Latest news with #PwCMiddleEast
Arab News
5 days ago
- Business
- Arab News
Foreign investors buy $4.2bn GCC stocks in Q2, up 50%: Kamco Invest
RIYADH: Foreign investors sharply increased their exposure to Gulf stock markets in the second quarter of 2025, with net inflows surging 50 percent compared to the previous three months to reach $4.2 billion. According to the latest analysis done by Kamco Invest, a Kuwait-based non-banking firm, this momentum extended the streak of net foreign inflows into Gulf Cooperation Council equities to six consecutive quarters, with total net purchases in the first half of 2025 rising 39.8 percent year on year to $7 billion. The surge comes as GCC equity markets continue to attract global capital, buoyed by strong corporate earnings and ongoing economic reforms. In the first quarter alone, 11 initial public offerings raised $1.6 billion — up 33 percent from a year earlier — driven largely by Saudi Arabia, which accounted for 69 percent of total proceeds, according to a PwC Middle East analysis published in May. In its GCC Trading Activity Quarterly Report, Kamco said: 'Foreign investors, including institutional and retail investors, were net buyers on GCC stock markets during Q2 2025 with net buying at $4.2 billion as compared to $2.8 billion in net buying during Q1 2025.' Saudi Arabia led the region with $1.4 billion in net foreign buying, a major jump from $252.3 million in the previous quarter, highlighting growing investor confidence in the Kingdom's market liberalization efforts. The increased appetite of foreign buyers in the Saudi exchange underscores the progress of the country's economic diversification efforts, as the Kingdom continues to strengthen its capital market and reduce its reliance on crude revenues. In May, Saudi Arabia's Capital Market Authority revealed in its annual report that net foreign investments in the Kingdom's stock market rose to SR218 billion ($58.1 billion) in 2024, marking a 10.1 percent increase compared to the previous year. The Kamco report noted that the UAE saw $1.33 billion in net inflows into the Abu Dhabi Securities Exchange in the second quarter, while Kuwait saw $696.5 million, Dubai $462 million, and Qatar $333.6 million. In contrast, Oman and Bahrain recorded net foreign outflows of $29.6 million and $27.9 million, respectively. 'The 1H 2025 data of trading activity on GCC exchanges indicated that net buying at the aggregate level, although the trend differed at the country level due to net sales during Q1 2025 for some of the exchanges,' said Kamco Invest. In terms of first-half performance, the UAE attracted the highest foreign inflows at $4.6 billion, followed by Saudi Arabia with $1.6 billion and Kuwait at $1.4 billion. In a landmark regulatory shift, Saudi Arabia's Capital Market Authority recently announced that citizens and residents of GCC countries will be allowed to invest directly in Tadawul, the Kingdom's main stock exchange. This move is part of a broader effort to modernize Saudi Arabia's capital markets and enhance foreign investor participation. It aligns with the Kingdom's ambitious Vision 2030 strategy, which aims to diversify the economy, boost market liquidity, and strengthen its financial standing in the Gulf region. In its latest report, Kamco noted that exchanges in Kuwait, Abu Dhabi, and Qatar witnessed consistent foreign buying throughout the three months of the second quarter. In contrast, Saudi Arabia saw net foreign selling in April, followed by net buying in the subsequent two months. Oman was the only exchange in the GCC region to record net foreign selling in each of the three months of the quarter. 'Some of the key factors that affected the flow of foreign money in the region included regional market trends, initial public offerings, geopolitical issues, economic health of the individual countries and crude oil prices,' added Kamco. Market performance GCC equity markets delivered a mixed performance in the second quarter, with five of the seven regional exchanges posting gains, reinforcing a broadly optimistic investor outlook. Aggregate share trading volume across the region reached 94.73 billion shares in the quarter, up 9.1 percent from the first quarter. Qatar led the increase with 12.5 billion shares traded — up 39.4 percent — followed by Dubai with 16.3 billion shares, a 21 percent increase. In contrast, trading volumes in Saudi Arabia and Bahrain declined by 5 percent and 61.5 percent, respectively, during the same period. The total value of shares traded in the second quarter reached $151.8 billion, representing a marginal decline of 3.75 percent compared to the first quarter. Saudi Arabia, Kuwait, and Bahrain recorded declines in trading value, while the rest of the GCC markets saw gains during the period. The analysis revealed that Abu Dhabi posted the largest increase in value traded, reaching $22.5 billion in the second quarter, up from $20.3 billion in the first three months of the year. Trading activity on Saudi Arabia's stock exchange stood at $89 billion in the second quarter, down from $95.7 billion in the previous quarter. Top 10 GCC stocks The Kamco analysis showed that six Saudi listed stocks ranked among the top 10 most traded GCC equities by trading value in the second quarter of 2025. The combined trading value of the top 10 stocks across the region reached $34.7 billion, accounting for 36.6 percent of the total value traded during the quarter. Al-Rajhi Bank led the list with $5.8 billion in trading value, followed by energy giant Saudi Aramco at $5.1 billion, International Holdings Co. at $4 billion, ADNOC Gas at $3.4 billion, and stc at $3.1 billion. Saudi National Bank saw trading activity of $3 billion, followed by Emaar Properties at $2.9 billion and Alinma Bank at $2.8 billion. Kuwait Finance House recorded $2.5 billion in trades, while Umm Al Qura for Development and Construction Co., also known as Masar, saw $2.1 billion.
Qatar Tribune
10-07-2025
- Business
- Qatar Tribune
Strategic adoption of AI and sustainability may add $232 billion to Middle East GDP by 2035: PwC
Satyendra Pathak Doha Strategic adoption of Artificial Intelligence (AI) and decisive climate action could unlock as much as $232 billion in additional economic value for the Middle East by 2035, according to a new report released by PwC Middle East. The study, titled 'Value in Motion: The Middle East's Time to Lead is Now', outlines three future scenarios that explore the region's potential economic trajectory amid accelerating AI disruption, climate-related risks, and the convergence of traditional sectors into new, dynamic domains of growth. The research reveals that under an optimal scenario, the region's GDP could reach $4.68 trillion by 2035, up from $3.57 trillion today—an increase of $1.11 trillion. A significant portion of this growth, about 8.3 percent, could be attributed to AI-driven productivity gains if adoption is widespread, responsible, and strategically focused. However, physical climate risks such as rising temperatures, water scarcity, and flooding could erode up to 13.9 percent of GDP potential, highlighting the importance of integrated action across both AI and climate agendas. Under a business-as-usual approach, the region's real GDP is projected to grow by 41.8 percent, reaching $4.57 trillion by 2035. But when adjusted for climate-related losses, the net growth would fall to 27.9 percent, emphasising the urgent need for proactive, coordinated strategies to mitigate these risks. 'The decade ahead will challenge the region's imagination and capabilities like never before,' PwC Middle East Chief Strategy & Technology Officer Stephen Anderson said. 'To stay ahead, businesses and governments must act with pace, purpose and partnership—reimagining traditional models to unlock the competitive advantage the region is uniquely positioned to deliver.' The report introduces a forward-looking framework centered on emerging domains of growth—such as how we move, fuel, build, care, compute, and connect—which break down traditional industry silos and open up cross-sectoral value creation. These domains are expected to define the next wave of regional transformation, as organizations pursue more integrated, human-centric strategies. The Middle East, with its world-leading renewable energy potential and rapid digital infrastructure development, is uniquely poised to lead in this new era. The convergence of clean energy and AI is seen as a pivotal opportunity to position the region as a global AI hub, particularly as global hyperscalers increase investment in digital infrastructure. 'A critical factor will be how effectively the region balances the cost and scalability of AI with the availability and affordability of clean energy,' said Dr. Yahya Anouti, Partner at Strategy& and PwC Middle East Sustainability Platform Leader. 'Striking this balance will be essential to unlocking the region's full potential.' The report calls on governments, businesses, and academic institutions across the Middle East to take bold and coordinated steps to secure the region's economic future. Governments are encouraged to restructure institutions to meet evolving human needs—such as by creating ministries dedicated to mobility or caregiving, and by establishing innovation funds to accelerate AI integration in public services. Businesses are urged to rethink their operating models to thrive in a digital-first, low-carbon economy and to build more resilient, collaborative supply chains. Meanwhile, academic institutions must play a leading role in cultivating a workforce equipped for future challenges, advancing applied research in strategic sectors, and embedding entrepreneurship across the educational spectrum. With visionary leadership, cutting-edge digital capabilities, and abundant clean energy resources, the Middle East is uniquely positioned not just to adapt to global change, but to lead it. PwC's report concludes with a call to action: the value is already in motion—now is the time to act.
Al Etihad
08-07-2025
- Business
- Al Etihad
UAE poised to lead Middle East's $232 billion tech-climate transformation, says PwC
9 July 2025 00:47 ISIDORA CIRIC (ABU DHABI)Strategic investment in AI and climate resilience could unlock $232 billion in added GDP for the Middle East by 2035, with the UAE positioned as the region's prime mover in the next wave of tech-enabled, sustainable economic growth, according to Value in Motion report, released on Monday, projects that, with timely policy decisions and investments, the region's total GDP could reach $4.68 trillion within the next models three possible trajectories for the Middle East's economic future, depending on how governments respond to accelerating AI adoption, climate risk and shifting trade flows, with outcomes ranging from cautious growth to major economic gains or missed Beidas, Partner and Ideation Lead at PwC Middle East, said the UAE's early investment in digital infrastructure and clear national vision give it a strong edge in leading the region towards the optimal scenario. 'Our economic modelling indicates that bold, strategic action on AI and climate can transform the Middle East's economic trajectory, unlocking value in the hundreds of billions of dollars. The UAE, with its world-class infrastructure and clear national vision, is uniquely positioned to lead this transformation and set the benchmark for the region,' he told Aletihad . PwC identifies AI integration and climate risk management as dual imperatives. While widespread AI adoption could deliver an 8.3% GDP boost through productivity gains, failure to address climate threats could reduce growth by up to 13.9 percentage points. Countries that combine clean energy leadership with digital infrastructure are expected to benefit the report, the UAE is repeatedly cited among the countries that are 'already exemplifying this momentum and moving beyond their traditional boundaries' to unlock new sources of other words, traditional sectors in the region are being reconfigured into what PwC calls 'domains of growth'- interconnected ecosystems redefining how societies move, fuel, care, and compute. These new economic structures are key to the $4.68 trillion projection, replacing static industry models with more dynamic, tech-enabled one such example, PwC highlights Careem's transformation from a regional ride-hailing service into a multi-functional super app in the UAE, now offering food delivery, payments, and cross-border remittances. Meanwhile, the formation of M42, following the merger of G42 Healthcare and Mubadala Health, is presented as a model for healthtech integration and AI-driven report presents these achievements as indicators of how countries across the region are now reorganising their economies around long-term resilience and innovation, priorities that PwC identifies as central to the Middle East's future government's role is part of that equation. The UAE's Centre for Government Digital Excellence is referenced as a key institutional mechanism for accelerating public sector digitalisation by bringing global standards into local governance and supporting deeper collaboration with technology digital backbone becomes even more important when viewed against the report's central thesis: that AI and climate readiness will determine the region's economic future. Both require stable and scalable energy systems, an area where the UAE has made visible Dhabi's continuous solar and battery storage facility is mentioned as a milestone in clean energy deployment, while the planned 5 GW AI campus in the capital is used to illustrate the integration of sustainability with next-generation strategic alignment is already influencing private sector behaviour. According to PwC's 28th CEO Survey, 93% of CEOs in the UAE reported adopting generative AI in the past year - the highest share action is, likewise, gaining traction at the executive level. The survey showed that 83% of UAE CEOs have initiated green projects over the past five years. And, nearly half of them reported direct revenue gains, well above the global average of 33%.Beidas said long-term economic success will depend not just on innovation, but on how quickly countries move from planning to implementation. He pointed to the UAE as an example of this strategic clarity. 'By integrating AI into climate solutions, the country can drive innovation, create new industries and future-proof its economy. This moment represents a rare opportunity to shape a more resilient, inclusive and competitive economic model for generations to come.' Source: Aletihad - Abu Dhabi
Biz Bahrain
08-07-2025
- Business
- Biz Bahrain
Strategic AI adoption and climate resilience could add $232bln to Middle East GDP by 2035, reports PwC
New research published today by PwC outlines three divergent data-driven scenarios for the Middle East in 2035, revealing a US$232 billion opportunity if regional governments and businesses successfully harness AI-driven productivity gains and manage the economic impacts of climate change. The research, Value in Motion: The Middle East's time to lead is now, also suggests that over the next decade, industries will reconfigure to meet human needs in new ways, leading to the formation of new 'domains' that cross traditional sector lines. These shifts will create opportunities for businesses and organisations to reinvent themselves and target new client bases, form cross-sector alliances and innovate their service and operating models. With bold climate commitments, access to the world's lowest-cost renewable energy and rapidly advancing AI capabilities and infrastructure, the Middle East holds a unique strategic advantage and is well-positioned to lead the next wave of sustainable, tech-enabled economic growth. PwC's modelling shows that under a business-as-usual scenario, regional real GDP could grow by 41.8% by 2035. But when factoring in climate-related risks – such as heatwaves, water scarcity and flooding – this growth drops by 13.9 percentage points to a net increase of 27.9%, placing GDP at US$4.57 trillion. This serves as the foundation for assessing three distinct future scenarios globally, and their impact in the Middle East. At stake is US$232 billion – the gap between the region's most optimistic and constrained economic futures. In the most optimistic scenario, widescale AI adoption could add 8.3% through productivity gains; this, combined with decisive climate action could lift GDP to US$4.68 trillion by 2035. Stephen Anderson, Chief Strategy & Technology Officer at PwC Middle East, said: 'The decade ahead will challenge the region's imagination and capabilities like never before. As the dynamics of the 'three tomorrows' unfold, they will reshape the Middle East's economy. To stay ahead, businesses and governments must act with pace, purpose and partnership – reimagining traditional models to unlock the competitive advantage the region is uniquely positioned to deliver.' The research introduces a new framework structured around emerging 'domains of growth' – such as how we move, fuel, build, care, compute and connect. These cross-industry ecosystems signal the future of value creation, replacing traditional sector silos with more dynamic, interconnected opportunities. The report also highlights the role of clean energy in powering AI infrastructure and scaling innovation. As global hyperscalers ramp up investment, the Middle East's renewable energy advantage could help it become a regional and global AI hub. Dr. Yahya Anouti, Partner at Strategy& and PwC Middle East Sustainability Platform Leader, said: 'A critical factor will be how effectively the region balances the cost and scalability of AI with the availability and affordability of clean energy to power it – especially as AI adoption accelerates at an unprecedented pace. Striking this balance will be essential to unlocking the region's full potential.' The report calls on governments, business leaders and academia to take bold, coordinated action to shape the region's future. It urges governments to redesign institutions around evolving human needs – by establishing ministries focused on care or mobility and creating dedicated funds to fast-track AI adoption in public services. Business leaders are called on to reinvent operating models for a more localised, digital and low-carbon economy, while strengthening supply chain resilience and cross-sector alliances. Meanwhile, academia must anchor national progress by developing future-fit talent, advancing applied research in strategic areas, and embedding entrepreneurship across the education system. With bold visions and world-leading capabilities, the region has the opportunity not just to adapt, but to lead. The value is already in motion – now is the time to act. Read the full Value in Motion report on our website. at
TECHx
07-07-2025
- Business
- TECHx
PwC Reveals $232B AI Opportunity for Middle East
Home » Emerging technologies » Artificial Intelligence » PwC Reveals $232B AI Opportunity for Middle East PwC has released new research outlining three data-driven scenarios for the Middle East by 2035. The report highlights a US$232 billion economic opportunity if the region effectively harnesses AI and manages climate risks. Titled Value in Motion: The Middle East's time to lead is now , the study reported that regional governments and businesses could significantly boost productivity through AI adoption. PwC revealed that if AI-driven gains are realized and climate change is addressed, the region's real GDP could reach US$4.68 trillion by 2035. However, in a business-as-usual scenario, GDP is expected to grow by 41.8%, reaching US$4.57 trillion. Factoring in climate risks like heatwaves and water scarcity could reduce this growth to 27.9%. At stake is a potential US$232 billion gap between the most optimistic and constrained futures. The most positive outcome includes: An 8.3% GDP boost from widespread AI adoption Additional growth through decisive climate action The research introduces a framework built around new 'domains of growth.' These domains redefine how industries operate across areas like mobility, energy, healthcare, digital infrastructure, and connectivity. According to PwC, these shifts will create cross-sector opportunities and encourage innovation. The report also emphasized the region's strategic advantages, including bold climate goals, access to low-cost renewable energy, and rapid AI infrastructure growth. PwC noted that these factors position the Middle East to lead in sustainable, tech-driven growth. Stephen Anderson, Chief Strategy & Technology Officer at PwC Middle East, said the coming decade will test the region's imagination and capabilities. He urged businesses and governments to move with 'pace, purpose, and partnership' to remain competitive. PwC reported that clean energy will play a critical role in powering AI infrastructure. As global hyperscalers expand, the region could become a hub for AI and cloud services. Dr. Yahya Anouti, Partner at Strategy& and PwC Middle East Sustainability Platform Leader, noted that balancing the cost of AI with clean energy scalability will be essential to unlocking the region's potential. The report called on regional stakeholders to act decisively. It recommended: Governments redesign institutions to reflect evolving human needs Businesses revamp models to align with a digital, low-carbon economy Academia develop future-ready talent and foster innovation PwC concluded that the Middle East has the tools and vision to lead. The value is already in motion. Now is the time to act.
