Posted 8/23/2023, 1:13:13 PM

Africa predicted to lead next phase of global growth

Inflation in the Gulf Cooperation Council (GCC) countries remains lower than counterparts worldwide, with factors like reduced food costs and declining energy prices contributing to a global deceleration in inflation, according to an analysis by Kamco Invest. While inflation rates have declined over the first seven months of the year, global core inflation remains above central bank targets, particularly in the housing sector in Gulf countries.

arabnews.com

Relevant topic timeline:

8/23/2023

Jadwa Investment acquires 35% stake in Kuwaiti perfumer Gissah

Saudi Arabia's Jadwa Investment has acquired a 35% stake in Kuwaiti fragrance company Gissah Perfumes through its private equity arm, Jadwa Retail Opportunities Fund. The acquisition aims to support Gissah's growth and prepare the company for a potential listing on the Saudi Stock Exchange. The timeline for the listing and the value of the investment have not been disclosed. Inflation rates in the Gulf Cooperation Council (GCC) countries remain lower than global averages, with declining food costs, energy prices, and dampened global demand contributing to the trend. However, inflation in the housing sector has been felt mainly in the GCC countries, with notable year-on-year growth in Saudi Arabia and Kuwait. In contrast, communication and education sectors have experienced declining inflation rates in most GCC countries. The Tadawul All Share Index in Saudi Arabia experienced a slight decline, while the parallel market Nomu saw gains in closing for the day. The MSCI Tadawul Index also slightly dropped. The best-performing stock on the main index was Salama Cooperative Insurance Co., while the worst performer was AL Maather REIT Fund. On the parallel market, Mayar Holding Co. experienced significant growth. India is expected to ban sugar exports for the upcoming season due to a lack of rain that has reduced cane yields. This would be the first time in seven years that the country has halted sugar exports. The absence of India from the global market could increase benchmark prices and trigger concerns about further inflation in global food markets. Africa is predicted to lead the next phase of global economic growth, with an increasing focus on economic collaboration among BRICS member countries. Intra-BRICS trade has expanded over the past decade, and Africa is seen as the next wave of global growth due to its younger generation, mineral reserves, and other resources.

8/27/2023

Global inflation pressures could become harder to manage in coming years, research suggests

Global inflation pressures could intensify in the coming years due to rising trade barriers, aging populations, and the transition to renewable energy, posing challenges for central banks in meeting their inflation targets.