensus Previous
02/08 US Mortgage Bankers Association MBA Mortgage Applications 3-February 2.3% – -3.2%
02/08 India Reserve Bank of India RBI Repurchase Rate 8-February 6.3% 6.0% 6.3%
02/08 India Reserve Bank of India RBI Reverse Repo Rate 8-February 5.8% 5.5% 5.8%
Source: Bloomberg (s.a. = seasonally adjusted; n.s.a. = non-seasonally adjusted; w.d.a. = working day adjusted)
Earnings Calendar
Tickers Company Name Date of board meeting No. of days remaining Status
QISI Qatar Islamic Insurance 12-Feb-17 3 Due
QOIS Qatar & Oman Investment 15-Feb-17 6 Due
QFLS Qatar Fuel Company 16-Feb-17 7 Due
CBQK Commercial Bank 21-Feb-17 12 Due
ORDS Ooredoo 22-Feb-17 13 Due
QNNS Qatar Navigation (Milaha) 26-Feb-17 17 Due
Source: QSE
Overall Activity Buy %* Sell %* Net (QR)
Qatari Individuals 40.71% 41.63% (3,296,745.65)
Qatari Institutions 29.64% 31.42% (6,442,841.54)
Qatari 70.35% 73.05% (9,739,587.19)
GCC Individuals 0.81% 0.62% 698,884.19
GCC Institutions 3.26% 7.67% (15,942,808.82)
GCC 4.07% 8.29% (15,243,924.63)
Non-Qatari Individuals 10.67% 10.46% 753,955.06
Non-Qatari Institutions 14.91% 8.20% 24,229,556.76
Non-Qatari 25.58% 18.66% 24,983,511.82

3. Page 3 of 6
News
Qatar
 MCGS net profit surges 517.2% QoQ in 4Q2016 – Medicare Group’s
(MCGS) 4Q2016 net profit increased 517.2% QoQ to QR29.65mn
as compared to QR4.80mn in 3Q2016. However, on YoY basis net
profit fell 42.5% in 4Q2016. Earnings per share (EPS) amounted to
QR2.31 in 2016 as compared to QR6.41 in 2015. The board of
directors recommended distribution of 30% cash of the nominal
share value, which is equivalent to QR3.00 per share. (QSE)
 QIMD’s net profit falls 53.4% QoQ in 4Q2016 – Qatar Industrial
Manufacturing Company’s (QIMD) net profit declined 53.4% QoQ
to QR30.72mn in 4Q2016 as compared to QR65.92mn in 3Q2016.
On YoY basis, net profit declined 9.1% in 4Q2016. Earnings per
share (EPS) amounted to QR4.08 in 2016 as compared to QR3.55
in 2015. The board of directors recommended distribution of
dividend, amounting to 30% of the nominal shares, for 2016.
(QSE)
 QInvest revenue rises 6% to QR416mn in 2016 – QInvest has seen a
6% increase in its revenue to QR416mn and a 3% rise in operating
profits to QR220mn in 2016. The company’s net profits stood at
QR22.5mn in 2016, following a prudent provisioning policy that
will enable the firm to absorb any unpredictable market shocks
without interruption to its business. The bank, licensed by the
Qatar Financial Centre Authority and authorized by the Qatar
Financial Centre Regulatory Authority, has also seen its assets
scaling up 5% to QR4.7bn. Revenues during the year came from
across all three business lines – investment banking, principal
investments and asset management. They were generated from a
variety of activities including advisory services, financing
activities, private equity and fund investments, in addition to fees
from discretionary managed accounts. These revenues were also
generated across multiples geographies, which demonstrated the
diversity and strength of all of the business lines. (Gulf-Times.com)
 Qatar inflation may pick up gradually on growing economic activity
– Qatar’s inflation is expected to gradually accelerate on the back
of strengthening economic activity. Consensus forecast panelists
expect inflation to average 2.7% in 2017 and 3.1% in 2018.
According to Focus Economics, Qatar’s economy closed 2016 on a
mixed note. The economic growth for the year likely decelerated to
the lowest level in two decades, weighed down by the effects of the
oil price downturn. However, the government has made laudable
efforts to attempt to compensate for the shortfall in oil-related
revenues while sparing major infrastructure investments related
to the 2022 World Cup and the Vision 2030 development plan, the
cornerstones of Qatar’s non-hydrocarbon growth. Although the
government is expected to roll out additional fiscal consolidation
measures this year, the country will benefit from a more benign oil
price environment, an increase in infrastructure outlays and a
pick-up in business activity. (Gulf-Times.com)
 GISS announces the agenda for its ordinary and extraordinary
general assembly meeting on February 26 – Gulf International
Services (GISS) announced the agenda for its Ordinary and
Extraordinary General Assembly Meeting, to be on February 26,
2017. If the quorum is not met, the meetings will be held on March
12, 2017 at the same location. The agenda for the Ordinary General
Assembly Meeting is to listen to the Chairman’s Message for the
financial year ended December 31, 2016, listen and approve the
board of directors’ report on GISS operations and financial
performance for the financial year ended December 31, 2016, and
the future plans of the company, listen and approve the Auditors’
Report on GISS consolidated financial statements for the financial
year ended December 31, 2016, approval of GISS financial
statements for the financial year ended December 31, 2016,
approve the board’s recommendation for a dividend payment of
QR1 per share, representing 10% of the nominal share value,
absolve the Board of Directors from responsibility for the year
2016 and approve their remuneration. (QSE)
 UDCD announces the agenda for its ordinary general assembly
meeting on March 13 – United Development Company’s (UDCD)
Annual Ordinary General Assembly Meeting, which will be held on
March 13, 2017. The board will debate the Meeting agenda below.
In the event a quorum is not reached, a second meeting will be
held on March 20, 2017. Agenda for the Annual General Assembly
Meeting are as follows: Hear the Board of Director’s report on the
company’s activities and its financial position for the financial year
ending December 31, 2016, and the future plan of the company,
hear and ratify the Auditor’s report on the fiscal year ending
December 31, 2016, the Company's balance sheet, and the loss and
profit accounts, for the fiscal year ending December 31, 2016,
discuss the board of director’s recommendation regarding the
distribution of QR442,607,813 as dividends, equivalent to 12.5 %
of the initial value of QR1.25 for each share, discharge members of
the board of directors from liability for the year ending December
31, 2016, and approve their remuneration, the Corporate
Governance Report for the year 2016 and appoint the External
Auditors for the fiscal year 2017 and determine their fees. (QSE)
 MPHC announces the agenda for its ordinary and extraordinary
general assembly meeting on March 6 – Mesaieed Petrochemical
Holding Company (MPHC) announced the agenda for its Ordinary
and Extraordinary General Assembly Meeting, to be held on March
6, 2017. If the quorum is not met, the meetings will be held on
March 15, 2017. The agenda for the Ordinary General Assembly
Meeting is as follows: listen to the Chairman’s Message for the
financial year ended December 31, 2016, listen and approve the
Board of Directors’ Report on MPHC’s operations and financial
performance for the financial year ended December 31, 2016, and
the future plans of the Company, listen and approve the Auditors’
Report on MPHC’s consolidated financial statements for the
financial year ended December 31, 2016, approval of MPHC’s
financial statements for the financial year ended December 31,
2016 and approve the 2016 Corporate Governance Report,
approve the Board’s recommendation for a dividend payment of
QR0.6 per share, representing 6% of the nominal share value,
absolve the Board of Directors from responsibility for the year
2016 and approve their remuneration, appointment of the
external auditors for the financial year ending December 31, 2017
and approve their fees. (QSE)
 SIIS’ subsidiary Salam Technology been awarded a project at the
new port no. NPP-0067 – Salam International’s (SIIS) subsidiary
Salam Technology has been awarded a project at the new port no.
NPP-0067 which entails setting up its general networks system.
Whereby the committee in charge contracted with the subsidiary
for the setting up and implementation of the general networks
system of the port, valuing the project at QR1.2bn which equates
to approximately $322mn. The subsidiary was selected from a
short list after having fought off fierce competition of which were
international companies specialized in technology and IT systems.
(QSE)
International
 UK house price growth edges up after December slowdown –
British house price growth became slightly more broad-based last
month after slowing in December for the first time since just after
June's vote to leave the EU. The Royal Institution of Chartered
Surveyors (RICS) said its house price balance rose to +25 in
January after dipping to +23 in December, its first fall since July,
bucking expectations in a Reuter’s poll for a further modest loss of
pace. Over the next five years, RICS said its members expected

4. Page 4 of 6
average British house prices to increase by just under 20%, while
rents were seen rising by more than 25%. Britain's housing
market has held up more strongly than expected since June's
Brexit vote, but RICS reported static demand from new buyers in
January. Just 5 percent of surveyors reported higher demand, the
lowest since August. (Reuters)
 Japan logs biggest current account surplus since 2007 – Japan
attained its second-biggest current account surplus on record in
2016, Ministry of Finance data showed, just days before the US and
Japanese leaders meet for talks with trade surpluses and currency
valuations expected to be high on the agenda. The $183.63bn
surplus reflected the trade balance swinging into surplus on
cheaper oil, rising foreign tourists arrivals creating a record travel
surplus, and hefty foreign income from overseas investments. For
the whole of 2016, Japan posted a trade surplus of $59.95bn with
the US, down 4.6% from 2015, with US-bound car shipments rising
for a second straight year, the Ministry of Finance said. Trump and
Japanese Prime Minister Shinzo Abe are scheduled to meet for
talks later this week. Trump said he and Abe would play a round of
golf, with Abe as his partner in the game, rather than a competitor.
(Reuters)
 Japan machinery orders rebound, trade protectionism poses risk –
Japan's core machinery orders rebounded more than expected in
December from the prior month's fall and are seen rising again this
quarter - an encouraging sign of a pick-up in capital expenditure.
The Cabinet Office data showed core orders, a highly volatile data
series regarded as an indicator of capital spending in the coming
six to nine months, grew 6.7% in December, the fastest month-on-
month gain in six months. Japanese policymakers hope capital
spending will help drive growth in the world's third-largest
economy and pull it out of deflation and stagnation. By sector, core
orders from manufacturers rose 1.0% in December, following a
9.8% gain the previous month. Orders from the services sector
rose 3.5% after a 9.4% decline in November. (Reuters)
 RBI signals end to rate cuts as inflation risks rise – The Reserve
Bank of India (RBI) kept its policy rate on hold on February 8 and
unexpectedly signaled an end to its longest easing cycle since the
global financial crisis, saying inflation poses a bigger threat to the
economy than a crackdown on black money. After keeping the
repo rate on hold at 6.25% for a second meeting in a row, the RBI
also changed its stance to "neutral" from "accommodative",
stunning bond investors who had bet the RBI would ease by 25
basis points, either this week or at its next policy review in April.
The new stance could effectively mark an end to a period in which
the RBI cut interest rates by a total of 175 bps from January 2015
to October 2016, starting with previous Governor Raghuram Rajan
and continuing under Urjit Patel. (Reuters)
 Brazil's falling inflation fuels rate cut bets – Consumer prices rose
less than expected in Brazil in January for the fifth straight month,
increasing the chances of steeper interest rate cuts and a stronger
economic recovery as the inflation rate falls toward the
government's long-missed target. The annual inflation rate eased
to 5.35% in the 12 months through January, below economists'
expectations of 5.41%. Prices rose 0.38% from a month earlier, the
smallest rise for January since 1994. (Reuters)
Regional
 Complexity main reason for GCC muted Sukuk issuance – S&P
Global Ratings said that lower liquidity in GCC banking systems is
not the main driver of muted Sukuk issuance in recent years. Some
market participants believe that the liquidity drop in Gulf
countries, where the majority of Sukuk investors are based,
explains the lower issuances volumes. S&P Global Ratings’ Global
Head of Islamic Finance, Dr. Mohamed Damak said, “We see
liquidity in GCC as adequate in a global comparison, though, and
believe that the less supportive economic environment is
translating into fewer growth opportunities, which could actually
encourage banks to reallocate liquidity in the bond and Sukuk
market, ultimately leading to an uptick in issuance volumes. We
think that the latter factor is one of the main reasons behind
muted Sukuk issuance in 2016 and believe it will continue to
weigh on volumes in 2017.” The decision to issue Sukuk or bonds
ultimately lies with the issuer and depends on many factors. These
include the cost of issuance, the capacity of the market to absorb
the transaction, the issuer’s target investor base, how ready the
issuer’s regulatory and legal environment is for Sukuk issuance,
and the complexity of structuring Sukuk. The Islamic finance
industry remains dominated by banking, which accounted for over
80% of the industry’s $2.1tn assets at year-end 2016.
(GulfBase.com)
 Islamic finance body drafts new standard for centralized Sharia
boards – A global body for Islamic finance has issued a draft
standard on centralized Sharia boards, aiming to improve
corporate governance in the industry and increase the consumer
appeal of Sharia-compliant financial products. The proposed rules
come at a time when Islamic banks are trying to widen their
appeal to consumers in core markets of the Middle East and
Southeast Asia, while opening up entirely new ones particularly
across Africa. Islamic banks have traditionally established internal
Sharia boards, employing scholars to rule on whether their
products are religiously permissible. Such self-regulation proved
useful in the early years of the industry, but the establishment of
independent Sharia boards at the national level to encourage
homogeneous transactions that are cheap and quick to structure is
gaining traction. (Reuters)
 A M Best: Mideast insurers face ‘significant’ investment risks –
According to a global insurance credit rating agency A M Best, the
Middle Eastern insurers and reinsurers are well-capitalized but
fiscal budget pressures and pockets of political instability mask
their strong balance sheets. Highlighting that regulatory demands
help drive capital levels, its report said the regional players face
“significant” investment risks as equity markets face illiquidity
issues in certain jurisdictions. Finding that shares are often tightly
held, with trading volumes lower than those in more mature
bourses, as investment markets tend to be volatile, companies
tend to be well capitalized to offset these risks. Sound
capitalization has also been driven in part by more stringent
regulatory demands in some countries on certain pressures on
companies’ management and balance sheets, finding that in
particular, the profitability of (re)insurers in Saudi Arabia and the
UAE are being affected as regulators are enforcing regular
actuarial reserving requirements and pricing reviews. (Gulf-
Times.com)
 S&P: GCC sovereigns aim to raise $275bn – GCC sovereigns
financing will need an estimated $275bn over the next three years.
According to S&P Global Ratings, these countries will
predominantly use debt financing. Sukuk comprise only a small
amount of total outstanding issuance, however work has been
carried out by various governments over the past few years,
particularly by Kuwait and Saudi Arabia, to establish the necessary
legal frameworks for their issuance. With the backdrop of
weakening global liquidity, this potential source of financing could
become a more attractive financing prospect for GCC governments
and is an additional source of external liquidity relevant for our
sovereign rating analysis. On the liquidity decline in the GCC
banking system, the ratings agency noted, the liquidity issue does
not appear to have been a main factor in lower Sukuk issuance
over 2016. (Peninsula Qatar)
 Prospects for tourism growth in Saudi Arabia bright – The cultural,
leisure and tourism landscape in Saudi Arabia is changing quite

5. Page 5 of 6
rapidly and the scale of opportunity, particularly from domestic
tourism growth, is significant. According to Colliers International,
at a total contribution of SR190bn in 2015, travel and tourism is
currently the second highest contributor to Gross Domestic
Product (GDP) growth in Saudi Arabia, albeit from a relatively low
base compared to other countries in the GCC. With a compounded
annual growth rate (CAGR) of 7.4%, domestic tourism is forecast
to grow to an impressive 66mn trips per annum by 2020, up from
46.5mn, driven by growth in both religious and leisure tourism.
Moreover, with a CAGR of 4.8%, inbound tourism is forecast to
grow to over 32mn trips per annum by 2026, driven primarily by
growth in religious tourism in 2015, travel and tourism is
estimated to have attracted a capital investment of SR81.1bn. This
is forecast to rise by 4.2% in 2016 and by a further 4.4% per
annum over the next 10 years to SR130.5bn in 2026. It is projected
that travel and tourism’s share of total national investment will
rise from 12.5% in 2016 to 14.3% in 2026. (GulfBase.com)
 Saudia to receive 29 new aircraft in 2017 – A total of 11 Airbus
aircraft joined the fleet of Saudi Arabian Airlines in 2017, of which
three of them reached King Abdulaziz International Airport. The
national carrier will take delivery of another 29 aircraft during
2017. Saudia Director General Saleh Al-Jasser said Saudia would
have a fleet of 200 modern aircraft by the year 2020.
(GulfBase.com)
 Saudi Cement proposes 2H2016 cash dividend of SR2.75 per share –
Saudi Cement's board has proposed paying a cash dividend of
SR2.75 per share for 2H2016. This compares with a proposed
dividend of SR3 per share for the prior-year period. Saudi Cement,
one of the Kingdom's largest cement firms by market value, last
month reported a 6.3% increase in 4Q2016 net profit. (Reuters)
 Dubai sets a new tourism record – The city’s tourism department
said that Dubai welcomed record 14.9mn visitors, in 2016, as the
Gulf Emirate capitalized on its reputed safety in a region wracked
by turmoil. The Emirate aims to attract 20mn visitors annually by
2020 when it hosts the global trade fair Expo 2020. As turmoil hits
traditional tourism destinations in the Middle East and North
Africa, Dubai has benefitted from its reputation as a safe haven for
tourism and business. The number of visitors to Dubai in 2016
increased by 5% compared to the previous year. Travelers from
Gulf countries made up almost 23% of all visitors, with Saudi
Arabia’s alone accounting for almost half of them. The economy of
Dubai is seen as the most diversified in the Gulf, helped by trade
and tourism, and is not dependent on oil revenues. (GulfBase.com)
 Dubai Islamic Bank issues $1bn Sukuk – Dubai Islamic Bank
announced the successful pricing of the largest senior Sukuk
issuance by a financial institution globally. The $1bn Sukuk was
issued with a 5 year tenor, maturing on 14th February 2022. The
issuance of $5bn Sukuk Program carries a profit rate of 3.664%
reflecting the strong demand and confidence which global
investors have in the UAE’s largest Islamic bank. (GulfBase.com)
 DAMAC reaffirms position as luxury master developer – DAMAC
Properties, a leading luxury real estate developer in the region,
today announced a significant number of milestones achieved at
its premiere golf master planned community, featuring Trump
International Golf Club Dubai at its center. (GulfBase.com)
 Etihad sees challenging year as passenger growth slows – Etihad
Airways faces another challenging year, adding the Abu Dhabi-
based carrier would expand prudently and efficiently in 2017. Gulf
carriers are under pressure to adapt to slowing growth after years
of rapid expansion. Two weeks ago, Etihad said it was conducting a
company-wide strategic review and Hogan would step down in
2H2017. (Reuters)
 Kuwait’s KIPCO mandates banks for bond issue of up to $500mn, to
repurchase debt – Kuwait Projects Co. has mandated banks to
arrange a new US dollar-denominated bond issue of up to $500mn.
The new bond, which will have a 10-year maturity, will be part of
KIPCO’s existing $3bn Euro medium term note program. Citi,
HSBC, Kamco and JP Morgan have been appointed to arrange the
debt offer, which will be issued by KIPCO’s subsidiary Kuwait
Projects Co SPC Ltd, registered at the Dubai International Financial
Centre. Separately, HSBC invited holders of KIPCO’s outstanding
$500mn notes with a 4.8% coupon and due in 2019 to tender their
notes for repurchase. Holders of the notes will be able to sell them
for cash to HSBC at a price of 105.250%. (Reuters)

6. Contacts
Saugata Sarkar Shahan Keushgerian Zaid al-Nafoosi, CMT, CFTe
Head of Research Senior Research Analyst Senior Research Analyst
Tel: (+974) 4476 6534 Tel: (+974) 4476 6509 Tel: (+974) 4476 6535
saugata.sarkar@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa zaid.alnafoosi@qnbfs.com.qa
Mohamed Abo Daff QNB Financial Services Co. W.L.L.
Senior Research Analyst Contact Center: (+974) 4476 6666
Tel: (+974) 4476 6589 PO Box 24025
mohd.abodaff@qnbfs.com.qa Doha, Qatar
Disclaimer and Copyright Notice: This publication has been prepared by QNB Financial Services Co. W.L.L. (“QNBFS”) a wholly-owned subsidiary of QNB SAQ (“QNB”). QNBFS is regulated by the Qatar
Financial Markets Authority and the Qatar Exchange QNB SAQ 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. QNBFS accepts no liability whatsoever for any direct
or indirect losses arising from use of this report. Any investment decision should depend on the individual circumstances of the investor and be based on specifically engaged investment advice. We
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Page 6 of 6
Rebased Performance Daily Index Performance
Source: Bloomberg Source: Bloomberg
Source: Bloomberg Source: Bloomberg (*$ adjusted returns)
80.0
100.0
120.0
140.0
160.0
180.0
Jan-13 Jan-14 Jan-15 Jan-16 Jan-17
QSEI ndex S& PPanA r ab S& PGCC
(1.0%)
0.7%
1.1%
(0.0%)
0.1%
0.6%
0.2%
(1.4%)
(0.7%)
0.0%
0.7%
1.4%
SaudiArabia
Qatar
Kuwait
Bahrain
Oman
AbuDhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D%* WTD%* YTD%*
Gold/Ounce 1,241.48 0.6 1.7 7.7 MSCI World Index 1,802.26 0.3 (0.2) 2.9
Silver/Ounce 17.78 0.4 1.5 11.7 DJ Industrial 20,054.34 (0.2) (0.1) 1.5
Crude Oil (Brent)/Barrel (FM Future) 55.12 0.1 (3.0) (3.0) S&P 500 2,294.67 0.1 (0.1) 2.5
Crude Oil (WTI)/Barrel (FM Future) 52.34 0.3 (2.8) (2.6) NASDAQ 100 5,682.45 0.1 0.3 5.6
Natural Gas (Henry Hub)/MMBtu 3.05 0.5 1.6 (17.2) STOXX 600 363.94 0.4 (0.8) 2.1
LPG Propane (Arab Gulf)/Ton 80.00 4.2 (8.0) 11.5 DAX 11,543.38 (0.0) (1.7) 2.0
LPG Butane (Arab Gulf)/Ton 120.00 6.2 0.0 23.7 FTSE 100 7,188.82 0.4 0.2 2.2
Euro 1.07 0.1 (0.8) 1.7 CAC 40 4,766.60 0.3 (2.0) (0.6)
Yen 111.93 (0.4) (0.6) (4.3) Nikkei 19,007.60 0.7 1.2 3.8
GBP 1.25 0.3 0.5 1.6 MSCI EM 921.68 0.2 0.3 6.9
CHF 1.01 0.3 (0.2) 2.4 SHANGHAI SE Composite 3,166.98 0.6 0.2 3.0
AUD 0.76 0.2 (0.5) 6.1 HANG SENG 23,485.13 0.7 1.5 6.7
USD Index 100.28 0.0 0.4 (1.9) BSE SENSEX 28,289.92 0.4 0.3 7.8
RUB 59.18 (0.5) 0.3 (3.8) Bovespa 64,835.40 1.3 (0.3) 12.3
BRL 0.32 0.1 0.0 4.4 RTS 1,164.65 (1.2) (2.2) 1.1
127.5
106.4
104.1