The QSE Index in Qatar declined 0.8% led by losses in the Insurance and Industrials indices. Gulf International Services and Salam International Investment were the top losers. Trading volume fell 41.4% compared to the 30-day average. In other GCC markets, Abu Dhabi rose 0.3% while Dubai fell marginally and other indices declined. Ooredoo Qatar set a new world record for mobile broadband speed.

1. Page 1 of 6
QSE Intra-Day Movement
Qatar Commentary
The QSE Index declined 0.8% to close at 12,640.7. Losses were led by the Insurance and Industrials indices, declining 1.3% and 1.1%, respectively. Top losers were Gulf International Services and Salam International Investment, falling 3.0% and 2.8%, respectively. Among the top gainers, Gulf Warehousing Co. rose 3.5%, while Vodafone Qatar was up 1.1%.
GCC Commentary
Saudi Arabia: The TASI Index declined 0.2% to close at 8,941.5. Losses were led by Insurance and Petrochemical Industries indices, falling 1.6% and 1.0% respectively. Malath Insurance fell 9.8%, while YANSAB was down 8.1%.
Dubai: The DFM Index fell marginally to close at 4,170.2. The Services index fell 5.9%, while the Transportation index was down 0.9%. Al Salam Group fell 7.4%, while TABREED was down 5.9%.
Abu Dhabi: The ADX benchmark index rose 0.3% to close at 4,717.1. The Services gained 4.3%, while the Real Estate index was up 1.3%. Abu Dhabi National Hotels rose 14.5%, while Gulf Cement Co. was up 5.6%
Kuwait: The KSE Index declined 0.4% to close at 6,749.4. The Oil & Gas and the Banks indices fell 2.0% and 1.1% respectively. Contracting & Marine Services Co. declined 8.8%, while Gulf Glass Manufacturing was down 7.3%.
Oman: The MSM Index fell 4.1% to close at 6,304.3. Losses were led by Financial and Industrial indices, declining 3.5% and 2.4%, respectively. Raysut Cement fell 9.9%, while Oman Cement was down 9.8%.
Bahrain: The BHB Index declined 0.6% to close at 1,411.8. The Commercial Bank fell 1.3%, while the Service index was down 0.4%. Ithmaar Bank declined 6.1%, while Al Salam Bank - Bahrain was down 5.1%.
QSE Top Gainers Close* 1D% Vol. ‘000 YTD%
Gulf Warehousing Co.
61.50
3.5
368.0
48.2 Vodafone Qatar 17.21 1.1 543.9 60.7 Islamic Holding Group 221.50 0.8 148.5 381.5 National Leasing 22.20 0.7 18.0 (26.4) Barwa Real Estate Co. 46.10 0.7 340.4 54.7
QSE Top Volume Trades Close* 1D% Vol. ‘000 YTD%
Ezdan Holding Group
17.00
(1.1)
795.8
0.0 Salam International Investment Co. 15.85 (2.8) 545.3 21.8
Vodafone Qatar
17.21
1.1
543.9
60.7 Masraf Al Rayan 46.50 0.6 528.8 48.6
Gulf Warehousing Co.
61.50
3.5
368.0
48.2
Market Indicators 07 Dec 14 04 Dec 14 %Chg.
Value Traded (QR mn)
291.7
565.6
(48.4) Exch. Market Cap. (QR mn) 691,143.3 696,899.0 (0.8)
Volume (mn)
5.7
9.6
(41.4) Number of Transactions 3,628 5,746 (36.9)
Companies Traded
40
41
(2.4) Market Breadth 11:26 31:6 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return
18,853.44
(0.8)
(0.8)
27.1
N/A All Share Index 3,229.52 (0.8) (0.8) 24.8 15.4
Banks
3,209.72
(0.9)
(0.9)
31.3
14.9 Industrials 4,184.40 (1.1) (1.1) 19.6 14.6
Transportation
2,329.15
0.3
0.3
25.3
13.7 Real Estate 2,511.11 (0.6) (0.6) 28.6 22.0
Insurance
3,739.44
(1.3)
(1.3)
60.1
11.5 Telecoms 1,446.17 0.6 0.6 (0.5) 20.1
Consumer
7,275.74
(0.4)
(0.4)
22.3
29.2 Al Rayan Islamic Index 4,324.25 (0.2) (0.2) 42.4 18.0
GCC Top Gainers## Exchange Close# 1D% Vol. ‘000 YTD%
Abu Dhabi Nat. Hotels
Abu Dhabi
3.55
14.5
10.0
14.5 A. Al Othaim Markets Saudi Arabia 110.02 6.3 460.6 76.4
United Int. Transport
Saudi Arabia
74.68
5.9
296.5
38.8 Al Tayyar Saudi Arabia 123.88 5.4 395.5 44.7
Mobile Telecom. Co.
Saudi Arabia
7.79
4.6
56,530.0
(16.2)
GCC Top Losers## Exchange Close# 1D% Vol. ‘000 YTD%
Invest Bank
Abu Dhabi
2.70
(10.0)
37.1
10.4 Raysut Cement Co. Oman 1.73 (9.9) 909.6 (14.4)
Oman Cement Co.
Oman
0.57
(9.8)
579.0
(30.8) Ooredoo Oman 0.61 (8.4) 721.7 1.3
Yanbu Nat. Petrochem.
Saudi Arabia
51.69
(8.1)
2,501.0
(29.9)
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) QSE Top Losers Close* 1D% Vol. ‘000 YTD%
Gulf International Services
97.50
(3.0)
225.4
99.8 Salam International Investment 15.85 (2.8) 545.3 21.8
QNB Group
205.70
(1.8)
174.9
19.6 Qatar Insurance Co. 86.50 (1.7) 47.9 62.6
Qatar German Co. for Med. Dev.
10.83
(1.5)
8.3
(21.8)
QSE Top Value Trades Close* 1D% Val. ‘000 YTD%
QNB Group
205.70
(1.8)
36,168.2
19.6 Islamic Holding Group 221.50 0.8 32,871.5 381.5
Masraf Al Rayan
46.50
0.6
24,469.9
48.6 Gulf International Services 97.50 (3.0) 22,439.4 99.8
Gulf Warehousing Co.
61.50
3.5
22,392.0
48.2
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*
12,640.67
(0.8)
(0.8)
(0.9)
21.8
80.10
189,787.9
16.3
2.0
3.7 Dubai 4,170.19 (0.0) (0.0) (2.6) 23.8 107.02 94,305.3 12.9 1.6 4.8
Abu Dhabi
4,717.07
0.3
0.3
0.9
9.9
39.20
127,976.1
12.8
1.6
3.5 Saudi Arabia 8,941.45 (0.2) (0.2) 3.7 4.8 1,778.24 516,601.8 16.4 2.1 3.2
Kuwait
6,749.40
(0.4)
(0.4)
(0.1)
(10.6)
31.08
102,163.7
16.8
1.1
4.0 Oman 6,304.29 (4.1) (4.1) (3.1) (7.8) 18.06 23,994.3 8.8 1.4 4.5
Bahrain
1,411.78
(0.6)
(0.6)
(1.2)
13.0
1.42
53,832.9
10.2
0.9
4.8
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)
12,40012,50012,60012,70012,8009:3010:0010:3011:0011:3012:0012:3013:00

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Qatar Market Commentary
 The QSE Index declined 0.8% to close at 12,640.7. The Insurance and Industrials indices led the losses. The index fell on the back of selling pressure from non-Qatari shareholders despite buying support from Qatari shareholders.
 Gulf International Services and Salam International Investment. were the top losers, falling 3.0% and 2.8% respectively. Among the top gainers, Gulf Warehousing Co. rose 3.5%, while Vodafone Qatar was up 1.1%.
 Volume of shares traded on Sunday fell by 41.4% to 5.7mn from 9.6mn on Thursday. Further, as compared to the 30-day moving average of 14.1mn, volume for the day was 59.9% lower. Ezdan Holding Group and Salam International Investment Co. were the most active stocks, contributing 14.1% and 9.6% to the total volume respectively.
Source: Qatar Stock Exchange (* as a % of traded value)
News
Qatar
 KCBK financing pipeline JV for QR900mn Doha reservoirs project – Al Khalij Commercial Bank (KCBK) has decided to extend finance to a JV between Boom Construction Company and CAT International Qatar for the development of transmission pipelines for a mega reservoirs project around Doha. The bank said that the total value of this major infrastructure project exceeds QR900mn, which was recently awarded by Qatar General Electricity & Water Corporation (Kahramaa). KCBK has been involved in supporting projects that cater to the needs of infrastructure sector in the country. Recently, it extended financing for a road construction contract awarded to a JV between Boom Construction Company and Six Construct Qatar. (Gulf-Times.com)
 NBK: Qatar’s dynamic non-hydrocarbon sector to drive growth – According to the latest economic report published by the National Bank of Kuwait (NBK), the non-hydrocarbon sector in Qatar has posted double-digit growth in recent years backed by the government’s implementation of its $210bn program of infrastructure investments. Driven by robust growth in the non- hydrocarbon sector, Qatar’s economic expansion is expected to gain further momentum in 2015 and 2016, rising 6.5% and 7.0% YoY respectively, from an estimated 6.1% YoY in 2014. Output gains are expected to be broad-based with construction, financial services, trade and hospitality leading the way with a growth of above 10% YoY. Reflecting the pick-up in momentum, the value of contracts awarded in the country’s projects market reached $25.6bn by the end of 3Q2014, crossing the $23.1bn awarded during the entire 2013. Transportation projects such as the $28.8bn Qatar Integrated Railway and the $14.6bn local roads & drainage program dominated the contracts awarded in 2014. Other high profile projects under implementation include the $33.0bn Lusail Mixed-Use Development, the $10.3bn Barzan gas production facility and the $7.0bn New Doha Port. Gross investments as a share of GDP are expected to reach 30% in 2014 as the government ramps up its investment spending. However, fiscal and current account surpluses are expected to narrow going forward, with public expenditure and imports outpacing revenues and exports. The accommodative fiscal and monetary environment is likely to persist in the near- term, further supporting asset prices and equities. Consumer price inflation is set to rise stoked by rising rents, which reflect the limited housing supply and burgeoning population growth. (Bloomberg)
 ORDS breaks world record in mobile broadband speed – Ooredoo Qatar (ORDS), along with partners Nokia Networks and China Mobile, has set a new world record in mobile
broadband speed with over 4.1 Gbps speed over the TDD-FDD LTE network. This was showcased at the ITU Telecom World 2014, which is being held at Qatar National Convention Centre. Meanwhile, ORDS’ Chairman HE Sheikh Abdullah bin Mohamed bin Saud Al-Thani said Qatar is on its way to becoming a “smart nation” in the coming years, highlighting that the ultimate goal is to become the best-connected country in the world. (Gulf- Times.com)
 ictQATAR launches beta version of Qatar’s ICT Observatory – The Ministry of Information & Communications Technology (ictQATAR) has initiated the beta version of the ICT Observatory, a central platform of ICT-related data and statistics on Qatar that is accessible to both government entities and the public. The ICT Observatory is part of a government effort to open up more data to the public to further increase government transparency and accountability. The observatory will be a trusted source of information on Qatar’s ICT landscape, supporting important policy-making and evaluation activities, as well as reducing research investments among enterprises and other organizations on ICT-related topics. (Gulf-Times.com)
 Total Marketing signs supply deal with Q-Auto – Total Marketing Qatar has signed an exclusive five-year supply agreement with Q-Auto to supply its premium engine oil product, ‘Total Quartz 9000’, for Q-Auto’s Audi and Volkswagen range of cars. (Gulf-Times.com)
 QA launches flights to Asmara – Qatar Airways (QA) has continued its expansion into Africa with the launch of services to its 12th new destination in 2014, Eritrean capital Asmara. Launched on December 4, the new route provides passengers with two weekly flights, connecting Asmara via Doha to more than 140 destinations around the world. (Gulf-Times.com)
International
 US oil output growth to slow as global prices sink – The US President Barack Obama's Chief Economic Adviser, Jason Furman said that the country will continue to boost its oil production, but falling global prices will slow down the pace. After Saudi Arabia recently blocked calls from poorer members of the OPEC group for production cuts to halt a slide in global prices, some analysts speculated that Saudi Arabia might be willing to live with lower prices to stop the US oil production efforts. Brent crude slipped below $69 a barrel on December 5 to end the week below $70 a barrel for the first time since 2010, as cuts to official selling prices from Saudi Arabia added to recent pressure. (Reuters)
 Merkel: France, Italy must do more on reforms – German Chancellor Angela Merkel said that both France and Italy Overall Activity Buy %* Sell %* Net (QR)
Qatari
65.52%
64.96%
1,636,948.46 Non-Qatari 34.48% 35.04% (1,636,948.46)

3. Page 3 of 6
needed to do more on the reforms front to ensure that their 2015 budgets adhere to the European Union (EU) fiscal rules. Recently, the European Commission postponed a decision until March 2015 on whether the budgets of both countries conformed to EU rules, while making it clear that France was at risk of non-compliance. Unless further steps are taken by the new deadline, the Commission could fine France for falling short of its deficit-cutting obligations and put Italy under a disciplinary process because of its debt levels. Merkel said giving France and Italy more time to finalize their reform plans was justifiable. For 2015, the commission has got new powers to assess draft national budgets to ensure they are in line with EU agreements, but insisting that countries introduce additional reforms remains a politically sensitive issue. (Reuters)
 Moody’s: European banks threatened by slowing growth – According to Moody’s Investors Service, European banks will be weakened further by poor economic conditions and high litigation costs in 2015. Moody’s said banks’ profits in the region, with the exception of the UK and Scandinavia, may be exposed to economic doldrums, hurting loan demand and the value of transactions. Moody’s Managing Director of EMEA Banking, Carola Schuler said weak macroeconomic conditions weigh on the European banking sector, and the low overall bottom-lines imply that the industry remains structurally vulnerable. The region’s banking industry may need to cut costs further and make more adjustments. (Bloomberg)
 Japan’s recession deepens as election looms for Abe; current account surplus rises – The recession in Japan has deepened more than estimated with company investment shrinking unexpectedly, which is a blow to Prime Minister Shinzo Abe as he campaigns for his re-election. The economy contracted an annualized 1.9% QoQ during 3Q2014, weaker than the 1.6% drop reported in the preliminary data. The surprise decline in business investment sapped the strength of the world’s third-biggest economy, compounding damage from a slump in consumer spending after a sales-tax rise in April. However, with the main opposition party caught unprepared, Abe is on-track to win the December 14 election. Meanwhile, data from the Ministry of Finance showed Japan's current account recorded a surplus for the fourth straight month in October, as a weak yen and income from investments overseas bolstered the balance of payments. The surplus stood at 833.4bn yen, against a Reuters median forecast for 366.3bn yen. A year ago, the current account had logged a deficit of 154.3bn yen in October 2013. (Bloomberg, Reuters)
 China exports up 4.7% YoY in November; international lending soars to $1.1tn – Exports from China rose 4.7% YoY in November, while imports dropped 6.7%, adding to concerns the world's second-largest economy could be facing a sharper slowdown. The General Administration of Customs said the readings left the country with a trade surplus of $54.5bn for the month. Economists polled by Reuters had expected an 8.2% rise in exports, a 3.9% rise in imports and a trade surplus of $43.5bn. Further, the annual economic growth slowed to 7.3% in 3Q2014, the weakest since the height of the global financial crisis – as the sagging housing market and tighter credit conditions weigh on the economy. Meanwhile, a quarterly report from the Bank for International Settlements (BIS) showed that China has become the largest emerging market destination for international bank lending, accounting for more than a quarter of cross-border claims. According to the BIS report, cross-border claims on China increased by $65bn in 2Q2014 to $1.1tn, and were up nearly 50% YTD-June 2014. The report stated China has become by far the largest emerging market borrower for BIS reporting banks. Outstanding cross-border claims on residents
of China totaled $1.1tn at end-June 2014, compared with $311bn on Brazil and slightly more than $200bn each on India and Korea. (Reuters)
Regional
 MEA set to see FDI surge on construction rebound – According to the ‘fDi Report 2014: Global Greenfield Investment Trends’, published by fDiIntelligence, a division of the Financial Times, greenfield foreign direct investments (FDI) in the Middle East and Africa (MEA) have expanded more than 24% YoY in 2013 and should grow further due to multitude of factors, especially the rebound of the construction sector. Despite the political uncertainty, Iraq was the largest recipient of FDI, making it a major reason for the surge in FDI inflows into MEA. The UAE remained the leading country in the MEA region for outward FDI. In 2013, the UAE was responsible for $14.68bn of outward capital investment, accounting for 30.56% of all outward investment from the region; while Qatar’s was $1.46bn or 3.04%. The real estate, hotels & tourism, ICT, renewable energy, business & financial services, building materials, ceramics & glass, transportation, warehousing and storage sectors all finished the year 2013 with an increase in FDI as compared to what it was in 2012. (Gulf-Times.com)
 Hong Kong hotel group eyes major expansion in GCC – Hong Kong-based Swiss Belhotel International group chairman and president, Gavin Faull, revealed that the group is planning to expand further in the UAE and other GCC countries to take advantage of the steady growth in the tourism sector in the region. He added that the group would open new hotels in 2015 in the Gulf and other countries of the Middle East. Swiss Belhotel International already has nearly 120 hotels and resorts worldwide including China, Vietnam, the Philippines, Indonesia, Australia, New Zealand, the UAE, Kuwait, Qatar, Bahrain, Saudi Arabia, Oman and Iraq. (Bloomberg)
 WSA: Gulf steel sector poised to record major growth – According to a report by the World Steel Association (WSA), the Gulf steel sector is poised to record major growth as the GCC states are among the highest consumers of iron and steel products, well above the global average of 240 kg per person. The report revealed that the per capita consumption of finished steel is 323 kg in Saudi Arabia, 385 kg in Kuwait, 1,288 kg in Qatar and 1,309 kg in the UAE. The figures were released in connection with the announcement of the inaugural edition of Metal Middle East 2015, to be held from January 10-13, 2015 at the Dubai International Convention & Exhibition Centre. According to Jeen Joshua, Group Project Manager of Metal Middle East 2015, the UAE is regarded as the most important hub for trade between Europe and Asia as far as the metals industry is concerned. Huge investments in construction projects are dramatically driving this industry. (GulfBase.com)
 Jadwa: Kingdom’s real GDP to grow at 3.4% in 2015 – A report released by Jadwa Investment has forecasted a real GDP growth for Saudi Arabia at 3.4% and 3.2% for 2015 and 2016 respectively. According to Jadwa, the decision to cut official selling price (OSP) by Saudi Arabia, rather than production, shows that in a highly competitive global oil market, with ample supply from non-OPEC sources, prices are not a priority, for now, rather the expansion, or indeed maintenance, of market share is the primary objective. As a result, based on Jadwa baseline price forecast, Saudi production is not expected to fall too dramatically in the next two years. Jadwa projects the full year average production in 2014 to be at 9.7mn barrels per day (bpd), which is expected to decline slightly to 9.6mn bpd in 2015 and then to 9.4mn bpd in 2016. The non-noil private sector growth is forecasted at 4.8% and 4.6% in 2015 and 2016,

4. Page 4 of 6
respectively, growing at a slower pace as compared to the mid- 2000s, when a dynamic non-oil private sector grew at an average of more than 6% per year. (Bloomberg)
 Yansab proposes SR1.5 per share cash dividend for 2H2014 – Saudi Arabia's Yanbu National Petrochemical Company (Yansab) has proposed a cash dividend of SR1.5 per share for 2H2014. According to Thomson Reuters data, the figure is lower than the SR2 per share paid in 2H2013. Meanwhile, the company said it would be shutting its ethylene glycol plant in April 2015 for between 35 and 60 days for planned maintenance. The financial impact on the company from the maintenance work was estimated to be around SR450mn, which would be recorded in its 2Q2015 financials. (GulfBase.com)
 IDB approves $566mn for financing projects – The Board of Executive Directors of the Islamic Development Bank (IDB) approved $566mn for financing projects. The financing will cover energy, roads, petrochemicals, water, education, and health sectors. IDB allocated $220mn, out of the total, for the Egypt- Saudi electricity interconnection project. It will facilitate electricity supply between Saudi Arabia and Egypt with a maximum capacity of 3000MW. (GulfBase.com)
 Mars Saudi Arabia opens manufacturing plant in KAEC – Mars Saudi Arabia launched its state-of-the-art manufacturing facility in King Abdullah Economic City (KAEC), Rabigh. The new factory, which will produce a range of Galaxy brand chocolates, is the first food manufacturing facility in the Kingdom to achieve LEED — gold certification. Mars has invested $80mn in the factory till date, which reflects the company’s continued commitment toward world-class, sustainable manufacturing, and Mars’ confidence in the Kingdom’s strong leadership and dynamic workforce. (GulfBase.com)
 Saudi CMA approves capital increase request of SAIC – The Saudi Capital Market Authority (Saudi CMA) has approved Saudi Advanced Industries Company’s (SAIC) request to increase its capital from SR432mn to SR500mn through bonus issue. The bonus shares will be issued in the ratio of 1:6.35 to the registered shareholders at the conclusion of the day of the extraordinary general assembly, to be determined later by the company's board. The approval is conditional on the company satisfying the regulatory requirements of Companies Law and any other applicable laws. (Tadawul)
 SHB announces redemption of 2009 Mudaraba certificates – Saudi Hollandi Bank (SHB) announced the redemption of its 2009 Mudaraba Certificates (Sukuk), at their face value (100% of issue price) on December 31, 2014. The company has already received regulatory approval in this regard. The redemption amount, along with the periodic distribution amount (profit for the current period ending December 31, 2014), will be transferred to the certificate holders account on December 31, 2014 based on their respective holdings as of December 21, 2014 (the last date before the trading suspension period). (Tadawul)
 Buruj invites shareholders to attend EGM regarding capital increase – Buruj Cooperative Insurance Company’s Board of Directors’ invited shareholders, owning 20 or more shares, to attend the Extraordinary General Assembly Meeting (EGM), which will be held on January 20, 2015. The agenda of the meeting is to approve the increase in share capital through rights issue amounting to SR120mn. The rights issue will be eligible to the shareholders registered in the register of the Securities Depository Center (Tadawul) at the conclusion of the day of the EGM. (Tadawul)
 Tasnee to raise majority stake in Cristal subsidiary – Saudi Arabia's National Industrialization Company (Tasnee) has completed a SR1.8bn deal to raise its majority stake in its Cristal subsidiary by a further 13 percentage points. The transaction, in which Tasnee will acquire the stake from Gulf Investment Corp, is in line with the company's strategy to maximize its stakes in its subsidiaries. The purchase price will be paid in installments over four months from the agreement date. (Reuters)
 Saudi-US alliance to invest SR4.88bn in Moroccan projects – A Saudi Arabia-US alliance has agreed to allocate SR4.88bn to finance investment projects in the tourism, recreation, and health fitness sectors across Morocco. The Riyadh-based Knowledge Corner Marketing & Business Services, on behalf of a group of US companies, has entered into an agreement with the Moroccan Taroudant province to establish a number of investment projects on an 8.7mn square meters (sqm) land in the province. Under the terms of the agreement, a 2.5mn sqm land is demarcated for a hotel, a tourist resort and a golf playground, which are likely to attract about two million tourists a year from the Gulf, Europe and African countries. Another 200,000 sqm land has been allocated for a ready-to-mix concrete project, for low-cost construction of houses, schools, hotels and other facilities compatible with the environment, while additional 200,000 sqm is demarcated for a medical spa specializing in weight loss and health solutions for women. (GulfBase.com)
 NCB: Plastics remain largest contributor to Saudi non-oil exports – The National Commercial Bank (NCB) in its “Saudi Economic Review” report said that plastics remain the largest category by contribution on the exports side of the Saudi economy valued at SR5.6bn. Plastics export surged by 9.2% YoY in September 2014, accounting for 34.7% of the monthly non-oil exports, despite the downward-trending oil prices. Exports of chemical industry products were valued at SR5.4bn, accounting for 30.4% of non-oil exports. The Kingdom’s largest trade partner remained China which represents around 12.9% of the export revenue. Although China’s share remained the highest, it tumbled by 12.9% in value terms, recording SR2.2bn. (GulfBase.com)
 Emirates NBD introduces free local transfers to any bank in UAE – Emirates NBD announced the launch of a campaign offering free local transfers to any bank account in the UAE. As part of the campaign, all individual customers of the bank will be able to transfer money to any other bank in the UAE at no fee, while using digital channels including online, mobile and select ATMs. (Bloomberg)
 UAE-Egypt alliance expands to desert wheat venture – Egypt and two companies from the United Arab Emirates, Al Dahra and Jenaan, have embarked on an ambitious plan to grow wheat in the desert that could boost the Cairo government's credibility if successful. Within a couple of years, the UAE companies plan to grow and sell several hundred thousand tons of wheat to the Cairo government -- equivalent to around 10% of the domestic crop bought annually from farmers. Al Dahra and Jenaan said the decision to grow wheat in the East Oweinat and Toshka regions of Egypt was made in consultation with the Emirati authorities. However, low yields, poor soil quality and uncertain water supplies make such a venture seem reckless. (Reuters)
 DEWA completes building AED246mn Al Lusaily water reservoir – Dubai Electricity and Water Authority (DEWA) has completed building the water reservoir at Al Lusaily at a cost of AED246mn. The reservoir has a storage capacity of 120mn

5. Page 5 of 6
gallons of desalinated water, which will increase Dubai's total water reserves to 790mn gallons. (Bloomberg)
 Shuaa Capital Executive Chairman & Board Director to step down – Shuaa Capital said that its executive chairman & board director, Sheikh Maktoum Hasher al-Maktoum, will step down from both roles in February 2015. Maktoum will depart after the disclosure of its full-year results for 2014. (Reuters)
 DoF chief: Dubai confident of project funding despite oil plunge – The head of the emirate's Department of Finance (DoF), Abdulrahman al-Saleh said that Dubai is confident that it will be able to raise equity and debt to finance all its huge development projects over the next five years despite the plunge in oil prices. He said that the government in its forthcoming budgets has enough headroom to fund the projects through a healthy debt-equity mix. (Reuters)
 ADFD-IRENA announces opening of third funding cycle for Project Facility – Abu Dhabi Fund for Development (ADFD) and the International Renewable Energy Agency (IRENA) have announced the opening of the third Funding Cycle for the Project Facility. The development is in line with ADFD commitment to support renewal energy projects in cooperation with IRENA by extending concessional finance of up to $350mn over 7 cycles. Countries that intend to apply for funding through the renewable energy development facility will have time until February 18, 2015 to apply for the same. (Zawya)
 KIA, others pledge $2bn for Dalian Wanda’s Hong Kong IPO – According to sources, Kuwait Investment Authority (KIA) and Och-Ziff Capital Management Group Ltd are among the group of 11 investors that have committed around $2bn toward Dalian Wanda Commercial Properties Company Limited's Hong Kong initial public offering (IPO). Dalian Wadia is seeking to raise between $3.2bn and $3.86bn. KIA, China Life Insurance Company Limited and Ping An Insurance Group Company of China Ltd are pledging $300mn each, while Och-Ziff is investing $250mn for the IPO. (Reuters)
 NBO to provide financing to Saraya Bandar Jissah property buyers – Saraya Bandar Jissah, the developer of Oman`s newest Integrated Tourism Complex (ITC) in Muscat, has signed a comprehensive agreement with the National Bank of Oman (NBO) to offer a complete suite of finance solutions to potential property buyers. The agreement will make residential property ownership readily accessible to new home buyers, with flexible financing options. Within the terms of the agreement, NBO will provide convenient home-financing plans for both local and foreign investors at Saraya Bandar Jissah. (GulfBase.com)
 Orpic completes first stage of pre-qualification tender for LPP EPC work – Oman Oil Refineries and Petroleum Industries Company (Orpic) announced the completion of the first stage of the two-stage tender for pre-qualification for the Engineering, Procurement and Construction (EPC) work packages for the estimated $3.6bn Liwa Plastics Project (LPP) petrochemical complex in Sohar. Only first stage pre-qualifiers will be permitted to participate in the second stage. The first stage involved pre- qualification of individual entities, while the second stage will focus on evidence of formation of the proposed JVs/consortia. The pre-qualification tender invited applications for the pre- qualification to tender for one, or several, of the four EPC packages, including a 859KTA steam cracker, 880KTA polymer units, a Natural Gas Liquids (NGL) extraction unit (all with off- site works and utilities), and a 300-km long NGL pipeline. (GulfBase.com)
 Oman firms: Government to double gas prices from January 1, 2015 – Oman-listed companies said that Oman's
Ministry of Oil & Gas will double gas prices charged to companies from January 1, 2015. Oman Packaging said that natural gas prices will increase from 20.5 baizas to 41 baizas per standard cubic meter with effect from January 1, 2015 with an additional 3% increase annually thereafter. This will affect its cost of production for the year 2015 by around OMR60,000 at full capacity utilization. National Detergent said that its cost will go up by OMR90,000 per annum as a result of the gas price increase. Raysut Cement’s estimated cost of gas will increase by around OMR4.5mn, while Oman Cement estimates an additional expenditure to the tune of OMR6.63mn in 2015 as a result of the gas price increase. (MSM)
 GFH signs up Alliance International Holding for Tunis Bay project; confirms acquisition plans – Bahrain-based Gulf Finance House has signed up renowned French consortium led by the company Alliance International Holding for development of the first phase of its Tunis Bay Project. As per the deal, Tunis Bay Project Company (TBPC) will jointly develop the project along with Alliance International Holding, which boasts a track record of community development and golf course projects. The designated joint venture will be for 269,703 square meters (sqm) of land for development and would include the development of the Golf Course spreading over 800,032 sqm of land (including surrounding villas and apartment units for residents within Phase I). The construction work on the project is expected to start by 2015. The GFH had recently set up TBPC to develop the project. Meanwhile, GFH, in an exchange filing, confirmed the news published on December 3, 2014 that it is in talks on buying two financial institutions. The transaction is expected to range between $150-250mn with one of the acquisitions planned to be completed within 2015. (GulfBase.com, Bahrain Bourse)
 BMI Bank Director & CEO steps down – BMI Bank, a subsidiary of Al Salam Bank – Bahrain (ASBB), announced that Jamal Al-Hazeem, Director & Chief Executive Officer (CEO) of the Bank had stepped down from his post on December 7, 2014, citing personal reasons. However, he will continue to stay on BMI Bank’s board as a Director. (Bahrain Bourse)

6. 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
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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
200.0
220.0
Nov-10 Nov-11 Nov-12 Nov-13 Nov-14
QSE Index S&P Pan Arab S&P GCC
(0.2%)
(0.8%)
(0.4%)
(0.6%)
(4.1%)
0.3%
(0.0%)
(4.5%)
(4.0%)
(3.5%)
(3.0%)
(2.5%)
(2.0%)
(1.5%)
(1.0%)
(0.5%)
0.0%
0.5%
Saudi Arabia
Qatar
Kuwait
Bahrain
Oman
Abu Dhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD%
Global Indices Performance Close 1D%* WTD%* YTD%*
Gold/Ounce 1,192.51 (1.1) 2.2 (1.1) DJ Industrial 17,958.79 0.3 0.7 8.3
Silver/Ounce 16.29 (1.1) 5.3 (16.3) S&P 500 2,075.37 0.2 0.4 12.3
Crude Oil (Brent)/Barrel (FM
Future) 69.07
(0.8) (1.5) (37.7) NASDAQ 100 4,780.76 0.2 -0.2 14.5
Crude Oil (WTI)/Barrel 65.84 (1.5) (0.5) (33.1) STOXX 600 350.97 1.1 -0.1 -4.7
Natural Gas (Henry
Hub)/MMBtu 3.43
(3.4) (19.2) (21.1) DAX 10,087.12 1.7 -0.1 -5.9
LPG Propane (Arab Gulf)/Ton 58.00 (5.7) (23.4) (54.1) FTSE 100 6,742.84 0.4 0.1 -6.0
LPG Butane (Arab Gulf)/Ton 79.00 (5.4) (18.1) (42.1) CAC 40 4,419.48 1.5 -0.5 -8.3
Euro 1.23 (0.8) (1.4) (10.6) Nikkei 17,920.45 -1.2 0.3 -4.9
Yen 121.46 1.4 2.4 15.3 MSCI World Index 1,738.52 0.1 -0.1 4.7
GBP 1.56 (0.6) (0.4) (5.9) MSCI EM 985.68 -0.1 -1.9 -1.7
CHF 1.02 (0.7) (1.3) (8.8) SHANGHAI SE Composite 2,937.65 1.4 9.3 36.6
AUD 0.83 (0.8) (2.2) (6.7) HANG SENG 24,002.64 0.7 0.1 3.0
USD Index 89.33 0.7 1.1 11.6 BSE SENSEX 28,458.10 -0.6 -0.3 34.3
RUB 52.89 (2.9) 6.9 60.9 Bovespa 51,992.89 0.9 -5.6 -8.0
BRL 0.39 0.1 (0.9) (8.7) RTS 908.75 -1.1 -6.7 -37.0
181.6
140.0
128.5