trending Market Intelligence /marketintelligence/en/news-insights/trending/OBKmS4tVq3s7YrsFY2smrg2 content esgSubNav
In This List

Emirates NBD, Al Rajhi Bank Q2 profits rise YOY; Morocco seeks return to African Union


Banking Essentials Newsletter: 7th February Edition


Insurance Underwriting Transformed How Insurers Can Harness Probability of Default Models for Smarter Credit Decisions

Case Study

A Bank Outsources Data Gathering to Meet Basel III Regulations


Private Markets 360° | Episode 8: Powering the Global Private Markets (with Adam Kansler of S&P Global Market Intelligence)

Emirates NBD, Al Rajhi Bank Q2 profits rise YOY; Morocco seeks return to African Union

Morocco seeks African Union return: Morocco has asked to rejoin theAfrican Union after a 32-year hiatus, BBC News reports. The country leftthe organization in 1984 after the AU recognized the independence of WesternSahara, which Morocco considers as its "southern provinces."Meanwhile, the AU extended Nkosazana Dlamini-Zuma's term as chairperson by sixmonths to give potential candidates for the position time to drum up support,Bloomberg News writes.

* Estimates from Thomson Reutersand Freeman Consulting showed that debt issuance in sub-Saharan Africa declinedon a yearly basis by 10% in the first half, raising only a total of $6.9billion for the period, Reuters reports.The decline was driven by sinking currencies and weakening economies, whichmade African states and companies more hesitant to tap capital markets.

* XL Catlin a reinsurance unitthat will provide facultative and treaty reinsurance across Africa. The companyappointed Alex St James head of Africa for the reinsurance operations andMatthew Gillies an actuarial underwriter.


Q2 earnings season in full swing in ME: Emirates NBD BankPJSC saw a year-over-year in second-quarter profitattributable to equity holders of the group to 1.91 billion UAE dirhams from1.65 billion dirhams. For the first half, attributable profit rose to 3.72billion dirhams from 3.32 billion dirhams a year ago.

* Abu Dhabi Commercial BankPJSC yesterday reportedsecond quarter net profit attributable to shareholders of 1.13 billion dirhams,down from 1.28 billion dirhams in the same period a year ago. For the firsthalf, attributable profit fell to 2.15 billion dirhams from the year-ago 2.54billion dirhams.

* postednet profit of 2.05 billion Saudi riyals in the second quarter, up from 1.94billion riyals in the year-ago period. The bank saidnet income during the period increased despite the rise in provisioningexpenses.

* Meanwhile, reportedsecond-quarter net profit of 1.31 billion riyals, compared to 1.33 billionriyals in the year-ago period. The group's first-half net profit amounted to2.57 billion riyals, down 1.41% on a yearly basis from 2.61 billion riyals.

* Qatar IslamicBank (SAQ) posteda net attributable profit of 1.06billion Qatari rials for the six months ended June 30, representing an 18%increase over the same period a year earlier, as net fee and commission incomerose to 268 million rials from the year-ago 210 million rials.

* named Saad bin Othmanal-Mazrou executive director of operations, Al-Jazirahreports.

* Nomw Capital Co. saidit has received approval from Saudi Arabia's Capital Markets Authority to amendits business profile by canceling its advising activities.

* Moody's maintained thestable outlook for Qatar's banking system, reflecting expectations that currentoperating conditions will remain favorable for Qatari banks owing to highgovernment spending amid the oil price slump.

* signeda debut $166 million three-year ninja loan, a loan for non-Japanese companiesprimarily consisting of investors in Japan. Commercial bank said thetransaction was the first ninja loan for a financial institution in the GulfCooperation Council.

* Jordanian banks acceptedthe government's request to contribute in the Jordanian Investment Fund and theassociated company through investing in the associated company's capital andfinancing strategic projects to be executed by that company, Addustour writes.As per the regulation of the country's central bank, Jordanian lenders areallowed to invest up to 10% of their working capital.

* said itssenior vice president of motor insurance, Tarik Khalil al-Shami, has resignedfor personal reasons.

* French bank Société Générale SA has sought thepostponement of a trial in a dispute with Libya's sovereign wealth fund over anumber of trades entered into between 2007 and 2009, Reuters writes.Adrian Beltrami, a lawyer acting for SocGen, cited the amount of work thatstill needed to be resolved before the trial was scheduled to commence January23, 2017.

* The IMF recommended that Algeria speed up theimplementation of reforms that will encourage private sector growth, Liberté Algérie writes.

* Amir Hessel, deputy CEO and head ofinvestment at Harel InsuranceInvestments, will resign, effective in October, due to Israel'scontroversial law capping salaries of executives in the financial sector, Globes reports.Hessel's resignation is the first from the Israeli insurance sector followingthe law.


Nigerian banks seen posting 15% drop in Q2 profits: Increasing badloans due to the current economic slowdown in Nigeria could lead 13 of the 15banks whose shares are quoted on the Nigerian Stock Exchange to post a combineddecline of 15% in their second-quarter results, insiders tell PunchNigeria.

* Zenith BankPlc denied allegations that it funded Ekiti StateGovernor Ayodele Fayose's election in2014, TV360 Nigeria covers.

* The Central Bank ofNigeria greenlighted a "no deposit for new accounts" policy forbanks, which will enable customers to open accounts without deposits, TVC News writes.

* The Bank of Ghana'smonetary policy committee yesterday keptits benchmark policy rate unchangedat 26.0%, saying it views the risks to growth and the prospect of inflation tobe balanced. Separately, the central bank is planning to tighten thesurveillance of unlicensed investment clubs that pose as microfinanceinstitutions by requiring them to provide constant reports about theiroperations and forcing them to give detailed information about their loanarrangements, Joy Business reports.

* Meanwhile, the Ghanaianfinance ministry yesterday increased its 2016 economic growth forecast tobetween 4.1% and 4.3%, two weeks after cutting it to 3.2% from 5.4%, Bloomberg reports.

* The Ghana Stock Exchange is accelerating effortsto remove taxes imposed on capital gains in a bid to boost listings on theexchange, Citi Business News reports.

* unit UnitedBank for Africa (Ghana) appointed Soni Anwal deputy managing director, GhanaWebwrites.Anwal has served as regional bank head for United Bank for Africa inLagos, Nigeria.

* A survey by researchfirm HTM Capital found that publicizing the Central Bank of Kenya'sdisciplinary actions on banks could diminishing public confidence in the sectorand limit a lender's chances to recover, BusinessDaily Africa reports.Fund managers, bankers and investors surveyed by the firm criticized thecentral bank's method, saying that it is doing more harm than good.

* A strike at Caixa Económica de Cabo Verde SA will halt services fortwo days, with 80% of staff supporting the protest over pay and workingconditions, Expresso das Ilhas reports,citing a workers' union leader.


Ethos Capital to float on JSE: EPE Capital Partners Ltd., alsoknown as Ethos Capital, yesterday announcedits intention to float on the Johannesburg Stock Exchange. The company plans toissue up to 200 million A ordinary shares to selected and institutionalinvestors in terms of a private placement as it seeks to raise up to 2 billionrand.

* Banco de Poupança e Crédito SA Chairman Paixão António Jr. said the bank has50 branches that are fully equipped and ready to open but remain shuttered tocustomers due to lack of available funds, accordingto Novo Jornal. "We have some liquidityproblems," the chairman said, adding that a solution would be negotiatedwith the Angolan finance ministry.

* The Angolan National Banksold commercial lenders €254.9 million in its latest foreign currency auction,about half of which was destined to pay for food imports, Novo Jornal writes.The central bank sold no dollars in the auctions held between July 11 and July 15.

* The Mozambican governmentappointed Lazard Ltd. to help advise it over its external debt load, Reutersand Bloombergreport. The government also hired White & Case LLP as a legal adviser.


Asia-Pacific: Bank of East Asia to oppose Elliott suit; MAS probes banks over1MDB

Europe: Italy's €50B bank bailout plan; Deutsche Bank branch closures;Turkey's financial stability measures

Latin America: Banco do Brasil eyes asset sales to boost capital

North America: BofA, Charles Schwab report earnings

North America Insurance: Ore. regulator mulls coverage extension for failed co-op'spolicyholders; HHS' Burwell advocates for competition in health insurancemarket

Leo Magno, Henni Abdelghani,Sophie Davies and Helen Poppercontributed to this report.

The Daily Dose Middle Eastand Africa has an editorial deadline of 5 a.m. London time. Some external linksmay require a subscription.