Category Archives: Middle East

A Shift In Investment Trend In The Middle East

The investors in the Middle East have increasingly become very active across a wider range of industries. This trend is clearly evident in US soil where historically, most of the investors have bought trophy hotels and office buildings in Los Angeles, New York and other gateway markets. With the increase of competition coming from Chinese investors as well as other global capital sources, this means that the investors in the Middle East are searching for alternatives like the reported Abu Dhabi Investment Authority acquisition this year at $725 million of an industrial portfolio amounting to 14.2 million square feet.

The peak levels on the outbound investment for the region may not be the same before the global financial crisis but the capital flows into the US soil is evidently very strong, diversifying and growing in nature. As the bigger sovereign countries seek to have safe havens and a longer term stable growth economically, the flow of capital coming from the Middle East countries will become even much stronger. The Head of Research for the Americas at CBRE said that they are expecting a greater amount of the entire capital to look beyond gateway markets so that they may achieve their objectives.

Non-institutional and private investors have emerged as a major source in the outbound capital coming from the Middle East. The potential for those who are non-institutional investors in expanding their global real estate investment will continuously grow as there is a greater allocation to the real estate today and more concentration on diversification is geared away from the home region. A strong contributing factor to this trend is the weakening of oil prices. This has triggered and accelerated the global deployment of capital with a high demand in value added investments. CBRE has made a forecast that the global real estate investment coming from the non-institutional capital of the Middle East will approximately be between $6 billion to $7 billion annually in het near term.

As one event slows down a sector in the global economy, it brings light to another sector. This is what happened with the oil price crisis. Different businesses will surely make big in the global improvement of the property sector like MC Decorators Ltd, Northampton.

Why Persian Gulf States Are Not Taking In Refugees from Syria

Refugees that are headed to European nations risked their lives to escape the turmoil back in their war stricken country- Syria. Most of Europe has had their equal share of struggle when dealing with the uncontrollable number of masses flocking to the continent. Countries at least tried to cater to the humanitarian call at their doorsteps of a magnitude which was not experienced since the Second World War.

With the refugee crisis in Europe, people have asked why are there no Syrian refugees headed for the Persian Gulf nations like Bahrain, UAE and Kuwait? These Middle East countries have significant political and financial interest in Syria.

The deputy director of Human Rights watch tweeted that other countries should do more regarding this humanitarian crisis. He called on wealthy countries to act on the Syrian refugee crisis. The officials in Kuwait, Qatar, UAE, Saudi Arabia, Bahrain and Oman defended themselves by saying that they have given millions of dollars to UN in order to aid the refugees. The UAE pointed out that it has given more than $500 million in relief aid. They also stressed that Syrians have entered the other Gulf nations on visas and were allowed to stay with respect to the documents presented.

No refugee concept in the Gulf States

The United Nations has been explicit in its call that it wants every developed nation to open their borders and let these refugees in.

It is more than being generous; it is a matter of practicality that these Gulf States open their borders freely for Syrians. Citizens in the Persian Gulf have much more in common with the Syrians. They speak Arabic like most of people from Syria. The States in the Persian Gulf are wealthier than other countries that welcomed these refugees like Lebanon, Turkey and Jordan. Some leader would say that Qatar and Saudi Arabia have an obligation to extend a helping hand to war victims where those nations are involved through financial support of the rebel groups that have been fighting the government of Syrian president Bashar al-Assad.

One can only hope and wait that other nations will show humanitarian kindness and generosity for these escapees from Syria.