Three UAE banks in merger talks to create over Dh410 billion bank

Agencies
September 4, 2018

Abu Dhabi, Sept 4: Abu Dhabi Commercial Bank (ADCB) said it is in early merger talks with Union National Bank and Al Hilal Bank, which could potentially form a lender with $113 billion (Dh 414.71 billion) in assets.

Abu Dhabi has been revamping its economy and pressing ahead with consolidating state-owned entities after two years of low oil prices weighed heavily on its revenues.

Two of Abu Dhabi's top banks were merged last year to create First Abu Dhabi Bank with total assets of $175 billion, while two of its big sovereign wealth funds were also combined.

ADCB, majority owned by the Abu Dhabi government, said in a disclosure to the Abu Dhabi Securities Exchange that it is in talks with UNB and separately with unlisted Al Hilal Bank. If it goes ahead, a merger of the three could create an entity with $113 billion in assets, according to Thomson Reuters data.

The statement from ADCB followed a Bloomberg News report of the talks which said that a potential merger could create the Gulf's fifth biggest bank.

Talks with both UNB and Al Hilal are at a very preliminary stage, ADCB said, adding that they may not result in a deal.

UNB and Al Hilal representatives did not respond to calls, while the Abu Dhabi government did not reply to an email.

While ADCB, the second largest bank in Abu Dhabi and UNB are both majority government owned, Islamic lender Al Hilal Bank is fully-owned by the Abu Dhabi government.

Consolidation has also hit the banking sectors of other Gulf countries. Bahrain's Ahli United Bank is in merger talks with Kuwait Finance House, which could be the first cross-border tie-up between Gulf banks in recent years.

Meanwhile, Saudi British Bank and Alawwal Bank have also agreed a merger to create Saudi Arabia's third-biggest lender, in a $5 billion deal that marks the first major banking tie-up in the kingdom in two decades.

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News Network
July 23,2020

Beirut, Jul 23: The pandemic will exact a heavy toll on Arab countries, causing an economic contraction of 5.7% this year, pushing millions into poverty and compounding the suffering of those affected by armed conflict, a U.N. report said Thursday.

The U.N.'s Economic and Social Commission for Western Asia expects some Arab economies to shrink by up to 13%, amounting to an overall loss for the region of $152 billion.

Another 14.3 million people are expected to be pushed into poverty, raising the total number to 115 million — a quarter of the total Arab population, it said. More than 55 million people in the region relied on humanitarian aid before the COVID-19 crisis, including 26 million who were forcibly displaced.

Arab countries moved quickly to contain the virus in March by imposing stay-at-home orders, restricting travel and banning large gatherings, including religious pilgrimages.

Arab countries as a whole have reported more than 830,000 cases and at least 14,717 deaths. That equates to an infection rate of 1.9 per 1,000 people and 17.6 deaths per 1,000 cases, less than half the global average of 42.6 deaths, according to the U.N.

But the restrictions exacted a heavy economic toll, and authorities have been forced to ease them in recent weeks. That has led to a surge in cases in some countries, including Lebanon, Iraq and the Palestinian territories.

Wealthy Gulf countries were hit by the pandemic at a time of low oil prices, putting added strain on already overstretched budgets. Middle-income countries like Jordan and Egypt have seen tourism vanish overnight and a drop in remittances from citizens working abroad.

War-torn Libya and Syria have thus far reported relatively small outbreaks. But in Yemen, where five years of civil war had already generated the world's worst humanitarian crisis, the virus is running rampant in the government-controlled south while rebels in the north conceal its toll.

Rola Dashti, the head of the U.N. commission, said Arab countries need to “turn this crisis into an opportunity” and address longstanding issues, including weak public institutions, economic inequality and over-reliance on fossil fuels.

“We need to invest in survival, survival of people and survival of businesses,” she said.

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Agencies
May 19,2020

Ramallah, May 19: India has given USD 2 million in aid to the United Nations Relief and Works Agency working for the welfare of Palestinian refugees in support of its core programmes and services, including education and health, amidst the coronavirus crisis.

India had increased its annual contribution to the UNRWA from USD 1.25 million in 2016 to USD 5 million in 2019. It pledged another USD 5 million for 2020 which opens its way to become a member of the agency's advisory commission, according to official sources.

The United Nations Relief and Works Agency (UNRWA) applauded India's financial support to keep its basic services operating, especially under the challenges posed by the COVID-19 pandemic.

The contribution was presented to the UN agency by the Representative of India (ROI) to the State of Palestine, Sunil Kumar.

"On behalf of the agency, I would like to express my deep appreciation to the Government of India for advancing part of its contribution, which will help UNRWA address cash flow challenges," Marc Lassouaoui, chief of the Donor Relations at the agency said.

"The continued determination and commitment of India in support of the Palestine refugees is commendable, in particular under the current circumstances brought on us by COVID-19," he said.

"On behalf of the Government of India, I would like to express my appreciation for the commendable work and endeavours carried out by the UNRWA. We believe that our contribution will support the agency's activities in providing the needed assistance to Palestinian refugees, and assist in achieving their full human development potential," Kumar said.

India's contribution will support the agency's "dire" financial situation due to the funding gaps that risk its core services to the Palestinian refugees in the fields of education and health.

About 3.1 million Palestine refugees depend on health services provided by the UNRWA. At the same time, the agency's schools educate 526,000 students every year, of which half are female.

The agency was created in December 1949 by the UN to support the relief and human development of Palestinian refugees.

The UNRWA definition of “refugee” covers Palestinians who fled or were expelled from their homes during the 1948 War.

Meanwhile, India is preparing medical supplies for the Palestinians to help them in their fight against the coronavirus which is likely to reach the Palestine soon, the Indian mission in the West Bank said in a statement.

Prime Minister Narendra Modi last month spoke to Palestinian President Mahmoud Abbas over phone and discussed the challenges posed by the COVID-19 pandemic. He appreciated efforts being made by the Palestinian Authority (PA) to protect its population and assured all possible support from India.

External Affairs Minister S Jaishankar later talked to his Palestinian counterpart Riad Malki and reiterated India's commitment to support Palestine in its battle against the global pandemic.

So far, 554 COVID-19 cases have been detected in the West Bank under PA and east Jerusalem, with two casualties.

Twenty people were found infected with the virus in Gaza, of which 14 are said to have recovered.

Separately, 17 agreements have been signed under an India-Palestine development partnership between the two sides in the fields of agriculture, health care, information technology, youth affairs, consular affairs, women empowerment and media in the past five years.

New Delhi is to provide an assistance of around USD 72 million through these agreements in projects like the post-2014 war reconstruction efforts in Gaza, construction of five schools, setting up a centre of excellence for information and communication technologies at Al-Quds University and developing a satellite centre in Ramallah.

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Agencies
July 31,2020

Jeddah, Jul 31: Hajj 2020 pilgrims arrived in Muzdalifah Thursday night to rest after spending the day in Arafat.

Earlier, the pilgrims scaled Mount Arafat to pray and repent, as a highly unusual Hajj approached its climax. They listened to a sermon delivered by Sheikh Abdullah Al-Manea and prayed Dhuhr and Asr prayers together at the Al-Namirah Mosque in Arafat.

This year’s pilgrimage is the smallest in modern times, after the number of participants was greatly restricted to prevent the spread of the coronavirus. 

Tight security was in place around the foot of the rocky hill outside Makkah, also known as Jabal Al-Rahma or Mount of Mercy, in preparation for the high point of the annual ritual.

Video footage shown on state television showed the pilgrims setting off on their climb to the summit. They wore face masks and observed strict social-distancing rules imposed by Saudi authorities.As sprinklers sprayed water on them to provide relief from the summer desert heat, the pilgrims raised their palms as they climbed the slopes of the hill — the site of Prophet Muhammad’s last sermon. When they reached the top they recited holy verses and prayed for forgiveness for their sins.

Earlier, the pilgrims were taken in buses from Mina to Mount Arafat. Strict precautionary measures were in place, with each group accompanied by security teams, ambulances and civil defense vehicles. 

When they arrived, their temperatures were checked before they entered Namirah Mosque to hear a sermon that was translated into 10 languages.

“The camps were set up for pilgrims in Arafat early on,” said Minister of Hajj and Umrah Muhammad Salih Bentin. The sermon at Namirah Mosque was delivered by Sheikh Abdullah Al-Manea, who led the pilgrims in noon and afternoon prayers.

“During Hajj this year, we reiterate that it is essential for pilgrims, as well as everyone assisting them, to adhere to the precautionary regulations that have been implemented,” Al-Manea, a member of the Council of Senior Scholars, said during his sermon. “This is to be done for their own safety.

“Precautions have been put in place to protect lives against the damage that the pandemic can cause, and also to actualize Islam’s teachings pertaining to safeguarding human life by Allah’s permission.”

The stay in Arafat is described as the pinnacle of Hajj and Muslims around the world reflect the actions of pilgrims by asking for forgiveness and praying for their deepest desires.
Pilgrims left Arafat in coaches for Muzdalifah after sunset and will pray the Maghrib and Isha prayers there.

After sunset prayers, the pilgrims made their way down Mount Arafat to Muzdalifah, where they will spend the night before the final Hajj ritual, the symbolic stoning of the devil. 

This year, each pilgrim received sanitized pebbles in advance of the event on Friday, which is the first day of Eid Al-Adha.
This year the Kingdom faced the unprecedented challenge of ensuring pilgrims attending Hajj were protected as much as possible from the risks of the coronavirus.

They will then sleep, pray the Fajr prayer there tomorrow and then leave for Mina.

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