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ARAMEX launches 30,000 square foot one-stop shop at Heathrow
Dubai-listed transportation and logistics solutions provider ARAMEX announced the merger of three of its European companies into one 30,000 square foot one-stop-shop at Heathrowairport, outside London. As such, upon the acquisition of UK-based Priority Airfreight and Dublin-based TwoWay Vanguard, ARAMEX unified these two companies with its Heathrow operations at ARAMEX House, its new premises in Heathrow. ARAMEX reported net profits of AED95.2 million ($26 million), up 28% year-on-year.
Al Baraka posts 20% increase in net profits to $123.7 million
Al Baraka Banking Group (ABG), an international Bahraini-based Islamic Bank, recorded net profits of $123.7 million, up 20% from $102.9 million in 2005. The bank’s total assets were at $7.6 billion, up 21% for the same period, while costumer deposits rose 15.3% to $6.2 billion. ABG underwent an initial public offering in June 2006, leading to a 73% increase in shareholder’s equity to $978.6 million. ABG recently signed a memorandum of understanding with the Arab Trade Finance Program (ATFP), thus becoming the program’s eleventh national agency. ATFP will thus provide credit facilities through a line of credit opened at ABG.
Country profile: Egypt
International rating agency Moody’s Investors Service released its latest report on Egypt affirming Egypt’s government bond ratings at Baa3 with a negative outlook in local currency, and Ba1 with a stable outlook for foreign currency bonds. The report stated that Egypt has been experiencing upturns in growth since 2004, mainly boosted by a rise in international oil prices, a strong tourism sector and strong export performance. Moody’s estimates Egypt’s GDP real growth rate at 6.9% in 2006, up from 4.6% in 2005, and forecasts real growth rates of 6.0% and 5.5% in 2007 and 2008 respectively. Moody’s notes that Egypt’s fiscal deficit declined in 2006 for the first time in five years. The reforms introduced since 2004 are starting to materialize as tariffs and taxes are being reduced and privatization is being revived. Moody’s also stated that despite a manageable external debt burden and an important geostrategic position, the government’s weak fiscal position and fast-growing population are the main credit challenges facing the Egyptian government.
