LATEST ECONOMIC BRIEFINGS
EMIRATES: DUBAI | 30.07.2010
Dubai’s capital markets appear to be in for significant change with plans unveiled to establish a second-tier stock exchange coming hot on the heels of Dubai Financial Market (DFM) – the government-administered domestic bourse – and the DIFC-based NASDAQ Dubai’s move to formally link their trading platforms. All of this is happening as speculation of a merger between the bourses of Dubai and Abu Dhabi mounts.
ALGERIE | 30.07.2010
Les efforts importants déployés par l’Algérie pour augmenter la production céréalière commencent à porter leurs fruits, dans la mesure où les récoltes record de l’année dernière et les rendements importants de 2010 aideront à réduire les coûts d’importation et à créer des emplois sûrs dans les zones rurales. Cependant, l’objectif de l’autonomie alimentaire fixé par le pays reste encore bien éloigné.
SENEGAL | 30.07.2010
Le Sénégal est en train de devenir un leader en matière de développement de l’énergie solaire comme énergie de l’avenir, et ce, à la fois à l’échelle nationale et continentale. Pour y parvenir, le pays veut augmenter l’utilisation des énergies renouvelables afin de surmonter ses propres manques et promouvoir un grand programme international ayant pour but de mettre fin à la dépendance de l’Afrique de l’Ouest à l’égard des combustibles fossiles.
BULGARIA | 30.07.2010
Though Bulgaria’s economy is likely to remain in the slow lane for the rest of this year, the country’s banking sector continues to show resilience in the face of global economic contraction. There are concerns, however, that increasing levels of bad loans carried by some lenders could add to pressures on the sector.
OMAN | 28.07.2010
A raft of new agreements recently signed by the Ministry of Transport and Communications will see a significant round of investment in Oman’s transport infrastructure. The 15 agreements, signed earlier in July, cover projects in land, sea and air infrastructure and are worth a total of OR136.9m ($355.9m).
COUNTRY COVERAGE
Down at the Mall
Bahrain, Volume 46
10.06.2005
10.06.2005
Retail has become a much discussed sector in Bahrain recently, as chambers of commerce, training organisations and government ministers have all turned their attention to this booming market. With retail's contribution to GDP expected to top 16% this year, and with retail space expanding along with the nation's real estate and liquidity boom, it has certainly become a sector to watch.
That was the message too at the latest gathering on the trade, a presentation-cum-discussion held under the auspices of the Bahrain Chamber of Commerce and Industry (BCCI) in co-operation with the Economic Development Board (EDB) on June 7.
The event was held at the Ritz-Carlton Hotel and was addressed by the chairman of the BCCI Committee on Old Souq and Retail Business, Jawad Yousif al-Hawaj, along with Dr Hussain al-Mahdi, the chairman of the Board of Director of Gulf Global Consultancy, and Faiza al-Saeed, head of the training and recruitment committee at the Specific Council for Training and Retail.
Al-Hawaj told those at the meeting that the retail business was "part of the rich cultural heritage of Bahrain" and that it "contributes a major share despite the developments taking place in various commercial sectors."
Retail is booming currently throughout the Gulf, as a quick glance at the popularity and frequency of shopping malls alone will attest.
A recent study by Retail International shows that in the next five years, as current building projects are completed and come on line, gross leaseable area (GLA) for retail throughout the Gulf Cooperation Council (GCC) is likely to expand dramatically.
Estimated per head of population, by 2009, Dubai will be the way-ahead regional leader, with 2.53 sq metres of GLA, followed by Doha, with 0.64 sq metres. Meanwhile, Bahrain will be third, with around 0.52 sq metres per capita.
Of course, such figures must be interpreted - with varying population expansion rates also needing to be taken into account, along with the fact that some of the projects currently underway will not complete, or will undergo modification before they open. Nonetheless, there is little doubt which way the retail sector is going, in Bahrain or elsewhere.
Certainly, speakers at the two-day Gulf Retail 2005 conference, which was held at the Bahrain Conference Centre, Crowne Plaza mid May, saw major future expansion.
According to a study by the Specific Council for Training and Retail presented at the conference, new ventures are expected to swell the number of people employed by the sector strongly over the next few years. Currently, the study estimated numbers employed in the sector at 85,000, with this growing by 20,000 over the next few years.
The report also showed that the retail sector had pumped some BD252m ($661.73m) into the economy in 2002 alone. Bahrain International Retail Development Centre (BIRD) General Manager and Conference Chairman Essa Jassim Sayyar also added that retail's contribution to GDP stood at 10% in 2002, and 13% in 2003 - setting the widely predicted 16% by the end of this year in context.
These statistics alone account for a great deal of the interest now being shown in the sector by the Bahraini authorities. "The government is giving special attention and importance to this vital sector," said Industry and Commerce Minister Dr Hassan Fakhro at the conference, "and the study carried out in this respect has shown [the sector's] importance in supporting the national economy."
Employment is a concern in the country as it is in any other Gulf state, with the thorny problem of native versus non-native labour also at stake here. At present, as in most Gulf countries, many point of sale retail jobs are done by non-Bahraini labour.
However, according to figures produced by Dr Fakhro, Bahraini employment levels in the sector are still significant. He told conference goers that retail held around 40% of the Bahraini work force. He also mentioned figures showing that 633 companies were currently active in retail.
This is also set to expand thanks to the free trade agreement entered into with the US recently, according to al-Hawaj. This, he said, would allow development in all aspects of the sector.
"It is time that the governments of the region recognised the importance of the retail sector, which is a major segment of the economy providing jobs for thousands of Gulf nationals," said Sayyar, in remarks that summed up much of the feeling amongst retail trade insiders. While the sector is booming, the feeling is it could still go further, with one area in particular that needs extra help being training.
The Specific Council for Training and Retail was formed in 2001 to cope with the challenges in training faced by this sector, and as such has done remarkable work over the years since. Now though, if the workforce is likely to swell by 20,000 in the next couple of years alone, its supporters say it clearly needs some extra help. If such assistance is forthcoming, it will likely be vital in allowing the retail trade to reach its true potential - for as many in the trade are often heard to remark, you are only ultimately as good as the people you have on the shop floor.
That was the message too at the latest gathering on the trade, a presentation-cum-discussion held under the auspices of the Bahrain Chamber of Commerce and Industry (BCCI) in co-operation with the Economic Development Board (EDB) on June 7.
The event was held at the Ritz-Carlton Hotel and was addressed by the chairman of the BCCI Committee on Old Souq and Retail Business, Jawad Yousif al-Hawaj, along with Dr Hussain al-Mahdi, the chairman of the Board of Director of Gulf Global Consultancy, and Faiza al-Saeed, head of the training and recruitment committee at the Specific Council for Training and Retail.
Al-Hawaj told those at the meeting that the retail business was "part of the rich cultural heritage of Bahrain" and that it "contributes a major share despite the developments taking place in various commercial sectors."
Retail is booming currently throughout the Gulf, as a quick glance at the popularity and frequency of shopping malls alone will attest.
A recent study by Retail International shows that in the next five years, as current building projects are completed and come on line, gross leaseable area (GLA) for retail throughout the Gulf Cooperation Council (GCC) is likely to expand dramatically.
Estimated per head of population, by 2009, Dubai will be the way-ahead regional leader, with 2.53 sq metres of GLA, followed by Doha, with 0.64 sq metres. Meanwhile, Bahrain will be third, with around 0.52 sq metres per capita.
Of course, such figures must be interpreted - with varying population expansion rates also needing to be taken into account, along with the fact that some of the projects currently underway will not complete, or will undergo modification before they open. Nonetheless, there is little doubt which way the retail sector is going, in Bahrain or elsewhere.
Certainly, speakers at the two-day Gulf Retail 2005 conference, which was held at the Bahrain Conference Centre, Crowne Plaza mid May, saw major future expansion.
According to a study by the Specific Council for Training and Retail presented at the conference, new ventures are expected to swell the number of people employed by the sector strongly over the next few years. Currently, the study estimated numbers employed in the sector at 85,000, with this growing by 20,000 over the next few years.
The report also showed that the retail sector had pumped some BD252m ($661.73m) into the economy in 2002 alone. Bahrain International Retail Development Centre (BIRD) General Manager and Conference Chairman Essa Jassim Sayyar also added that retail's contribution to GDP stood at 10% in 2002, and 13% in 2003 - setting the widely predicted 16% by the end of this year in context.
These statistics alone account for a great deal of the interest now being shown in the sector by the Bahraini authorities. "The government is giving special attention and importance to this vital sector," said Industry and Commerce Minister Dr Hassan Fakhro at the conference, "and the study carried out in this respect has shown [the sector's] importance in supporting the national economy."
Employment is a concern in the country as it is in any other Gulf state, with the thorny problem of native versus non-native labour also at stake here. At present, as in most Gulf countries, many point of sale retail jobs are done by non-Bahraini labour.
However, according to figures produced by Dr Fakhro, Bahraini employment levels in the sector are still significant. He told conference goers that retail held around 40% of the Bahraini work force. He also mentioned figures showing that 633 companies were currently active in retail.
This is also set to expand thanks to the free trade agreement entered into with the US recently, according to al-Hawaj. This, he said, would allow development in all aspects of the sector.
"It is time that the governments of the region recognised the importance of the retail sector, which is a major segment of the economy providing jobs for thousands of Gulf nationals," said Sayyar, in remarks that summed up much of the feeling amongst retail trade insiders. While the sector is booming, the feeling is it could still go further, with one area in particular that needs extra help being training.
The Specific Council for Training and Retail was formed in 2001 to cope with the challenges in training faced by this sector, and as such has done remarkable work over the years since. Now though, if the workforce is likely to swell by 20,000 in the next couple of years alone, its supporters say it clearly needs some extra help. If such assistance is forthcoming, it will likely be vital in allowing the retail trade to reach its true potential - for as many in the trade are often heard to remark, you are only ultimately as good as the people you have on the shop floor.
