SURVEY N° 21 / March 2011 Mediterranean

The Mediterranean between

Invest the in Invest growth and revolution Foreign direct investments and partnerships in MED countries in 2010

The Mediterranean between growth and revolution Foreign direct investments and partnerships in MED countries in 2010

Study N°21

March 2011

ANIMA Investment Network

Bénédict de Saint-Laurent Jeanne Lapujade, Zoé Luçon

Investments and partnerships in the MED region in 2010 References

This report was prepared by the ANIMA team within the framework of the Invest in Med contract. ANIMA Investment Network is a multi-country platform supporting the economic development of the Mediterranean. The network brings together over 80 Investment Promotion Agencies (IPA), international networks and players involved in the territorial development of the Mediterranean region.

The objective of ANIMA is to contribute to a better investment and business climate and to the growth of capital flows into the Mediterranean region. www.anima.coop

ISBN 978-2-915719-60-4 © ANIMA-Invest in Med 2011. No part of this publication may be reproduced without express authorisation. All rights reserved Authors

. Study prepared by Bénédict de Saint-Laurent (chapters 1, 3 and 4, annexes), Jeanne Lapujade (chapter 2) and Zoé Luçon (annex 1), ANIMA. . Business intelligence is coordinated by Zoé Luçon (management of the ANIMA-MIPO Observatory) and implemented by Samir Abdelkrim (who also prepared the GIS data), Armel Bouchacourt, Gauthier Cousson, Oulfa Ghazouani, Pierre Henry, Jeanne Lapujade, Adeline Lévêque, Manal Tabet, Maïa Thomine Desmazures. All belong to the ANIMA team. . Warm thanks to the various Investment Promotion Agencies (IPA) of the MED region, ANIMA members and the French Economic Missions abroad for the supply of certain information. Special thanks to the business intelligence team of the French Agency for International Investments (AFII) which assisted ANIMA in the detection of certain projects. . The cartography for Annex 1 takes its inspiration from a presentation made by Pierre Beckouche and the Collège International des Sciences du Territoire, who we thank here. . Neither ANIMA nor any of the partners involved may be held responsible for data supplied. Any error or lack of precision should be signalled to [email protected]. ANIMA is interested in your comments, complementary information and updates. Many thanks.

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Investments and partnerships in the MED region in 2010 Acronyms

. AFII: Invest in France Agency . ANIMA: Euro-Mediterranean network of players for economic development . EU: European Union (often referred to as EU-15, or former members, EU-10, or new members and EU-27) . FDI: Foreign Direct Investment . GDP: Gross Domestic Product . GIS: Geographical Information System . GNP: Gross National Product . ICT: Information and Communication Technologies . IPA: Investment Promotion Agency . MED-11: Group of 11 countries neighbouring Europe, i.e. 9 Mediterranean partner countries of the EU (Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Palestinian Authority, Syria, Tunisia), one with observer status (Libya) and one in the membership process, Turkey. Malta and Cyprus joined the Union in May 2004. . MED-10: the same without Libya, Malta and Cyprus (with Turkey) . MENA: Middle East - North Africa = MED-10 + Mauritania, Libya, Sudan, countries of the GCC + Yemen, Iran, Iraq, Afghanistan, Pakistan (at times variable geometry) . MIPO: Mediterranean Investment and Partnership Observatory . MPCs: Mediterranean Partners Country of the EU . R&D: Research and Development . SME: Small and Medium Enterprise . UNCTAD: United Nations Conference on Trade and Development . WIR: World Investment Report (UNCTAD report on world investment)

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Investments and partnerships in the MED region in 2010 List of contents

1. Synopsis: the southern rim of the Mediterranean between two crises...... 6 A net improvement in foreign investment in 2010 ...... 7 Caution nevertheless...... 8 Origin of FDI: Europe in the lead, but a rise in emerging countries ...... 10 Host countries: the Maghreb trailing behind ...... 11 Sectors: less tourism, more cutting edge industry ...... 13 From premises of the political crisis to the seeds of hope...... 15

2. The rise of the emerging countries: towards a new North-South equilibrium...... 16 The growing influence of the BRICs in the region ...... 16 Mediterranean economic emergence and integration ...... 20 The leading role of Egypt ...... 21 Lebanon, a specialist commercial hub (banking, tourism services) ...... 22 The Maghreb lagging behind somewhat ...... 22 The new role of Turkey in the region ...... 23 The BRICs and the MED countries, a new trump card for Europe? ...... 25

3. The proliferation of partnerships and new niches ...... 28 Still insufficient sectoral diversification ...... 28 A sectoral concentration qualified by partnerships and the role of the SMEs ...... 31 The SMEs present in the micro-sectors ...... 32

4. Conclusion: unquestioned growth, but a questionable development model ...... 34 Indisputable assets ...... 34 An increasingly strong mobilisation in external financial flows ...... 34 Reforms, acquisition of standards and transfers of know-how ...... 35 A largely preserved growth (before 2011...)...... 36 A decisive contribution to productive investment ...... 37 One million jobs linked to FDI in 2010? ...... 38 The dynamism of new emerging players...... 40

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Investments and partnerships in the MED region in 2010

An insufficient development model in terms of concrete local spin- offs...... 40 Weakness of the redistribution and dissemination of the impact...... 40 FDI: too concentrated an impact, both socially and spatially ...... 42 Rethink the Euro-Mediterranean ...... 43

5. Annexes ...... 46 Annex 1. Country digests ...... 46 Algeria ...... 47 Egypt ...... 49 Israel ...... 51 Jordan ...... 53 Lebanon ...... 55 Libya ...... 57 Morocco ...... 59 Palestine ...... 61 Syria ...... 63 Tunisia ...... 65 Turkey ...... 67 Annex 2. Synoptic tables...... 69 Nature of projects ...... 69 Top origin countries...... 70 Jobs ...... 72 Annex 3. Comparison ANIMA/UNCTAD per country ...... 73 Annex 4. Direct and indirect jobs ...... 75 Annex 5. Extrapolation of employment data ...... 81

6. Confidential annexes ...... 82 Annex 6. List of FDI projects detected for 2010 (ANIMA-MIPO) ...... 82 Annex 7. List of partnerships detected for 2010 ...... 148 Annex 8. Methodology ...... 186 Differences with the UNCTAD approach ...... 186 Typology ...... 186 Selection criteria ...... 188

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1. Synopsis: the southern rim of the Mediterranean between two crises...

The world economic crisis of 2008-2009 had finished by catching the Southern Mediterranean countries, somehow less affected than Europe – for less exposed to sophisticated financial products, taking advantage of a more dynamic domestic demand and capable of charming businesses attracted by low-cost solutions, especially in terms of salary. Second round effects (in particular a drop in tourist flows, exports towards Europe, migrant transfers, foreign investments) eventually hit these countries. The growth of their GDP always remained positive and on average 2 to 3% higher than that of neighbouring countries from the northern rim.

At the beginning of 2011, a new crisis, this time political, arose which affected the Arab countries, Tunisia and Egypt in particular at the moment that this report was being written. It is probable that since the Mediterranean is a narrow basin, the waves propagate quickly from one shore to the other and create serious repercussions throughout the southern rim (nor was the northern rim spared by the crises, cf. Greece or Italy). Everyone hopes that the long term effects of the Tunisian and Egyptian revolutions will be positive in terms of democracy, governance, social distribution and thus of sustainable economic development. In the mean time, this new crisis is shaving negative short term effects: • Several large foreign companies have repatriated their expatriate personnel in the case of Egypt (Lafarge, Orange, etc.) or suspended their production (Nestlé, etc.), but should pick up their operations relatively quickly; • The rating agencies immediately dropped the rating of the countries concerned, making access to finance for projects and businesses more costly; for example, they consider that the economic impact will be in the region of 3 to 4% of GDP for Tunisia; • It is still too early to make an assessment of the impact on foreign investment (FDI), but the majority of investors have, at best, put their non-committed Tunisian and Egyptian projects on stand-by, except in Investments and partnerships in the MED region in 2010

the less integrated or less risky sectors (hydrocarbons, ore, etc.); the impact will be less lasting except in the event of a military coup d'Etat for example (where the image of the country is tarnished for a good number of years), but the promoters of projects are waiting to see what the future has in store; ANIMA will make an initial assessment at the end of the first quarter 2011; • The sensitive partnerships, in particular with groups associated with certain oligarchies closer to the powers-that-be (which frequently control 30% of the industry in the countries concerned), will probably mark time for a while awaiting the reconfiguration of the decision- making centres.

At the moment this report is being written, businesses are reacting cautiously. The southern Mediterranean countries are often of interest to them for their internal demand and as a production base. There have been few announcements of cancellations or postponements published until now (for example, the suspension on 10 February 2011 of the €182 million Electrolux project in Egypt which had been announced in 2010). In Tunisia, a large part of the economic sphere linked to the Ben Ali-Trabelsi clan will undergo a profound transformation (the case of Orange-Tunisia, partially nationalised?). In Egypt, it is possible that the military-state system in place in numerous sectors will develop under the pressure of the civil society. For the moment, the popular movements being observed are neutral on the question of economic nationalism and foreign businesses would not seem to be specifically targeted. A net improvement in foreign investment in 2010

According to the Mediterranean Investment and Partnership Observatory ANIMA-MIPO, supported by the Invest in Med programme, the number of announcements of Foreign Direct Investment projects (FDI) has picked up in the MED countries1 with 826 projects detected against 542 in 2009, that is +52%. The increase is less marked in terms of amounts: €33.2 billion, against €28.4 billion in 2009, that is +17% (Figure 1).

1 The 11 countries in the European neighbourhood, that is 9 partner countries of the EU (Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Palestinian Authority, Syria, Tunisia), one country with observer status (Libya) and one country having applied for EU membership (Turkey).

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Investments and partnerships in the MED region in 2010

Figure 1. Change in amounts and number of FDI projects (€m, MED-11, sources: ANIMA-MIPO and UNCTAD converted in € and estimated for 2010) FDI flow -ANIMA (€m) FDI flow -UNCTAD (€m) Number of projects

70 000 66 067 900 826 772 765 800 60 000 744 m)

€ 634 57 156 700 50 000 52 011 43 269 543 600 38 848 47 596 40 000 500 FDI flow ( 33 203 36 476 28 377 30 000 400 303 Number of projects 237 27 388 300 20 000 25 507 26 164 200 11 188 11 659 10 000 11 900 100 9 345 0 0 2003 2004 2005 2006 2007 2008 2009 2010 The average amount of projects announced continues to drop (Figure 2): €40 million on average per FDI announcement in 2010, against around 52 million in 2009 and close to 90 million in 2006.

Figure 2. Change in average amount of announced FDI projects (ANIMA-MIPO) Average amount per project (€m) 88.8 100,0 74.0 80,0 61.3 47.7 52.3 60,0 39.4 38.5 40.2 40,0 20,0 0,0 2003 2004 2005 2006 2007 2008 2009 2010

Caution nevertheless...

Business partnerships2 however continue to increase: 493 projects in 2010, against 288 in 2009 (+71%, cf. Figure 3). This is partly due to the effect of the Invest in Med programme, which is devoted to these partnerships and detects them better. One third of the partnerships concern the franchise

2 Defined as projects where a foreign business becomes involved in the MED market, either through an identified partner, or by opening a local representation (agency, network, etc.).

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Investments and partnerships in the MED region in 2010 networks, which are developing at a heady pace throughout the region. One fifth concerns the opening of representations in the countries, another fifth concerns inter-enterprise development agreements.

Figure 3. Change in number and types of partnerships announced (ANIMA-MIPO)

600 Partenariat technologique - 493 Technological partnership 500 Partenariat commercial - Commercial partnership 400 288 Enseignes, magasins, franchises - 300 Franchise, shop, etc. 201 Contrat de gestion - Management 200 143 contract 105 116

Number of partnerships 83 100 Bureau de représentation - 35 Representative office 0 Accord de développement - 2003 2004 2005 2006 2007 2008 2009 2010 Development agreement

As far as the nature of the envisaged projects is concerned, the trend of previous years is confirmed (cf. Figures 4 and 5), with increasingly frequent recourse, on the part of foreign businesses, for less "committed" forms of investment south of the Mediterranean: smaller FDI projects, extensions to existing units (preferred to greenfields), joint-ventures with shared risks, partnerships, etc. Companies are limiting the risks in their approach to the southern Mediterranean market, especially European companies and SMEs.

Figure 4. Respective change in number of FDI and partnership projects (ANIMA-MIPO)

FDI Partnership 1 500

1 000 116 143 493 105 201 288 500 83 35 744 772 765 826 634 543 237 303 0 2003 2004 2005 2006 2007 2008 2009 2010 Figure 5. Change in focus of foreign investment (ANIMA-MIPO)

100% Partial' investment 23% 36% 55% 45% 49% 48% 47% 48% (brownfield, JV, partial 50% acquisition, PPP) 77% 64% 45% 55% 51% 52% 53% 52% 'Global' investment 0% (greenfield, branch, 2003 2004 2005 2006 2007 2008 2009 2010 full acquisition)

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Investments and partnerships in the MED region in 2010

Origin of FDI: Europe in the lead, but a rise in emerging countries

European companies came out largely on top in 2010, with half of the investments in terms of amounts (Figure 6). The Gulf States, which had been overtaking North America for a number of years now, have been caught up by the USA/Canada and "other countries" (mainly emerging countries): these 3 groups issue around 15 to 16% each of the FDI directed towards the southern Mediterranean countries. Finally, intra-MED investments (between countries from the region) remain at a low level (3% of the total), which is a further indication of the poor integration of the area. Only Turkey, a real regional driving force, continues to invest, essentially in the Mashreq, with 22 projects in 2010 (9 FDI and 13 partnerships), against 9 in 2009 and 8 in 2008.

Figure 6. Change in FDI flows per region of origin, 2003-2010 (€m, ANIMA-MIPO)

30 000 25 795 Europe 25 000

20 580 20 000 18 996 Gulf 17 501 19 923 17 161 16 903 countries 15 101 15 000 16 711 USA-Canada

10 000 8 583 7 587 7 270 6 749 Other 7 069 5 756 5 789 5 216 5 346 4 390 countries 3 704 5 000 3 328 5 164 2 119 4 747 4 928 1 654 977 4 501 MED-11 1 507 940 3 096 3 248 1 955 1 187 1 944 0 1 015 607 353 868 862 2003 2004 2005 2006 2007 2008 2009 2010

European predominance is even stronger for partnerships (264 projects, that is 54% of the total in 2010), North America coming next (20% of the projects), then the Gulf (12%). Partnerships originating from the emerging countries (9%) or intra-Mediterranean (6%) bring up the rear. Compared with 2009, however, the Gulf partnerships have tripled and those between MED countries have doubled, which is a source of great encouragement. Europe has the preponderant share of franchises and management contracts (public- private partnerships).

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Investments and partnerships in the MED region in 2010

Figure 7. Cumulated partnerships per region of origin, 2003-10 (in number, ANIMA) Autres pays /Other Europe Golfe /Gulf MED-11 USA-Canada 500 99 450 400 30 350 58 300 250 78

200 16 55 19 264 150 13 37 18 100 14 18 139 23 22 94 50 10 65 72 47 60 36 42 0 17 21 2003 2004 2005 2006 2007 2008 2009 2010

Host countries: the Maghreb trailing behind

Over the past 3 years (Figure 8), Turkey, Egypt and Israel have proved to be the 3 major destinations for FDI, regardless of the source3. The performances of the Maghreb, on the other hand, have been overall disappointing, except for Tunisia, virtually at the level of its neighbours three times as populous.

Figure 8. Average FDI flows per destination, 2008-2010 (in €m ANIMA and UNCTAD; for 2010, country or UNCTAD figures, see details in Annex 3) Country AL EG IS JO LEBA LIBY MO PA SY TUN TUR MED11 ANIMA 1 953 5 098 3 450 1 476 644 1 684 2 439 112 2 031 1 450 12 348 34 369 UNCTAD 1 761 5 391 3 840 1 692 3 246 2 292 1 488 20 1 154 1 472 7 626 32 377 Δ AN./UNC. +11% -5% -10% -13% -80% -27% +64% - +76% -1% +62% +6%

In 2010, and according to ANIMA-MIPO, the destination of FDI has essentially been in favour of Turkey, whose rise in power has been impressive and attracts investors, and to a lesser extent Egypt and Israel (Figure 9).

3 This smoothing over 3 years is justified, for both UNCTAD and ANIMA collect different data (macroeconomic financial flows recorded by the Central Banks for UNCTAD, accumulation of amounts announced by the companies for the reliable phase of their projects for ANIMA). The differences may be explained, among other things, by the difference between the project kick-offs and the financial transfers. The (poor) figures of Palestine are of little significance. Lebanon receives a good number of financial transfers not linked to industrial projects.

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Investments and partnerships in the MED region in 2010

Figure 9. Net amounts of announced FDI per destination (in €m, ANIMA-MIPO) Destination 2003 2004 2005 2006 2007 2008 2009 2010 2003-10 Algeria 2 836 2 428 3 868 2 414 2 484 1 980 3 074 805 19 889 Cyprus 23 0 408 152 296 747 580 492 2 698 Egypt 874 1 950 6 176 14 735 21 861 3 802 6 570 4 921 60 889 Israel 728 634 6 229 14 019 3 777 3 277 2 574 4 500 35 738 Jordan 475 708 872 3 557 2 514 1 002 2 286 1 139 12 554 Lebanon 322 733 753 3 627 279 1 058 86 789 7 647 Libya - - 418 374 5 329 2 876 1 576 600 11 172 Malta 1 43 14 296 46 253 232 50 935 Morocco 3 281 4 023 1 608 4 380 2 508 2 311 2 707 2 300 23 118 Palestine 10 80 0 61 8 309 26 0 495 Syria 104 141 3 020 4 505 1 554 3 025 1 012 2 057 15 418 Tunisia 207 183 1 023 2 979 2 122 981 1 023 2 346 10 863 Turkey 506 779 14 882 15 417 14 721 15 855 7 442 13 745 83 348 MED-134 9 369 11 703 39 270 66 515 57 498 37 476 29 188 33 745 284 764 MED-11 9 345 11 659 38 848 66 067 57 156 36 476 28 377 33 203 281 132

Morocco, a shining light for partnerships and appreciated by SMEs, has not made a very good score, and Algeria even less, marked as it is by a certain anti-liberalism (restrictions on imports, on the control of FDI, etc.). In the Maghreb, only Tunisia has recorded a strong rise in FDI (a return to the level of 2006-2007) prior to the political crisis of the end of 2010. In the Mashreq, which is overall stable after the withdrawal of the Gulf State investors from 2008, Egypt is far from its past records, Syria continues to confirm its new attractiveness, Lebanon above all receives portfolio investments and the other countries (Jordan and especially Palestine) are stagnating. Annex 1 provides more detailed data.

Figure 10. Net FDI flows per destination region (in €m, source: ANIMA-MIPO) Other MED= Turkey + Israel (plus Cyprus and Malta until 2004)

70 000 60 000 29 436 50 000 18 498 40 000 Other MED 30 000 10 146 12 442 21 111 19 132 Maghreb 10 017 18 245 20 000 Mashreq 1 413 6 916 26 485 8 147 8 380 10 000 1 234 26 215 6 052 6 324 6 634 10 820 9 198 9 980 8 906 3 612 0 1 787 2003 2004 2005 2006 2007 2008 2009 2010

4 Including Cyprus and Malta, which became members of the European Union in May 2004.

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Investments and partnerships in the MED region in 2010

Sectors: less tourism, more cutting edge industry

Five large sectors of predilection for investors, energy, banking, building and public works, telecoms and materials (cement, glass, etc.) come out on top again in 2010 in terms of FDI flows, but a certain sectoral rotation may be observed (Figure 11):

• A sizeable drop in tourist investments, after a number of years marked by numerous and gigantic projects; this is not necessarily a bad thing, especially since the occupancy rate of tourist infrastructures is likely to drop in 2011;

• A large increase in the number of banking projects, in particular in Syria where the sector was liberalised in 2009;

• The emergence of the distribution sector, for FDI as for partnerships (franchises), a sign that the middle class is gaining access to "modern" modes of consumption;

• Pick-up of the automobile sector, essentially in Turkey and Morocco (Tanger-Med, Bursa, etc.).

The sectoral rotation is illustrated by the disappointing performance of the agri-food business (only 219 million euro announced in 2010), the software industry (supposed to be one of the strengths of the southern Mediterranean countries, with only 535 million euro), chemicals/petrochemicals and fertilisers (only 394 million euro). On the contrary, cutting edge industries such as aerospace (Tunisia, Morocco), engineering and general public electronics have gained new colours as has logistics. Textile, a leading sector in the region, remains at a very low level in terms of foreign investments (128 million euro).

In numbers of projects, this leader board also changes little: energy coming out on top with 123 projects, followed by banking (88 projects), software (77 projects), electrical and electronic equipment (51 projects), engineering (51 projects as well), tourism (45 projects), building and public works (41 projects), the automobile (38 projects) and finally the agri-food business (37 projects).

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Investments and partnerships in the MED region in 2010

Figure 11. Change in FDI per sector, 2003-2010 forMED-11 (In €m, source: ANIMA-MIPO)

Sector 2003 2004 2005 2006 2007 2008 2009 2010 Total Energy 1 059 2 294 6 473 5 798 8 816 8 827 11 161 9 980 54 409 Bank, insurance 147 376 4 963 13 630 10 229 3 708 2 334 6 864 42 251 Public works, real estate 155 808 1 437 8 386 12 264 6 484 3 303 3 486 36 322 Telecom & internet 1 975 1 451 11 548 9 222 2 906 1 441 2 173 2 884 33 600 Glass, cement, materials 506 833 1 820 3 144 10 079 1 690 1 029 1 742 20 843 Tourism 2 338 2 504 3 626 4 609 1 611 2 094 1 161 690 18 632 Data process. & software 621 149 1 256 4 655 798 596 753 535 9 362 Chemistry 37 604 2 260 1 320 1 827 1 731 935 394 9 108 Distribution 292 850 280 1 391 483 2 545 916 1 537 8 293 Electronic components 204 547 1 300 3 774 393 317 134 879 7 547 Agribusiness 354 288 249 2 348 1 052 1 687 1 163 219 7 360 Automobile 394 135 1 055 596 326 825 619 1 052 5 002 Elect. hardware 186 158 908 1 030 735 488 545 648 4 698 Mechanics 1 3 3 326 338 83 34 54 3 839 Transport, logistics 17 161 58 1 934 766 142 758 3 835 Other 2 16 137 661 995 669 719 126 3 325 Water, utilities 644 106 531 70 755 161 501 153 2 921 Metallurgy 19 115 153 267 585 888 420 286 2 733 Drugs 112 194 157 739 503 399 105 150 2 359 Textile, luxury 262 168 209 426 201 200 70 128 1 664 Aeronautical, naval & railway 14 4 65 441 18 66 84 189 880 Consulting and services 2 205 35 166 254 8 140 811 Electronic ware 41 8 78 74 186 68 294 748 Biotechnologies 22 0 63 69 349 13 517 Furnishing and houseware 0 45 24 2 71 MED-11 9 345 11 659 38 848 66 067 57 156 36 476 28 377 33 203 281 132

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Investments and partnerships in the MED region in 2010

From premises of the political crisis to the seeds of hope...

Often quick to justify past events with hindsight, analysts may proclaim that certain of today’s political developments could be read in economic current affairs:

• investors integrating the evolutions in society in the countries of the southern rim -growth in retail distribution, explosion (passed for FDI) in mobile telephone and internet projects, development services to inhabitants (water, energy, housing, transport, etc.)-, but this only concerns a still insufficiently large middle class;

• the quality of the investment projects would seem in need of improvement, with progress in terms of governance or sustainability; a certain type of project (gigantic, badly adapted, ignoring social needs...) would seem more difficult to implement; the downward trend of the size of the projects is confirmed; SMEs are more increasingly present;

• investors would seem to have anticipated certain political risks and limited their commitments by using safer ploys; partnerships are multiplying; a certain North-South integration may be observed, based in particular on bi-national projects from the diaspora.

These evolutions appear to be positive, with the investments and partnerships capable of being used as effective tools for the economic development of the region. In 2010, FDI created nearly 175,000 direct jobs (against 93,000 in 2009), and around 585,000 indirect jobs (by using the results of an analysis carried out by ANIMA on a sample of 50 projects, see Annex 4), that is a total of 760,000 jobs. What a beautiful contribution to growth, to the productive installations, to the creation of wealth and ultimately to the stability of the region...

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2. The rise of the emerging countries: towards a new North-South equilibrium...

While the emerging countries recorded an average growth rate of around 6.5% in 2010 - against scarcely 2.5% for the earlier industrialised nations -, a new world spread of production and economic development is underway. In a report published at the beginning of 2010, the consulting firm Price Waterhouse Coopers (PLC) forecasts that the leading 7 emerging economies (E7: China, India, Brazil, Mexico, Russia, Indonesia, Turkey) will overtake the main developed countries (G7: Japan, Canada, Germany, France, United Kingdom, United States of America, Italy) in terms of corrected GDP per purchasing power parity between now and the year 2020. The growing influence of the BRICs in the region

According to UNCTAD5, while the flow of foreign direct investment stagnated on a world scale in 2010, mergers-acquisitions – the FDI component which is the most reactive to economic changes – registered a rise of 37%. Yet, according to other sources, acquisitions by investors coming from the BRIC group (Brazil, Russia, India, and China) increased by 74% to reach 402 billion dollars (18% of world transactions estimated at 2.23 trillion dollars). That is four times the volume recorded 5 years previously. Through these purchases, the emerging countries intend to ensure their sources of supply in natural resources and reach new markets, thus bolstering their economies.

During the course of the years to come, the latter will thus play a major role on the mergers-acquisitions market. This reinforced contribution to world economic and financial flows should gradually be accompanied by sustainable investment in the productive system of those countries presenting a competitive advantage. What is the situation today in the MED countries? And what impact could the rise in power that certain of them have on regional equilibrium?

5 UNCTAD, Global and Regional FDI Trends in 2010, January 2011 Investments and partnerships in the MED region in 2010

Often associated with emerging countries, the “Other countries” heading from the MIPO observatory in fact groups together 3 types of issuing countries, whose presence in the region responds to very different types of logic:

• Old industrialised nations dispersed over several continents and whose influence in the area is historically less important. In 2010, two countries have made a considerable push forward in the region. Australia announced 13 projects (against a single project in 2009) for a net investment of 298 million euro (out of a total of 874 million between 2003 and 2010), essentially in mining and oil exploration in the Maghreb. The 18 projects (against 4 in 2009) launched by Japan, for a net investment of 376 million euro (out of a total of 1988 million between 2003 and 2010), target the automobile (especially in the Maghreb) and electronics sectors (Egypt, Turkey, Israel). Argentina and New Zealand retain a negligible presence.

Figure 12. Number of FDI projects announced per host region 2003-2010 (ANIMA- MIPO)

Other MED Mashreq Maghreb

20 15 10 5 0 2003 2004 2005 2006 2007 2008 2009 2010 2003 2004 2005 2006 2007 2008 2009 2010

Australia Japan • Some members of the Organisation of the Islamic Conference (OIC), excluding MED countries and Gulf States. Among these countries, two have been particularly active in the region in recent years: Iran, which, in 2010, announced 5 projects (all in Syria) for a net investment of 137 million euro; Malaysia, which this year only launched one crude oil exploration project in Egypt. Elsewhere, the close relationship between Azerbaijan and Turkey has materialised since 2008 in joint investments in the energy and tourism sector (2 projects for a net investment of 50 million euro in 2010).

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Investments and partnerships in the MED region in 2010

Figure 13. Evolution of the number of FDI projects announced (ANIMA-MIPO)

2003 2004 2005 2006 2007 2008 2009 2010

6 5 4 3 2 1 0 Iran Malaysia Pakistan Iraq Azerbaidjan Sudan Kazakhstan • Finally, the countries considered as emerging by the international experts and grouped under the acronyms BRIC, MITBRICKS or CIVETS, Egypt and Turkey excepted. It is investment from this third sub-set of countries which has increased the most, notably in terms of amounts invested. Whereas with investments totalling 335 million euro, they only represented 4% of the total net investments in the area in 2003, their contribution rose to 12% in 2010, with more than 3.3 billion euro announced, that is 10 times that of 2003.

Figure 14. Evolution of the number of FDI projects announced (ANIMA-MIPO)

2003 2004 2005 2006 2007 2008 2009 2010

25

20

15

10

5

0 China India Russia South Korea Brazil South Africa China (Hong Kong included) arrives in the lead, with 11 projects announced for a net investment of 2.3 billion euro (out of 81 projects estimated at 7.1 billion euro between 2003 and 2010). In 2010, the country thus became the 4th largest investor in the region, overtaking a number of Western countries (United Kingdom, Germany, Austria, Italy, Netherlands, Russia) and many from the Gulf region (United Arab Emirates, Qatar, Bahrain), historically more present in the region. China invests mainly in the Mashreq (Egypt and Syria especially) and in Turkey. Its businesses have carried off a good

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Investments and partnerships in the MED region in 2010 number of oil exploration (CNPC, China National Offshore Oil) and mining concessions (Shaolin) in Syria and in Algeria. They intervene in a wide variety of other sectors: computing and electronics (the technological group Huawei in Israel, Turkey, Egypt and Algeria, the white goods manufacturer Haier in Jordan, Syria and Israel), building and public works (above all in Egypt), automobile (the constructor Chery Automobile notably, in Turkey, Egypt and Jordan), chemicals (CNCEC in Egypt), commerce (Genertec and Li & Fung in Turkey), etc. Turkey and China moreover forecast tripling their commercial trade between 2010 and 2015, which would thus go from 17 to 50 billion dollars, as well as carrying out these transactions in their respective currencies.

India closely follows China in the number of projects (10 in 2010 and 78 over the whole period), but remains behind Russia in net amounts invested (296 million euro in 2010, out of nearly 3.1 billion 2003 and 2010). In 2010, the latter in fact committed nearly 1.1 billion euro of net investment (6 projects) out of the 5 billion announced between 2003 and 2010 (45 projects). Nearly half of its projects concern the energy sector, which concentrates 80% of the net amounts invested. Giants the likes of Gazprom and Tatneft are in fact engaged in gas and oil activities in Algeria, Libya, Egypt, Syria and in Turkey. In 2010, Russia moreover was chosen by the Turkish government to build and exploit for 60 years the country’s first nuclear power station, a project worth nearly 20 billion dollars. Russian businessmen (Makhach Omarov, Mikhail Prokhorov) and Russian companies are elsewhere investing in tourism in Turkey, Syria and in Morocco.

As for India, it is investing above all in the chemical and plastics industries (Aditya Birla, Uflex, IFFCO), essentially in Egypt. Its companies are also present in the energy sector, in Egypt (Gujarat State Petroleum), in Libya (Oil India), in Syria (OVL) and in Turkey (Indian Oil). They are also to be found in computing (Wipro, Tata, First source) and medicines (Dabur, Marico, Sun Pharmaceutical) in Egypt, Israel and to a small extent in Turkey.

Then comes South Korea, with 5 projects announced in 2010 (out of a total of 45 between 2003 and 2010) for a net amount of 263 million euro (nearly 1.2 billion over the whole period). It invests essentially in the automobile industry (Kia Motors, Hyundai), electronics (LG Electronics, Samsung) and metallurgy (Posco), notably in Algeria and in Turkey. Brazil and South Africa, which had been relatively active in the region until 2008, have

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Investments and partnerships in the MED region in 2010 engaged in very few projects since the beginning of the crisis. Indonesia, Mexico and Vietnam remain conspicuously absent. Mediterranean economic emergence and integration

In the region, two countries have been added to the list of emerging economies en 2010: Turkey and Egypt. The rise in power of these two heavyweights derives from the dynamics of their intra-regional investments. While they received respectively 83.3 and 60.9 billion euro of net investment between 2003 and 2010, these countries have also become major investors in other MED countries.

Intra-Mediterranean investments are pulled along by the Mashreq countries. From 2003 to 2010, the latter have in fact issued 164 projects (31 in 2010, against 10 in 2009), for a net amount of nearly 10.5 billion euro. During the same period, investors from the Maghreb have only launched 68 intra- Mediterranean projects (13 in 2010, against 11 in 2009), for net amount of a little less than 1.1 billion euro.

Figure 15. Evolution of the number of FDI projects announced by the different Mediterranean issuers (ANIMA-MIPO) 2003 2004 2005 2006 2007 2008 2009 2010

16 14 12 10 8 6 4 2 0

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Investments and partnerships in the MED region in 2010

The leading role of Egypt

Thanks to the numerous economic reforms carried out in recent years, notably in favour of foreign investments, Egypt has managed to maintain stable growth despite the world economic crisis. Given these positive signals, the Economist Intelligence Unit in 2010 incorporated it into its new set of emerging countries, the CIVETS (Colombia, Indonesia, Vietnam, Egypt, Turkey, South Africa), for which an average growth rate of 4.5% per annum over the next 20 years is forecast. Blessed with a rapidly growing population, a diversified economy and a qualified manpower, Egypt is already the operational headquarter of world champions such as Toshiba, Toyota, Huawei, Intel, Cisco, Alcatel-Lucent, etc. Though forecasts for growth may have been revised downwards as a result of the troubles which affected the country at the beginning of the year 2011, a large number of operators have already confirmed their intention of investing in the country once the situation is stabilised.

By reinforcing the local productive system and the spirit of enterprise, this international feature has encouraged the development of national companies, which are now looking to radiate into the markets of Africa and the Middle East. Thus, between 2003 and 2010, Egypt was the 11th largest foreign investor in the region (in net amounts invested), with 63 projects announced (10 in 2010) for an investment of nearly 6.8 billion euro (557 million in 2010).

It has invested a great deal in Algeria (30 projects for a total net amount of nearly 4.3 billion euro), notably through the cement subsidiaries (sold at the end of 2007 to the French company Lafarge) and telecoms of the giant Orascom. In 2010, the latter was still the leading employer in the telecoms sector in Algeria (4,500 direct jobs and more than 100,000 indirect jobs). In Libya, the investment target was once again the building materials sector (metals, cement) as well as that of energy. In Lebanon, in Jordan, and more recently in Syria, Egyptian companies are contributing to the development of the banking sector (Misr Bank, EFG-Hermes), real estate and tourism (Amer Group, SODIC, Golden Coast Investment), etc. They are also present in Morocco (tourism) and in Tunisia (energy, telecoms), with which Egypt has signed a four-party agreement, including Jordan, which is instituting a free trade area between the signatory countries over a period of ten years, in the perspective of the creation of a Euro-Mediterranean free trade area.

21

Investments and partnerships in the MED region in 2010

Lebanon, a specialist commercial hub (banking, tourism services)

With 59 projects launched between 2003 and 2010 (15 of which in 2010) for nearly 2.3 billion euro of net investments (84 million in 2010), Lebanon is the second most active country in the region, but only occupies the 25th rank on a world scale. Aiming to regain its title of “the Switzerland of the Middle East” it mainly targets the sectors of banking (Blom Bank, Banque Bemo), tourism and catering (Akkar Development, Pragma), distribution (Admic, Azadea) and communication (Cleartag, Memac Ogilvy).

Given the limited domestic market (4.1 million inhabitants), Lebanese companies have to invest in neighbouring countries (Syria, Egypt, Jordan, Turkey, Algeria) to develop. Jordan, which only has 6.2 million inhabitants, is faced with a similar situation. Between 2003 and 2010, it announced 31 projects (6 in 2010) for an investment of 1.1 billion euro (41 million in 2010). Its banking and financial establishments (Arab Bank, Bank of Jordan, ISLA) are developing in Syria, in Palestine, in Libya and Algeria. Pharmaceutical companies (JPM Acdima, Al Dar Al Arabia, Hikma Pharmaceuticals) are also investing in Algeria, in Tunisia and in Egypt.

The Maghreb lagging behind somewhat

The Maghreb comes rather a long way behind. With 33 projects launched between 2003 and 2010 (7 in 2010), Tunisia is the most active. But in net amounts invested (169 million euro over the whole period, 14 of which in 2010), it is largely overtaken by Libya, Palestine and Morocco. Tunisian companies invest in a good number of sectors in Algeria and in Libya: financial services and consulting (TLG, Amen Bank, TÜV Maghreb), the chemical and pharmaceutical industries (STPA, Medis), metallurgy (Loukil), public works (Poulina). They are also to be found in automobile equipment, tourism and transport in Egypt and Morocco. Less dynamic in number of projects (15 between 2003 and 2010, two of which in 2010), Libya has nevertheless invested 515 million euro in the region over the whole of the period (74 million in 2010), essentially in Morocco and in Tunisia: the sovereign fund Lafico has bought several hotels here, Libyan Petroleum is developing a network of petrol stations, bought from Exxon Mobile, etc. As for Morocco, it has announced 388 million euro of net investment in 4 projects between 2003 and 2010 (3 in 2010), for the most part in the banking

22

Investments and partnerships in the MED region in 2010 sector in Tunisia (Attijariwafa Bank). Palestine, Algeria and Syria are less active in the region.

With the introduction of democratic regimes, Egypt, Tunisia and Libya may be able to reinforce their presence in the region and reboot Pan-Arabian integration. Although it is not an Arab country, Turkey will surely play a major role in this process.

The new role of Turkey in the region

With a new annual growth rate close to 8% in 2010, driven by private investment and domestic consumption, Turkey has become the 15th world economy and has been incorporated into the BRIC group of emerging economies. These positive signals contributed to the remarkable performances of the Istanbul Stock Exchange in 2010. Profiting from this positive situation, 22 companies were floated on the Stock Exchange, raising in this way 1.4 billion euro, a record since 2001. Representing 51% of the sale of stocks and shares, foreign investors appeared particularly interested by the real estate investment funds. But the authorities are wary of this influx of “hot money”, on which the country depends increasingly to make up its large current account deficit as a result of the increase in imports. These speculative movements could in fact lead to an overheating of the economy and threaten its stability. Happily, a rise in direct foreign investment is forecast for the years to come. It could reach 14 billion euro on average, guaranteeing an abundance of more sustainable resources. According to the OECD, Turkey should thus remain in the leading trio of the economies with the strongest growth at least until 2017.

The large multinationals would already seem to have integrated this data into their global location strategy. Hence, Coca Cola manages its operations for 90 countries in Europe, Asia and Africa from its Istanbul Head Office In 2008, PepsiCo, its competitor, installed a regional centre here which covers 14 countries. The computing giants Microsoft and Intel have also chosen Istanbul to manage and develop their activities in Africa and the Middle East. Other companies choose Turkey as a centre of production or logistics. This is particularly the case of the large Chinese groups, who seek to invest here so as to be closer to the European markets. Added to which, with its privileged geographical position, its effective logistics infrastructure and its

23

Investments and partnerships in the MED region in 2010 highly qualified labour force, Turkey maintains good relations with its neighbours, which facilitates access to these markets.

It is now the turn of Turkish companies to attack the international scene. According to a 2009 study from the Turkish Council of External Relations (DEIK) among 19 Turkish multinationals, the latter hold 31 billion euro of assets abroad and had 396 foreign subsidiaries, spread over eight different sectors. Certain companies create an activity abroad so as to optimise their logistic flows or reduce their energy bill. Others are taking advantage of the world economic crisis to take over existing companies or brands at a good price. According to Rona Yicarli, a member of the board of DEIK, “if the 20th century was the century of trade, the 21st century will be that of investment”. Having suffered from their dependence on the domestic market alone, during the two previous economic crises, Turkish companies seek to boost their activity. They attach special importance to the peripheral economies of North Africa and the Near East.

Between 2003 and 2010, Turkey issued 45 investment projects in the MED region, for a net amount of 790 million euro. Turkish companies are particularly present in Egypt, with which a joint free trade area was initiated in 2007. According to the Minister of External Trade, Zafer Caglayan, 205 million of it were invested in the country generating an influx of 2 billion dollars and creating 50,000 local jobs. Several textile-clothing manufacturers (Hilteks, Gulteks, Sahinler) have set up a production site to be able to take advantage of the export facilities offered by the tax free zones qualified industrial zones (QIZ). A Turkish industrial area was inaugurated in Cairo in 2009.

In Syria, the Turkish groups are present in a wide diversity of sectors, going from energy (TPAO) to furnishing (Santana). These relationships have been encouraged by the free trade agreement signed in 2007, by virtue of which the customs barriers on Syrian exports were removed immediately, and those on the entry of Turkish products are to be removed in ten years or so. In 2010, Jordan and Lebanon joined this free trade area. The authorities of the 4 countries hope that in this way they will be able to raise the level of commercial trade to 50 billion dollars between now and 2020, against 7 billion today. Turkey’s share of this tasty cake could reach 30 billion dollars.

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Investments and partnerships in the MED region in 2010

Between now and 2020, this strategy of rapprochement, qualified as the Levant Project, should be extended to the 22 countries of the Arab League.

Turkish companies are also present in the Maghreb. In Tunisia, they are to be found especially in tourism and real estate (Rixos, Tepe Akfen Ventures). In Algeria, Turkish investments, estimated at 350 million dollars by the national authorities, should reach one billion dollars in the years to come. They are currently concentrated on the chemicals (Hayat) and steel industry (Tosyali) sectors.

The growing presence of Turkish businesses on the North African and Middle Eastern markets reflects the doctrine of “zero problem with the neighbours” introduced in 2001 by the Minister of Foreign Affairs, Ahmet Davutoglu, and the strategy of the diversification of exports, intended to limit dependence on Europe by a positioning on the rapidly expanding emerging markets. But Turkey has not however turned its back on any rapprochement with Europe, by playing in particular on its economic power. Hence, at the World Economic Forum at Davos 2010, the Deputy Prime Minister in charge of the economy, Ali Babacan, esteemed that in 2050, Europe will have two large economies: Germany and Turkey. In the Turkish delegation, were to be found Dogus, Sabanci and Koç, the main national conglomerates, symbols of the country`s success. The BRICs and the MED countries, a new trump card for Europe?

The Ernst & Young Barometer of the Attractiveness of Europe for 2010 shows that the BRICs are investing increasingly in Europe. In 2009, these countries raised by 34% their contribution to the creation of jobs to reach 10% of the jobs created by FDI (against 6% in 2008). Having recently joined the BRIC group, Turkey is still relatively little present, but more and more Turkish companies are investing in sectors such as metallurgy (Spain, Germany), textiles-clothing (Germany, United Kingdom), logistics (Italy, Belgium, Netherlands), services (Bulgaria, France, Germany), etc. According to the Europe Observatory of the French Agency for International Investments (AFII), they have probably overtaken their Israeli, Saudi and Bahraini counterparts in the number of projects announced in 2010, albeit with, for the moment, lower amounts.

25

Investments and partnerships in the MED region in 2010

Figure 16. Number of FDI projects issued towards Europe by the MED countries and Gulf States between 2008 and 2010 (AFII data: France and Europe Observatories) 2008 2009 2010

25 20 15 10 5 0

Historically, culturally and economically close to Europe, certain companies from the Maghreb are also attacking the European market. Between 2008 and 2010, several Moroccan groups invested in the service field in France, in Italy, in Spain, in Germany and in the Netherlands. Their Algerian counterparts for their part target the agro-food and pharmaceutical industries; the Tunisians, the automobile, computing and transport sectors. Several other countries or companies from the region give priority to the penetration of the European markets.

With the emergence of Turkey, Egypt and other countries from the region, the relationship between Europe and its neighbours has taken a more asymmetrical form. A new Mediterranean policy, integrating the investment and job creation potential by countries often considered as second zone, deserves to be defined. But, as is the case on the political level, old habits die hard...

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3. The proliferation of partnerships and new niches Still insufficient sectoral diversification

In 2010, the industrial structure of the MED countries did not change radically. The "large" sectors continued to attract the essential part of FDI, at least in terms of flows (cf. Figure 11 in the introduction and Figure 17 below). The ups and downs of the large real estate or tourist projects (often promoted by the Spanish or Gulf State Building and Public Works operators) are reflected by a drop in these sectors. On the contrary, the partnerships in tourism are on the up. Financial projects are also on the increase, testimony of the strategic interest of neighbouring regions (the Gulf, Europe) for banking and insurance in the MED countries.

In terms of relative growth between 2009 and 2010, it is mainly the "minor" sectors which (apart from banking) are developing rapidly: engineering and business services, electronic components, transport and logistics, general public electronics, aerospace, naval and rail equipment, textiles. Automobiles and distribution have equal shares. The main drops concern agro-foods, water and urban services, and chemicals.

Figure 17. Announced FDI for the major sectors in MED-11, 2003-2010 (In € million. Source ANIMA-MIPO)

Banking Real estate, PW Energy Tourism Cement, materials Telecoms 16 000 Banking 14 000

Real estate, PW 12 000 Energy 10 000

8 000

6 000

4 000

2 000 Cement, materials Tourism 0 2003 2004 2005 2006 2007 2008 2009 2010 Investments and partnerships in the MED region in 2010

By reasoning in terms of cumulated flows (to avoid the effect of annual ups and downs), it would appear that the FDI strategies differ relatively markedly according to the host regions (Figures 18 and 19):

• the Maghreb and the Mashreq are characterised by a strong concentration of projects in a small number of sectors: energy, banking, building, public works & real estate, telecommunications, cement & materials, tourism; these 6 sectors represent respectively 85% and 86% of the 2003-2010 FDI flows to the Maghreb and the Mashreq, against 57% for the "other MED countries ";

• the "other MED countries" (Turkey and Israel) are the only ones to profit from a real industrial diversification, with 13 other sectors attracting more than 1% of FDI flows, against only 5 for the Maghreb and 4 for the Mashreq!

Figure 18. Preponderant sectors per host- region, 2003-2010 (ANIMA-MIPO) Turkey, Israel Mashreq Maghreb Major Banking, insurance Energy (23.1%), Energy (28.5%), sectors (22.5%), Telecoms BPW, real estate Telecoms (16.6%), (>5% of (11.9%), Energy (11.3%), (22.2%), Cement, Tourism (13.7%), flows Software, computing materials (13.3%), BPW, real estate 2003- (7.7%), BPW, real estate Banking, insurance (10.8%), Cement, 2010) (6.5%), Electronic (11.4%), Telecoms materials (8.3%), components (6.0%) (8.9%), Tourism Banking, insurance (6.9%), Chemicals (6.7%) (5.4%) Other Distribution (4.9%), Agro- Distribution (2.2%), Chemicals, plastics, significant food (3.9%), Tech Agro-food (1.5%), fertilisers (4.1%), sectors equipment (3.5%), Transport, logistics Water, urban (>1% of Machines, mechanical (1.0%) services (2.1%), flows (3.1%), Automobiles Agro-food (1.9%), 2003- (3.0%), Tourism (2.5%), Automobiles 2010) Cement, materials (2.2%), (1.4%), Textiles Transport, logistics (1.4%) (2.0%), Other (2,2%), Metallurgy (1.5%), Medicines (1.1%) Chemicals (1.1%), Water, urban services (1.0%)

29

Investments and partnerships in the MED region in 2010

Figure 19. Cumulated flows of announced FDI per sector in MED-11, 2003-2010 (In € million. Source ANIMA-MIPO) Maghreb Mashreq Other MED

18 511 Energy 22 385 13 512 4 370 Bank, insurance 11 053 26 828 7 032 Public works, real estate 21 576 7 713 10 823 Telecom & internet 8 637 14 140 5 369 Glass, cement, materials 12 896 2 578 8 912 Tourism, catering 6 694 3 026 109 Data processing & software 135 9 118 2 636 Chemistry, fertilizers 5 214 1 258 264 Distribution 2 175 5 854 351 Electronic components 23 7 173 1 254 Agribusiness 1 476 4 630 914 Automotive 489 3 599 351 Electric. /electron. hardware 206 4 142 92 Mechanics and machinery 47 3 701 540 Transport, logistics 929 2 366 68 Other or not specified 590 2 667 1 353 Water, utilities 423 1 144 492 Metallurgy 483 1 758 386 Drugs 659 1 314 940 Textile, clothing, luxury 537 187 216 Aeron., naval & rail equipt. 23 641 50 Consulting and services 66 695 9 Electronic ware 262 477 Biotechnologies 517 0 Furnishing and houseware 24 47

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Investments and partnerships in the MED region in 2010

A sectoral concentration qualified by partnerships and the role of the SMEs

The results of the partnerships help to attenuate the highly concentrated character of the FDI projects. In 2010, they made a real breakthrough (cf. Figure 20) in sectors such as: • logistics, reaching 95 partnerships, against 15 the previous year; • engineering, going from 16 to 48 partnerships; • automobile, going from 10 to 25 partnerships; • software, going from 14 to 26 partnerships; • as well as several "minor" sectors (which do not appear on the graph), such as general public electronics (4 to 12 partnerships).

Figure 20. Sectors which have the most benefited from 50 business partnerships since 2003 (Source ANIMA-MIPO)

100 Transport, Tourism 90 lo g istics Transport, logistics 80 Consulting /engineering 70 To uris m Textile, luxury 60 Consulting / Banking, insurance 50 engineering Distribution, retail 40 Textile, luxury Energy 30 Software 20 Automotive 10 PW, real estate, infra. 0 Electr. Equipment 2003 2004 2005 2006 2007 2008 2009 2010 There can be no doubt that the effective action undertaken by the Invest in Med programme has contributed to the development of these partnerships and above all to enable them to be inventoried more comprehensively. Alongside the major sectors which are energy and telecoms, in which such programmes have little impact (the stakes and the business strategies exceed to a large extent the means for action engaged), it is essential to develop industrial relationships on a more modest scale in different sectors with a future for the MED region.

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Investments and partnerships in the MED region in 2010

The SMEs present in the micro-sectors

SMEs also participate in this diversification, as is shown by Figure 21. "Micro-sectors" (the term is not derogatory, it refers to the share of the flows) such as engineering, medicines, urban services, the media, or to a lesser extent, furnishing or agri-food, are thus invested by foreign operators which contribute in the field to revitalise the industrial fabric of the MED countries.

Figure 21. FDI and partnerships per sector in MED-11 in 2010 (ANIMA-MIPO) FDI + FDI Partnerships partnerships Sector % per Nb. of Nb. of % per Flow % per Nb. of % per SME (in projects projects SME (in 2010 SME (in partner- PME (in nb. of 2010 2010 nb. of (M €) amounts) ships nb. of projects) projects) projects) 2010 Medicines 35% 34 24 16.7% 150 3.9% 10 80% Engineering 33% 99 51 29.4% 140 87.8% 48 38% Biotechnologies 33% 6 6 33.3% 13 22.4% 0 - Software & computing 30% 103 77 24.7% 535 9.4% 26 46% Machines, mech. 30% 10 9 33.3% 54 51.6% 1 0%

Cement, materials 26% 35 32 28.1% 1 742 19.3% 3 0% Tourism 24% 119 45 28.9% 690 19.5% 74 22% PW, real estate 24% 51 41 22.0% 3 486 2.0% 10 30% Textiles, luxe 22% 49 12 25.0% 128 0.0% 37 22% Other (health, media, education…) 20% 45 26 15.4% 126 6.5% 19 26% Energy 20% 140 123 20.3% 9 980 1.1% 17 18% Furnishing 20% 10 3 0.0% 2 0.0% 7 29% Elec. Equipment 19% 57 51 19.6% 648 21.8% 6 17% Water, utilities 18% 17 11 9.1% 153 1.0% 6 33% Telecoms 17% 36 23 21.7% 2 884 6.1% 13 8% Distribution 13% 67 35 8.6% 1 537 4.8% 32 19% Aero., rail, marine 13% 15 9 22.2% 189 2.7% 6 0% Banking 13% 119 88 11.4% 6 864 0.7% 31 16% Agri-food 11% 44 37 10.8% 219 0.2% 7 14% Metallurgy 11% 9 8 12.5% 286 0.7% 1 0% Eectronic compon. 10% 29 23 8.7% 879 4.5% 6 17% Transport, logistics. 9.2% 119 24 8.3% 758 32.1% 95 9% Chemicals, fert. 8.7% 23 22 9.1% 394 0.1% 1 0% Automobile 7.9% 63 38 10.5% 1 052 0.3% 25 4% Electronic ware 5.0% 20 8 0.0% 294 0.0% 12 8% Total 19.3% 1 319 826 18.4% 33 203 4.8% 493 21%

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4. Conclusion: unquestioned growth, but a questionable development model Indisputable assets

In strictly macro-economic terms, the countries on the southern and eastern rims of the Mediterranean (MED countries) have made significant progress during the course of the 2000 decade. Long trailing behind, the MED region would seem to have entered into a new paradigm, with an acceleration of FDI, exports and the accumulation of capital (GFCF). This (before the Arab revolutions at the start of 2011) could be explained by 3 major reasons: 1. the importance of the economic reforms - in Egypt in particular, in Turkey, even in Syria – and hence an improvement in the relative attractiveness of a region close to the largest issuer of FDI in the world (Europe); 2. sustainably higher growth in GDP on the southern rim than on the northern rim since 2001; 3. the significant drop in birth rates, allowing an increase in living standards, even if a good deal of poverty still exists.

These assets, developed below, (in particular those linked to FDI), have not had sufficient knock-on effects - excessive social and spatial concentration, absence of "delivery" for young people in particular (unemployment, under- qualification of jobs), limited redistribution – without counting cultural reticence (tourism projects, control of relatively unscrupulous operators), even the toxicity of disputable mega-projects. Alongside other factors (raising of awareness via internet and the media, aspiration to freedom of expression, blocked societies), this could have contributed to the creation of conditions for a social explosion in the region.

An increasingly strong mobilisation in external financial flows

Despite a drop in 2009, the MED region mobilises large external resources (nearly 500 billion dollars, cf. Figure 22), two-thirds of which through its exports, but also one third through 3 large types of exogenous resources: income from tourism (which has continued to grow in 2010, around $66 billion), foreign investment ($34 to 45 billion depending on whether

Investments and partnerships in the MED region in 2010

UNCTAD or ANIMA data) and migrant transfers (thirty or so billion dollars also). These external resources (to be compared with an overall GDP of around $1,500 billion for MED-10, that is 30% of the GDP) are obviously essential for the financing of the MED countries.

Figure 22. Main external financial flows towards the MED-10 (Libya excluded), 2005-2010 (in millions of $US. Sources: UNCTAD, World Bank, OECD, OMT) Foreign direct investment (UNCTAD) Tourism revenues Remittances by migrants Public development aid Exports (on right axis) 360 287 70 000 66 083 62 481 350 000 60 438 60 312 59 675 60 000 288 921 300 000 59 202 282 622 50 000 243 656 42 743 50 675 250 000

40 000 42 085 34 051 200 000 207 517 32 735

30 000 34 864 33 632 30 695 31 728 150 000 28 730 26 472 20 000 100 000 12 431 11 200 18 133 9 524 8 685 10 000 50 000

5 633 0 0 2005 2006 2007 2008 2009 2010

Reforms, acquisition of standards and transfers of know-how

FDI has also weighed upon the institutional agenda of the countries, in the rather liberal and favourable perspective of business development. The simplification of procedures has often benefited domestic companies. The latter have also been targeted by competition coming from the new foreign inputs. Investors have brought with them work methods, technologies, and standards have been partly disseminated within the host countries.

Even if these affirmations remain very general (there have been inevitable excesses, eviction effects on domestic operators, a less liberal approach in Algeria, etc.), the overall result, as is measured by the evolution of productivity in the region, would seem relatively positive (Figure 23).

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Investments and partnerships in the MED region in 2010

Figure 23. Evolution of productivity in the MED region (GDP per worker, 1971-2008, weighted average by GDP of each country for each period. ANIMA calculation. Source: CNR, The Role of Total Factor Productivity in the Mediterranean Countries 2010)

4% 3.1% 2.2% 2.3% 2.2% 1.7% 2% 0.9% 0.6% 0.6%

0%

A largely preserved growth (before 2011...)

The growth rates of the MED countries have accelerated between 2001 and 2007 (prior to the world crisis) and taken advantage of a positive differential vis à vis the whole of the world. Having been less affected by the crisis of 2008, the MED countries have rebounded less quickly but would seem to retain a relative advantage.

Figure 24. Growth of GDP of the MED countries compared with the rest of the world, 2000-2011 (Sources: IMF, Economist Intelligence Unit, projections for 2010-2011) 6 5 4 3 2 1 0 - 1 - 2 - 3 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

World MED countries This resilience in terms of growth coincides with the rapid rise in foreign investment: the growth curves of the MED countries cross in 2001. It is no longer question here to suggest that all the growth is linked to FDI, but it is probable that a set of internal factors (liberalisation, reforms, large public projects, drop in customs tariffs, demography etc.) as well as external (exogenous income mentioned previously, increase in relocations, "near- shoring", etc.) have acted simultaneously to make the of the MED countries more attractive and more dynamic.

36

Investments and partnerships in the MED region in 2010

A decisive contribution to productive investment

The contribution of FDI to the accumulation of productive capital is unquestionable and growing in the MED countries. Even when incorporating Turkey, which represents 46% of the GDP and 44% of the gross fixed capital formation (GFCF, the sum of public and private investment, domestic and foreign) of the area, the FDI/GFCF ratio has multiplied by nearly 10 between 1990 and 2008, to come close to 20%. FDI today contributes on average one fifth (with Turkey), or one third (without Turkey), to "productive" investments6. This ratio logically experienced a peak in 2006 (with the boom in FDI), but has maintained the level reached in 2005.

Figure 25. Evolution of the FDI/GFCF ratio, 1990-2008, for MED-10 and for the whole of the MED-10 + Turkey (Source: UNCTAD-Stat) 50,5% 50% MED-11 with Turkey MED-10 36,9% 40% 29,7% 28,2% 30%

28,1% 20% 16,1% 15,3% 15,2% 15,0% 22,1% 10,1% 9,1% 10,6% 9,5% 19,0% 5,6% 5,4% 5,9% 5,4% 15,9% 10% 3,6% 4,7% 3,3% 11,6% 10,4% 10,0% 9,0% 7,0% 0% 6,0% 5,4% 6,9% 2,4% 2,0% 2,9% 3,2% 3,6% 3,6% 3,3%

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 By refining the analysis, it is possible to distinguish two sorts of country in the region:

• those whose productive investment is very dependent on FDI: Lebanon (with mainly financial FDI), Libya, Jordan (around 50%) and, to a lesser degree (30%), Israel, Tunisia, Egypt (cf. figure 26);

6 According to the ANIMA observatory (2003-2010), 52% of announced FDI towards the MED-11countries concerns "physical" projects (greenfields or brownfields), and 48% privatisations, PPP, licences or financial operations (taking of stakes, mergers and acquisitions). However, this “institutional” or financial FDI contributes to the financing of the modernisation of the productive tool.

37

Investments and partnerships in the MED region in 2010

• those which have their own investment capacity, linked either to their resources (Algeria) or to their economic dynamism (Turkey); and those which are still little funded by FDI in relative value, that is Morocco and Syria (Figure 27).

Figure 26. Evolution of the FDI/GFCF ratio, 1990-2008, for the MED countries where this exceeds 20% at the end of the period (Source: UNCTAD-Stat) 100% 90% 80% 70% 60% Egypt 50% Israel 40% Jordan 30% Lebanon 20% Libya 10% Tunisia 0% -10%

Figure 27. Evolution of the FDI/GFCF ratio, 1990-2008, for MED countries where this ratio is lower than 20% at the end of the period (Source: UNCTAD-Stat)

30% 25% 20% Algeria 15% Morocco 10% Syria 5% 0% Turkey

One million jobs linked to FDI in 2010?

Direct jobs announced by FDI (data known to ANIMA in only 20% of cases) amount to around 620,000 since 2003. The annual figure which has had a tendency to stagnate for a number of years, progressed considerably in 2010 (around 175,000 jobs announced, that is +88% compared with 2009). Another positive aspect is the increase in the number of jobs announced per project and the drop in the euro amounts necessary to create one job (Figure 28).

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Investments and partnerships in the MED region in 2010

Figure 28. Evolution of direct jobs created by FDI, 2003-2010 (ANIMA-MIPO; Observatory out of 906 projects for which employment data is known) Direct jobs created Euros invested per direct job (right scale) Direct jobs per project (right scale)

200 000 1 400 175 255 1 200 150 000 1 000 100 404 77 239 800 100 000 80 481 93 375 600 52 126 50 000 400 27 548 17 299 200 0 0 2003 2004 2005 2006 2007 2008 2009 2010 Jobs created by partnerships are rarely known and hence highly under- estimated (around 1,100 direct jobs announced in 2010). Indirect jobs linked to FDI and partnerships are even more difficult to estimate. An analysis (cf. Annex 4) was carried out on 47 projects which were to create 77,250 direct jobs and 255,510 indirect jobs. The calculated ratio thus came out at 3.3 indirect jobs created per direct job. By applying this ratio to the 2010 announcements, around 760,000 jobs in total would have been created by FDI and partnerships in 2010. Taking into account projects for which the number of jobs created is not known, and using very conservative hypotheses, it is possible to estimate the total number of direct jobs at 950,000 since 2003 and at 267,000 in 2010 (cf. methodology proposed in Annex 5). By incorporating indirect jobs, the totality of exogenous indirect jobs linked to FDI (direct jobs announced, indirect jobs estimated, direct jobs not known but estimated) would thus exceed 4 million over the period 2003-2010 and one million jobs in 2010, a fairly astonishing result and probably a little optimistic, given that all the projects announced do not come to fruition 7.

7 ANIMA moreover envisages working in future on the rate of the effective achievement of projects, poorly known but essential information. A first step has already been implemented which consists in mentioning the status of the accomplishment of the project (corrected gradually as the information is collected: project announced, achieved, on stand-by, cancelled).

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Investments and partnerships in the MED region in 2010

The dynamism of new emerging players

On the back of the growth of the past 15 years, a number of industrial champions from the southern rim, often partners of foreign investors, have sprung forth (cf. Chapter 2): for example OCP, ONA, Attijariwafa Bank (Morocco), Cevital, Sonatrach (Algeria), Poulina, Elloumi (Tunisia), Orascom, Ezz Group, CIB, Elsewedy Cables (Egypt), Akbank, Sabanci, Koç, Turkcell (Turkey) etc. However, apart from a few Turkish groups and a company like Orascom, few of these champions may be compared with the majors of certain developed or emerging countries (the Sinopecs, ChinaMobile, PetroChina, Tata, Mittal, etc.). Moreover, these domestic Mediterranean groups are at times reproached for seeking vertical integration, rather than playing the game of the local SMEs, which would provide better support to the industrial fabric. Nor it is not certain that some specific FDI projects do not produce an eviction effect vis à vis domestic businesses (that is sometimes denounced by the business leaders - cf. infrastructure projects carried out by the Chinese or the Arabs from the Gulf States). An insufficient development model in terms of concrete local spin-offs...

Weakness of the redistribution and dissemination of the impact

All these economic advances are not of benefit to everybody. The best tracker of the dissemination of the macro-economic information to the whole population is without doubt the distribution of income in the countries concerned. From this point of view (Figure 29), the countries of the region are not fundamentally inequitable: except for Turkey, the ratio of incomes between the richest decile and the poorest decile is to be found between 8 and 13.4 (that is less than in the United States, where this ratio reaches 15.9); similarly, the Gini8 coefficient varies between 32 and 45 (much less than in South American or Sub-Sahelian countries where it consistently exceeds 55).

8 This coefficient, developed by the Italian statistician Corrado Gini, indicates to what extent the spread of income (or, in certain cases, consumer expenses) between individuals or households within an economy, deviate from a perfectly equal spread. It varies between 0 (perfect equality) et 1 absolute inequality). It is more suitable than the ratio of the richest decile/the poorest decile (or quintile), for it incorporates all classes of income. Ina perfectly egalitarian society, each portion of

40

Investments and partnerships in the MED region in 2010

Figure 29. Indicators of social equity and human development [Sources: Report on human development, United Nations, 2010. The data generally date from 2009, except Turkey (2007), Israel (2008), Algeria, Morocco (2005), France (2008)]

Income Gini coefficient UN income ratio [10% richest/10% poorest] (R/P 10%) Human Development Index (HDI)

<--Countries more egalitarian Countries less egalitarian --> References 50 1,000 45 45 42,0 0,900 40,9 41,2 40,8 40,8 40 37,7 39,2 0,800 35,3 36,0 35 32,1 32,7 0,700 HDI World 30 0,600

25 0,500

20 0,400 16,8 15,9 15 13,4 13,4 0,300 R/P 10%10% 11,3 11,7 12 World 10 8 9,6 9,1 0,200

5 0,100 0 0 0 0 0,000

But these honourable ratios, and generally all fairly easily explained in the rather egalitarian Muslim societies, are associated with a still low level of human development9 (in particular, low level of income compared with the country potential), with the inaccessible nature of social promotion beyond relatively low levels and a high level of unemployment among young graduates. In certain countries, the distribution of income is also very unequal for a very small portion of privileged persons (the richest 1% or 0.1%, blessed at times with privileges judged to be highly arbitrary). Society would appear to be blocked, in a strait-jacket (including culturally), without

income is distributed equally to all the population, thus the income curve = f(population) is a straight line at 45°. In reality, the curve is situated below. The Gini coefficient measures the surface deviation between the ideal straight line at 45° and the real curve. 9 Measured by the United Nations, on 3 major aspects: income per inhabitant in purchasing power parity, life expectancy level of education (best result: Norway, 0,927).

41

Investments and partnerships in the MED region in 2010 any perspectives for the majority – while the democratisation of knowledge and information exacerbates the feeling of frustration vis à vis the governing bodies.

This lack of perspective, this absence of consideration and feeling of injustice probably provides a better explanation than economic realities alone (rather positive for Tunisia, for example) for the revolutions at the beginning of 2011. Backing this assertion, Figure 29 shows that the countries among the most egalitarian (Egypt, Libya, or even Tunisia) were paradoxically the most affected by the revolutions at the beginning of 2011, whereas Syria or Lebanon (more inegalitarian) have been relatively spared10 up until now. The Tunisian "social contract" (economic prosperity accompanied by limited individual freedom) has cast doubts on the thesis of material well-being first. Fifty or so years after independence or the arrival of theoretically republican regimes, the southern rim of the Mediterranean is experiencing a strong aspiration for democratic renewal, a major earthquake which throws doubt on the former schools of thought (stereotypes on the Arabs or Islam, for example) and will probably oblige the whole of Euro-Mediterranean to reconsider in depth an outdated socio-politico-economic organisation (migrations, development partnerships, new neighbourhood project and Union for the Mediterranean...).

FDI: too concentrated an impact, both socially and spatially

The "open" development model which has taken precedence throughout the decade (marked liberalisation through favourable reforms for foreign investors, privatisations etc.)11, has not brought enough to the local economy nor to the populations. FDI has certainly bolstered certain heavy sub-sectors (automobiles, for example), pushed for reforms, provided an injection of productive capital, served as a reference (methods, standards, training, competition), but certain of these projects would appear little adapted to the long-term needs of the host countries: • investments concentrated in income-generating sectors (energy, telecoms) or quick profitability (tourism, real estate, cement plants,

10 Turkey and Israel are rather inegalitarian countries, but this is compensated by a fairly high human development index. 11 Including in the countries with directed economies, the likes of Syria. Only Algeria has partly engaged in a reverse movement since 2008.

42

Investments and partnerships in the MED region in 2010

banking), while "small industry" sectors such as textiles (traditionally large employer) or furnishing have been relatively left aside ; • concentration on the coastal area, the large urban, and a small number of world-spaces such as Tanger-Med, Casashore, Smart Village (Egypt) or the Egyptian tax-free zones – with little impact on the suburbs of Cairo or Casablanca; • unbalanced relationship in favour of foreign principals (whether in sub- contracting, call centres or franchises, the initiative rarely comes from the southern Mediterranean partner); • essentially capitalistic projects, hence providing few jobs and local industrial integration (the inputs are essentially imported, few domestic sub-sectors are created); from this point of view, the projects from the SMEs and the diaspora, projects and partnerships coming from Latin Europe (France, Spain, Italy...), projects in mid-techs ("classic") industry would often more promising; • projects at times doubtful in terms of durability, environmental or social interest (cf. certain gigantic tourist centres, unfinished or abandoned, dangerous materials, cigarette plants, etc.). These imperfections happily do not represent the general situation but a great deal of work remains to be done in order that the authorities and development agencies get the best from all their investments, by maximising their local spin-offs and minimising their negative externalities.

Rethink the Euro-Mediterranean

The southern rim of the Mediterranean will not be able to succeed by remaining a rather subaltern partner to a Europe which, despite the smooth talk, mainly follows its own interests (for example, in agricultural matters). The heart of the problem is to develop (possibly together) sub-sectors which create value for the South - that is the constant position of ANIMA – and to consider that it is at best about serving consumers, at worst exploiting resources. This also involves a minimum of solidarity and integration between countries of the southern rim.

Recent developments reveal another South than that imagined by European strategies with at times disastrous approximations and show legitimate aspirations which converge relatively with those of developed countries (democracy, good governance, justice, creation of wealth etc.). This

43

Investments and partnerships in the MED region in 2010

"discovery" of finally common values should facilitate, after the turbulence of the start, the re-founding of a policy of neighbourhood policy which is too hesitant, and an ambitious Union for the Mediterranean still stuck in its starting-blocks. ANIMA should publish in 2011 a report on socially responsible investment which will propose clues to reconcile the forces and effects of globalisation with human, social or environmental requirements peculiar to the Mediterranean.

44

Investments and partnerships in the MED region in 2010

45

5. Annexes Annex 1. Country digests

For the first time in 2010, the detailed database about FDI and partnerships is reserved to the members of the ANIMA network and to the subscribers.

To compensate for this restriction, a synthetic atlas of the major flows and projects is proposed in the following pages. Each country digest hereafter provides analytical data on the investments attracted by MED-1112 countries:

. geographical localisation of the FDI entering the country;

. origin abroad of the main entering flows;

. evolution of the amounts received over 5 years;

. top sectors over 3 years;

. top projects announced in 2010.

12Algeria, Egypt, Israel, Jordan, Lebanon, Libya, Morocco, Palestine, Syria, Tunisia, Turkey

Investments and partnerships in the MED region in 2010

Algeria

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, Algeria experienced a net slipback of FDI announcements, both in number and in amount, as well as a sizeable drop in real FDI flow (-13% compared with 2009 according to the World Bank). Investors are probably discouraged by the new toughening of the LFC 2010, which, for example, gives preference to Algerian companies whose financial offers exceed those of their foreign competitors with an on-cost up to 25 %. The map opposite illustrates the concentration of FDI (excluding hydrocarbons) in certain towns situated along the costal fringe (essentially Algiers, Oran, Annaba, etc.).

Origin of the main FDI inflows, average 2008-2010 (in € million)

UK Russia 40 83 France € 650m Italy USA Spain 54 147 134 38 Lebanon 38 Algeria Egypt Oman 67 64 Australia

47

Investments and partnerships in the MED region in 2010

Algeria

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010 4000 100

3500 90 80 3000 Amounts of 70 announced FDI 2500 60 2000 50 Number of FDI projects 1500 40 30 1000 Number of 20 partnerships 500 10 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 7000 6147 6000 2005 5000 4743 2006 4000 2007 2978 3000 2008 2011 2000 2009 884 2010 1000 817 755 527 404 515 237 219 40 130 10 121 0 0 0 Energy Public works / real estate Tourism / catering

The 3 biggest FDI announcements in 2010 • EIIC (United Arab Emirates). The investment company to get approval to build a giant urban park named Dounya Parc and a tourism complex in western Algiers (1805 € mln) • Total (France). The group to invest massively in the development of eight gas fields in Timimoun, to start production in 2013 (680 € mln) • Emiral (United Arab Emirates). The property developer to launch construction of the 'Forum El Djazaïr' mixed-use project in Moretti coastal area, west of Algiers (206 € mln)

48

Investments and partnerships in the MED region in 2010

Egypt

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, Egypt continued to absorb the impact of the world crisis: it has had the lion`s share of FDI and partnership projects in number but again not in amounts. The forecasts at the end of 2010 were optimistic (8 billion dollars of FDI expected for the year 2010-2011 against 6.8 billion the year previously according to the Egyptian Central Bank), it remains to be seen if Egypt manages to retain the trust of investors after the revolution of January 2011. The FDI projects are very largely concentrated in Cairo and the adjacent towns (6th October), and to a lesser extent in Alexandria in the Gulf of Suez for oil and gas projects.

Origin of the main FDI inflows, average 2008-2010 (in € million)

UK Germany € 1297m 294 France Greece 131 190 USA Kuwait 160 688 193 Qatar China Egypt 420 203 387 Emirates India (UAE) Saudi 627 Arabia

49

Investments and partnerships in the MED region in 2010

Egypt

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010 25000 140

120 20000 Amounts of 100 announced FDI

15000 80 Number of FDI projects 10000 60

40 Number of 5000 partnerships 20

0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 14000 12081 12000 11390

10000 9207 2005 7683 2006 8000 7129 6787 2007 6000 4259 4154 2008 4000 2272 2009 1739 2000 1021 991 1008 482 1059 545 2010 225 21 0 Energy Public works / real estate Cement / glass / materials The 3 biggest FDI announcements in 2010 • BP (UK). The company to invest massively in next 18 years to explore the 2 gas concessions North of Alexandria, in 60-40 and 80-20 JV with German RWE (6573 € mln) • RWE (Germany). The company to invest massively in next 18 years to explore the 2 gas concessions North of Alexandria, in 40-60 and 20-80 JV with British BP (2800 € mln) • BG Group / BG Egypt (UK). The group to further invest in its West Delta concession to install a pipeline and drill new wells to be operational by late 2011 (1435 € mln)

50

Investments and partnerships in the MED region in 2010

Israel

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, the announcements of investments took off again in Israel, reaching a record level in number of projects and anticipating the effective increase in FDI flow (18 bn dollars only in 2010 against 3.8 in 2009 according to the Bank of Israel). The economic indicators are positive (growth of 4.5% in 2010 thanks to the technological sectors notably, and even +8% in the last quarter 2010) and augur well for 2011 for FDI. The announ- cements of FDI in 2010 were spread over the whole of the territory, with a high concen- tration in Tel Aviv but a good representation of numerous other towns and cities such as Herzliya, Petah Tikva, Raanana, Ramat Gan, etc.

Origin of the main FDI inflows, average 2008-2010 (in € million) Sweden 21 UK Germany Canada 519 175 163 France 130 Switzerland 210 China Spain 48 38

Israel India USA 22 € 2 045m

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Investments and partnerships in the MED region in 2010

Israel

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010

14000 200 180 12000 160 Amounts of 10000 140 announced FDI

8000 120 100 Number of FDI projects 6000 80

4000 60 Number of 40 partnerships 2000 20 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million)

7000

6000 5772

5000 4588 2005 2006 4000 3432 2007 3000 2613 2008 2000 1254 2009 782 805 975 1000 587 676 721 529 357 535 325 484 2010 303 117 0 Electronic components Data processing / software Electr. hardware

The 3 biggest FDI announcements in 2010 • Intel (USA). The first semiconductor chip maker to invest heavily to expand its Kiryat Gat plant with the support of the Israeli government (2022 € mln) • Apax Partners (UK). The private equity fund to acquire Psagot, Israel's largest investment house, from American York Capital (541 € mln) • Noble Energy (USA). The operator and its local partners in the Tamar and Yam Tethys concessions to invest strongly in exploration and development of current reserves (379 € mln)

52

Investments and partnerships in the MED region in 2010

Jordan

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, the announcements of FDI towards Jordan diminished in number of projects and above all in amounts. According to the IMF, the real flows of FDI should stagnate at a level comparable to that of 2009, that is around 2 bn dollars, whereas the forecasts for 2011 are moderately optimistic (+10%). To attract more investors, Jordan in December 2010 adopted a law facilitating the repatria- tion of profits and is prepa- ring incentive measures for investments creating local jobs and using the country’s resources. Announcements of FDI in 2010 concern, with few exceptions, the city of Amman and the close industrial areas.

Origin of the main FDI inflows, average 2008-2010 (in € million)

151 Estonia UK 19 40 Netherlands 53 Switzerland France 197

Morocco Kuwait Jordan 129 USA 15 Qatar 18 25 Saudi 44 27 Arabia Emirates India (UAE) € 719m

53

Investments and partnerships in the MED region in 2010

Jordan

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010 4000 50 3500 45 40 Amounts of 3000 35 announced FDI 2500 30 2000 25 Number of FDI projects 1500 20 15 1000 Number of 10 partnerships 500 5 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 8000 7241 7000 6747

6000 2005

5000 4540 2006

4000 2007 2008 3000 2009 2000 1270 1342 1032 1202 2010 971 796 1000 405 108 0 11 0 0 0 37 45 0 Public works / real estate Energy Tourism / catering The 3 biggest FDI announcements in 2010 • Eesti Energia / Oil Shale Energy of Jordan (Estonia). The group specialising in oil-shale is willing to locally produce 40,000 barrels/day by realising large-scale investments by 2020 (3540 € mln) • Eesti Energia / Oil Shale Energy of Jordan (Estonia). The company, engaged in the exploration of an oil-shale deposits in south of the kingdom, is to build an oil-shale fuelled power plant in BOT (1000 € mln) • Areva / Jordanian French Uranium Mining (France). The company to sign an agreement to launch production in the uranium deposits discovered in 2008 and to set up a training centre for local engineers (444 € mln)

54

Investments and partnerships in the MED region in 2010

Lebanon

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, despite the strong growth recorded (+8%), the flow of FDI regressed slightly (4.65 bn dollars according to the World Bank, that is a drop of 3.2%). The progression of FDI announcements was nevertheless encouraging and several sectors proved themselves to be especially attractive, such as banking which attracted 5 projects in 2010, or again tourism with 3 announcements. Beirut recei- ved 13 of the 16 FDI projects detected in 2010, but several other cities are also to be found on the map opposite thanks to a project of the Kuwaiti telecoms operator MTC (Zain) which is opening 15 points of sale throughout the country.

Origin of the main FDI inflows, average 2008-2010 (in € million)

Canada 27 Switzerland 43 USA 27 Lebanon € Kuwait 132 287m Egypt 124 United Arab Emirates

55

Investments and partnerships in the MED region in 2010

Lebanon

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010

4000 45

3500 40 Amounts of 3000 35 announced FDI 30 2500 25 Number of FDI 2000 20 projects 1500 15 1000 Number of 10 partnerships 500 5 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 3000 2577 2500 2005 2000 2006 1592 2007 1500 1327 2008 1000 742 2009 540 445 500 218 2010 110 110 91 116 80 0 0 0 0 0 0 0 Tourism / catering Telecom / internet Banking / insurance The 3 biggest FDI announcements in 2010 • Majid Al Futtaim (MAF) (United Arab Emirates). The group to develop the City Centre shopping mall in the Southern suburb of Beirut, Hazmieh, which will include a Carrefour hypermarket (580 € mln) • EFG-Hermes (Egypt). The Levant's first investment bank to purchase 65% of Crédit Libanais, with an option to buy an additional 25% interest (395 € mln) • Kempinski Hotels (Switzerland). The hospitality chain to open in 2012 a new 5-star hotel in Beirut's city centre, the Summerland, with the support of an incentive package from IDAL (110 € mln)

56

Investments and partnerships in the MED region in 2010

Libya

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries The drop in FDI announce- ments which began in 2008 in Libya is continuing, with the amounts announced at their lowest level for 4 years. New restrictions have just contra- dicted the ambitious objectives posted in terms of FDI: whereas Libya is aiming at foreign investments of between 6 and 12 bn dollars, in Nov. 2010 it adopted a law imposing on foreign investors the need to establish a joint-venture with a local partner. Will the events underway in February/March 2011 change the situation? On the geographical level, Tripoli scoops the pool by receiving all the projects (with the exception of hydrocarbons) except one situated at Benghazi.

Origin of the main FDI inflows, average 2008-2010 (in € million) Norway 95

Austria France 122 122

Spain 190 Jordan 70 € 325m Bahrein Morocco 61 Qatar United Arab USA 111 Libya 157 Emirates 244 55 Oman

62 Indonesia

57

Investments and partnerships in the MED region in 2010

Libya

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010

6000 35

5000 30 Amounts of 25 announced FDI 4000 20 Number of FDI 3000 projects 15 2000 10 Number of partnerships 1000 5

0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 16000 14014 14000 2005 12000 2006 10000 2007 8000 7514 2008 6000 2009 4000 2991 2010 2000 1356 418 675 790 165 104 0 0 148 0 0 15 72 110 0 0 Energy Public works / real estate Cement / glass / materials The 3 biggest FDI announcements in 2010 • Qatar Investment Authority (QIA) / Diar (Qatar). The property developer to re-launch the 'Waterfront' mixed-use project in Tripoli in team with the Libyan Economic and Social Development Fund (657,7 € mln) • Al Maabar International Investments / Al Maabar Libya for Real Estate Investment and Development (United Arab Emirates). The 50/50 JV between the group and the Libyan Investment and Development Company to launch the Al Waha development project in Tripoli (132 € mln) • Dow (USA). The group to form a JV with Libya's National Oil Corporation to expand the Ras Lanuf petrochemical complex (73 € mln)

58

Investments and partnerships in the MED region in 2010

Morocco

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, the announcements of FDI to Morocco remained at a level comparable to that of 2009: a slight rise in the number of projects but a drop in amounts. The AMDI did however record encouraging figures: 1.8 bn euro over the first 10 months of the year, that is 16% more than the same period of the previous year. FDI should thus rise more significantly in 2011. Casablanca remains the economic capital of the country with more than one third of the announced projects, but Tangiers and Rabat are gaining ground with respectively 12 and 8 announcements in 2010.

Origin of the main FDI inflows, average 2008-2010 (in € million)

143 UK Denmark France 23 € 1 003m 44 Switzerland

Spain 339 327 Kuwait 26 38 Saudi Morocco 71 Arabia USA Egypt United Arab 88 160 Libya Emirates

Singapore 23

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Investments and partnerships in the MED region in 2010

Morocco

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010 5000 160 4500 140 4000 Amounts of 120 3500 announced FDI 3000 100 Number of FDI 2500 80 projects 2000 60 1500 Number of 40 1000 partnerships 500 20 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 6000 5274 5000 2005 3925 4000 2006 2007 3000 2008 2000 1535 1527 2009 953 954 864 878 1005 1000 753 720 2010 352 471 237 165 112 51 0 0 Tourism / catering Public works / real estate Telecom / internet The 3 biggest FDI announcements in 2010 • GDF Suez / International Power (France). The power generation company to win the BOT contract for a 1360 MW clean coal plant in Safi in consortium with ONA's affiliate Nareva (1130 € mln) • Taqa (United Arab Emirates). The energy company to build two additional electrical units in Jorf Lasfar, through its local subsidiary Jlec 5&6, in partnership with ONE (877 € mln) • France Telecom / Orange (France). The telecommunications company to buy 40% stake in Meditel, Morocco's second mobile operator from its Moroccan shareholders CDG et FinanceCom (640 € mln)

60

Investments and partnerships in the MED region in 2010

Palestine

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries Palestine has attracted a single FDI announcement in 2010, thanks to the installation of the Jordanian insurance Isla at Ramallah. Partnerships are, however, on the increase: three projects were detected in 2010. The first two initiated by MTC • (Zain) and France Télécom, concern the telecoms sector, while the third concerns a project for a Franco-Palestinian industrial park at Bethlehem. The economic take-off recorded in 2010 (+ 7% in the first six months according to the World Bank) provides some hope, even if it remains highly dependent upon the political context and the support of donors.

Origin of the main FDI inflows, average 2008-2010 (in € million)

USA Jordan Palestine 32 8 58 Qatar 12 Saudi Arabia

61

Investments and partnerships in the MED region in 2010

Palestine

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010

350 10 9 300 8 Amounts of announced FDI 250 7 6 200 Number of FDI 5 projects 150 4 100 3 Number of 2 partnerships 50 1 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million)

664 700

600 2005 500 2006 400 2007 300 2008

200 180 2009

100 66 2010 8 21 0 Public works / real estate Telecom / internet Cement / glass / materials One FDI announcement in 2010 • ISLA (Jordan). The leading surveyor and loss adjuster company operating in the Levant to open a subsidiary in Ramallah (0 € mln)

62

Investments and partnerships in the MED region in 2010

Syria

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries Syria registered a doubling of foreign investment in 2010, with 62 projects detected, rivaling the record level of 2006 (63 announcements). The Syrian Investment Agency attributed 400 autho- risations in one year, a figure showing a large increase. The Syrian authorities await the confirmation of these good results in 2011 as a result of the reforms undertaken (liberalisation of the banking sector, simplification of procedures and introduction of a one stop shop 2010). Damascus attracted more than 60% of FDI announcements in 2010, well ahead of the other towns in the country.

Origin of the main FDI inflows, average 2008-2010 (in € million)

UK 39 Croatia Canada France 92 Turkey China 54 107 Iran € 1077m 51 Syria 46 Lebanon Kuwait 52 87 83 Bahrein Egypt 111 Qatar68 82 UAE 44 Saudi Arabia

63

Investments and partnerships in the MED region in 2010

Syria

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010 5000 70 4500 60 4000 Amounts of 3500 50 announced FDI 3000 40 2500 Number of FDI projects 2000 30 1500 20 Number of 1000 partnerships 10 500 0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million)

4000 3807 3453 3500 2005 3000 2829 2006 2500 2037 2007 2000 2008 1500 2009 1134 1146 1178 1000 803 2010 564 434 530 500 368 384 53 31 93 0 0 0 Energy Public works / real estate Cement / glass / materials The 3 biggest FDI announcements in 2010 • CNPC (China). The Beijing-based group to acquire a 35% interest in Syria Shell Petroleum Development, formerly 100% owned by the American Shell (1000 € mln) • Majid Al Futtaim (MAF) (United Arab Emirates). The property developer to launch Khams Shamat, a mixed-use community including shopping malls, restaurants, hotels and office space near Damascus (719 € mln) • MTN / MTN Syria (South Africa). The local subsidiary of the telecommunications group to acquire a full-blown 20-year cellular license, to replace the former BOT contract (403 € mln)

64

Investments and partnerships in the MED region in 2010

Tunisia

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, FDI into Tunisia recovered its pre-crisis level in amounts announced and exceeded this level in number of projects. This encouraging trend was confirmed by the real flow recorded by the FIPA: +2.9% in 2010, thanks to a doubling of stockholdings which compensated for the drop in other forms of foreign investment. This rise was, however, almost entirely attributable to the energy sector. As this map shows, the FDI announcements in 2010 were concentrated within a narrow coastal strip (Tunis, Sousse, Djerba, Hammamet, etc.) whereas the interior of the country remained largely ignored by investors. A challenge for the new Tunisia to overcome…

Origin of the main FDI inflows, average 2008-2010 (in € million)

UK 114 46 Germany France 260 79 Switzerland 67 Italy USA Spain 49 Kuwait 58 34 € Tunisia 386m Qatar 111 United 92 Arab Bahrein Emirates

65

Investments and partnerships in the MED region in 2010

Tunisia

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010

3000 120

2500 100 Amounts of 2000 80 announced FDI

1500 60 Number of FDI projects 1000 40 Number of 500 20 partnerships

0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million) 4500 4032 4000 3500 2005 3000 2006 2500 2175 2007 1784 2000 1604 2008 1500 1327 1000 2009 1000 550 2010 500 245 0 56 34 80 0 0 20 18 120 22 0 Public works / real estate Telecom / internet Tourism / catering

The 3 biggest FDI announcements in 2010 • Gulf Finance House (GFH) (Bahrain). The developer to heavily invest to launch Africa's first offshore financial centre in Tunis Financial Harbour in team with Tunisian government (2100 € mln) • Qatar Telecom (Qtel) (Qatar). The group to exercise its preemptive right on the remaining 50% stake in Tunisiana from Orascom Telecom, recently acquired by Russian Vimpelcom (1100 € mln) • Global Wood (Switzerland). The group to launch a 160,000 hectares project in the Tunisian desert to grow Eucalyptus trees and export the wood to Europe (900 € mln)

66

Investments and partnerships in the MED region in 2010

Turkey

Announced projects in 2010 (Source: observatory ANIMA-MIPO, ANIMA-MedMaps) Commentaries In 2010, the intentions of investment in Turkey have progressed strongly, whereas the real flow remains stable according to UNCTAD (7 bn dollars forecast in 2010 against 7.6 in 2009), and rises dramati- cally according to the Istanbul CCI (+119% in Istanbul). All the indicators are on GO for 2011, thanks particularly to the voluntarist policy of the Turkish authorities: reform of the judicial system underway which should bolster the attractiveness of the country, the ‘Levant’ project for a free trade area with Syria, Jordan and Lebanon, etc. Istanbul remains the economic heart of the country with more than one quarter of the projects announced in 2010.

Origin of the main FDI inflows, average 2008-2010 (in € million)

Nether- Sweden lands 281 UK 785 Lux. Germany € 1 851m Russia 212 € 1 238m Japan France 762 Austria 629 Azerb. 182 796 Greece 367 211 Spain Italy China 275 € 1 558m 573 Turkey USA 703 Saudi Arabia 221 United Arab 616 Emirates

67

Investments and partnerships in the MED region in 2010

Turkey

Inflows (in € m), number of FDI and partnership projects announced, 2005-2010

16000 250

14000 200 Amounts of 12000 announced FDI 10000 150 8000 Number of FDI projects 6000 100

4000 Number of 50 partnerships 2000

0 0 2005 2006 2007 2008 2009 2010 Inflows announced in the three leading sectors (2005-2010 in € million)

14000 12561 11718 12000 2005 10000 7676 2006 8000 6479 2007 6000 4575 4945 2008 3332 4000 2844 2009 1864 1743 2000 1213 1456 1252 2010 462 567 67 426 236 0 Banking / insurance Energy Telecom / internet The 3 biggest FDI announcements in 2010 • Atomstroyexport (Russia). The group to build the first Turkish nuclear power plant in Akkuyu and operate it for 60 years with local or foreign partners, starting in 2018 (7233 € mln) • Astaldi (Italy). The group to take a 15.75% stake in the JV formed with 5 Turkish firms to implement the 22 year-BOT contract on the Gebze- Izmir highway project (4800 € mln) • BBVA (Spain). Spain's second bank to purchase 24.9% of the Turkish Garanti bank from American GE and Turkish Dogus group (4300 € mln)

68

Investments and partnerships in the MED region in 2010

Annex 2. Synoptic tables

These tables relate to MED-11 (excluding Cyprus and Malta, EU Member States).

Nature of projects

FDI projects per nature of investment (ANIMA-MIPO Observatory 2003-10) Nature Green- Brown- Branch, Acquisition, Licences and Financial JV, Total of FDI field field relocation total PPP partial Year privatisation acquisition 2003 146 18 34 2 29 8 237 2004 134 41 53 8 54 13 303 2005 194 75 71 22 192 80 634 2006 253 68 132 23 225 43 744 2007 202 59 149 39 244 79 772 2008 224 71 127 48 231 64 765 2009 168 69 96 24 142 44 543 2010 198 101 146 87 224 70 826 Total 1 519 502 808 253 1 341 401 4 824

Partnerships per nature (ANIMA-MIPO Observatory 2003-10) Nature Develop- Repre- Manage- Shop, Com- Techno Total of ment sentative ment franchise mercial -logical partner- agreement office contract partner partner ship -ship -ship Year 2003 15 10 5 4 1 35 2004 24 20 1 29 7 2 83 2005 37 21 35 7 5 105 2006 28 34 2 34 13 5 116 2007 36 33 1 57 9 7 143 2008 51 40 3 80 19 8 201 2009 47 53 5 118 42 23 288 2010 64 128 16 154 88 43 493 Total 302 339 28 512 189 94 1464

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Investments and partnerships in the MED region in 2010

Top origin countries

Net FDI flows into MED-11 per origin country (ANIMA-MIPO Observatory 2003-10) # Origin 2003 2004 2005 2006 2007 2008 2009 2010 Total 1 USA 1 583 712 6 832 19 315 3 982 3 904 3 488 4 521 44 337 2 United Arab Emirates 216 1 011 2 823 9 886 11 874 3 751 2 355 1 861 33 778 3 France 813 2 233 2 129 4 408 9 071 2 717 3 861 3 312 28 545 4 UK 254 461 7 480 1 411 5 461 5 356 4 749 1 991 27 163 5 Saudi Arabia 288 950 2 356 4 039 2 581 1 233 1 935 492 13 875 6 Kuwait 1 003 158 1 610 4 292 2 802 2 182 790 511 13 349 7 Spain 1 933 324 957 1 001 1 421 1 471 907 4 393 12 409 8 Germany 488 279 792 1 505 1 186 1 877 1 808 1 648 9 583 9 Italy 326 369 1 552 2 531 1 142 388 915 1 325 8 548 10 Netherlands 1 167 306 970 3 032 1 351 1 129 174 7 130 11 Egypt 1 149 5 1 415 1 160 2 030 290 148 557 6 755 12 China 309 181 197 1 063 81 1 842 563 2 211 6 447 13 Greece 5 134 2 852 1 794 1 117 125 35 6 061 14 Qatar 219 844 1 331 917 724 1 840 5 874 15 Russia 2 059 110 243 1 197 285 1 082 4 976 16 Austria 10 223 131 1 228 474 839 325 1 590 4 819 17 Canada 72 18 755 608 1 807 597 216 642 4 714 18 Sweden 135 44 2 705 88 87 63 492 548 4 161 19 Bahrain 61 1 518 408 128 945 642 3 702 20 India 18 849 716 410 570 222 296 3 081 21 Switzerland 231 359 294 50 500 159 147 1 107 2 847 22 South Africa 2 577 83 8 20 2 688 23 Belgium 14 1 000 1 008 182 140 2 21 2 367 24 Norway 1 622 2 131 294 242 2 291 25 Lebanon 5 39 260 968 644 228 54 84 2 282 26 Japan 99 28 416 375 262 426 7 376 1 988 27 Luxemburg 113 178 265 643 39 1 238 28 South Korea 31 26 502 189 43 132 263 1 186 29 Jordan 33 77 597 30 351 13 41 1 141 30 Azerbaijan 710 340 50 1 100 31 Portugal 79 4 52 648 147 38 7 974 32 Australia 164 39 34 260 74 1 298 871 33 Czech Rep. 402 421 2 825 34 Brazil 268 118 2 131 81 192 1 793 35 Turkey 22 8 97 382 16 196 70 790 36 Hong-Kong 26 97 466 10 62 661 37 Denmark 84 60 12 123 114 151 110 7 660 38 Iran 12 295 118 71 137 633 39 Singapore 425 151 10 586 40 Malaysia 264 190 4 50 17 525 41 Libya 59 97 73 212 74 515 42 Estonia 454 454 43 Morocco 123 31 4 230 0 388 44 Thailand 2 19 356 377 45 Oman 373 373

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Investments and partnerships in the MED region in 2010

# Origin 2003 2004 2005 2006 2007 2008 2009 2010 Total 46 Palestine 210 30 2 44 286 47 Kazakhstan 219 16 32 268 48 Taiwan 14 160 20 8 4 27 233 49 Poland 24 79 108 211 50 Bahamas 210 210 51 Israel 73 29 98 7 208 52 Indonesia 9 157 28 194 53 Finland 4 89 80 5 177 54 Tunisia 17 22 71 17 19 10 14 169 55 Iraq 156 9 166 56 Croatia 146 15 161 57 Pakistan 9 136 2 147 58 Mexico 129 14 142 59 Ireland 10 40 32 30 111 60 Brunei Darussalam 90 90 61 Viet Nam 2 70 73 62 Iceland 16 41 57 63 Mauritius 54 54 64 Non defined 32 1 18 51 65 Ivory Coast 40 40 66 Philippines 30 30 67 Gabon 29 29 68 Ukraine 19 4 23 69 Argentina 23 23 70 Chile 2 19 21 71 Algeria 7 14 21 72 Syria 10 9 19 73 Slovenia 13 13 74 Gibraltar 13 13 75 New-Zealand 2 5 8 76 Liechtenstein 5 5 77 Bulgaria 5 5 78 Cuba 4 4 79 Other countries 3 3 80 Malta 2 2 81 Romania 2 2 82 Sudan 1 1 Total 9 345 11 659 38 848 66 067 57 156 36 476 28 377 33 203 281 132

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Investments and partnerships in the MED region in 2010

Jobs

Directs jobs created by FDI, per sector (ANIMA-MIPO Observatory 2003-10) Sector 2003 2004 2005 2006 2007 2008 2009 2010 Total Public works, real 2 250 11 637 12 800 32 730 22 868 20 459 66 820 169 564 estate, infrastr. Automobile 2 055 3 743 1 344 15 210 10 990 12 105 11 063 15 365 71 875 Cement, glass, 1 323 432 3 400 7 307 6 250 5 045 495 46 690 70 942 materials, Tourism 13 605 2 345 8 825 24 890 6 096 6 705 6 383 1 611 70 460 Distribution, retail 1 000 2 304 6 308 6 880 2 750 6 330 14 150 39 722 Textile, luxury 4 153 3 200 3 645 5 678 190 8 465 1 640 783 27 754 Consulting and 809 2 100 4 732 2 834 3 309 1 753 2 189 2 960 20 686 services Agribusiness 70 1 465 2 107 11 600 509 1 640 1 860 380 19 631 Telecom & internet 600 1 500 560 500 8 650 7 670 19 480 Energy 128 10 3 270 1 594 255 10 900 1 562 17 719 Bank, insurance 10 4 2 468 1 255 3 217 2 512 5 709 15 175 Electronic 2 250 150 2 436 3 985 635 336 3 134 1 850 14 776 components Electric, electronic 746 12 1 785 952 1 900 1 518 1 772 3 355 12 040 & medical hardware Data processing & 550 320 440 420 1 335 4 435 1 034 1 498 10 032 software Chemistry, 220 500 970 360 1 740 600 4 151 1 033 9 574 fertilizers Aeronautics, 90 20 1 600 840 570 2 365 3 045 1 040 9 570 railway, marine Metallurgy 114 320 1 706 415 330 2 565 2 880 1 050 9 380 Transport, logistics 260 132 150 1 400 2 080 3 000 864 7 886 Mechanics and 10 524 10 403 518 230 1 695 machinery Drugs 65 172 139 199 550 6 130 205 1 466 Electronic ware 360 100 830 38 1 328 Furnishing and 1 000 1 000 houseware Water, utilities 200 400 392 992 Other or not 50 770 820 specified Biotechnologies 40 120 160 Total 27 548 17 299 52 126 100 404 77 239 80 481 93 375 175 255 623 727

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Investments and partnerships in the MED region in 2010

Annex 3. Comparison ANIMA/UNCTAD per country

The tables below provide the first official figures published by ANIMA and by UNCTAD since 2003, converted into euro at the average rate of exchange $/€ for each of the years concerned. Both the UNCTAD and the ANIMA figures are revised each year, including for earlier years (in the case of ANIMA, in relation to the cancellations or modifications in the amounts invested in the projects).

For the year 2010, UNCTAD published in mid-January 2011 certain provisional figures per large region, with figures for Egypt and Turkey only (extrapolation of the results of the first quarters to the whole year). In this report it was judged preferable to make an UNCTAD type assessment, that is to say using macro-economic government statistics (central banks). All these data have not yet been published and other sources have been used (IPA, CIA etc.). Certain present problems (countries like Syria or Algeria which publish a long list of investments, but with several of them on stand- by).

FDI inflows, 2003-2010 (in million US dollars at current prices and exchange rates. Source: UNCTAD stat 2003-2009, various for 2010) Country 2003 2004 2005 2006 2007 2008 2009 2010 Source 2010 CIA Algeria 634 882 1 081 1 795 1 662 2 646 2 847 2 000 factbook Egypt 237 2 157 5 376 10 043 11 578 9 495 6 712 6 800 UNCTAD Bank of Israel 3 322 2 947 4 818 15 296 8 798 10 877 3 892 1 800 Israel Jordan 547 937 1 984 3 544 2 622 2 829 2 385 1998 JIB Lebanon 2 860 2 484 3 321 3 132 3 376 4 333 4 804 4 650 World Bank Libya 143 357 1 038 2 013 4 689 4 111 2 674 3 000 ANIMA AMDI over Morocco 2 314 895 1 653 2 450 2 803 2 487 1 331 2 528 10 months Palestine 18 49 47 19 28 52 33 0 SIA Syria 160 320 583 659 1 242 1 467 1 434 2 000 (licensed projects) Tunisia 584 639 783 3 308 1 616 2 758 1 688 1 843 FIPA Turkey 1 693 2 779 10 010 20 223 22 023 18 148 7 611 7 000 UNCTAD MED-10 12 513 14 446 30 695 62 481 60 438 59 202 35 409 33 619 MED-11 12 656 14 803 31 733 64 494 65 127 63 313 38 083 36 619

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Investments and partnerships in the MED region in 2010

FDI inflows, 2003-2010 (same table, but in million euro) Country 2003 2004 2005 2006 2007 2008 2009 2010 Algeria 560 709 869 1 448 1 214 1 808 2 047 1 429 Egypt 210 1 734 4 321 8 099 8 462 6 489 4 827 4 859 Israel 2 937 2 369 3 873 12 335 6 430 7 433 2 799 1 286 Jordan 484 753 1 595 2 858 1 916 1 933 1 715 1 428 Lebanon 2 528 1 997 2 670 2 526 2 467 2 961 3 455 3 322 Libya 126 287 834 1 623 3 427 2 809 1 923 2 143 Morocco 2 046 719 1 329 1 976 2 049 1 700 958 1 806 Palestine 16 39 37 15 21 35 24 0 Syria 141 257 469 531 908 1 003 1 031 1 429 Tunisia 516 514 629 2 668 1 181 1 885 1 214 1 317 Turkey 1 497 2 234 8 046 16 309 16 095 12 403 5 473 5 001 MED-10 11 061 11 613 24 672 50 388 44 169 40 460 25 465 24 020 MED-11 11 188 11 900 25 507 52 011 47 596 43 269 27 388 26 164

FDI inflows, 2003-2010 (ANIMA-MIPO, in million euro) Country 2003 2004 2005 2006 2007 2008 2009 2010 Algeria 2 836 2 428 3 868 2 414 2 484 1 980 3 074 805 Egypt 874 1 950 6 176 14 735 21 861 3 802 6 570 4 921 Israel 728 634 6 229 14 019 3 777 3 277 2 574 4 500 Jordan 475 708 872 3 557 2 514 1 002 2 286 1 139 Lebanon 322 733 753 3 627 279 1 058 86 789 Libya 0 0 418 374 5 329 2 876 1 576 600 Morocco 3 281 4 023 1 608 4 380 2 508 2 311 2 707 2 300 Palestine 10 80 0 61 8 309 26 0 Syria 104 141 3 020 4 505 1 554 3 025 1 012 2 057 Tunisia 207 183 1 023 2 979 2 122 981 1 023 2 346 Turkey 506 779 14 882 15 417 14 721 15 855 7 442 13 745 MED-10 9 345 11 659 38 848 66 067 57 156 36 476 28 377 33 203 MED-11 9 345 11 659 39 266 66 441 62 485 39 352 29 952 33 803 Δ ANIMA-UNC. -16% -2% +54% +28% +31% -9% +9% +29%

The differences may be explained in part by the differences in method: ANIMA detects investment projects for the year n, where the promoter announces the project – which is to be carried out this same year or in the years to come. It is a "provisional" micro-economic approach. UNCTAD searches through the balance of payments of each national economy for inputs of foreign capital intended for direct investment. This is an "observed" macro-economic approach.

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Investments and partnerships in the MED region in 2010

Annex 4. Direct and indirect jobs

The following table presents a sample of diversified projects (in terms of sectors, countries, years) for which the 'job creation' data is released by the project sponsor for both direct and indirect jobs. This analysis allows for a calculation of the indirect/direct jobs ratio, i.e. 3.3.

Year Host Investor Origin Sector Project FDI Jobs (€m) Di- In- rect direct 2008 Turkey Coca-Cola USA Agribusine Coca-Cola Icecek, a JV in which - 250 750 / Coca- ss Coca Cola has a 36% stake, has Cola bought land to build a factory in Icecek Elazig

2010 Tunisia Cassiopae France Bank, The global asset finance software 0.1 50 150 insurance, editor to team up with local Oxia other Tunisia Group to establish a JV, financial Cassiopae MEA, for Africa and services Middle East

2009 Tunisia Kélibia la Italy Bank, The real estate company partially 113.8 1 800 4 500 Blanche insurance, controlled by Italian investors to other launch a luxury tourism resort in El financial Mansourah site, next to the Kelibia services city

2009 Moroc- Pick- Egypt Public The group to develop the ‘White 135,0 2 000 11 000 co albatros works, real Beach' sea resort near Guelmim estate, that was initially launched by utilities Spanish Fadesa

2009 Moroc- Inver- Spain Public The Manuel Jove Capellán's holding 180,0 2 000 3 750 co avante works, real to relaunch the Tanger City Centre estate, real estate project, which had been utilities tendered to Spanish Fadesa-Anjoca in 2006

2008 Moroc- DITEMA Spain Public The Moroccan subsidiary of the 692.5 4 200 20 000 co works, real Spanish group to launch estate, construction of ‘Entretres', an utilities industrial and residential park located near Settat

2007 Algeria Valartis Switzerl Public A Swiss consortium led by Jelmoli 71,0 1 500 5 500 and works, real to build a new shopping mall in estate, Algiers in 2008, with future plans utilities for Oran, Annaba, Constantine, and even Morocco

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Investments and partnerships in the MED region in 2010

Year Host Investor Origin Sector Project FDI Jobs (€m) Di- In- rect direct 2005 Egypt Al Rabata Kuwait Public Egypt & Kuwait to Set Up USD1 - 6 000 10 works, real Billion Container Port in Egypt in 000 estate, Damietta port utilities

2004 Turkey Commerz- Ger- Public The subsidiary of the banking group 60,0 750 3 000 bank / many works, real to develop the Bornova Forum Commerz estate, shopping mall in Izmir in a 50-50 Grund- utilities partnership with Turkish-Dutch JV besitz Multi Turkmall Investment- gesellschaft (CGI)

2004 Turkey Multi Nether- Public The Dutch-Turkish JV to build its 30,0 750 3 000 Corporatio lands works, real first shopping mall in Izmir, the n / Multi estate, Forum Bornova, in a 50-50 Turkmall utilities partnership with a subsidiary of the German Commerzbank

2009 Jordan IFFCO India Chemistry, The fertiliser group to set up a 240,0 800 1 000 plasturgy, 52/48 JV called ‘JIFCO'with local fertilizers JPMC to open 2 phosphoric acid and sulfuric acid production plants in Eshidiya

2009 Egypt Sisecam / Turkey Chemistry, The chemical group to form a 130,0 600 1 000 Soda plasturgy, 30/70 JV with the national Sanayii fertilizers chemical industries holding for building a sodium carbonate factory in Sinai

2006 Egypt Aditya India Chemistry, The India-based Aditya Birla Group 24,0 300 700 Birla plasturgy, to create a JV with egyptian fertilizers investors in the acrylic fibre industry

2004 Algeria Hayat Turkey Chemistry, The chemical group to build a 12.2 500 1 000 plasturgy, washing powder and detergents fertilizers factory in the Boinan Blida industrial zone

2010 Israel Intel USA Electronic The first semiconductor chip maker 2 1 000 20 000 compo- to invest heavily to expand its 022,0 nents Kiryat Gat plant with the support of the Israeli government

2010 Turkey Chery China Car The group to build, with its local 177,0 3 000 7 000 Auto- manufactu partner Mermerler, a car factory mobile rers or and its associated social facilities in suppliers the Sakarya province

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Investments and partnerships in the MED region in 2010

Year Host Investor Origin Sector Project FDI Jobs (€m) Di- In- rect direct 2009 Moroc- Renault France Car The manufacturer to set up a plant 600,0 6 000 30 000 co manufactu in Tangiers free zone to produce rers or 170 000 vehicles/year, 85% of suppliers which will be exported, partnership with CDG (52/48)

2008 Tunisia Yazaki Japan Car The automotive supplier to set up a 26,0 2 500 2 500 manufactu cable factory in El Aguila industrial rers or zone (Gafsa), whose production will suppliers be entirely exported

2008 Moroc- Sumitomo Japan Car The manufacturer of wiring 22.2 1 800 200 co manufactu harnesses to build cable production rers or plant in Ain Aouda near Rabat, for suppliers Peugeot-Citroen

2007 Tunisia Yura / South Car Korean giant in car wiring systems 14,0 500 3 000 Sewon Korea manufactu manufacturing to settle on 10000 ECS rers or sqm in Kairouan, creating 500 jobs suppliers

2010 Turkey Carrefour France Distri- The JV between the retail giant and - 5 600 2 000 bution local Sabanci plans to open 100 CarrefourSA stores and 4 hypermarkets in Turkey over 2010

2007 Moro- Nesk / Saudi Distri- The local subsidiary of Saudi 90.1 5 000 20 000 cco Nesk Arabia bution franchise specialist to open with Investment Aksal the Morocco Mall by 2010 in Casablanca

2009 Tunisia Jacques France Electric, The producer of solar water heater, 6,0 130 450 Giordano electronic 70%-owned by an Aubagne-based Industries & medical SME, to inaugurate in Grombalia its / Soften hardware new HQ, and increase its production capacity

2009 Moro- Liberty UK Metallurgy The steel manufacturer to create 1438.3 230 1 380 cco & recycling Atlantic Steel Industry, a JV with of metals local MIS, to set up a billets manufacture and other facilities in Sidi el Aïdi

2005 Israel Altos Mexico Metallurgy Mexican co to invest USD160m in 128.7 600 1 400 Hornos de & recycling Timna copper mines Mexico of metals (AHMSA)

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Investments and partnerships in the MED region in 2010

Year Host Investor Origin Sector Project FDI Jobs (€m) Di- In- rect direct 2010 Tunisia France France Telecom & Orange Tunisie, a 50-50 joint- 263,0 1 050 500 Telecom / internet venture of the French operator and Orange operators the Tunisian group Mabrouk, to invest for its fixed-line and mobile telephone license

2009 Moroc- Rieker Ger- Textile, The group to launch its 3rd 18,0 1 000 2 000 co many clothing, Moroccan shoes manufacture and luxury professional training center in Lahyayda industrial zone in Larach

2009 Moroc- Kuwait Kuwait Tourism, The group to develop a tourism 48,0 500 1 000 co Investmen catering resort in Ifrane through its t Authority consortium with local CDG and in (KIA) / the framework of a concession of CMKD the Biladi plan

2009 Moroc- Orascom / Egypt Tourism, The property developer in 65/35 JV 350,0 2 500 12 000 co Oued catering with CDG to launch the construction Chbika of the Chbika tourism complex, 50 Développe km south of Tan-Tan ment

2009 Moroc- Lafico Libya Tourism, Libyan Arab Foreign Investment Co 78.3 600 600 co catering to build in Casablanca (Twin Center) a luxury hotel called Kenzi Tower Hotel, to be managed by local Kenzi

2008 Syria Carwood UK Tourism, The 3 UK-based firms team up with 197.3 1 500 2 500 Investment catering local investor Ali Wahoud to develop a luxury sea resort in Tartous, to be managed by Egypt's Porto Marina

2007 Moroc- Tremon Spain Tourism, Spanish real estate company to 20,0 170 330 co catering invest EUR 20 million euros to build 'El balcon de Arcila', a tourist complex south of Tangiers, by 2009

2007 Moroc- Alliance France Tourism, The promoter to team up with 27.02 250 1 000 co catering BMCE and Nouvelles Frontieres on Al Baraka, a MAD 600 mln tourism project in Marrakech

2007 Moroc- Urbagolf Spain Tourism, The promoter to invest MAD 3.7 339.1 2 000 15 700 co catering billion in a gigantic resort project in Souiria Qdima (Essaouira), creating 2 000 jobs

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Investments and partnerships in the MED region in 2010

Year Host Investor Origin Sector Project FDI Jobs (€m) Di- In- rect direct 2005 Moroc- Emteyco / Spain Tourism, Tourism resort in Bouznika with 140.2 50 850 co Samanieg catering marina, housing, commercial and o leisure hub and hotel

2005 Moroc- Accor France Tourism, Accor wants to build an Ibis and a 7.5 80 400 co catering Mercure hotel in Ouarzazate at a cost of 7 million euros and opens its 10th Moroccan Ibis hotel

2005 Jordan Saraya United Tourism, UAE-registered holding, whose 403.2 1 000 2 000 Holdings Arab catering main shareholder is Lebanon's Emirates Hariri family, to get a 50% stake in USD 1 bn Saraya Aqaba mixed-use development

2004 Moroc- Kerzner Baha- Tourism, Istithmar, Somed and Kerzner 1 2 000 8 000 co Internatio mas catering International to start building The 050,0 nal / Mazagan Resort in El Jadida Kerzner Investmen ts Morocco

2003 Moroc- Fadesa Spain Tourism, Creation of Mediterrania Saidia, a 1 500 8 000 40 000 co catering tourist mega-resort with 8 hotels in Saidia

2007 Moroc- PSA France Transport, Already present in Morocco, the - 50 50 co Peugeot logistics French specialist in automotive Citroen / logistics to create a new platform in Gefco Tit Mellil

2008 Egypt Saudi Saudi Glass, The group to establish CPC Holding 82,0 2 500 7 500 BinLadin Arabia cement, for Investment-Egypt, its 2nd Group minerals, Egyptian subsidiary, to set up a (SBG) / wood, complex of 7 construction material Construc- paper factories tion Products Holding Company (CPC)

2007 Moroc- Lubasa Spain Glass, New cement factory between 171.1 170 300 co cement, Kenitra and Sidi Kacem (Gharb), an minerals, investment worth MAD 1.9 billion, wood, operational by 2010 paper

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Investments and partnerships in the MED region in 2010

Year Host Investor Origin Sector Project FDI Jobs (€m) Di- In- rect direct 2007 Egypt Indevco Leba- Glass, Lebanon's Indevco Group to set up 56.1 85 500 non cement, a new USD 76.8 million tissue paper minerals, mill to recycle wastepaper in Sadate wood, City, creating 170 jobs paper

2007 Egypt World USA Glass, IFC to invest USD26.4 million in 19.29 85 500 Bank / IFC cement, support of a new tissue paper mill, minerals, which will use wastepaper as its wood, primary source of raw material paper

2007 Algeria Lafarge / Egypt Glass, A new cement plant near Oggaz in 365.4 3 000 5 000 Orascom cement, Mascara wilaya weighing USD 500 Cement minerals, million to create 3,000 direct jobs wood, paper

2005 Egypt Cementos Spain Glass, The cement company, through its 116,0 300 500 La Union / cement, Egyptian JV, to set up a new clinker Arabian minerals, plant in Ramliyah Cement wood, paper

2005 Algeria CFLG China Glass, Cevital (Algeria) creates a joint- 146.6 2 500 1 000 cement, venture with CFLG to start minerals, producing glass wood, paper

Total 7162.0 77 250 255 510

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Investments and partnerships in the MED region in 2010

Annex 5. Extrapolation of employment data

The direct jobs supposed to be created are only known in 20% of cases, but an extrapolation is possible by reasoning on the size of the projects. The smallest projects (the most numerous) probably create few jobs (hypothetically 5 per project). For the medium-sized and large projects, the average number of personnel announced (Figure 1) may be used as a reference for the calculation. Through caution, the extrapolation proposed in Figure 2 uses relatively conservative hypotheses: for example, a mega- project may only create 500 jobs (against, on average, 1,150 when the data is known).

Figure 1. Known employment data (for 908 projects, 2003-2010) Jobs created (for Amount Less Between Between Mega- Total projects with of FDI than 50 100 and 50 and project "employment") data not M€ 500 M€ 100 M€ (> 500 known M€) Number of projects 299 422 89 64 34 908 Total direct jobs 623 103 774 150 693 102 346 62 450 204 464 727 Direct jobs created per project 347 357 1 150 976 6 014 687

Figure 2. Employment data extrapolated (for 4,004 projects, 2003-2010) Jobs created (for Amount Less Between Between Mega- Total projects without of FDI than 50 100 and 50 and project "employment") data not M€ 500 M€ 100 M€ (> 500 known M€) Number of projects 1 763 1 294 478 310 159 4 004 Hypothesis of direct jobs created per project 5 50 300 100 500 - Calculation of direct jobs created for the category 8 815 64 700 143 400 31 000 79 500 327 415

In total, the jobs "ignored" by ANIMA-MIPO may represent a little more than 50% of the jobs announced (the exact ratio total jobs/known jobs is 1.52). In all, around 950,000 direct jobs would have been created by FDI alone (excluding partnerships) over 8 years, that is around a total of 4 million jobs when adding indirect jobs (cf. Annex 4).

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6. Confidential annexes Annex 6. List of FDI projects detected for 2010 (ANIMA- MIPO)

When available, les FDI amounts below correspond to the total amount of the announced project ('gross FDI amount').

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Algeria Agri- Cristal France The sugar cooperative to team up in a 49-51 joint- 25.5 250 business Union venture with local company La Belle to set up a sugar refinery in Algeria Algeria Banking / Axa France The group to establish a subsidiary in a 49-36-15 joint - - insurance venture with national companies FNI and BEA after several months of talks Algeria Banking / MACIF France The group to team up with the Algerian Society of - - insurance Insurance (SAA) and 2 local banks to set up an insurance company in which it owns a 34% stake Algeria Banking / TLG / Tunisia Maghreb Leasing Algeria, the subsidiary of the leasing - - insurance Tunisie specialist, to open 5 branches in Algeria to reach a ten Leasing branch network in the Maghreb region Algeria Automotive Assad Tunisia Tunisia's first company in the field of lead to enter - - industry Algeria and expand its distribution network a opening a first branch in Annaba Algeria Automotive IPIC / United The sovereign fund to bring EUR 4 million to the capital 4 - industry Aabar Arab of the JV formed with its Algerian and German partners Emirates to supervise its automotive projects Algeria Automotive Kia South The car manufacturer to open 10 new branches in 2010 - - industry Motors Korea in Cheraga, Alger, Bejaia, Batna, Tiaret and Annaba to provide sale and after-sales services Algeria Chemistry / Hayat Turkey The industrial group to invest to expand the plants built 7.1 360 plasturgy / in Blida in 2005 to manufacture household cleaning and fertilizers sanitary products Algeria Chemistry / STPA Tunisia SMPCA, a 40-60 JV between the group and two 1.7 20 plasturgy / Algerian public companies and private Cosme fertilizers company, to start production in its new plant in Oran Algeria Consulting / BDO UK The fifth largest network of public accounting firms to - - engineering Int'al open a branch in the country in partnership with the local company ORFICO

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Algeria Consulting / Tarak Tunisia The Tunisian businessman to open an office TÜV - - engineering Khélifi / Algeria through a franchise agreement with the German TÜV group, after setting up TUV Maghreb in Tunisia Maghreb Algeria Consulting / Webhelp France The company specialised in the outsourcing of customer - - engineering relationship to open a call centre in Algiers during the summer 2010 with 2 local partners Algeria Distribution Picoty France The distributor of 'Avia' petroleum products to establish - - / retail a 70-30 joint-venture with two local investors specialised in lubricants Algeria Distribution Univar Nether- The leading chemical distributor group to establish a - - / retail lands subsidiary in Algeria to distribute American Dow Corning products to the growing local market Algeria Drugs Goldman USA Goldman Sachs et Texas Pacific, through the purchase - - Sachs of Belgian hygienic disposable group Ontex, acquire its Algerian subsidiary Ontex Can Hygiene Spa Algeria Drugs Novo Den- The group to invest and increase the capacity of its Tizi 7 - Nordisk mark Ouzou-based insulin product manufacture to serve the local and foreign markets Algeria Drugs Sanofi- France Sanofi-Aventis Algeria, the French group's subsidiary, 28.7 - Aventis / to increase its paid-up capital through a share issue to Sanofi- finance its local generics production Aventis Algérie Algeria Electr. Honey- USA The technology & manufacturing firm to establish a - - hardware well subsidiary in charge of the MENA region in Algiers after winning a major contract for Sonatrach Algeria Electronic EADS Nether- The European group to create a JV specialising in the - - components lands production of electronics systems in partnership with local ENIE (51%) and a German consortium Algeria Electronic Rohde&- Germa- The group and fellow company Carl Zeiss to partner - - components Schwarz ny with local ENIE (51%) and EADS to establish a JV to manufacture electronics systems Algeria Energy BP UK The group to invest in new compressors to maintain its - - production in the In Salah and In Amenas blocks Algeria Energy General USA The group's JV with Sonatrach and Sonelgaz to set up a 13.9 51 Electric turbomachinery equipment service center in Boufarik near Alger and hire new staff by 2011 Algeria Energy Linde Germa- The local subsidiary of the group engaged in the gases 18 - ny and engineering sector to set up a plant to produce oxygen and nitrogen in Reghaia

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Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Algeria Energy Petroceltic Ireland The group to extend its 75-25 production sharing 42.7 - contract with national company Sonatrach to further explore four areas in the Isarene block Algeria Energy Qatar Qatar The group to join the consortium in charge of the ethane - - Petroleum cracker project in Arzew in a 51-39-10 JV with Algerian Sonatrach and French Total Algeria Energy Total France The group to invest massively in the development of 680 - eight gas fields in Timimoun, to start production in 2013 Algeria Energy Weather- USA The leading provider of equipment and services for - - ford Int'al hydrocarbon exploration to acquire 10% stake in Algerian Petroleum Institute (IAP) Algeria Cement / ASEC Egypt Citadel Capital's cement subsidiary to further invest to - - glass / Cement expand production capacity in the Zahana Cement materials facility it acquired in 2007 Algeria Cement / Citadel UK Ascom subsidiary Sahara Gold to invest in GMA, the - - glass / Capital / Algerian subsidiary of Bristish Gold Mining which materials Ascom holds a 52% stake in the Amesmessa gold mine Algeria Cement / Shaolin China The mining company to launch the production phase in 9.2 300 glass / a manganese mine near Bechar, the production of which materials will be exported to China Algeria Cement / Terramin Austra- The company to launch exploration works in the zinc 193 - glass / lia and lead deposit of Amizour through its 65%-controlled materials joint-venture Western Mediterranean Zinc Algeria Other or not MACIF France The group to participate in the national insurance 0.1 - specified academy project in team with a dozen other Algerian and French insurance brokers Algeria Public works EIIC United The investment company to get approval to build a 1805 - / real estate Arab giant urban park named Dounya Parc and a tourism Emirates complex in western Algiers Algeria Public works Emiral United The property developer to launch construction of the 206 750 / real estate Arab 'Forum El Djazaïr' mixed-use project in Moretti coastal Emirates area, west of Algiers Cyprus Banking / Gazprom Russia The banking group specialised in the gas and other 4.8 15 insurance /Gazprom industrial sectors to set up a wholly owned subsidiary bank in Cyprus named GPB-Financial Services Cyprus Banking / Odella Virgin The company, believed to belong to a Cypriot trust with 222 - insurance Resources Islands foreign interest, to acquire 7.5% stake in Bank of UK Cyprus, reaching a 9.7% participation Cyprus Banking / VTB Russia The Russian banking group's subsidiary RCB to open 9.6 30 insurance two new branches in Nicosia and Limassol, creating 30 jobs

84

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Cyprus Distribution Jumbo Greece The the leading toy retailer in Greece to open a 30.2 321 / retail supermarket in Cyprus by June 2011 Cyprus Distribution Lidl Germa- The discount supermarket chain to open a distribution 15.9 278 / retail ny centre in Larnaca to provide all the Lidl stores in Cyprus Cyprus Distribution Lidl Germa- The discount supermarket chain to open new stores in 20.28 197 / retail ny Cyprus after setting up a distribution centre in Larnaca in September 2010 Cyprus Energy MISC Malay- The maritime company to establish a 50/50 JV with 47.1 435 Berhad sia Swiss energy trader Vitol in order to set up a private oil terminal in Limassol Cyprus Energy Vitol Switzer The energy trader to team up in a 50/50 JV with 47.1 435 -land Malaysian maritime company MISC Berhad called VTTI, to set up a private oil terminal in Cyprus Cyprus Transport / Blue Air Roma- The low-cost air carrier to open a logistic centre in 95 213 logistics nia Larnaca, to be used as base for flights to Vienna, Warsaw and Milan Egypt Agri- Agrana Austria The sugar, starch and fruit company to establish a JV - - business with Egyptian Nile Fruits to set up a production plant and provide local and regional markets Egypt Agri- British UK The giant tobacco giant producer to start manufacturing 3.37 - business American part of its formerly Kenya-produced cigarettes in Egypt Tobacco (BAT) Egypt Agri- Dallah al Saudi The group's local subsidiary, Halwani Brothers Egypt, 13.4 - business Baraka Arabia to invest so as to double its meat production capacity in its Egyptian plant Egypt Banking / Abu United The Islamic bank to raise its shares in local National - - insurance Dhabi Arab Bank for Development (NBD) from 49% to 51% Islamic Emirates Bank Egypt Banking / Ahli Bahrain Bahrain-Based group to increase its stakes in its local - - insurance United subsidiary Egypt Ahli United Bank from 35.3 % up to Bank 79.6 % Egypt Banking / Ahli Bahrain The commercial and investment bank to buy the 28.9 - insurance United remaining 21.4% stake in its Egyptian subsidiary AUB Bank Egypt from minority shareholders Egypt Banking / Audi Leba- The bank to acquire 90% of Egyptian company Arabeya 28.87 - insurance Saradar / non Online, 'AOLb', the first online trading platform in Bank Egypt, from local company Naeem Holding Audi

85

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Banking / Crédit France The Egyptian subsidiary of the banking group to open - - insurance Agricole / its 14th branch in a year, thus reaching a 68-branch Crédit network in the main cities of the country Agricole Egypt Egypt Banking / Crédit France The Egyptian subsidiary of the banking group to open - - insurance Agricole / its 70th Egyptian branch in Cairo Crédit Agricole Egypt Egypt Banking / Dallah al Saudi The Islamic bank to raise capital of its Egyptian 320 - insurance Baraka / Arabia subsidiary, now called Al Baraka Egypt Bank, to Albaraka develop its activities and its branch network Banking Egypt Banking / Intesa Italy The bank to further invest in Egypt through its local - - insurance Sanpaolo subsidiary Alex Bank and to open a new pilot branch in the centre of Cairo Egypt Banking / Piraeus Greece The banking group to increase by 24 percent the capital 35 - insurance Bank of its wholly owned Egyptian subsidiary, Piraeus Bank Egypt Egypt Automotive Elloumi / Tunisia The company to build a production unit for car 11.23 500 industry Chakira equipments in the Suez region through its subsidiary Cofadel Egypt Automotive Hertz USA The local subsidiary of the car rental company to - - industry expand its team to meet the growing demand Egypt Automotive Toyota Japan The automotive manufacturer to establish a JV with its - - industry local distributor by the end of year 2010 to assemble its 'Fortuner' cars in Egypt Egypt Chemistry / Aditya India The conglomerate to purchase from inter Arab Apicorp - - plasturgy / Birla a further 12% in Alexandria Carbon Black Company, in fertilizers which it already held a majority stake Egypt Chemistry / Air France The group to build an oxygen production unit in Sadat 20 - plasturgy / Liquide for the local steel manufacturer Ezz, with whom it fertilizers signed a long term contract Egypt Chemistry / Dhunseri India The group to partner with two Egyptian, ECHEM and 80.5 - plasturgy / Tea & Enppi, in a 70-23-7 JV to build a new polyethylene plant fertilizers Industries Northeast of Suez / South Asian Petro- chem

86

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Chemistry / Uflex India The producer of flexible plastic materials to set up a 68 300 plasturgy / plant in Egypt to manufacture high class plastic fertilizers packaging films Egypt Consulting / Boyden USA The global leader in executive search to open an office - - engineering World in Cairo as part of the firm expansion strategy in the MENA region Egypt Consulting / GPX USA The company to open a second data centre in Cairo to 19 - engineering Global provide services such as data recovery for local and Systems multinational companies Egypt Consulting / National USA The supplier of measurement and automation products - - engineering Instrumen to open an office in Cairo to develop its support services ts (NI) for its Egyptian customers Egypt Consulting / Pedersen Czech The leading international executive search firm to open - - engineering & Rep. a new office in Cairo in order to further expand its Partners services in the MENA region Egypt Consulting / Stream USA The global outsourcing solution provider to open a new - 1000 engineering call centre in Egypt in 6th of October City in coordination with national agency ITIDA Egypt Data Abraaj United The SME investment fund of the major investment - - processing / Capital Arab management company to take participations in OMS, a software Emirates regional provider of IT services Egypt Data Cisco USA The telecoms equipment firm to expand its customer - 50 processing / Systems support centre in the country, in partnership with local software Xceed Contact Center Egypt Data IBM USA The IT giant to open a business process delivery centre - - processing / (BPDC) in Smart Village IT Park in Cairo in a joint software collaboration with national agency ITIDA Egypt Data Softline Germa- The software editor to open its third branch in the - - processing / ny Middle East and Africa in Cairo to reinforce its activities software in Egypt and enter African markets Egypt Distribution Azadea Leba- The group, which operates around 10 international - - / retail non franchised brands for the MENA region, to open several stores in the Mall of Arabia in Cairo Egypt Distribution Emke United The regional retail chain to open its first three Egyptian - - / retail Arab outlets under the 'Lulu' brand Emirates Egypt Distribution Landmark Kuwait The group to obtain space for several of its brands in - - / retail Int'al Alexandria City Centre and Maadi City Centre (LMI) shopping malls Egypt Distribution Majid Al United The conglomerate to prepare a new shopping centre 583 - / retail Futtaim Arab project in Cairo, the 'Mall of Egypt', which will sprawl (MAF) Emirates over 160,000 square meters

87

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Distribution Metro Germa- Giant retailer for professional to open its 2nd wholesale 20 - / retail ny Makro store in Qulubiya, 2 months after the opening of the first store in Salam City, Cairo Egypt Distribution Univar Nether- The leading chemical distributor group to establish a - - / retail lands subsidiary in Egypt to distribute American Dow Corning products to the growing local market Egypt Drugs Kipco / Kuwait The investment company to acquire a majority stake in - - North drug manufacturer Egyptian International Medical Africa Center (EIMC) and its affiliate EUP Holding Egypt Drugs Quintiles USA The pharmaceutical services company to set up an - - affiliate in Egypt, HKPI-JV, in JV with local companies Health Kare Pharma International and Ramco Egypt Electr. Toshiba Japan The electronic giant to establish a 51/49 joint venture 3.7 - hardware with its Egyptian partner El Araby Group in order to set up a LCD television manufacture Egypt Electr. Toshiba Japan The electronic giant to set up a LCD television 44 - hardware manufacture in 51/49 JV with its Egyptian partner El Araby Group Egypt Electronic Actis UK The firm specialised in emerging markets to acquire 22 - components Egyptian MSCC, a smart card payment services provider operating in the whole African continent Egypt Electronic Electrolux Sweden Europe's largest appliance maker to buy 52% stake in its 182 - ware historic Egyptian partner Olympic group, which has a 30% share of the Egyptian market Egypt Electronic Midea China The group to acquire from American UTC a 32.5% stake 40.4 - ware in Egypt-based Miraco, Misr's subsidiary specialising in residential air-conditioning products Egypt Energy Apache USA The energy company to launch exploration 39 - programmes of some of the blocks its operates in the Western Desert Egypt Energy Apache USA The company to acquire British BP's assets in Egypt's 480 - Western Desert, including several concessions and oil infrastructures Egypt Energy Beach Austra- The oil company to buy shares of Kuwait Energy in two 24 - Energy lia of its Egyptian concessions, Abu Sennan and Mesaha Egypt Energy BG Group UK The energy group to get an exploration license for the - - North Gamasa field, a 281 sq. km concession in the Mediterranean Sea Egypt Energy BG Group UK The group to further invest in its West Delta concession 1435 - / BG to install a pipeline and drill new wells to be Egypt operational by late 2011

88

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Energy BP UK The group to sign an agreement for exploration - - activities in the Damietta offshore concession in team with Malaysian Petronas and Royal Dutch Shell Egypt Energy BP UK The company to invest massively in next 18 years to 6573 - explore the 2 gas concessions North of Alexandria, in 60-40 and 80-20 JV with German RWE Egypt Energy BP UK The petroleum giant and its partner IEOC, subsidiary of - - Italian ENI, to start gas production on the offshore Temsah concession in 50/50 JV Egypt Energy Dana Gas United The regional leader in hydrocarbons to build an oil - - Arab refinery near the Al Baraka field in its Komombo Emirates concession in southern Egypt Egypt Energy Dana UK The British petroleum company to acquire 50% stake in - - Petroleum El Manzala offshore area Concession from fellow company BG Group, establishing a 50/50 JV Egypt Energy East West Canada The petroleum company to acquire 20% of Kuwait 10.11 - Petroleum Energy stakes in the Burg El-Arab concession, while the Kuwaiti keeps a majority stake of 55% Egypt Energy Energean Greece The group to win the exploration rights for two on - - Oil & Gas shore areas in the Nubian desert and at the south of Gulf of Suez Egypt Energy ENI / Ieoc Italy The group to launch a new exploration, drilling and - - development programme on the Meleiha concession, in which it has a 56% participating interest Egypt Energy ENI / Italy The exploration company equally owned by ENI and - - Petrobel the Egyptian government to invest in the Temsah concession, jointly controlled with British BP Egypt Energy Hess USA The fifth-biggest American oil company to explore the 75 - North Red Sea of Egypt for oil reserves in team with London-based Premier Oil Egypt Energy M.A. Kuwait The group to ink a BOO concession agreement to build 240 - Kharafi a 750 MW gas power plant including a a desalination unit in the West Damietta area Egypt Energy M.A. Kuwait The group to ink a BOO concession agreement to build 240 - Kharafi a power plant Ismailia in Egypt, in addition to the Damietta project Egypt Energy MENA Canada The group to acquire a 75% working interest from its - - Hydrocar fellow company Skana and act as operator in the Lagia bons Inc. field development concession in Sinai Egypt Energy Mubadala United The clean energy investor to sign a cooperation deal - - Developt. Arab with Egypt to set up a 200 megawatt wind farm in the / Masdar Emirates Gulf of Suez

89

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Energy Petronas Malaysi The energy group to sign an agreement for exploration - - a activities in the Damietta offshore concession in team with British BP and Royal Dutch Shell Egypt Energy Premier UK The oil company to explore the North Red Sea of Egypt 75 - Oil for oil reserves in team with Hess, the fifth-biggest American oil company Egypt Energy RWE Germa- The company to invest massively in next 18 years to 2800 - ny explore the 2 gas concessions North of Alexandria, in 40-60 and 20-80 JV with British BP Egypt Energy Shell Nether- The group to become operator of the Alam El Shawish - - lands concession by acquiring a 40% share from co-owners French GDF Suez and Greek Vegas Oil & Gas Egypt Energy Shell Nether- The energy group to sign an agreement for exploration - - lands activities in the Damietta concession in partnership with British BP and Malaysian Petronas Egypt Energy Siemens Germa- The engineering group to install wind turbines for a - - ny 250-megawatt renewable energy plant in the Gulf of Suez on the Red Sea coast to open by 2014 Egypt Energy World USA The group to invest in Egyptian Refining Company, a 90 30 Bank / Citadel Capital's subsidiary which is to set up a refinery IFC in the Mostorod petrochemical District Egypt Cement / Kipco / Kuwait The private investment firm to acquire 50% of local - - glass / North company Kandil Glass, one of Egypt's leading materials Africa manufacturers of glass containers Holding Egypt Cement / Nuinsco Canada The mining company to win the Bukari concession to 1.5 - glass / Resources look for gold in Eastern Desert for 4 years, and hopes to materials win the Umm Samra concession afterwards Egypt Cement / Nuqul Jordan The conglomerate specialised in fast consumer goods to - - glass / expand its tissue paper factory in 6 October City materials Egypt Cement / Sisecam Turkey The group to launch in Egypt the biggest flat glass plant 19.5 - glass / of the region, through a JV with the Franch Saint- materials Gobain and local MMID created in 2007 Egypt Metallurgy Al Qatar The group to win one of the four steel licenses awarded - - Watania by the government to reduce the shortage of the local steel supply Egypt Other or not Ekttitab Kuwait The investment fund to take a 6% stake in the Egyptian 8.61 - specified property developer Amer Group

90

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Other or not General USA The maker of low voltage cables to buy Heliopolis 16 - specified Cable based company BICC and aims to expand BICC's sales Corporati outside of Egypt on (GCC) Egypt Other or not General USA The group's healthcare subsidiary to partner with - - specified Electric / Emirati Gulf Capital to set up a chain of healthcare GE service centres in Egypt and in the MENA region Health- care Egypt Other or not Gulf United The private equity fund of Abu Dhabi to purchase a 9.7 - specified Capital Arab 75% stake in TechnoScan, the largest chain of medical Emirates diagnostic imaging centres in the Middle East Egypt Other or not Gulf United The fund to partner with GE Healthcare, General - - specified Capital Arab Electric subsidiary, to set up a chain of healthcare Emirates service centres in Egypt and in the MENA region Egypt Public works Abraaj United The regional leading private equity firm to acquire - - / real estate Capital Arab through its real estate fund ASAS a commercial office Emirates building in Cairo Egypt Public works Abu United The company to buy 425 units of the Palm Hills 40.8 - / real estate Dhabi Arab Development's Village Garden in Katameya district, Islamic Emirates Cairo, focused on middle-income groups Bank / Burooj Egypt Public works Arabtec United The construction company to launch a 55/45 joint- 7.4 - / real estate Arab venture with local Amer Group aiming to be one of the Emirates leading contracting firms in Egypt Egypt Public works Bayan Kuwait The group to partner with Egyptian SODIC and Garden 8.8 - / real estate City Real Estate in a 32-35-15 JV to create a commercial zone in Mansoura due to open in 2012 Egypt Public works Dubai United The port operator which has a 90% stake in Sokhna Port 440.7 - / real estate World / Arab company to invest to increase the port's capacity up to DP World Emirates 1.1 million containers per annum Egypt Public works Dubai United DP World to extend its concession for the next 35 years, - - / real estate World / Arab and to further increase the size of the company's DP World Emirates container operations in Sokhna Port Egypt Public works Morgan USA The New-York-based firm to form a 50/50 JV with - - / real estate Stanley Orascom Construction Industries to develop and invest in infrastructure in the Middle East and Africa Egypt Public works Teda China The group to launch construction works for the Suez 430 - / real estate Economic Zone 'Sezone', a contract awarded in 2009 in which it holds 40% interest

91

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Public works World USA The private sector arm of the World Bank to acquire 80 - / real estate Bank / 16% stake in APCC company, the Egyptian subsidiary IFC of the Greek cement company Titan Egypt Public works Zawaya Sudan The investment group to team up with Egypt's Holding - - / real estate Group for Company for Building and Construction to build a key Developt. section of the Cape-to-Cairo highway in BOT and Investmt. Egypt Telecom / Inmarsat UK The world's leading provider of global mobile satellite - - internet communications to further invest and develop its services in Egypt Egypt Textile / Procter & USA The fast consumer goods giant to build a diaper plant 125.6 - luxury Gamble near Cairo scheduled to open at the end of 2011 Egypt Tourism / Club France The famous tour operator to inaugurate a new village - - catering Méditerra named the ''Sinaï Bay' in the city of Taba in December née 2010 Egypt Tourism / Mena Kuwait The company to launch the Al-Ayyat housing project in - - catering Holding October 6 Governorate through its local subsidiary Kuwaiti Egyptian Investment Company Egypt Tourism / Pragma Leba- The investment firm to open a Cavalli Cafe in Cairo 2.8 - catering non with local investors under its master license agreement with the Italian designer Roberto Cavalli Egypt Tourism / Qatar Qatar Qatar to buy the Four Seasons Hotel in Cairo, as part of 177 - catering Investmt. its strategy to consolidate and enhance its investments Authority in Egypt (QIA) / Diar Egypt Transport / Air United The low-cost carrier to open a hub in Alexandria 7.8 - logistics Arabia Arab through the joint venture established with local Emirates multinational Travco Group in 2009 Egypt Transport / Balnak Turkey The logistics services supplier to reinforce its north - - logistics African position by opening an Egyptian office Egypt Transport / Marquard Germa- The group to win the 25-year BOT contract to develop a 150 - logistics & Bahls / ny liquid bulk terminal at Port Said East in partnership Oil- with local company Amiral Holdings tanking Egypt Transport / Sureclean UK The provider of waste management and environmental 1.46 - logistics safety solutions to the oil and gas industry to launch of a new base in Egypt Israel Aeronautics Bombar- Canada The manufacturer of transportation equipment to build 160 70 / ships / rail dier a train maintenance centre in the country following its deal with Israel Railways

92

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Agri- Linnaeus Nether- The private equity fund to invest in Grow Fish 13 - business lands Anywhere, an Israeli company which developed a cleaner intensive aquaculture system Israel Agri- Nestlé Switzer Osem Investments, controlled by Nestle, to acquire the 52 - business -land remaining 42% stake in Tivall, a manufacturer of vegetarian and meat substitute products Israel Agri- Unilever UK The group to increase its stake in local ice cream - - business manufacturer Strauss Ice Cream from 51% up to 90 % Israel Agri- Unilever / UK The ice cream maker purchased by the group in 2000 to 1.5 50 business Ben& build a new production facility for ice creams and Jerry's Rosie's-branded frozen items in Beer Tuvia Israel Banking / Apax UK The private equity fund to acquire Psagot, Israel's 541 - insurance Partners largest investment house, from American York Capital Israel Banking / Barclays UK The famous British bank to open its first Israeli branch - - insurance in Tel Aviv with a focus on corporate banking, especially for large companies Israel Banking / Deutsche Germa- The banking group to become a minority stakeholder in 90 - insurance Bank ny Discount Bank by acquiring the stake held by the Israeli State Israel Banking / UBS Switzer The banking group to take a 8.33% stake in Discount 106 - insurance -land Bank, in which the Israeli government still holds a 11.67% stake Israel Bio- Bayer Germa- The CropScience division of the chemicals giant to 9 - technologies ny invest in Evogene in order to jointly develop genetically enhanced wheat Israel Bio- BioTime USA The biotech company to acquire 49% stake in Jerusalem- - - technologies based CellCure Neuroscience by acquiring Singapore- based ESI Israel Bio- BioTime USA The company to invest in Jerusalem-based CellCure 3 - technologies Neuroscience, a specialist in eye disease treatment in which it acquired 49% stake in July 2010 Israel Bio- Sigma- USA SAFC, a subsidiary of the life science and high - - technologies Aldrich technology company, to expand its Jerusalem plant, specialised in production of proteins Israel Bio- Ziegler USA The fund to invest in Aposense, an Israeli biotech 1.4 - technologies Meditech company developing molecular imaging techniques and drugs based on apoptosis Israel Automotive General USA The automotive manufacturer to expand its R&D - - industry Motors activities in Israel and transfer them all in a new building in the Gav Yam Park complex in Herzliya Israel Chemistry / Potash Canada The fertiliser manufacturer to increase its participation 136 - plasturgy / up to 13.9% in Israel Chemicals, a major industrial fertilizers company headquartered in Tel Aviv

93

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Consulting / Balderton UK The venture capital fund to invest in Israeli start-up 1.2 - engineering Capital Green Road, a developer of security technology for drivers Israel Consulting / DVTel USA The Intelligent Security Operations Center developer to 60 - engineering buy a second Israeli company, Ioimage, a Herzliya- based intelligent video developer Israel Consulting / Eurocontr Canada The company specialising in innovative energy security, - - engineering ol authentication and verification technologies to acquire Israeli startup Xenemetrix Israel Consulting / Genera- USA Four U.S. funds including Al Gore's to invest in Israeli 4.8 - engineering tion start-up Green Road, a developer of security technology Investmt. for drivers Managt. Israel Consulting / Ingenico France The company to create a JV with Israeli Orpak for - - engineering distribution of unmanned payment terminals for unmanned fuel retailing Israel Consulting / Teoco USA The provider of software, consulting, and audit services 43.8 - engineering for telecom companies to acquire Rosh Ha'ayin-based Team Telecom International Israel Consulting / Yorkville USA The Jersey-based private equity fund to invest in local 7.25 - engineering Advisors Orckit Communications, a provider of telecom services headquartered in Tel Aviv Israel Data 888 Gibral- The online gaming holding to acquire Mytopia, a social 13 - processing / Holdings tar games development studio based in Ariel, West Bank software Israel Data Accel USA The firm to invest in Tel Aviv-based Metacafe, one of 3.55 - processing / the top Israeli independent video-sharing sites, along software with other US investment companies Israel Data AOL USA The global Web services company to acquire Tel Aviv's 49.1 - processing / 5min Media, the Web's largest video syndication software platform, to enhance its video content offer Israel Data Asseco / Poland The group to acquire 49.2% stake in Israeli Formula - - processing / Asseco Systems, which subsidiary Magic Software develops software Poland integration solutions for telecom applications Israel Data Autodesk USA The design software group to open a R&D centre in Tel - - processing / Aviv following the acquisition of local start up software PlanPlatform in late 2009 Israel Data AVG Czech The provider of free Consumer security solutions to - - processing / Techno- Rep. acquire Tel Aviv-based DroidSecurity, a pioneer in software logies cloud-based mobile security

94

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Data Battery USA The fund to participate in two early-stage financing 2.2 - processing / Ventures rounds for Israeli start-up ZeRTO, specialised in cloud software computing Israel Data Battery USA The venture capital firm to take a stake in Raanana- - - processing / Ventures based software as a service developer Panaya which software closes its third financing round Israel Data BayTech Germa- The European Venture Capital firm to invest in Kfar 2.2 - processing / ny Saba based RealMatch, a developer of an online software recruitment platform Israel Data Bitstream USA The mobile software developer to fully acquire local 4.67 - processing / start up Press-sense, a Or Akiva based business process software software maker for the print industry Israel Data Boeing USA The aircraft manufacturer to acquire Narus, a company 52.8 - processing / founded in Israel in 1997, to further develop its services software in the cybersecurity realm Israel Data Canaan USA Three US venture capital funds to invest in Israeli 3D 21 - processing / motion-sensing tech specialist Prime Sense, a partner of software Microsoft for its 'Projet Natal' Israel Data Cisco USA The IT giant to take part in an investment round for 0.9 - processing / Systems Oversi Networks, an Israeli provider of over-the-top software Internet video and P2P caching solutions Israel Data Columbia USA The two investors of the Israeli start-up Imagine 1.8 - processing / Capital Communications, specialised in digital video solutions, software to participate in a new round of financing Israel Data Connec- USA The group's Indian subsidiary to acquire software 14.2 27 processing / tiva analysis Israeli start-up Olista and intends to double the software Systems workforce to turn it into its R&D centre Israel Data Court USA The two investors of the Israeli start-up Imagine 1.8 - processing / Square Communications, specialised in digital video solutions, software Ventures to participate in a new round of financing Israel Data Crypt- Sweden The security software company to acquire its Israeli - - processing / zone rival, ControlGuard Software, to create synergies and software increase margins and sales Israel Data Dot Hill USA The provider of storage systems and enterprise server 9.1 - processing / software to acquire Cloverleaf Communications, which software R&D centre is in Petah Tikva Israel Data EMC USA The information systems giant to open a R&D center in - 200 processing / a new high tech park near Ben Gurion University in software Beersheva, creating 200 jobs Israel Data Escalate USA Several US venture capital firms to invest in Ra'anana- 7.5 - processing / based Mobixell Network, a provider of rich media, software mobile internet and broadband solutions

95

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Data Gemalto Nether- The manufacturer of microprocessor personal devices to 30.2 - processing / lands acquire Trivnet, a local start-up specialising in mobile software financial services Israel Data Globe- USA The American venture capital firm to invest in 2.22 - processing / span SundaySky, a Tel Aviv based developer of internet software Capital video platforms Israel Data Google USA The famous web search engine to make its first 18.9 - processing / acquisition in Israel with LabPixies, a start-up software specialised in the development of widgets Israel Data Google USA The search giant to acquire MentorWave Technologies, 9.1 - processing / a startup whose Quiksee technology could improve software Google's Street View Israel Data Greylock USA Greylock Partners, Azure Capital Partners an Intel 6.4 - processing / Partners Capital to increase their particpation in Zend software Technologies, an international leader in PHP Israel Data Greylock USA The fund to participate in two early-stage financing 2.2 - processing / Partners rounds for Israeli start-up ZeRTO, specialised in cloud software computing Israel Data Hasso Germa- The fund to invest in Panaya, whose Ra'anana R&D 4.42 - processing / Plattner ny centre develops SAP software tools, by buying Finnish software Ventures Tamares group's stake in the company Israel Data Innova- USA Several American investors including Google CEO to 0.7 - processing / tion invest in mobile application start-up Any.Do's first software Endea- financing round vors Israel Data Invencor USA Silicon Valley-based venture fund to invest in visual 0.49 - processing / search company Superfish along with other Israeli software funds Israel Data IT Genie UK The IT service provider and integrator specialised in 0.15 - processing / SMEs to acquire Lod based Future IT, a developer of software database management solutions Israel Data Juniper USA The network innovation company to acquire Altor, a 71.7 - processing / Networks provider of security for virtual data centers and in the software cloud with offices in Israel and in the US Israel Data Kima France The venture capital fund to invest in Ramat Gan based - - processing / Ventures company Side-Kick, a leading independent developer software and producer of motion control games Israel Data Kima France The venture capital fund to invest in information 0.7 - processing / Ventures security Covertix, a company founded in 2006 at the Sde software Boker incubator

96

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Data Live- USA The provider of internet chat software to buy the web 2.26 - processing / Person analytics company NuConomy, which is based in Tel software AViv and also has a San Francisco office Israel Data McGraw- USA The education branch of the global information services 22.7 - processing / Hill provider to buy local software firm Tegrity from Israeli software fund Infinity Israel Data Merchant USA The online marketing network for small business to - - processing / Circle acquire the Israeli meeting scheduler TimeBridge software Israel Data Michael USA The former Skype CEO to invest in Israeli company 1.45 - processing / van SupersonicAds, wihich developed a gaming platform software Swaaij using a virtual currency Israel Data Mitsui & Japan Mitsui Ventures, the venture capital arm of Japanese 1.1 - processing / Co / giant Mitsui & Co to lead a new financing round for software Mitsui cellphone games company Mo'Minis Ventures Israel Data Norwest USA The American venture capital firm to invest in 2.22 - processing / Venture SundaySky, a Tel Aviv based developer of internet software Partners video platforms Israel Data Oracle USA The software company to acquire another Israeli 64 - processing / company, Herziliya-based start up Convergin, to software develop its services in the communications industry Israel Data Pentalog France The software and computing services company to open - - processing / a branch in Petah Tikva to enhance its services to its software Israeli customers Israel Data Plus USA The early-stage venture capital investment firm to - - processing / Ventures invest in Yokneam-based CommuniTake, a smartphone software support platform company Israel Data Primera USA The fund to invest in the Israeli start-up Wibiya, 1.77 - processing / Capital specialised in the creation of customisable toolbars for software blogs and websites Israel Data Redpoint USA The venture capital fund specialised in Internet and 0.83 - processing / Ventures broadband startups to invest in Israeli online video software advertising platform AdapTV Israel Data Siemens / Germa- Siemens' venture capital unit to invest in Oversi 0.9 - processing / SMAC ny Networks, an Israeli provider of Internet video and software Partners peer-to-peer caching solutions Israel Data Soros USA The funds to acquire a 5,14% interest in Comverse - - processing / Fund Technology, a firm specialised in the production of software Managem telecommunications software ent

97

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Data Spencer USA The fund to invest in Precyse Technologies, a Rosh 8 - processing / Trask Ha'ayin-based developer of supply-chain visibility software solutions based on active RFID technologies Israel Data Trust- USA The company to acquire Breach Security, a Herzliya - - processing / wave based start-up specialising in the protection of web- software based information Israel Data Vitec France The MPEG video compression and decompression 5.7 - processing / Multi- solutions provider to acquire Israeli digital video software media solutions developer Optibase's video business Israel Data Vizrt Nor- The group to acquire a 20% stake in Israeli start-up 4.5 - processing / way Stergen H-Tech, which develops 3D video conversion software software Israel Data Vodafone UK The group to invest in software developer Perfecto - - processing / / Mobile, which applications allow to test services on real software Vodafone mobile devices over the Internet Ventures Israel Data Yahoo! USA The famous web search engine to buy Ramat Gan based 41.5 - processing / Dapper, a display ad company to become the group's software R&D centre in Israel Israel Data Yandex Russia Russia's largest search engine to become a shareholder 1.6 - processing / in Israeli start-up Face.com, a developer of internet software facial recognition technologies Israel Data Yifang China The Shenzen-based computer company to acquire the 45.3 - processing / digital pen developer Pegasus Technologies and its software patents after a four-year cooperation Israel Distribution Bunzl UK The distribution and outsourcing group to acquire M.S. - - / retail Global and its trading subsidiary Silco (Utensils), a supplier of foodservice disposables Israel Drugs Bridge Japan The Japan-based fund to acquire local InterCure, a 0.95 - Capital, company specialising in hypertension treatment, in LLC partnership with its Korean counterpart Hermes Israel Drugs Glaxo- UK The group to acquire 7% stake in Proteologics, a local 7.8 - Smith- start-up partially owned by Israeli Teva, and launch 6 Kline R&D programmes focusing on ubiquitin Israel Drugs Hermes- South The fund to acquire local InterCure, a company 0.95 - holdings Korea specialising in hypertension treatment, in partnership with its Japanese counterpart Bridge Capital Israel Drugs Roche Switzer The group to invest in 4 Israeli pharmaceuticals and 0.7 - -land biotechnological start ups in partnership with the Biomedix Incubator and the Pontifax fund

98

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Drugs SBI Japan The financial group to invest again in RNA interference 5.7 - Holdings (RNAi)-based drug development company Quark Pharmaceuticals, based in Weizmann Science Park Israel Drugs Soros USA Georges Soros' investment company to further invest in - - Fund the local firm Teva Pharmaceutical Industries Managt. Israel Drugs Sun India India's biggest drugmaker to eventually buy the 12.5% 29.5 - Pharma- stake held by Taro's founders, to reach a total share of ceutical 48.7% and voting rights of 65.8% Israel Drugs Tamares Liechte The private investment group to team up with Pontifax 5.25 - nstein to acquire Se-cure Pharmaceuticals, developer of a product for the management of menopause Israel Drugs Thomas, USA Three US private equity funds to purchase a stake in - - Mc- Galil, an Israeli specialist in surgical cryoablation Nerney & previously controlled by US investor Elron Partners Israel Drugs Yorkville USA The equity investment fund to to purchase a stake in 5 - Advisors BiondVax Pharmaceuticals, a local start-up developing universal flu vaccines Israel Electr. AGA USA The group to team up with local Tigo Energy to - - hardware establish a joint-venture specialised in solar energy, and plans to open a new plant in Israel Israel Electr. Alleghany USA The investment company of the group to take a stake in 10.9 - hardware / Petratech, a developer of innovative automated vehicle Alleghany identification systems Capital Israel Electr. Ascension USA The private equity fund to purchase a stake in Tel Aviv 7.1 - hardware Health headquartered company Cheetah Medical, a specialist Ventures of cardiac monitoring devices (AHV) Israel Electr. Bosch / Germa- The technology group's private equity fund to purchase 3.6 - hardware Robert ny a stake in local company Cheetah Medical, a specialist Bosch of cardiac monitoring devices Venture Capital Israel Electr. Broadcom USA The global leader to make its 7th acquisition in Israel 11.3 - hardware with Sightic Vista, a Netanya-based provider of Image Signal Processing hardware and software Israel Electr. Dell USA The computer manufacturer to acquire Exanet, an 9 - hardware Israeli start-up in bankruptcy, to turn it into its first research center in Israel in Raanana

99

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Electr. Dragon- Canada The provider of high-capacity ethernet solutions to 7.17 - hardware Wave acquire Axerra Networks, a tel Aviv based leader in pseudowire technology Israel Electr. General USA The group to further invest in Israel with the purchase 10.4 - hardware Electric / of Orbotech, a Yavne-based cardiology imaging GE technology provider Health- care Israel Electr. Goldman USA The investment bank to acquire a stake in Israeli 5.5 - hardware Sachs Mobileye, a Jerusalem-based developer of advanced driver assistance systems Israel Electr. Hewlett USA The group to expand its Yehud R&D center by adding - 200 hardware Packard around 200 employees for a new enterprise (HP) infrastructure management project Israel Electr. IBM USA The IT giant to acquire Israeli start-up Storwize, a real- 105.7 - hardware time data compression specialist now headquartered in Massachusetts Israel Electr. Inventec Taiwan The manufacturing group to invest in local company 2.4 - hardware Appliances Tigo Energy, which develops technologies enhancing photovoltaic solar array efficiency Israel Electr. JK&B USA The fund to invest in the Israeli startup EarlySense, 5 - hardware which develops patient managing system which monitors patients who are not in intensive care Israel Electr. Lantiq Germa- The company established in 2009 to acquire local 12.1 50 hardware ny company Metalink's IP and assets and to set up a technical competence center in Yakum Israel Electr. Lights- USA The fund to invest in photovoltaic solar energy 18.5 - hardware peed monitoring system Israeli start-up Solar Edge in team Venture with other venture capital firms Partners Israel Electr. Matrix USA The two funds to invest in local company Tigo Energy, 4.7 - hardware Partners; which develops technologies enhancing photovoltaic OVP solar array efficiency Venture Partners Israel Electr. Medtronic USA The medical technology giant to invest in local start-up 49.6 - hardware BioControl Medical, a heart specialist, with an option to acquire the whole company Israel Electr. Motorola USA The group to invest in relocating to new premises in 20 - hardware Airport City near Tel Aviv for its 1,000 employees

100

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Electr. MVM Life UK The private equity fund to purchase a stake in Tel Aviv 3.6 - hardware Science headquartered company Cheetah Medical, a specialist Partners of cardiac monitoring devices (MVM) Israel Electr. Nuance USA The provider of voice and language solutions to acquire 12.1 - hardware Communi the Israeli company PerSay, a Ra'anana based developer cations of voice biometric technologies Israel Electr. OrbiMed USA The healthcare-dedicated investment firm to invest in 1.8 - hardware the start-up superDimension, which develops minimally-invasive medical devices Israel Electr. Oxford USA The venture capital firm to invest in superDimension, a 1.8 - hardware Bioscience start-up which develops minimally-invasive medical Partners devices Israel Electr. Philips Nether- The electronic corporation to acquire medical picture 12 - hardware lands archiving and communications systems company CDP Medical, owned by local Medtechnica Israel Electr. Rho USA The private equity firm to take part in the capital 0.65 - hardware Capital increase of Israeli Celtro, which develops switching Partners solutions for mobile carriers Israel Electr. Roche Switzer The pharmaceutical giant to acquire Israeli company 120.8 - hardware -land Medingo, Elron Electronics' subsidiary specialised in the manufacture of insulin pump systems Israel Electr. Siemens Germa- The industrial giant to expand activities of Solel, the 50 150 hardware ny subsidiary it acquired in October 2009, and to create 150 jobs at Beit Shemesh facility Israel Electr. Sumitomo Japan Oxford Finance, the life science US subsidiary of the 11 - hardware / Oxford group, to invest insuperDimension, a startup Finance developing minimally-invasive medical devices Israel Electr. Tejas India India's largest telecom equipment company to acquire 18.2 - hardware Networks Israeli carrier Ethernet solutions start-up EthOS Networks (now Tejas Networks Israel) Israel Electr. Warburg USA Several venture capital funds to take part in the second 10.6 - hardware Pincus financing round of Israeli start up Enstorage, a developer of low cost energy storage systems Israel Electr. Yorkville USA The equity investment fund to to purchase a stake in 3.5 - hardware Advisors local company Mobile Max Technologies, a fixed mobile convergence technology developer Israel Electronic 3M USA The technology company to buy the firm Attenti,Tel 173.7 - components Aviv-based Attenti, the world's leading supplier of remote people-tracking technologies Israel Electronic Advanced USA The semiconductor manufacturer to acquire Israel's 3.79 - components Micro Graphic Remedy, an innovative software company Devices specialised in graphic programs

101

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Electronic Berkshire USA The electronics components maker to acquire Net-Aye - - components Hathaway Technologies, a specialized interconnect and LED / TTI distributor, subsidiary of the Bar-Tec group Israel Electronic Broadcom USA The semiconductor company to acquire Ra'anana-based 64.9 - components Percello which develops system-on-a-chip solutions for femtocells Israel Electronic Enablence Canada The SME specialised in optical components to acquire 37.8 - components Techno- Herziliya-based Teledata Networks, a provider of logies migration solutionsto Next Generation networks Israel Electronic Epistar Taiwan The LED wafers and chips manufacturer to invest in the 1.8 - components Ramat Gan-based start-up Oree, a specialist of optics technology Israel Electronic Intel USA The first semiconductor chip maker to invest heavily to 2022 1000 components expand its Kiryat Gat plant with the support of the Israeli government Israel Electronic Intel USA The group to acquire Israeli WiMAX fabless 22.6 - components semiconductor vendor Comsys, the 80 employees of which will join Intel R&D centres in Petah Tikva and Haifa Israel Electronic Intel USA The processor giant to acquire Israeli PC virtualisation 0.5 - components start-up Neocleus whose 15-20 employees will join Intel's Israel Development Center in Haifa Israel Electronic Intel / USA The semiconductor chip maker to lead a new financing 23.7 - components Intel round for flash memory technology provider Anobit, a Capital Herzliya based startup Israel Electronic Liberty USA The international provider of internet services to invest 9 - components Global in Israeli Multimedia chip company Celeno, a leader in the Wi-Fi applications Israel Electronic Oracle USA The group to acquire 10.2% stake in in Sunnyvale, - - components California and Yokneam, Israel based Mellanox, a supplier of end-to-end connectivity solutions Israel Electronic PMC- USA The company plans to buy semiconductor manufacturer 181 - components Sierra Wintegra, its second acquisition in Israel after Passave in 2006 Israel Electronic Qual- USA The manufacturer of mobile phone processors to 52.8 - components comm acquire Israeli iSkoot technologies, specialised in transmission of web services on mobile telephones Israel Electronic Rho USA The private equity firm to take part in capital increase of 2 - components Capital Israeli Lucid, a fabless semiconductor company Partners specialised in consumer electronic game

102

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Electronic Yorkville USA The private equity fund to purchase a stake in Migdal 17.7 - components Advisors HaEmek headquartered company JazzTower, an Israeli- US JV manufacturing chips Israel Energy ACC USA The holding's subsidiary ACC Ressources to win an oil - - Int'al and gas prospecting and exploration licence for the /ACC Shemen prospect in Israel Resources Israel Energy Adira Canada The company to win the northern section of the Hof - - Energy license through its local subsidiary Adira Energy Israel Israel Energy AES USA The power company to invest in partnership with 147 - Israeli holding Multimatrix to set up a 155 MW wind farm in the northern Golan Heights Israel Energy AGR Nor- The companyto win the Benjamin West offshore gas - - way exploration licence through its partnership with US businessman Larry Mizel's company Coleridge Israel Energy Alstom France The group to establish a 50-30-20 JV with Israeli Rotem - - Industries and Gefen to support innovation in the field of nuclear energy Israel Energy Cassal Austra- The company to win the southern section of the Hof - - Drilling lia license, located offshore near Ashkelon and Bat Yam Israel Energy Coleridge USA The company of the American businessman Larry Mizel - - to win the Benjamin West offshore gas exploration licence in team with Norwegian group AGR Israel Energy Geo- Canada The Indian branch of the company to acquire 10% of the 3.6 - Global offshore Myra and Sarah licenses from Israeli Resources companies Modiin Energy and Emmanuelle Energy Israel Energy Noble USA The operator and its local partners in the Tamar and 379 - Energy Yam Tethys concessions to invest strongly in exploration and development of current reserves Israel Energy Noble USA The Texas-based group to develop with local partners 2 63.8 - Energy more gas fields, Noa and Orr, offshore from Ashdod and Ashkelon Israel Energy Noble USA The Texas-based operator and its local partners to 43 - Energy launch in October 2010 a first exploration campaign on the Leviathan site (Rachel & Amit Licenses) Israel Energy Noble USA The operator and its local partners in the Tamar - - Energy concession to invest in a second gas terminal at Ashkelon, in addition to the current terminal at Ash Israel Energy Rig Switzer The group to win an oil and gas prospecting and - - Builders -land exploration licence for the Gurim prospect in Israel Contract.

103

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Energy Siemens Germa- The group to invest to expand activities of its solar 36.5 150 ny subsidiary Solel Solar Systems, acquired in 2009 and renamed 'Siemens CSP' Israel Energy Solaer Spain The SME to establish a photovoltaic subsidiary in Ness - - Ziona, 'Solaer Israel', which seeks to reach 10% market share within five years Israel Energy Veolia France OC Power, a 80/20 JV of Israel Corporation and Veolia, 66.6 - Environne is building a 440 MW gas power plant in Mishor Rotem, ment due to open by the end of 2012 Israel Energy Zhejiang China The industrial group to acquire 30% stake in 7 - Sanhua HelioFocus, a local solar thermal system developer, thus implementing the first Chinese FDI in Israel Israel Energy Zorlu / Turkey Dorad Energy, a 25% subsidiary of the group with 112.53 - Zorlu Israeli partners, to build a 860 MW-combined cycle Enerji plant in Ashkelon, due to open in 2013 Israel Cement / Arjo- France The paper manufacturer to acquire 30% stake in 1.8 - glass / wiggins Bsecure, a subsidiary of the Israeli public company materials Pitkit Prinding specialised in secure printing Israel Cement / Essilor France The group specialised in optical glasses to acquire 50% 96.3 - glass / of Shamir Optical Industry while the Kibboutz Shamir, materials holds the remaining 50% stake Israel Cement / Guardian USA The group to set up another Phoenicia factory in the 44.2 340 glass / Industries Tsippori industrial zone which will adress global materials demand in glass products for solar panels Israel Mechanics / Deere & USA US manufacturer of farm equipment to acquire Beit 10.2 - machinery Company Hashita Metal Industries - BHC, a manufacturer of spare parts for cotton harvesters and machinery Israel Mechanics / KLA- USA The fund and its fellow company Battery Ventures to 0.95 - machinery Tencor invest in DigiFlex, a developer of low-cost flexographic printing plates Israel Other or not Lingo Canada The education products and services company to 3.8 - specified Media acquire Kfar Saba based Q Group, a developer of language-learning solutions Israel Other or not PLSG USA The Pittsburgh-based life science fund to invest in 1.62 - specified Israeli IV catheter company Flexicath, which graduated from the Misgav incubator Israel Other or not Solta USA The medical device system manufacturer to acquire 3.96 - specified Medical Aesthera Corporation, an Israeli company specialising in skin treatment Israel Other or not Spark USA The venture fund focusing on the media and 0.83 - specified Capital entertainment industries to invest in Israeli online video advertising platform AdapTV

104

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Public works Foncière France The real estate company to launch construction of - - / real estate Volta 12.000 sqm of offices in Tel-Aviv Israel Public works Hershey Canada The Canadian billionaire to buy the the Motza Arza 30 - / real estate Friedman complex near Jerusalem so as to build 218 garden apartments Israel Public works NMMM USA The real estate company to acquire a lot in Ramat Gan 10.3 - / real estate Global / to develop a project including a residential building, Moshe commercial space and a museum Mor Israel Public works Tidan Canada The real estate company to acquire local earthquake 110 - / real estate retrofit specialist Kriger Real Estate Innovations in team with other US and Canadian investors Israel Telecom / Apax UK Israeli Bezeq, owned at 40,66% by the British investment - - internet Partners group, to get triple play permit for landline, cellular, and Internet services Israel Telecom / AT&T USA The telecom giant to open an innovation centre in - - internet Ra'anana at the headquarters of the Israeli subsidiary of its American partner Amdocs Israel Telecom / Dialogic USA The company specialising in interactive mobile video - - internet Corp. services to merge with Petah Tikva basedl Veraz Networks, under the Dialogic banner Israel Telecom / Patrick France The businessman to up its stake in cable TV Hot from 176.6 - internet Drahi - 44% to 66% by acquiring a 6% stake from Fishman Cool Holdings and 13.2% from Yediot Communications Holding Israel Transport / HSBC UK The investment bank to acquire 10% stake in Better 90 - logistics Place, the Californian sustainable mobility company to develop an electric car project in Israel Israel Transport / UPS USA Global delivery services giant to open a 5,000 sqm 1.95 - logistics logistics centre in Shoham to work in tandem with its sorting facility at Ben Gurion Airport Israel Transport / Charles UK The private equity fund to invest in Israeli start-up 6.7 - logistics Street Mapal Green Energy to support its sewage treatment Securities technique Europe Israel Transport / Hutchison China The group to build Israel's fourth desalination plant in 186 392 logistics Whampoa Sorek under a BOT contract in a 49-51 joint-venture / with Israeli IDE Technologies Hutchison Water Israel Transport / Jain India The manufacturer of drip irrigation to expand the 3.7 - logistics Irrigation capacity of its Israeli plants, following the acquisition of Systems 50% of Na'an Dan company in 2007

105

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Transport / Pond UK The fund to invest in team with Israel Cleantech and 1.2 - logistics Venture Plan B Ventures in Emefcy, an Israeli start-up developing energy production from wastewater Israel Transport / Stern Canada The group to become a a shareholder in AquAgro, an - - logistics Partners Israeli fund specialised in irrigation technologies, to invest in more mature local companies Jordan Agri- Japan Japan The group's subsidiary, JTI Holland Food and Beverage, 15.85 - business Tobacco / to set up a tobacco and beverage manufacture in Na'oor, JTI 20 km south of Amman Jordan Banking / Al Rajhi Saudi The Islamic bank to open the first branch of its Jordan - - insurance Bank Arabia subsidiary before November 2010, one year after receiving its license Jordan Banking / Blom Leba- The second top bank in Lebanon to open two more - - insurance Bank non branches in Jordan by April 2011 Jordan Banking / EFG- Egypt The investment bank to buy 'Tadawol for securities and 3.92 - insurance Hermes financial services', a Amman-based brokerage firm to be renamed EFG-Hermes Jordan Jordan Banking / Global Switzer The investment fund to become a strategic shareholder 158 - insurance Emerging -land in local investment company UAIC and in Taameer, Markets Jordan's largest real estate company (GEM) Jordan Banking / National United The UAE-based bank to inaugurate its first Jordanian - - insurance Bank of Arab subsidiary Abu Emirates Dhabi (NBAD) Jordan Banking / World USA The private investment arm of the World Bank to invest 2.2 - insurance Bank / in Jordan's microfinance institution Tamweelcom to IFC help finance sustainable energy projects Jordan Bio- LG South The electronic giant to set up an Amman-based - - technologies Electro- Korea subsidiary, LG Life Sciences (LGLS), specialised in nics bioresearch and dedicated to the MENA region Jordan Automotive Al-Kasid Iraq The group to establish a 50-50 joint-venture with - - industry Egyptian GB Auto in a Jordanian free zone to distribute Hyundai cars in Iraq Jordan Data Intel / USA The semiconductor chip maker to further invest in - - processing / Intel Jordan-based Jeeran, an online networking platform, software Capital and ShooFeeTV, a free online Arabic TV guide Jordan Data KBIC / United The local subsidiary of UAE-based IT group Kulacom to - - processing / Kulacom Arab inaugurate a 300 sqm Datacenter using the most software Jordan Emirates modern ERP systems

106

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Jordan Data Microsoft USA The software company to enhance its presence in Jordan - - processing / by hiring new staff and moving into a new office at the software King Hussein Business Park in Amman Jordan Data Yahoo! USA The famous web search engine to open a regional office - - processing / in Amman after acquiring in 2009 Maktoob.com, the software leading online community in the Arab world Jordan Distribution GB Auto Egypt The group to establish a 50-50 joint-venture with Iraqi - - / retail Al-Kasid in a Jordanian free zone to distribute Hyundai cars in Iraq Jordan Distribution Spinneys United The Middle East retail chain to set up its first Jordanian - - / retail Arab store in Amman, at Al Taj Mal, due to open toward the Emirates end of 2010 Jordan Electr. Hewlett USA The group to open a subsidiary and a regional - - hardware Packard competency centre in Jordan to service the wider (HP) Middle East, Mediterranean and Africa (MEMA) region Jordan Electr. LG South The electronic giant to inaugurate a new mobile - - hardware Electro- Korea software research and development centre at King nics Hussein Business Park, near Amman Jordan Energy Eesti Estonia The group specialising in oil-shale is willing to locally 3540 - Energia / produce 40,000 barrels/day by realising large-scale Oil Shale investments by 2020 Energy of Jordan Jordan Energy Eesti Estonia The company, engaged in the exploration of an oil-shale 1000 - Energia / deposits in south of the kingdom, is to build an oil-shale Oil Shale fuelled power plant in BOT Energy of Jordan Jordan Cement / Arab- Spain The Spanish group specialised in the manufacture of 0.19 - glass / Spanish minerals to establish an engineering company in Jordan materials Company with a paid up capital of 250,000 USD for Manu- facturing Minerals Jordan Cement / Areva / France The company to sign an agreement to launch 444 - glass / Jordanian production in the uranium deposits discovered in 2008 materials French and to set up a training centre for local engineers Uranium Mining Jordan Other or not Abraaj United The SME investment fund of the major investment - - specified Capital Arab management company to take participations in Emirates d1g.com, an Arabic online portal

107

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Jordan Telecom / KBIC / United The local subsidiary of UAE-based IT group Kulacom to - - internet Kulacom Arab further invest in Jordan with the purchase of local Jordan Emirates Internet service operator Stream Jordan Tourism / Ewan United The Dubai-based hotel group to launch a tourism resort 11.32 - catering Arab project in Jordan Emirates Jordan Tourism / IPIC / United The fund to develop the Dead Sea Resort Spa, due to 33.5 - catering Aabar Arab open in 2013 and to be managed by Hilton, in joint Emirates venture with Jordanese company DSC Jordan Transport / Air United The low-cost carrier to establish a joint-venture with 18 - logistics Arabia Arab local Tantash group to set up Air Arabia Jordan, the Emirates first low-cost airline in the country Jordan Transport / City Kuwait Kuwait's public transportation company to acquire a 15 - logistics Group 51% stake in Autobus (Comprehensive Multiple Transport Company) of Amman Leba- Banking / Arqaam United The investment company to set up a Middle East equity - 100 non insurance Capital Arab research division in Beirut to employ 100 people Emirates Leba- Banking / EFG- Egypt The Levant's first investment bank to purchase 65% of 395 - non insurance Hermes Crédit Libanais, with an option to buy an additional 25% interest by 2012 Leba- Banking / Qatar Qatar The semi-public bank to be receive approval to open a - - non insurance National full service branch in the country, which will be based Bank in Beirut (QNB) Leba- Banking / World USA The private investment arm of the World Bank to 71.4 - non insurance Bank / acquire a 8% stake in Lebanon's Byblos Bank in order to IFC foster access to finance for SMEs Leba- Banking / Zurich Switzer The Swiss-based firm to take control of Compagnie 74 - non insurance Financial -land Libanaise d'Assurances to accelerate its expansion Services throughout Middle East and Gulf markets Leba- Consulting / Servcorp Austra- The provider of prestigious serviced and virtual office - - non engineering lia solutions to open its first business centre in Beirut Leba- Data Intel / USA The semiconductor chip maker to invest in UK and - - non processing / Intel Lebanon-based Nymgo, a provider of end VoIP services software Capital Leba- Distribution Majid Al United The group to develop the City Centre shopping mall in 580 - non / retail Futtaim Arab the Southern suburb of Beirut, Hazmieh, which will (MAF) Emirates include a Carrefour hypermarket Leba- Electr. Schneider France APC, the group's subsidiary specialised in integrated - - non hardware Electric critical power and cooling services, to open an office for Lebanon, Jordan and Irak in Beirut

108

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Leba- Energy Qatar Qatar The 80-20 JV between the Qatari group and French - - non Petroleum Total to open a plant in Tripoli Free zone to supply / Qapco ethane gas and NLG to Lebanon and Libya Leba- Other or not Assist USA The provider of global emergency medical services for - - non specified America travelers to set up a subsidiary for the MENA region in Beirut Leba- Other or not Cisco USA The telecom equipment firm to launch an Entrepreneur - - non specified Systems Institute in Lebanon in partnership with Amideast, an American educational organisation Leba- Telecom / Zain Kuwait The telecommunications group subsidiary to open 15 - - non internet (MTC) new outlets in Lebanon and to expand its service portfolio Leba- Tourism / Hospitality United The hospitality group to unveil its first Coral Hotels & - - non catering Managem Arab Resorts property in Beirut under the name of Coral ent Emirates Suites Al Hamra Holdings (HMH) / Coral Int'al Leba- Tourism / Kem- Switzer The hospitality chain to open in 2012 a new 5-star hotel 110 221 non catering pinski -land in Beirut's city centre, the Summerland, with the Hotels support of an incentive package from IDAL Leba- Tourism / One to United The young business hotel group to open its second hotel - - non catering One Arab located in Dhour Choueir in Lebanon Hotels Emirates Libya Banking / Ahli Bahrain The commercial and investment bank to acquire a 40 % 19.4 - insurance United stake in Libya's United Bank for Commerce & Bank Investment (UBCI) through a capital increase Libya Banking / Amen Tunisia Tunisia's second private bank to set up a leasing - - insurance Bank subsidiary in Libya Libya Banking / Arab Bahrain The group to acquire 49% ownership stake in Benghazi- 44 - insurance Banking based Mediterranean Bank and to sign a management Corp.( agreement Libya Banking / ARIG Bahrain The regional reinsurance provider to open an office in - - insurance the country to enhance its services for Libyan and Maghrebian customers Libya Banking / BNP France The bank to inject funds in a 146 percent capital increase 42 - insurance Paribas by its Libyan affiliate Sahara Bank, in which it holds a 19 percent stake Libya Consulting / Bam Nether- The construction group to set up 'Tebodin Libya' - - engineering lands engineering company in a 60-40 joint-venture with local Petroleum & Chemicals Consultancy

109

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Libya Electr. Honey- USA The technology & manufacturing firm to partner with - - hardware well local Rida Technical Services to form the automation JV Libya Technical Engineering Libya Energy Dow USA Libya's National Oil Corporation and The Dow 73 - Chemical Company form a JV to expand the Ras Lanuf petrochemical complex Libya Energy Hess USA The group to get a 5 year extension of its exploration - - and production licence for the Area 54, located 480 kilometres off the coast in the Sirte basin Libya Energy Medco- Indo- The group to further invest in exploration activities in 28.3 - Energi nesia Area 47 in Ghadames Basin, as the block operator for exploration activity since April 2010 Libya Energy RWE / Germa- The company to ink a partnership agreement with local 3 - RWE Dea ny NOC for the exploration of 3 new oil blocks by 2015 in a 32-68 JV Libya Metallurgy Al Sharif United The group to establish a 40-60 JV with two Libyan - - Group Arab institutional investors, Libyan Aluminum Co., to set up Emirates an aluminium plant in the country Libya Metallurgy El Sewedy Egypt The Arab world's biggest listed producer of cables to set 20 - Cables up a plant in Libya in 55-45 joint-venture with Libyan partners Libya Public works Al United The 50/50 JV between the Emirati company and the 132 - / real estate Maabar Arab Libyan Investment and Development Company to Int'al Emirates launch the Al Waha development project in Tripoli Invest- ments Libya Public works Qatar Qatar The property developer to re-launch the 'Waterfront' 657.7 - / real estate Investmt. mixed-use project in Tripoli in team with the Libyan Authority Economic and Social Development Fund (QIA) / Diar Libya Tourism / Corinthia Malta The hotel group to invest in the extension of City Palm, - - catering 20 km away from Tripoli, through MIH, its JV with Kuwait National Real Estate Company Libya Tourism / Kuwait Kuwait The real estate firm to invest in the extension of City - - catering Real Palm, 20 km away from Tripoli, through MIH, the JV Estate established in 2006 with Maltese Corinthia Company Libya Tourism / Rixos Turkey The Turkish hospitality group to open the Rixos Al - - catering Nasr in Tripoli, its first hotel on the Southern shore of the Mediterranean

110

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Libya Transport / Militzer & Switzer The group to establish M&M Libya in 51/49 JV with - - logistics Münch -land Libyan Tegerhy International Shipping, to develop (M&M) overland road transport services Malta Energy SunPower USA The solar electric power technology provider to acquire - - / Sunray Maltese company Sunray to expand its activities in Europe and in Med countries Malta Transport / Ryanair Ireland The low cost airline to open its 41st base at Malta in 50 800 logistics May 2010 with one based aircraft and 19 routes, thus sustaining 800 jobs Moroc- Aeronautics Safran / France The group to expand its Casablanca aircraft motors - - co / ships / rail Snecma maintenance facility jointly owned in a 51/49 JV with Morocco Moroccan RAM thanks to a new contract Engine Services Moroc- Agri- Alshall Kuwait The equity fund to aquire Laayoune-based Alpha - - co business Atlantique du Sahara Marocaine, a manufacturer of veterinary food Moroc- Agri- Driscoll's USA The California-based berry leader to acquire Spanish - - co business Alconeras, including its Souk El Arbaa-based branch Alconera Morocco Moroc- Agri- Metarom France The family SME business to establish a subsidiary in - - co business Rabat, 'Metarom UMA' equipped with a laboratory to develop artificial aroms Moroc- Banking / Al Jazea Saudi The group to partner with the New Zealander 5.2 - co insurance Arabia Contractors Bonding to establish a new insurance company in Morocco Moroc- Banking / Aurea Spain The real estate investment company to team up with - - co insurance Deutsche Bank's local subsidiary RREEF to create a JV to develop industrial parks in Morocco Moroc- Banking / Axa France The group to hire 1500 additional employees in its - 1500 co insurance Casablanca offices by 2012 after relocating part of its activities in Morocco Moroc- Banking / BNP France The banking group to team up with its subsidiary BMCI - - co insurance Paribas to set up BMCI-BNP Paribas Banque Privée, a private bank aiming to serve a wealthy clientele Moroc- Banking / Contrac- New- The insurer to establish an insurance company in 5.2 - co insurance tors Zealand Morocco in JV with the Saudi Al Jazea group Bonding Moroc- Banking / Deutsche Germa- The group's local subsidiary to team up with Spanish - - co insurance Bank / ny Aurea Real Estate to establish a joint-venture to develop Rreef industrial parks in Morocco

111

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Banking / Europa France The firm to set up a subsidiary in Morocco, named - - co insurance corporate Financing access Maroc (FAM), to provide financing business services for Moroccan SMEs group (ECBG) Moroc- Banking / Western USA The money transfer company to expand its network in - - co insurance Union Morocco by opening 2000 stores throughout the country over the past 15 months Moroc- Banking / Zurich Switzer The insurance-based financial services provider to open - - co insurance Financial -land new headquarters in Casablanca, Morocco, where it Services plans to expand significantly its activities Moroc- Automotive Denso Japan The group to set up a subsidiary in Tangiers, DENSO 12.56 89 co industry Thermal Systems Morocco, and a car air conditioning systems manufacture to be operational by 2011 Moroc- Automotive Divmac Portu- The automotive supplier to establish a joint-venture 0.5 40 co industry gal named MST Free Zone with Pinto Brasil and to set up a plant the Tangier Med Zone in Morocco Moroc- Automotive FSD / France The manufacturer of metal components for the 6 250 co industry Snop automotive industry to set up a factory in Tangier Free Zone and to hire 250 people Moroc- Automotive Inergy France The industrial JV to build a factory in Tangier, due to 6 200 co industry Auto- open in July 2010, to supply fuel-delivery systems to motive Renault-Nissan, its main client Systems Moroc- Automotive Pinto Brazil The automotive supplier to establish a joint-venture 0.5 40 co industry Brasil named MST Free Zone with Pinto Brasil and to set up a plant the Tangier Med Zone in Morocco Moroc- Automotive Proinsur Spain The specialist in plastic injection and automobile 3 50 co industry equipments to set up a manufacturing plant in the Tanger Free Zone employing 50 people Moroc- Automotive Renault France NCRA, the group's Moroccan subsidiary, to inaugurate 1.4 - co industry its new logistic centre in Marrakech for its Renault and Dacia brands Moroc- Automotive Takata Japan The manufacturer of airbags and safety systems to set 5.9 125 co industry up a plant in Tangier Free Zone, hiring 125 employees Moroc- Automotive Viza Spain The car seat manufacturer to set up a plant in Melloussa 5.95 150 co industry free zone after winning a supply contract to the Renault factory in Tangiers Moroc- Automotive Yazaki Japan The automotive supplier to set up a second cable 21.2 1600 co industry factory, near Kenitra, which will employ 1600 workers

112

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Chemistry / Ez Street USA The group to invest through its Moroccan JV Best 0.46 - co plasturgy / Int'al / Bitume to set up a cold asphalt manufacturing plant in fertilizers Best Ben Slimane Bitume Moroc- Consulting / Boston USA The famous business strategy consultancy to open its - - co engineering Consulting first African office in Casablanca, in order to get closer Group to emerging African companies Moroc- Consulting / Cap- France The famous consulting firm to reinforce its position in - 260 co engineering gemini Morocco with new headquarters in Casanearshore and a two-year recruitment programme Moroc- Consulting / Data Base France The CRM specialist to acquire a second Moroccan call - - co engineering Factory center, B2M, a 300-position platform also located in Casablanca Moroc- Consulting / Decisio- Spain The engineering firm dedicated to seismic studies and - - co engineering nes systems to establish Seismodyn DG, a Casablanca-based Geocons- subsidiary tructivas Moroc- Consulting / Egis France The fully-owned subsidiary of CDC to inaugurate a - - co engineering new office in Rabat for the follow up of the Kenitra - Tanger high-speed rail line project Moroc- Consulting / Geocible France The consulting firm specialised in geolocation to 0.11 - co engineering establish a subsidiary in Casablanca, 'Almageo', in partnership with local investment fund Dayam Moroc- Consulting / ICCM China The Hong Kong-based company to acquire half of the 2.3 - co engineering stake in OIP, a leading contracting and engineering company in Morocco Moroc- Consulting / Layher Germa- The European manufacturer of modular scaffolding - - co engineering ny systems to set up a subsidiary in Casablanca to market its products in Morocco and Maghreb countries Moroc- Consulting / Microplan France The infography company specialised in geographic - - co engineering information system solutions to set up a subsidiary in Casablanca Moroc- Consulting / Oak USA The company that helps firms to export especially in - - co engineering Overseas Asian countries to address MENA markets and set up a branch in Morocco Moroc- Consulting / Onet France The group to set up Telem Maroc, a Casablanca-based - - co engineering subsidiary specialised in security for electronic banking, and to open 5 branches in the country Moroc- Consulting / SGS Switzer The verification and certification company to raise 2.7 - co engineering -land capital of its subsidiary SGS Aman'Auto and to reach a 100-centre network by the end of 2010

113

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Consulting / Webhelp France The group specialised in customer relationship 2.5 1000 co engineering management to open two new Moroccan call centres in Kenitra and Technopolis technological park in Rabat Moroc- Data BizLab Portu- The Iberian leader in web services of webdesign and - - co processing / gal marketing to set up a subsidiary in Morocco in team software with Casablancan Olymp Communication Moroc- Data Mentor USA One of the largest providers of electronic design 0.52 100 co processing / Graphics automation services to open a subsidiary in Rabat and software hire 10 engineers so as to start Moroc- Data Safran / France The defense and security group to raise the capital of its 0.22 100 co processing / Sagem R&D subsidiary Sagem Sécurité Maroc (SSM) and to software create 100 new jobs by 2012 Moroc- Distribution Adi Spain The distributor of chemical products to open its third 0.4 - co / retail foreign subsidiary in Casablanca which will focus on construction, painting and textile sectors Moroc- Distribution Bigmat France The supplier of building materials to set up its first non- 6.3 - co / retail European subsidiary in Morocco and to open a store in Great Casablanca, near Zenata Moroc- Distribution Birlesik Turkey The retail giant which entered the Moroccan market in 4.7 - co / retail Magazala 2009 to open 40 new hard discount stores in 2010 (BIM) Moroc- Distribution PPR / France The company specialised in car distribution to acquire - - co / retail CFAO Siab, French car maker Renault's local subsidiary and exclusive dealer of Nissan in Morocco Moroc- Distribution Univar Nether- The leading chemical distributor group to establish a - - co / retail lands subsidiary in Morocco to distribute American Dow Corning products to the growing local market Moroc- Drugs Merck USA The pharmaceutical company to raise capital of its 0.2 - co Casablanca-based subsidiary, MSD Maroc, in order to finance a new investment programme Moroc- Electronic Lear USA The automotive supplier to set up a wire factory 12.5 500 co components dedicated to export in the Rabat-Sale Technopolis, due to open in January 2011 Moroc- Electronic Sony Japan The manufacturer of electronic devices to open a - - co ware showroom in Casablanca, and soon launch 5 other openings throughout the country Moroc- Energy Circle Oil Ireland The company to win two new exploration permits in - - co / Circle the 'Lalla Mimouna' area in the Gharb basin in a 75-25 Oil Maroc JV with national office ONHYM Moroc- Energy GDF Suez France The power generation company to win the concession 300 - co / Int'al to build and operate a 300 MW wind farm in Tarfaya in Power JV with local Nareva, an affiliate of ONA

114

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Energy GDF Suez France The power generation company to win the BOT contract 1130 - co / Int'al for a 1360 MW clean coal plant in Safi in consortium Power with ONA's affiliate Nareva Moroc- Energy Solaire- France The solar electricity producer to set up its third foreign 1 - co direct subsidiary in Casablanca, after choosing South Africa and India Moroc- Energy Taqa United The energy company to build two additional electrical 877 - co Arab units in Jorf Lasfar, through its local subsidiary Jlec 5&6, Emirates in partnership with ONE Moroc- Cement / Holcim Switzer The provider of cement and concrete to invest to double 129 100 co glass / -land the production in its Ras El Ma plant near Fès within 18 materials months Moroc- Cement / Kasbah Austra- The group to invest in the Achmmach tin deposit 1.5 - co glass / lia exploration project in El Hajeb province with the help of materials IFC, the World Bank's private sector arm Moroc- Metallurgy Aliberico Spain The group to establish a 51-49 JV with Aluminium du 3.06 - co Maroc, named Alucoil, and plans to set up a new production line by 2012 Moroc- Other or not Caisse France The group to invest in Moroccan free press group - - co specified d'Epargne Geomedia through the AlterMed Maghreb fund managed by its subsidiary Viveris Management Moroc- Other or not Ecole Switzer The famous hotel school to open its doors in Casablanca 0.45 - co specified Hôtelière -land thanks to a partnership with local investor K2 de Corporation Genève Moroc- Public works Abu United The Emirati fund for development to continue its action 3.59 - co / real estate Dhabi Arab in Morocco by investing in a housing project and a Fund for Emirates school in Asilah Developt. (ADFD) Moroc- Public works Dubai United The funds, owned 30% by Dubai Holding and 70% by 108 - co / real estate Holding / Arab CDG, to invest in the construction of the towers of Sama Emirates ‘Portes Océanes' in Casablanca Marina project Dubai Moroc- Public works Fives France The company specialised in turnkey plant construction - 20 co / real estate to establish a subsidiary in Tanger free zone to provide services to Renault among others Moroc- Telecom / France France The telecommunications company to buy 40% stake in 640 - co internet Telecom / Meditel, Morocco's second mobile operator from its Orange Moroccan shareholders CDG et FinanceCom Moroc- Telecom / Keyyo France The VoIP provider to acquire the remaining shares in - - co internet Bladiphone, so far a 42-58 JV with local Wana, to expand its services in the Maghreb region

115

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Telecom / Telefonica Spain The group's subsidiary specialising in BPO to hire 600 - 600 co internet / Atento people in 2010, reaching the number of 3000 local Maroc employees in its Moroccan call centres Moroc- Telecom / Zain Kuwait The group and its fellow company Al Ajial to invest 80 - co internet (MTC) jointly with ONA to expand the services of the mobile telecom operator Wana, now rebranded as Inwi Moroc- Tourism / Abu United The Emirati fund for development to invest in a 2.5 - co catering Dhabi Arab museum to promote tourism in Asilah Fund for Emirates Developt. (ADFD) Moroc- Tourism / Accor / Bel- The hospitality group to inaugurate its new hote in 20.5 88 co catering Risma gium Essaouira, Sofitel Mogador Golf & Spa, owned by local Risma group, in which it holds 35% stake Moroc- Tourism / Barwa Qatar The real estate group to renovate Tangiers's Tazi palace 40.5 200 co catering Real and its gardens for a luxury tourism project which will Estate create 200 permanent jobs Moroc- Tourism / Caisse des France The group to win a BOT contract to build and manage 197 - co catering Dépôts et the 'Sindibad by Walibi' amusement park near Consignat Casablanca in team with four Moroccan partners ions (CDC) Moroc- Tourism / Exotic UK The property developer to invest in a tourism and 71.5 - co catering Property residential complex in Cabo Negro near Tetouan, the Sales 'Playa Vista Primera' Moroc- Tourism / Fadesa Spain The property developer to invest in 3 new beach clubs - - co catering in the Mediterrania Saïdia resort, a tourism complex it developed in 2003 Moroc- Tourism / Frameliris France The investment company to acquire French casino - - co catering company SFC's stake in the Agadir Mirage casinon Moroc- Tourism / Massaleh Kuwait The real estate group's subsidiary Pearl One to build 18 - co catering Developt. two 3 star hotels in Tangiers and Marrakech to be / Taameer managed by American group Ramada Hospitality Morocco Moroc- Tourism / Mawared Jordan The group to invest in the Casablanca Marina project 45 - co catering through the 'Major Holding', a 50-50 JV with CGI, Moroccan CDG's real estate subsidiary Moroc- Tourism / Sienna UK The Guernsey-based fund to invest in a luxury resort in 75.49 - co catering Investmt. Cabo Negro near Tetouan, to be managed by the famous hospitality group Ritz Carlton

116

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Tourism / Splendid Tunisia The tour operator specialised in online booking to 0.8 - co catering Tour / establish a subsidiary in Morocco, Traveltodo Maroc, in Travel- order adress the South-South tourism market todo Moroc- Tourism / TourMaG. France The first French-speaking portal for tourism 0.05 2 co catering com professionals to open a branch in Morocco to launch TourMagMaroc.com Moroc- Tourism / TUI / RIU Germa- The hospitality chain to build two additional hotels in - - co catering Hotels & ny Agadir and one in Marrakech in 2011 in joint venture Resorts with its Moroccan partner Tikida Moroc- Transport / Kone- Finland The group to purchase Moroccan company Techniplus, - - co logistics cranes a port engineering firm with 120 employees Moroc- Transport / National Spain The Spanish subsidiary of the English group to win a 18.12 450 co logistics Express / 15-year contract to operate urban bus services in Agadir Alsa Moroc- Transport / Urbanos Portu- The logistics and transportation group to establish a 3.15 28 co logistics gal subsidiary to become its logistics base in Casablanca, in a 70-30 JV with a local company Moroc- Transport / Veolia France The company to increase capital of its 51% controlled 4.5 - co logistics Environne subsidiary Stareo, which manages a urban ment / transportation contract in Rabat Stareo Moroc- Transport / GDF Suez France The group's local subsidiary to develop an outlet to 125.4 - co logistics / Lydec provide wastewater pre-treatment and protect the coast between Casablanca and Mohammedia Moroc- Transport / GDF Suez France The group's local subsidiary to set upt eight new 12.3 - co logistics / Lydec drinking water tanks between 2010 and 2025 to support the increase in local demand Moroc- Transport / GDF Suez France The group's local subsidiary to build 3 wastewater 5.2 - co logistics / Lydec treatment plants in Casablanca, of which the Médiouna one in a 41-59 JV with local Fonds de travaux Moroc- Transport / Veolia France The local subsidiary of French Veolia to fully renovate - - co logistics Environne 10 of its 24 Rabat branches under its concession contract ment / Redal Pales- Banking / ISLA Jordan The leading surveyor and loss adjuster company - - tine insurance operating in the Levant to open a subsidiary in Ramallah Syria Agri- Venezuelan Venezu The State establishment forms a 50-50 JV with the - - business Agri- ela Syrian Organization for Food Industries (GOFI) to culture produce olive oil and export it to Venezuela Est.

117

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Banking / Abdul Saudi The micro-finance institution to obtain a license to - - insurance Latif Arabia operate in Syria, where it already funded community Jameel projects in the city of Tartoos (ALJ) / Bab Rizq Jameel (BRJ) Syria Banking / Aga Khan Switzer The microfinance arm of the group to open a branch in - - insurance Developt. -land Syria with a first office in the Maysat area in Northern Network / Damascus Aga Khan Agency for Micro- finance Syria Banking / AGFUND Saudi The organisation founded by Prince Talal Bin Abdul - - insurance Arabia Aziz Al Saud to create a 'bank for the poor' with partners from the private sector Syria Banking / Arab Jordan The banking group to contribute in the capital increase 14.7 - insurance Bank of Arab Bank-Syria, in which it holds a 49% stake, in partnership with Syrian businessmen Syria Banking / Arab Leba- The group to obtain a formal licence to create a financial - - insurance Finance non services company in Syria Corporati on (AFC) Syria Banking / Audi Leba- The Lebanese bank to receive approval to start - - insurance Saradar / non providing securities brokerage services through its Bank subsidiary Audi Capital Syria Audi Syria Banking / Bank Iran The financial group to take a 25% interest in Aman, a 6 - insurance Saderat Syrian-Iranian bank recently approved by the Iran (BSI) governement Syria Banking / Banque Leba- The shareholders of Banque Bemo Saudi Fransi (BBSF), - - insurance Bemo non in which Bemo holds a 22% stake, to increasing the capital by reassigning undistributed profits Syria Banking / Banque Egypt Egypt's second largest state-owned bank and its 107 - insurance Misr Lebanese subsidiary to open a subsidiary in Syria in a 60-40 joint-venture with Syrian investors Syria Banking / Blom Leba- The second top bank in Lebanon to open four new - - insurance Bank non branches in Syria, thus expanding its network to reach 27 branches

118

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Banking / Blom Leba- The banking group to acquire the entire 10% stake of 19.6 - insurance Bank non the IFC in Bank of Syria and Overseas (BSO), bringing its overall stake to 49% Syria Banking / Byblos Leba- The locale subsidiary of the bank to open a new - - insurance Bank non customer service centre in Damascus to respond to its customers' calls and queries Syria Banking / Crédit France The shareholders of Banque Bemo Saudi Fransi, in - - insurance Agricole / which BSF holds a 27% stake, to increasing the capital Banque by reassigning undistributed profits Saudi Fransi Syria Banking / EFG- Egypt The investment bank to set up a subsidiary in 2.5 - insurance Hermes Damascus, EFG Hermes Syria, in a 70-30 JV with Syrian businessman Firas Tlass of MAS Economic Group Syria Banking / FFA Leba- The 49%-owned subsidiary of the financial group to - - insurance Private non receive approval from the Syrian Commission on Bank Financial Markets to operate as a consultancy firm Syria Banking / Ghadir Iran The investment company to take a 16% interest in 3.9 - insurance Investmt. Aman, a Syrian-Iranian bank recently approved by the governement Syria Banking / Kipco / Kuwait The investment holding to participate in the increase to 18.3 - insurance United SYP 5 billion of Syria Gulf Bank's capital, its 49%-owned Gulf Bank affiliate Syria Banking / Qatar Qatar The subsidiary in which the islamic bank holds a 30% 11.7 - insurance Int'al stake to raise its capital and relocate its headquarters at Islamic the Eighth Gate in Yaafour Bank (QIIB) / Syrian Int'al Islamic Bank (SIIB) Syria Banking / Qatar Qatar The group to increase from 49% to 55% its stake in 82.3 - insurance National QNB-Syria, in parallel with the latter's capital increase Bank and its listing on Damascus Bourse (QNB) Syria Banking / Qatar Qatar The local subsidiary of the Islamic bank, which opened - - insurance National its first Syrian branch in 2009, to receive approval to set Bank up a brokerage firm (QNB)

119

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Banking / Qatar Qatar QNB-Syria, in which the group now owns a 55% stake, - - insurance National to open 15 new branches by 2010 after the first opening Bank in Damascus in November 2009 (QNB) Syria Banking / Saipa Iran The car maker to take a 8% interest in Aman, a Syrian- 1.9 - insurance Iranian bank recently approved by the governement Syria Automotive Porsche Germa- The famous car manufacturer to open its first sales and - - industry ny service centre in Damascus, in partnership with local Karkour Trading Syria Chemistry / Air France The supplier of industrial gases to open a production 20 - plasturgy / Liquide unit of oxygen, nitrogen and argon at the Industrial City fertilizers of Adra for the Levant markets Syria Consulting / Ferrovie Italy The State-owned rail firm will establish a consulting - - engineering dello and engineering company with its Syrian counterpart to Stato develop local and regional projects Syria Consulting / Sodem France The group to form Sodem Levant with local Madar - - engineering System Aluminum and Arabian Group for Exhibitions & Conferences and produce equipment for exhibitions Syria Distribution Majid Al United The property developer to launch Khams Shamat, a 719 - / retail Futtaim Arab mixed-use community including shopping malls, (MAF) Emirates restaurants, hotels and office space near Damascus Syria Electr. Barak Turkey The firm to establish a 55-45 joint-venture with the 1.56 55 hardware Syrian State-owned company GOEI and its subsidiary MCMIC to manufacture solar equipments Syria Energy CNPC China The Beijing-based group to acquire a 35% interest in 1000 - Syria Shell Petroleum Development, formerly 100% owned by American company Shell Syria Energy Emerald UK The group to get the exploration permit for the - - Energy Youssefieh oil field (block 26), jointly operated (50-50) with fellow company Gulfsands Syria Energy Gulfsands UK The group to get the exploration permit for the - - Petroleum Youssefieh oil field (block 26), jointly operated (50-50) with fellow company Emerald Energy Syria Energy IPR / IPR USA The oil group to further invest to start production at the 50 - Mediter- Rashid and Abu Khashab Fields in Block 24, in ranean partnership with Indian OVL Explo- ration (IPRMEL) Syria Energy M.A. Kuwait Marafeq, JV of the group with local Cham Holding to - - Kharafi develop on a BOT basis a wind project South of Damascus, in partnership with Danish Vestas

120

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Energy Maurel & France The oil group to launch a new exploration programme - - Prom in the West zone of its Al Asi licence with the Syrian Petroleum Company Syria Energy MENA Canada The oil and gas startup to acquire 30% interest in Syria 7.7 - Hydrocar block 9, in the Homs Basin, from its fellow company bons Inc. Kulczyk Oil Ventures Syria Energy OVL India The oil group to further invest to start production at the 74 - Rashid and Abu Khashab Fields in Block 24, in partnership with American company IPR Syria Energy Petrofac UK The group to open a training centre in Homs, where 30 8.9 21 instructors will welcome 120 delegates of the local oil and gas industry every year Syria Energy Suncor / Canada The group's subsidiary to launch the 2nd phase of - - Petro- exploration in Block 2 (Deir ez-Zor), under the 25-year Canada production-sharing contract it won in 2003 Syria Energy Tatneft Russia The company to start production in the South Kishma 5.4 - Field through the Abu Kamal Oil Company, its 50-50 JV with local General Petroleum Corporation Syria Energy TPAO Turkey The national company forms a 50-50 JV with its - - counterpart Syrian Petroleum Corporation to explore oil in 7 different areas of the country Syria Energy Wartsila Finland The group to establish a branch in Abu Al Shamat and - 20 create 20 local jobs for its 3-year management contrat over Al Badia Cement factory's power plant Syria Cement / Acico Kuwait The manufacturer of building materials to establish a - - glass / Syrian subsidiary under a 50-50 JV with a local materials company Syria Cement / Acico Kuwait The 50%-owned local subsidiary of the group to build 4.4 - glass / an insulated concrete block plant in Hassia with Kuwait materials United Investments Syria Cement / Cemena Bahrain The company to sign a agreement with the Chinese - - glass / constructor Sinoma to build a cement plant located materials between Damas and Homs Syria Cement / First Class Iran The Iranian company to open the largest flat glass 125 600 glass / factory in the Middle East in Adra Industrial city near materials Damascus, creating 600 job opportunities Syria Cement / Gulf Bahrain Cemena, the group's cement subsidiary, develops a 250 - glass / Finance cement plant in Jabal Al Kahlah, between Damascus materials House and Homs, to tap surging demand in the Middle East (GFH) Syria Cement / Ha-Be Germa- The concrete products manufacturer to build a joint - - glass / ny plant with local Attar in the Industrial City of Adra, materials near Damascus

121

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Cement / Kuwait Kuwait The local company established by the government to 4.4 - glass / United build an insulated concrete block plant in Hassia with materials Investmt. Kuwaiti ACICO Syria Other or not Gulf Film United The leading distributor and exhibitor of films in the - - specified (Grand Arab Middle East to set up a JV with local Sabbagh to Cinemas) Emirates develop a network of movie theatres in Syria Syria Other or not Qatar Qatar The fund to develop a Medical City in Mezzeh, 41.9 - specified Investmt. Damascus, which will be managed by its subsidiary Authority Syrian-Qatari Healthcare in partnership with SAMC (QIA) / Syrian- Qatari Holding Company (SQHC) Syria Public works Center for Iran The government office establishes a branch of its Pardis - - / real estate Innova- Technology Park in Damascus to boost technology tion & transfer between both countries Techno- logy Coop. Syria Public works Emirates United The real estate company, established by the Dubai- - - / real estate Investmt. Arab based fund, to launch its first project: the Cordoba & Emirates residential complex in Saboura, near Damascus Developt. / Emirates Private Developt.. Syria (EPD) Syria Public works Fawaz Al United The grpup to develop a residential compound in Kasab, - - / real estate Khateeb Arab a small coastal town located in the Latakia governorate Emirates Syria Public works Kuwait Kuwait The group to develop a residential complex comprising 63.7 - / real estate Syrian 134 apartments and a health club in the Yaafour town Holding near Damascus Syria Public works Qatar Qatar The real estate development arm of the sovereign fund - - / real estate Investmt. to build and manage 13 underground car parks in Authority Damascus starting in 2011 (QIA) / Diar

122

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Public works SODIC Egypt The real estate developer to purchase 50% of Palmyra 29 - / real estate Real Estate, a subsidiary of Syrian MAS Group, renamed as Palmyra-SODIC Syria Telecom / MTN / South The local subsidiary of the telecommunications group to - - internet MTN Africa purchase the new GSM system of Ericsson and install it Syria in the country, starting with Aleppo Syria Telecom / MTN / South The local subsidiary of the telecommunications group to 403 - internet MTN Africa acquire a full-blown 20-year cellular license, to replace Syria the former BOT contract Syria Tourism / Kuwait Kuwait The group and its subsidiary United Entertainment and 5.8 - catering Commerc. Tourism Company to launch the 'Jurasia' amusement Markets project near Damascus International Airport Complex Company (KCMCC) Syria Tourism / Nabil al- Saudi The investor of Syrian origin to develop a luxury hotel 49 - catering Mazloum Arabia and a shopping mall next to the Hijaz railway in Damascus, under a 35-years BOT contract Syria Transport / CMA- France The shipping group tolaunch a second phase to increase 17 209 logistics CGM the capacity of the container terminal in the port of Latakia by 2012 Tunisia Aeronautics Aero- France The Blagnac-based engineering and aeronautics group - 30 / ships / rail conseil to set up a manufacturing plant in Tunisia by the end of 2010 Tunisia Aeronautics Aeroteam France The subcontractor to set up in the El Mghira industrial 5 50 / ships / rail zone in 2010 after the construction of Aerolia plant, its main partner Tunisia Aeronautics Meca- France The specialist surface treatments to establish in the El 5 50 / ships / rail protec Mghira industrial zone in Tunisia in 2010 after the Industries construction of Aerolia plant Tunisia Agri- AB France The group to acquire a plant in Tunisia to produce and 0.5 15 business Techno- market several kinds of low cost industrial cheeses for logies the MENA region and Europe Tunisia Agri- Al Libya The company to partner with Tunisian Gias to establish 0.1 - business Naseem a JV also named Al Naseem to manufacture and distribute Nestle ice creams in Tunisia

123

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Agri- Kuwait Kuwait The Tunisian-Kuwaiti Consortium to acquire 10% stake - - business Real in Vitalait, a Mahdia-based milk company Estate Investmt. Con- sortium (KREIC) / CTKD Tunisia Banking / Attijari- Moroc- The group to launch a new business bank, Attijari 0.14 - insurance wafa co Finance Tunisie, through its local subsidiary in which it Bank holds 53% stake with Spanish Santander Tunisia Banking / Attijari- Moroc- The group to launch the Attijari Finance Tunisie 0.14 - insurance wafa co business bank through its local subsidiary, jointly Bank controlled with Moroccan Attijari Wafa Bank Tunisia Banking / Cassiopae France The global asset finance software editor to team up with 0.1 50 insurance local Oxia Tunisia Group to establish a JV, Cassiopae MEA, for Africa and Middle East Tunisia Banking / Generali Italy The group to partner with its Tunisian subsidiary to 1.2 - insurance create Maghrebia VIE, specialized in life insurance and capitalization, which it will own at 45% Tunisia Banking / Kipco / Kuwait The bank to finalise the purchase of the private 50 - insurance Burgan commercial bank Tunis International, started in 2008, Bank which main shareholder was United Gulf Bank Tunisia Banking / M.A. Kuwait The equity fund to set up the Koweiti African - - insurance Kharafi / Consulting, an investor service company, after taking a Al Mal 10% stake in local Hannibal Lease in 2008 Investmt. Company Tunisia Banking / Qatar Qatar The public Qatari bank to raise the capital of its - - insurance National Tunisian subsidiary, the Tunisian Qatari Bank (TQB), in Bank which it holds a 50% stake (QNB) Tunisia Banking / SPB France The insurance broker to further reinforce its local - 70 insurance taskforce following the establishment of its subsidiary in February 2010, to reach 130 employees Tunisia Banking / SPB France The insurance broker to reinforce its activities in Tunisia - 60 insurance by setting up a wholly-owned subsidiary and raising the number of its managers up to 100 Tunisia Automotive Continen- Germa- The automotive industry supplier to relocate in Bizerte 8 100 industry tal ny the entire production of electronic devices from its French plant in Rambouillet

124

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Automotive Draxl- Germa- The manufacturer of car wiring systems to set up a new 6 21 industry maier ny plant 100 km south of Sousse and to expand its local workforce Tunisia Automotive Kromberg Germa- The car wiring systems specialist to expand its Beja 2.6 250 industry & ny plant in Tunisia, from 20,000 to 30,000 square meters, Schubert after closing its Romania plant Tunisia Automotive Sumitomo Japan The wiring manufacturer to expand activities in its Bou 5 200 industry / Salem plant in Jendouba governorate, and to increase its Sumitomo local workforce by 2011 Electric Industries Tunisia Automotive Yazaki Japan The automotive supplier to hire more than 4000 people - 4000 industry in its recently developed plants in Gafsa Tunisia Automotive Yazaki Japan The automotive supplier, which is already operating in 9.3 600 industry the Gafsa region, to build 2 new cable factories in Metlaoui and Redeyef Tunisia Chemistry / Air France The local subsidiary of the industrial gas supplier to 18.1 5 plasturgy / Liquide double its production capacity of oxygen and nitrogen fertilizers by setting a new plant in Borj Cédria Tunisia Chemistry / IMCD Nether- The retailer of chemicals and food indredients to set up - - plasturgy / lands a plant in the industrial zone of Megrine, the fertilizers headquarter of its local subsidiary Tunisia Chemistry / Plasti- France Tunisie Plastiques Systèmes, a 60% controlled 4 198 plasturgy / valoire subsidiary of the chemical group, to inaugurate the last fertilizers phase of its Sousse facility Tunisia Chemistry / Plasti- France The manufacturer of plastic items to establish a joint- 3.1 50 plasturgy / valoire venture with Tunisian businessman Slim Zarrouk, fertilizers named Injection Plastiques Systèmes (IPS) Tunisia Chemistry / Remiplast France The plasticsSME specialised in several activities - - plasturgy / including aeronautics to set up an affiliate in Tunisia fertilizers Tunisia Consulting / Business Ireland The cost management and cost reduction service - - engineering Cost provider to enter Tunisia by setting up an office in Sfax Managt. (BCM) Tunisia Consulting / Havas / France The subsidiary of the communication group to set up a - 30 engineering Euro branch in Tunis, Havas Tunisie, which will provide its RSCG services to local and regional customers Tunisia Consulting / Help-Line France The technical support provider to set up a subsidiary in - 50 engineering Tunisia, Help-Line Tunisia, laeding to job creation in Tunisia and also in France

125

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Consulting / Horus France The consulting company specialised in risk - - engineering Ingénierie management in industry, construction and services to establish a local subsidiary, Horus Ingénierie Maghreb Tunisia Consulting / Ingerop France The technical engineering group which is present in - - engineering Morocco since 2008 through its subsidiary Hidroprojecto to open a 100% owned subsidiary in Tunis Tunisia Consulting / ITEX Italy The technical inspection and certification company - 20 engineering operating in the industrial sector to open a wholly- owned subsidiary, ITEX Med, in Tunis Tunisia Consulting / L'Atelier Bel- The architecture design company to open a subsidiary - - engineering gium in Tunisia, its second in Maghreb after its establishment in Morocco in 2008 Tunisia Consulting / Managt. UK The group's subsidiary to open a representative office in - - engineering Consulting Tunisia to support its customers in their strategic, Group / operational and technological choices Kurt Salmon Tunisia Consulting / Mobi- Egypt The leading technical and telecom service provider to - - engineering serve further expand in the region by setting up an affiliate in Tunisia Tunisia Consulting / Stream USA The global outsourcing solution provider to open its 1.2 600 engineering fourth site in Tunis to provide French language support for its European and Canadian customers Tunisia Consulting / Success USA The consulting firm specialised in corporate - - engineering Insights environment solutions to open a subsidiary in Tunis Tunisia Data 4D France The business application developer to open a - - processing / competency centre in Tunis software Tunisia Data CEA / France The software editor, a spin-off from France's CEA - 11 processing / Diotasoft specialised in 3D and smartphones applications to open software a subsidiary in Ben Arous, southeast of Tunis Tunisia Data Coheris France The software company specialised in CRM to relocate - - processing / part of its activity in Tunis in partnership with the local software subsidiary of French group IGA Tunisia Data INVOLYS Moroc- The software publisher to set up an affiliate in Tunisia 0.05 - processing / co with a capital of EUR 52,000 software Tunisia Data NTIC France The software services company to set up IT Systems, an - - processing / Consulting offshore development subsidiary in Tunis software

126

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Data onePoint France The information technology service and consulting firm 0.005 - processing / to establish a second subsidiary in Tunisia, named software Groupe One Point Tunisie Sarl Tunisia Data Sungard USA The provider of software and technology services for - 1000 processing / financial institutions to hire more than 1000 engineers software and technical experts over 2011-2012 Tunisia Data Wyde France The insurance software developer to launch a new - - processing / structure in Tunis to expand its activities throughout software the Maghreb region Tunisia Distribution Univar Nether- The leading chemical distributor group to establish a - - / retail lands subsidiary in Tunisia to distribute American Dow Corning products to the growing local market Tunisia Drugs Dermscan France The pharmaceutical laboratory to set up a clinical trial - 5 centre for medicine and cosmetics evaluation in Tunis Tunisia Drugs Henkel Germa- The manufacturer to set up a cosmetics factory in Sfax, 3 200 ny to become its regional hub for production exported to European and MENA countries Tunisia Drugs Hikma Jordan The group to increase up to 66% its share in Ibn Al 3.6 - Pharmace Baytar, a Tunisian pharmaceutical manufacturing and uticals marketing company Tunisia Drugs Marco Italy Marco Montanari, cofounder of local company Opalia, 5 - Monta- to set up a company manufacturing parapharmaceutical nari products in Tunisia Tunisia Drugs Mouhann Jordan The Jordanian businessman to set up ActPharma, a 0.2 - ad company with a drug manufacture near Beja, in Aboueid partnership with two Tunisian businessmen Tunisia Electr. Eolane France The leader of professional electronic to acquire Tunisian - - hardware Medielec, a company specialised in card assembly, so far a subsidiary of French group NCF Tunisia Electr. Gape- France The industrial company specialised in automatism and - - hardware Cemes industrial robotics to create a subsidiary in Ariana, in the suburb of Tunis Tunisia Electr. Novyc Canada The manufacturer of electronic display systems to team - - hardware up with local businessman Slim Saïdani to set up a subsidiary dedicated to export Tunisia Electr. Philips Nether- The electronic manufacturer to set up a new plant for - - hardware lands lighting products near Tunis Tunisia Electr. Phoenix Switzer The electromechanical parts maker to invest to expand 1.3 - hardware Mecano -land its production capacity at its Ben Arous manufacturing facility Tunisia Electr. SAIV Italy The Italian telecommunication system integrator, - - hardware already established in Algeria, to set up a branch in Tunisia

127

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Electronic Asteel- France The provider of electronics manufacturing services to 0.8 350 components Flash set up a subsidiary, AsteelFlash Tunisie, and a new factory, to expand its production capacity Tunisia Electronic Fons Spain The european fund to invest in the firm Bitaka, based in - - components Mediter- tunis, which provides plastic cards with chips rania Tunisia Energy Alpha Caiman The company registered in the Cayman Islands to - - Offshore Islands establish an affiliate in Tunisia Drilling Services Tunisia Energy AuDAX / Austra- The group to get an extension until 2011 of its - - Alpine Oil lia 'Chorbane' exploration permit, located near Sfax and Gas Tunisia Energy AuDAX / Austra- The group to win the Kerkouane offshore exploration - - Alpine Oil lia permit and to launch exploration works in the Sambuca and Gas prospect Tunisia Energy Carnavale Austra- The group to win a 20% working interest in Lambouka - - Resources lia offshore prospect, northeast Tunisia, in which exploration permit is owned by its compatriot Audax Tunisia Energy Clean UK The group to develop a 500,000-hectare bioenergy - - Developt. plantation to be used to power a local cement plant Projects under a CDM project Tunisia Energy Cooper Austra- The oil company to acquire 85% of UK Cairn Energy 6.6 - Energy lia interest in the offshore licence of Nabeul, in the Gulf of Hammamet Tunisia Energy Cygam Canada The group's Tunisian subsidiary to further invest in 1.8 - Energy / exploration activities in the Bazma permit, located Rigo Oil onshore south-central Tunisia Tunisia Energy Detandt- Bel- The company specialised in the installation of - 5 Simon gium photovoltaic systems to set up a subsidiary in Tunisia under the name DS International Tunisia Energy Dove UK The Scotland-based company to establish an affiliate in - - Energy Tunisia and to increase its equity in the El Fahs license, 40 km south of Tunis, to 22.5% Tunisia Energy ENI Italy SITEP, the group's jv with the state-owned ETAP, to - - receive a 25 year extension for its El Borma oil field concession in Tataoui gouvernorate Tunisia Energy Gulfsands UK The oil company to acquire 30% of the Chorbane - - Petroleum (onshore) and Kerkouane (offshore) exploration permits so far totally controlled by Australian Audax

128

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Energy Linde Germa- The group and its 100% controlled subsidiary Linde Gas 13 50 ny Tunisie to open a second industrial gas plant in Mghira industrial zone near Tunis Tunisia Energy Pharm- Austra- The group to win a 10% working interest in Lambouka - - Aust lia offshore prospect, northeast Tunisia, in which exploration permit is owned by its compatriot Audax Tunisia Energy RAK United The group to acquire 30% stake in the Hammamet - - Petroleum Arab Offshore Permit, also controlled by Canadian Storm Emirates Ventures(35%) and Australian Cooper Energy Tunisia Energy Shell / Nether- The energy group to win two oil exploration licenses, 2.8 - Shell lands Raf Raf and Azmour offshore permits, in partnership Tunisia with local ETAP Tunisia Energy Sonatrach Algeria The oil giant to partner with Tunisian ETAP to explore 14 - the Kaboudia block in the Gulf of Hammamet through their joint company Numhyd Tunisia Energy Storm Canada The company to acquire a 71% interest in the Remada - - Ventures Sud Exploration Permit from Canadian Madalena, in addition to the 2 fields it already operates Tunisia Energy Strato- Egypt The oil services company to build a facility aiming at to - - chem analysing oil products and derivatives in Sousse Services Tunisia Energy Sunfeat France The photovoltaic specialist to open its own call centre in - - Tunisia, dedicated to its activities in the residential sector Tunisia Energy Xstate Austra- The oil company to acquire 30% of the Chorbane - - Resources lia (onshore) and Kerkouane (offshore) exploration permits so far totally controlled by compatriot Audax Tunisia Cement / Global Switzer The group to launch a 160,000 hectares project in the 900 45000 glass / Wood -land Tunisian desert to grow Eucalyptus trees and export the materials wood to Europe Tunisia Cement / ORegan Ireland The family group specialising in aggregates to open a - - glass / third subsidiary in Tunisia, Tunisia Quarry Products, materials after Sotutrass and Casso Tunisia Cement / Victorian Austra- The exploration and mining company to acquire - - glass / Gold lia Tunisian phosphate exploration permits fromfellow materials Mines company Celamin, including the Bir El Afou project (VGM) Tunisia Cement / Weissker Germa- The manufacturer of glass beads for road marking to 29.8 350 glass / ny build an recycling plant in Bouchama, in the Gabes materials governorate Tunisia Mechanics / ACMT France The manufacturer of mechanical parts for aeronautical 8 - machinery and nuclear industries and siderurgy to establish a plant in M'ghira industrial zone near Tunis

129

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Mechanics / Alfieri Italy The manufacturer of industrial machines for plastic 19.9 50 machinery bottles to set up a Tunisian affiliate, called Almed SA Tunisia Mechanics / China China The Beijing-based manufacturer of shipyard equipment - - machinery National to set up an affiliate in Tunisia Construc- tion Machin- ery (CNCMC) Tunisia Mechanics / HPM France The group specialised in high precision mechanics to set - 30 machinery up a factory in Sousse, where it plans to hire 30 people within 3 years Tunisia Mechanics / Thyssen- Germa- The group's subsidiary specialised in elevators to open - - machinery Krupp ny a branch office in the international airport of Enfidha to provide maintenance services Tunisia Metallurgy Optitec / France Surfaprotec, the group's subsidiary specialised in metal 2 50 Surfa- parts chemical treatment, to set up a plant in El Agba protec industrial zone near Tunis Tunisia Other or not Aegis / UK The media group's French subsidiary to partner with - - specified Carat Tunisian businesswoman Rym Hachicha to create a France new communications agency, Carat Tunisie Tunisia Other or not EIB Luxem The European donor to jointly invest with French CDC - - specified burg and local investors in several companies through the venture capital Phenicia Seed Fund Tunisia Public works ENI Italy SITEP, the group's JV with State-owned company 15.4 - / real estate ETAP, to invest in a solar-thermal power plant to supply electricity for its El Borma oil concession Tunisia Public works Gulf Bahrain The developer to heavily invest to launch Africa's first 2100 16000 / real estate Finance offshore financial centre in Tunis Financial Harbour in House team with Tunisian government (GFH) Tunisia Public works Qatar Qatar The real estate developer to launch its first project in 59.3 - / real estate Investmt. Tunisia, a 5 star Saharan tourism resort to be built on a Authority 40 hectare-area near Tozeur (QIA) / Diar Tunisia Telecom / France France Orange Tunisie, a 50-50 joint-venture of the French 263 1050 internet Telecom / operator and the Tunisian group Mabrouk, to invest for Orange its fixed-line and mobile telephone license Tunisia Telecom / France France The French operator to open a 400-employee call centre 240.6 1100 internet Telecom / after winning the 3rd fixed-line and mobile telephone Orange license through its JV with local Divona

130

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Telecom / Interoute UK The group to set up an optical fibre subsea cable - - internet connecting Tunisia with the European network, through its partnership with Tunisia Telecom Tunisia Telecom / Qatar Qatar The group to exercise its preemptive right on the 1100 850 internet Telecom remaining 50% stake in Tunisiana from Orascom (Qtel) Telecom, recently acquired by Russian Vimpelcom Tunisia Textile / Dainese Italy The motorcycle equipment manufacturer to move its - 440 luxury production lines to Tunisia, where it is already present with 2 factories employing about 500 people Tunisia Textile / Groupe France The textile company to open its third Tunisian plant in - - luxury Affirmatif the Kef region, named Alternatif and specialised in the ready to wear knitting Tunisia Textile / Seventex Italy The carded fabrics manufacturer to set up with local 1.9 340 luxury Khmaisa group a factory in Redeyef (Gafsa), which will produce suits and stitch-knit goods Tunisia Textile / Umo France The manufacturer of plastic shoes to establish a local - - luxury subsidiary, Umo Tunisie, and to set up a factory in the country Tunisia Textile / Zannier France The group specialised in children fashion to build a new - - luxury production plant and design centre in Monastir technopole Tunisia Textile / Zannier France The group specialised in children fashion to build a new - - luxury production plant in Gabes in addition to its design centre in Monastir Tunisia Tourism / Arcandor Germa- The tour operator to open a call centre and a vocational - - catering / Thomas ny training academy in Tunisia, where it manages several Cook tourism complexes Tunisia Tourism / Bonvests Singa- The holding to set up a local subsidiary, the Singapore 10 - catering pore Tunisian Investment Company Douz, specialised in hospitality and tourism projects Tunisia Tourism / Club France The famous tour operator to inaugurate a new hotel 10 - catering Méditerra unit named 'Calypso' in its 'Djerba la Douce' tourist née project, created in 1954 Tunisia Tourism / Pearl UK The developer of luxuryl real estate and creator of - - catering Luxury 'haute joaillerie' to build an exclusive holiday resort in La Marsa, its first Tunisian project Tunisia Tourism / Rixos Turkey The biggest Turkish hospitality chain plans to set up its - - catering first Tunisian hotel Tunisia Tourism / TUI Austria Magic Life, the group's Austrian affiliate to double the 1.8 - catering capital of its Tunisian subsidiary through which it operates 3 hotels in Hammamet and Djerba

131

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Tourism / TUI / RIU Germa- The hotels chain, part of TUI, to open the Riu Palm - - catering Hotels & ny Azur, its 10th hotel in the country and second in Djerba Resorts Tunisia Transport / DHL Germa- The international express transportation group to open - - logistics ny five representative offices in the country to provide its Euroconnect service Tunisia Transport / Emirates United The national flagship to reinforce its Tunisian workforce - - logistics Airline Arab by launching a recruitment campaign for the cabin Emirates crews Tunisia Transport / Grimaldi Italy The shipping company to expand its fleet to open a new - - logistics route between Greece and Tunisia Tunisia Transport / Pan- Ivory The JV between the AfDB and African private investors 39.6 - logistics Africa Coast to acquire 18% stake in Turkish TAV Tunisia, which Infrastruc manages the Enfidha airport concession ture Developt. Fund Tunisia Transport / Well USA The transportation group to partner with Tunisian 0.046 - logistics group Toumi to set up a subsidiary, 'Global Project Services International', in Zarzis free zone Tunisia Transport / Abengoa / Spain The group to win a 20 year BOT contract for a seawater 49 - logistics Befesa desalination plant in Djerba in team with local Princesse Agua Groupe Turkey Aeronautics Eclipse USA The group to open in Istanbul its first European - - / ships / rail Aerospace Platinum Service center, for its EA500 aircraft service, maintenance and modifications Turkey Aeronautics Eti Group Nether- The group's local subsidiary to get a license to produce - - / ships / rail / Sarp lands yachts in the Antalya Free Trade Zone with an expected Yatcilik production starting at spring Turkey Aeronautics United USA The group to build, under a 49/51 JV with local Kale 21.8 700 / ships / rail Techno- Aero, a plant that will produce in the Aegean Free Zone logies 300 engine parts of the F-35 fighter jet (UTC) / Pratt & Whitney Turkey Aeronautics Voest- Austria The group's Turkish subsidiary to set up ahigh speed 7.65 140 / ships / rail alpine / railway switch manufacture in Cankiri in a 51-15-34 JV VAE with Turkish TCDD and Kardemir Turkey Agri- Advanced Argen- The meat firm establishes a local subsidiary and builds 22.6 - business Latino tina a farm and an integrated meat facility in Mersin to address the growing domestic demand

132

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Agri- BAT UK The international tobacco group to relocate its Turkish - - business activities from Izmir plant to Samsun's, near the Black Sea Turkey Agri- Charoen Thai- The local subsidiary of the agri-food group to build a - - business Pokphand land new egg hatcheries and a chicken processing plant in Foods Bursa to serve the regional markets (CPF) / CP Standart (CPS) Turkey Agri- Eckes- Germa- The leading producer of fruit beverages in Europe to - - business Granini ny establish a production and distribution 50-50 JV with local agri-business giant Yildiz Holding Turkey Agri- Global Switzer The investment group to invest in Turkish Akman 16.4 - business Emerging -land Holding's subsidiary 'Ersu', a fruit juice manufacturer Markets developing machinery and equipment (GEM) Turkey Agri- Good USA The local subsidiary of the co-operative group to open - - business Foods / several shops in Istanbul by the end of 2010 and start NAR exporting products to the US Turkey Agri- Good USA The local subsidiary of the group to open end 2011 a - - business Foods / culinary academy for chefs from all over the world in a NAR former soap factory in Ayvalik Turkey Agri- Hipp Germa- The manufacturer of baby food to invest in organic 7 - business ny apricot and peach farming in Nigde and Karaman Turkey Agri- Japan Japan The group to establish a training centre at its Torbali 9.2 50 business Tobacco factory, near Izmir, dedicated to its employees from all over the world Turkey Agri- Kraft USA The agri-business giant to become the owner of Turkish - - business Foods confectionery company Kent, an asset of UK's Cadbury in which it just took a controlling stake Turkey Agri- Laurens Germa- The food company to acquire 50% stake in Enfes Gida - - business Spethmann ny Imalat, a unit of local Yildiz Holding, to create a JV to Hold.(LSH) produce and distribute tea Turkey Agri- Lavazza Italy The global coffee maker and seller to partner with 3.5 - business Turkish Best Ithalat Ihracat Pazarlama to open 30 branches throughout the country Turkey Agri- Mc- USA The British subsidiary of the manufacturer of spices and - - business Cormick flavors to establish a 50-50 JV with local Yildiz Holding to become leader in Turkish market

133

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Agri- National Kuwait The investment subsidiary of the banking group to - - business Bank of acquire 20% of Kilic Deniz, one of Turkey's largest Kuwait aquaculture companies (NBK) / NBK Capital Turkey Agri- Nestlé Switzer The food giant continues to invest to increase its market 34.8 - business -land shares in the country Turkey Agri- Nestlé Switzer The food giant acquires a 51% stake in Dogan family - - business -land business to increase its market share in proper priced confectionery products Turkey Agri- Nestlé Switzer The food giant acquires a 51% stake in Balaban family - - business -land business to increase its market share in proper priced confectionery products Turkey Agri- Netafim Israel The leading provider of micro irrigation solutions to set 7.2 - business up a plant in Adana before a possible future expansion in Turkey and neighbouring countries Turkey Agri- PepsiCo USA The agri-business giant opens a R&D centre in Izmit to - - business develop new food and beverage products for the South- Eastern European markets Turkey Agri- Pernod France The wine and spirits leader to expand its marketing and - 15 business Ricard sales operations by adding 15 new employees to its regional offices, reaching a total of 75 Turkey Agri- Riverside USA The European fund of the private equity giant to - - business purchase local pet food manufacturer Tropikal, its first investment in the country Turkey Banking / Adac Germa- The automobile club to expand and recruit in the - - insurance ny country to launch the 'yellow car service', its new exclusive membership club services Turkey Banking / BBVA Spain Spain's second bank to purchase 24.9% of the Turkish 4300 - insurance Garanti bank from American GE and Turkish Dogus group Turkey Banking / BNP France The group to merge under the roof of TEB its 2 local - - insurance Paribas subsidiaries, the TEB and the Fortis Bank, in view of developing its activities in the country Turkey Banking / BPCE / France The credit insurance company to expand its Istanbul - - insurance Coface office into a regional centre for its operations in the Middle East and Southeastern Europe Turkey Banking / Cigna USA The health services and insurance group to establish a - - insurance local subsidiary, Cigna Hayat, focus on telemarketing and direct marketing operations

134

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Banking / Dexia / Bel- The local subsidiary of the banking group, acquired in - 850 insurance Deniz- gium 2006, to open 50 branches and create 850 new jobs in bank 2010 Turkey Banking / General USA The local bank, in which the Connecticut-based group - 179 insurance Electric / holds a 21% stake, to open 80 branches and employ 700 Garanti new people in 2010 Turkey Banking / Hariri / Leba- Hariri family's commercial bank to raise the capital 30 400 insurance BankMed non Turkland Bank (T-Bank), in which it holds 41% stake since 2006, and to open new branches Turkey Banking / Hariri / Leba- The bank of the famous family to purchase the - - insurance BankMed non remaining 9% of local MNG in T-Bank and thus hold a 50% stake, like Jordan's Arab Bank Turkey Banking / Intesa Italy The public finance unit of the Torino-based group to set - - insurance Sanpaolo / up a local branch to seize the numerous opportunities BIIS created by the infrastructure sector Turkey Banking / Mapfre / Spain The local subsidiary of the insurance company to open - - insurance Mapfre 10 branches to reach a network of 13 branches in the Genel country by the end of 2010 Sigorta Turkey Banking / National Greece The banking group, which holds a 86.5% stake in - 1500 insurance Bank of Finansbank, to open 75 branches and employ more than Greece / 1500 new people in 2010 Finans- bank Turkey Banking / NKSJ / Japan The insurance group to acquire the non-life insurance 231 - insurance Sompo company Fiba, ranked 11th in Turkey, its largest Japan investment abroad Turkey Banking / UniCredit Italy The group, which owns the local bank Yapi Credit in a - 1000 insurance / Yapi 50-50 JV with local Koç, to open 60 branches and Credit employ 1000 new people in 2010 Turkey Banking / Vienna Austria The Vienna-based insurance group to buy from Dogan 13.9 - insurance Insurance a 10% stake in local insurance firm Ray Sigorta, already (VIG) 84.3%-owned by its TBIH subsidiary Turkey Automotive Bosch Germa- The home appliances and auto parts maker to increase 100 450 industry ny its production capacity in the country in 2010, in Bursa, and create new job opportunities Turkey Automotive Bosch Germa- The auto parts maker further invests in Bursa in diesel- 500 1300 industry ny and gasoline-injection technology, thus creating 1300 job opportunities between 2011 and 2013 Turkey Automotive C. Rob. Germa- The auto supplier to build a factory in Kocaeli, which 43 350 industry Hammers ny will primarily provide equipment to the Ford Otosan tein plant in Gölcük and employ 350 people (CRH)

135

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Automotive Chery China The group to build, with its local partner Mermerler, a 177 3000 industry Auto- car factory and its associated social facilities in the mobile Sakarya province Turkey Automotive Cummins USA The automotive supplier to build a plant that will 52.4 800 industry produce filters and generators as of 2012 and employ 800 people in Izmir Turkey Automotive Daimler / Germa- The car maker adds a new line to its Aksaray plant to 12 - industry Mercedes- ny manufacture Actros trucks, to be launched on the Benz Turkish market in late 2010 Turkey Automotive Fiat / Italy Tofas, the JV between Fiat and Turkish conglomerate 41.2 250 industry Tofas Koc Holding, continues to invest strongly in its R&D centres in 2010 Turkey Automotive Fiat / Italy Tofas, the JV between Fiat and Turkish conglomerate 48.1 - industry Tofas Koc Holding, to invest in the upgrading of its product line in its Bursa facility Turkey Automotive Fiat / Italy Tofas, the JV between Fiat and Turkish Koc Holding, 2.9 - industry Tofas invests in its Bursa plant to produce 1500 electric vans / year for the European markets Turkey Automotive Fiat / Italy Tofas, the JV between Fiat and local Koc, invests in its - - industry Tofas Bursa plant to produce 250000 Combo light commercial vehicles under an agreement with Opel Turkey Automotive Ford / USA The group's 41-59 JV with local Koc to invest in R&D 191 1000 industry Ford and capacity increase at its Kocaeli plant, where it will Otosan produce its new Transit Turkey Automotive Pirelli / Italy The group expands its Izmit plant to produce 45,000 30 - industry Turk tyres for Formula 1 teams per annum between 2011 and Pirelli 2013 Turkey Automotive Renault France The car manufacturer to invest in Turkey to transfer a 200 - industry part of the production of its new Clio 4 in its Oyak- Renault facility in Bursa Turkey Chemistry / Air France The supplier of industrial gas to set up a new liquid 35 - plasturgy / Liquide oxygen and nitrogen production site and a cylinder fertilizers conditioning unit in Ankara Turkey Chemistry / Baalbaki Leba- The manufacturer of polyurethane raw material - - plasturgy / non operating across the Levant to acquire the Turkish firm fertilizers Depur Kimya and establish a local subsidiary Turkey Chemistry / Bancroft UK The private equity firm to acquire a minority stake in - - plasturgy / Istanbul-based manufacturer of industrial paint, varnish fertilizers and thinners Kayalar Kimya Turkey Chemistry / Berwind / USA The manufacturer of formulated film coating systems - - plasturgy / Colorcon and modified release technologies to open a technical fertilizers service laboratory in Atasehir near Istanbul

136

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Chemistry / Jotun Nor- The painting company, operating in Turkey since 1986 - - plasturgy / way with 100 shops, aims to open 200 additional stores fertilizers within two years Turkey Chemistry / Plastika Greece The local affiliate of the group to invest in a 2nd plant in - 50 plasturgy / Kritis / Turkey, in Gaziantep, where it will produce polyester fertilizers Senkroma and polyamide and employ 50 people Turkey Chemistry / Rock- USA The group to inaugurate a surface treatment plant near - 50 plasturgy / wood / Gebze, where all its Turkish activities will be combined fertilizers Chemetall to set up a regional hub Turkey Chemistry / RPM USA The group's subsidiary Building Solutions Group to - - plasturgy / acquire Park, a leading supplier of sealants and fertilizers membranes to the construction market in Turkey Turkey Consulting / Dla Piper USA The international legal practice group to open an office - - engineering in Istanbul and integrate 6 Turkish partners into its worldwide network Turkey Consulting / Havas / France The communication group's subsidiary to acquire the - - engineering Euro Turkish digital agency Project House, in order to RSCG develop its social and digital media activities Turkey Consulting / Lahmeyer Germa- The energy and hydropower engineering group to - - engineering ny purchase 51% of local consultancy Hidro Dizayn, whose founding partners will keep day-to-day management Turkey Consulting / Ranal / USA The Indian subsidiary of the group to form a JV with - - engineering Ranal Izmir-based Atalan Makine to produce electric-powered Engineer. cars in the country Services Turkey Consulting / Teleper- France The expert in customer relationship management to - - engineering formance take a 75% stake in Metis, which operates 2 call centres in Istanbul and Usak Turkey Consulting / United UK The Asia subsidiary of the business media group - - engineering Business acquires 65% of Turkey's jewelry shows leader Media Rotaforte to enter the local market (UBM) Turkey Consulting / Vocalcom France The provider of contact center solutions to set up - - engineering Vocalcom Turkey, a Ankara-based commercial subsidiary Turkey Consulting / Wipro India The IT consultancy giant to set up ETRM, a JV with - - engineering local AS/Nexia that will focus on consultancy and risk management in the energy sector Turkey Data Hewlett USA The IT giant to expand its software innovation center - - processing / Packard created in 2009 in Ankara in partnership with the software (HP) Bilkent University

137

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Data IBM USA The group to add resources to its local staff in Ankara to - 10 processing / provide the public sector with customised IT softwares software and services Turkey Data Invus USA The fund to invest in Airties, a local developer of IPTV - - processing / solutions, which will launch new R&D projects and software marketing studies Turkey Distribution Alliance Switzer The Zug-based drugstore chain to increase from 50 to - - / retail Boots -land 60% its stake in the Turkish pharmaceutical wholesaler Hedel Alliance Turkey Distribution Almana Qatar The group to reinvest to open 50 new doughnuts stores 11.7 200 / retail in Turkey by the end of 2012 in team with its American franchisor Krispy Kreme Turkey Distribution Almana Qatar The franchisee to open 10 new doughnuts stores of the 4 150 / retail US brand Krispy Kreme and create 150 new jobs in the country's big cities Turkey Distribution Baumax Germa- The chain of do-it-yourself hypermarkets to open new 75 750 / retail ny stores in 2011, in Istanbul, Izmir and Ankara, reaching a total of 5 stores Turkey Distribution Carrefour France The JV between the retail giant and local Sabanci plans - 5600 / retail to open 100 CarrefourSA stores and 4 hypermarkets in Turkey over 2010 Turkey Distribution Carrefour France The group's 58.2% controlled local subsidiary to acquire 14 - / retail local supermarket chain Ipek, which operates 27 supermarkets in Istanbul Turkey Distribution Carrefour France The JV between the retail giant and local Sabanci to 40 3300 / retail / Dia open 1070 hard-discount Dia stores in Turkey between 2010 and 2012 Turkey Distribution IKEA Nether- The famous Swedish brand to open a second mall in 35 400 / retail lands Ankara, its fifth in the country and its second in the city Turkey Distribution Krispy USA The doughnut stores chain to open 50 new stores in 11.7 200 / retail Kreme Turkey by the end of 2012 in team with its Qatari Dough- franchisee partner Almana Group nuts Turkey Distribution Li & Fung China The world's largest supply chain to open 4 regional 500 400 / retail offices and 1 operation centre for Europe, North Africa and Middle East in Istanbul Turkey Distribution Metro / Germa- The consumer electronics chain to open 4 new stores in 80 1400 / retail Media ny 2010, including 3 in Istanbul, Izmit and Bursa, thus Markt reaching a total of 16 outlets Turkey Distribution Metro / Germa- The consumer electronics chain to open new stores in 120 - / retail Media ny 2011, including Kayseri, Gaziantep, Konya, Istanbul, Markt Ankara and Izmir

138

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Distribution MFI Germa- The mall management company to establish a joint- - - / retail ny venture with local Avm, 'Avm mfi Partners', so as to manage several shopping arcades in Turkey Turkey Distribution Prime Germa- The shopping centre developer and operator to launch 73 - / retail Developt. ny another project in the southeastern province of Hatay, due to open in 2011 Turkey Distribution Rossmann Germa- The drugstore chain to add 20 new shops in the country - - / retail ny over the 12 coming months to the 2 it just opened in Ankara, in a 75/25 JV with local PNR Turkey Distribution Tesco / UK The retail chain to open 3 new hypermarkets new - 1750 / retail Tesco hypermarkets in Nevsehir, Balikesir and Ankarapour, Kipa which will employ 1750 people Turkey Drugs Dabur India The group to purchase the Turkish personal care 50 - company Hobi Kozmetik to expand in the MENA region markets Turkey Drugs Goldman USA Goldman Sachs and Texas Pacific to acquire the Turkish - - Sachs assets of Belgian group Ontex, which include the brands Canbebe, Canped and Canlady Turkey Drugs Sanofi- France The pharmaceutical group to expand the production - - Aventis capacity in its Lüleburgaz plant, which it owns since the merger with Czech Zentiva in 2009 Turkey Electr. Alcatel- France The telecommunication system provider to open a R&D - 100 hardware Lucent centre in Istanbul that will employ 100 people by 2011 Turkey Electr. FG Ireland The manufacturer of power generator sets to develop its - - hardware Wilson activities in the country by opening a national base in Istanbul and offices in several cities Turkey Electr. Foxconn Taiwan The electronic products manufacturer to set up with US 22.5 1000 hardware HP in the Corlu region a desktop computer plant, which will create 2000 job opportunities Turkey Electr. Hewlett USA The IT giant to build with Taiwanese Foxconn a desktop 22.5 1000 hardware Packard computer plant, which will create 2000 job (HP) opportunities in the Corlu region Turkey Electr. Ingersoll Ireland The group to increase the capacity of its Duzce plant, 7 - hardware Rand which has become its security equipment supply and logistics base for the EMEA region Turkey Electr. Legrand France The manufacturer of electrical installations and - - hardware information networks to acquire Turkish company Inform, a national specialist with 360 employees Turkey Electr. Schneider France The group to develop the production capacity of its 50 800 hardware Electric Manisa plant to export to countries in Europe, North Africa and South America

139

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Electronic Intel USA The semiconductor giant to contribute to the research - - components activities of one of the Middle East Technical University's R&D centres by providing equipment Turkey Electronic Apple USA The group establishes a branch in Istanbul, named - - ware Apple Technology and managed by Apple Europe, to speed up operations in the local market Turkey Electronic Bosch- Germa- The white goods manufacturer to increase the 30 - ware Siemens ny production capacity of its Cerkezkoy units and develop Hausgera its sales operations and service network ete (BSH) Turkey Electronic Indesit Italy The white goods manufacturer to further invest in its 10 - ware Manisa facility to turn Turkey into its regional production platform Turkey Electronic Panasonic Japan The manufacturer of consumer electronics to establish a - 38 ware sales office, which will employ 45 people in Istanbul, to develop local operations Turkey Electronic Redington India The distributor of global brands specialising in IT 31.5 - ware / Redingot products to purchase a 49.4% stake in local IT firm Int'al Arena Bilgisayar from its promoters Holdings (RIHL) Turkey Energy AES USA The group to acquire 49% of gas producer Entek from 102.2 - local Koc's energy unit Aygaz and diversify its power generation activities Turkey Energy Alstom France The equipment manufacturer to add a repair facility to 10 100 its power transformer factory in Gebze, thus creating 100 new jobs Turkey Energy Atomstro Russia The group to build the first Turkish nuclear power plant 7233 - yexport in Akkuyu and operate it for 60 years with local or foreign partners, starting in 2018 Turkey Energy CEZ / Czech The 37.4%-owned subsidiary of the group to buy the 1.9 - Akenerji Rep. 100 MW-wind capacity of Polat Enerji and plans to reach with its new partner 140 MW by end of 2010 Turkey Energy Chevron USA The group to acquire 50% interest in a exploration - - license for a western portion in the Black Sea, in team with State-owned company TPAO Turkey Energy Chevron USA The oil group to buy from local TPAO a 50% interest in - - the Western portion of an exploration license on the Black Sea coast Turkey Energy Depa Greece The group to develop with Turkish state-run Botaq and - - Italian Edison the ITGI 206 km-undersea pipeline linking Turkey, Greece and Italy

140

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Energy EDF / Italy The group to develop with Turkish state-run Botaq and 1000 - Edison Greece's Depa the ITGI 206 km undersea pipeline linking Turkey, Greece and Italy Turkey Energy EnBW Germa- The energy group plans to set up a 50 MW hydroelectric 34.5 - ny power station in Turkey in team with its 50% controlled local subsidiary Borusan Turkey Energy EnBW / Germa- The energy group to set up a 60 MW wind farm in 42.5 - Borusan ny Bandirma after acquiring a 50% stake in local company Enerji Borusan in 2009 Turkey Energy Enel Italy The electricity operator to invest jointly with Delat 273.5 - Yatirim subsidiary, Dekar Enerji, to develop 300 MW of geothermic energy within 5 years Turkey Energy Exxon- USA The oil group to win an exploration license in the Black 575 - Mobil Sea, in a 25-25-50 partnership with the Brazilian Petrobras and the state owned TPAO Turkey Energy General USA The 50-50 JV of the group with local GAMA to develop 54 - Electric 2 wind farms of respectively 22.5 MW and 10 MW in the Canakkale province, West of the country Turkey Energy Kioto Austria The firm to form a 50-50 JV with local Anel energy - - which will produce photovoltaic solar panels for the European and the Middle Eastern markets Turkey Energy Lukoil Russia The Russian oil company to further invest in Turkey to 74.1 - modernise its oil terminals and oil distribution network Turkey Energy Niche UK The firm to take a 18.7% stake in Oman Resources, a - - local company holding rights to develop a tract of the Tuz Lake basin owned by Turkish Arar group Turkey Energy OMV Austria The firm to buying shares from local Dogan and raise its 1000 - stake from 42% to 96% in fuel retailer Petrol Ofisi, which controls 2,500 tank stations Turkey Energy OMV / Austria The group's 60% controlled subsidiary to build a 870 360 60 Borasco MW gas-fired power plant in Samsun, on the northern Elektrik Black Sea shores Turkey Energy Quintas & Portu- The energy venture of the group to develop with local 3 75 Quintas / gal Alke a wind tower production facility that will employ Tegopi 150 people in Izmir Turkey Energy Statkraft Nor- Yesil Enerji, a local firm in which the group holds a 95% 237.5 - way stake, develops a hydropower projet in Kargi (Corum province), to start production in 2013 Turkey Energy Total France The oil group to invest massively in the opening of 71.5 1000 refueling stations throughout the country and create nearly 1000 new jobs in 2010

141

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Energy TransAtla Canada The subsidiary of the energy group to purchase Amity 70.8 - ntic and Petrogas, 2 oil and gas exploration and production Petroleum subsidiaries of the Zorlu group Turkey Energy Verbund / Austria The group, through its 50-50 JV with local Sabanci, to 74.1 - EnerjiSA build 2 waste energy plants in Mersin and Canakkale Turkey Energy Verbund / Austria Enerjisa, the 50-50 JV of the group with Sabanci, to 275 - EnerjiSA increase the annual production of its Bandirma gas turbine plant to 6,700 GWh by 2013 Turkey Energy Verbund / Austria Enerjisa, the 50-50 JV of the group with Sabanci, will 75 - EnerjiSA develop a 80-MW hydropower project in Yamanli (Kahramanmaras/Adana), to be completed in 2014 Turkey Energy Verbund / Austria Enerjisa, the 50-50 JV of the group with Sabanci, will 75 - EnerjiSA develop a 60-MW hydropower project in Dogancay (Adana), to be completed in 2013 Turkey Energy Verbund / Austria Enerjisa, the 50-50 JV of the group with Sabanci, will 75 - EnerjiSA develop a 39-MW wind farm in Dagpazari (Mersin), to be completed in 2012 Turkey Furnishing / DeLonghi Italy The manufacturer of products for home and business to - - houseware set up a subsidiary, DeLonghi Bosphorus, in order to market its products directly in Turkey Turkey Furnishing / Hettich Germa- The leading manufacturer of furniture fittings to 2 - houseware ny establish a local subsidiary and open a showroom in Istanbul in November 2010 Turkey Furnishing / Natuzzi Italy The furniture company to open 8 new shops in Turkey - - houseware after inaugurating the one in Ankara in early June, thus reaching a total of 11 stores Turkey Cement / Alamos Canada The mining group to acquire Agi Dagi and Kirazli 40.5 - glass / Gold exploration projects from US Fronteer and Canadian materials Teck and to launch a development programme Turkey Cement / Black- Austra- The cement group to launch by end of 2010 the building 145.9 - glass / stone lia on some 34400 m2 of land of a cement plant in the materials Cement Vezirkopru area of Samsun, on the Black Sea Turkey Cement / Calta- Italy The local subsidiary of the group's cement branch to 60 - glass / girone / build a industrial waste recycling and disposal facility materials Cimentas in the Aegean province of Manisa Turkey Cement / Heidelber Germa- The JV between the cement maker and local Sabanci 8.7 - glass / gCement / ny installs a waste heat recovery system at its Canakkale materials Akcansa factory to produce 30% of the required energy

142

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Cement / Hunter Canada The group to take a 20% stake in the Caldag mining 43 - glass / Dickinson project in Manisa, under development by an materials (HDI) / international consortium led by British European Nickel Constan- tia Turkey Cement / Saint- France The group's subsidiary specialising in insulation and - - glass / Gobain / coating materials to build a new production facility in materials Saint- Adana, its 4th in the country Gobain Weber Turkey Mechanics / Gestamp / Spain The 50-50 JV between the metal parts manufacturer and 15 150 machinery Beycelik Turkey's Faik Celik to build a wind turbines factory in Gestamp Bandirma, which will employ 300 people Turkey Mechanics / Schindler Switzer The group specialised in escalators and elevators to - - machinery -land move its North Africa and Near East centre from Switzerland to Turkey Turkey Metallurgy Crown USA The packaging company to expand its production - - capacities in Turkey by expanding its Izmit plant and setting up a new one near Mersin Turkey Metallurgy Mechel Russia The conglomerate to purchase Ramateks, a local trading - - company of steel products with storage capacities and cutting equipments in Istanbul and Konya Turkey Metallurgy Posco South The world's third steelmaker to build a factory in Izmit, 262 1000 Korea to be completed in 2013, to supply the Middle East and Eastern European countries Turkey Other or not Argus UK The firm to purchase from the Aydin family 20% of - - specified Capital Memorial Health Group, a hospital chain in which Qatar Fisrt Investment Bank also took a 20% stake Turkey Other or not Bausch & USA The leading global supplier of eye health products to - - specified Lomb establish a local subsidiary in Istanbul to develop its operations in the country Turkey Other or not Chèque France The issuer of payment vouchers for social and cultural 67.4 - specified Déjeuner activities to acquir its Turkish counterpart Multinet to enter the local market Turkey Other or not Messe Germa- The leading organiser of trade fairs partners with local - - specified München ny Eko Fair to develop its activities in the country, to start Int'al with a logistics fair (MMI)

143

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Other or not National Kuwait The investment subsidiary of the banking group to - - specified Bank of acquire 30% of Dünyagöz, a leading eye surgery Kuwait hospital chain (NBK) / NBK Capital Turkey Other or not National Kuwait The investment subsidiary of the banking group to - - specified Bank of acquire 30% of Dünyagöz, a leading eye surgery Kuwait hospital chain (NBK) / NBK Capital Turkey Other or not Qatar Qatar The firm to purchase from the Aydin family 20% of - - specified First Memorial Health Group, a hospital chain in which Investmt. Britain's Argus Capital also took a 20% stake Bank (QFIB) Turkey Public works Astaldi Italy The group to take a 15.75% stake in the JV formed with 4800 50000 / real estate 5 Turkish firms to implement the 22 year-BOT contract on the Gebze-Izmir highway project Turkey Public works Corio Nether- The company to develop with Dutch Acteeum a centre 25 50 / real estate lands containing 100 stores and a 6-screen cinema in Tarsus, scheduled to open in 2013 Turkey Public works Deutsche Germa- The local subsidiary of the group, a 50-50 JV with local 70 - / real estate Infra- ny Timur Gayrimenkul, to build the biggest repair struktur shipyard of Europe and Asia in Gelibolu Kapital (DIK) / DIK Turkey Turkey Public works Deutsche Germa- The local subsidiary of the group, a 50-50 joint-venture 62 - / real estate Infra- ny with local Timur Gayrimenkul, to build a shipyard in struktur Tuzla to be operational in 2022 Kapital (DIK) / DIK Turkey Turkey Public works Dubai United The Dubai-based port operator to start building under a 75.9 - / real estate World / Arab BOT contract a 1M TEU terminal in Yarimca on a piece DP World Emirates of land it acquired in 2005

144

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Public works Libyan Libya The sovereign fund to take a 5% stake in real estate 73.6 - / real estate Investmt. investment trust Emlak Konut, which floated a 25% Authority stake in its first initial public offering (LIA) Turkey Public works MSC Switzer The transporter to build Asyan international transit port 261.3 - / real estate -land in Barbaros (Tekirdag province) and to handle 500.000 TEU per year under concession Turkey Public works Multi Nether- The local subsidiary of the Gouda-based developer to 57 - / real estate Corporati lands build a shopping mall and 200 houses in the on / Multi Mediterranean province of Adana Developt. Türkiye Turkey Public works Salomon Austria The real estate company to establish a joint-venture - - / real estate with local KC Group to develop three projects in Pendik, Tasdelen and Sariköy Turkey Public works VastNed Nether- The retail property fund to acquire 2 retail units in 12.8 - / real estate Retail lands Istanbul's Istiklal Caddesi, thus reaching a total of 3 Turkish properties in 2007 Turkey Public works VastNed Nether- The fund to acquire from local Yapi Kredi Bank a 4,750 33 - / real estate Retail lands square metre store located in Istanbul's Istiklal Caddesi, to be rented after renovation Turkey Telecom / Nokia Finland The joint venture between Finnish Nokia and German - - internet Siemens Siemens to acquire Iris Telecom in order to turn the Networks company into a regional leader Turkey Telecom / Oger / Saudi The mobile operator controlled by Oger through Turk 12.9 220 internet Avea Arabia Telekom to open a R&D centre in Istanbul, which will soon employ 220 researchers Turkey Telecom / Oger / Saudi The telecom group, dominated by the Hariri family 137.3 3500 internet Turk Arabia business, to invest in infrastructure, products & services Telecom improvement during the first half of 2010 Turkey Telecom / TeliaSone Sweden The operator, dominated by TeliaSonera, to open a call - 350 internet ra / centre in Eskisehir in western Anatolia, that will employ Turkcell 350 people Turkey Telecom / Telia- Sweden The mobile phone operator dominated by TeliaSonera 365.5 - internet Sonera / to invest in the development of its communications Turkcell infrastructure and in its subsidiary Superonline Turkey Telecom / Vodafone UK The local subsidiary of the mobile telephony provider to 51.5 - internet / develop its Izmir data centre and upgrade its network Vodafone- infrastructure Telsim Turkey

145

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Textile / Antwerp Bel- The diamond specialist to open a laboratory in Istanbul, - 3 luxury World gium which will employ 3 experts to start, and offer solutions Diamond to the Turkish industry Centre (AWDC) / HRD Antwerp Turkey Textile / Hennes & Sweden The ready-to-wear brand to open 3 new store in - - luxury Mauritz Istanbul by the end of 2011, in Istinye Park, Sapphire (H&M) and Forum Marmara Shopping Centers Turkey Textile / Hugo Germa- The ready-made-garment group to transfer its - - luxury Boss ny produdction capacity from Cleveland to Izmir, where it already owns 2 factories Turkey Textile / Oxylan / France The company specialised in the manufacture and - - luxury Decathlon distribution of sport equipments to open its two first Turkish stores in Ankara and Istanbul Turkey Textile / Sun USA The London-based clothing company owned by the - - luxury Capital / investment firm will open 10 outlets in 2011 in Lee partnership with its local producer and retailer Kipas Cooper Turkey Tourism / Accor France The group to open an Ibis hotel and a Novotel in the 14 100 catering central Anatolian province of Kayseri in partnership with local construction firm Akfen Turkey Tourism / Accor France The group to further expand its activities in Turkey by - - catering opening an Ibis hotel in Bursa in 2011, in partnership with local construction firm Akfen Turkey Tourism / Al- Qatar The Qatar royal family-owned company to buy the five 10.3 - catering Maselah star Munamar Hotel in the seaside town of Marmaris Construc- tion and Industry Turkey Tourism / Aunde Germa- The manufacturer of technical textiles to enter the - - catering ny Turkish tourism, investing in two hotels Turkey Tourism / ISR Azerbai The conglomerate to establish a local subsidiary, in - - catering djan charge of the acquisition and management of a 5-star resort in Bodrum, the Princess Deluxe Turkey Tourism / ISR Azerbai The conglomerate to make, with Azeri Palmali, its 50 - catering djan second Turkish acquisition, the 7-star Istanbul Edition Hotel, to be managed by its local subsidiary Turkey Tourism / Kerten Ireland The Dubin-based fund to take a 50.4% stake in the - - catering luxury hotel chain The House Hotel, established in 2007 by the 3 founders of the chain House Café

146

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Tourism / Kerten / Ireland The hotel chain, in which the fund holds a 50.4% stake 1.5 - catering The since February 2010, will open 3 new boutique hotels in House Istanbul in 2011 Hotel Turkey Tourism / Makhach Russia The Russian businessman Makhach Omarov to buy 4.2 - catering Omarov lands in Kumlubük Yolu to develop a tourism complex Turkey Tourism / Mc- USA The fast-food chain to open 26 new restaurants in 2010 - 1000 catering Donald's through local franchisee Anadolu, thus reaching a total of 160 restaurants in the country Turkey Tourism / Pragma Leba- The investment firm to open a Cavalli Cafe in Istanbul 2.8 - catering non with local investors under its master franchise with the Italian designer Roberto Cavalli Turkey Transport / Aramex United The logistics company to increase to 100% its - - logistics Arab shareholding in Aramex Turkey, previously a partially Emirates owned subsidiary Turkey Transport / Carnival / USA Aida Cruises, the German subsidiary of the cruise and - - logistics Aida vacation company to move its home port from Cruises Heraklion to Antalya Turkey Transport / Coulomb USA The start-up company specialised in charging stations 243 - logistics Techno- for electric-powered vehicles to establish a 40000-station logies network throughout the country Turkey Transport / Goodrich USA The aerospace components supplier to establish a 60-40 - 70 logistics joint-venture with national company Turkish Airlines (THY) to provide maintenance services Turkey Transport / Lufthansa Germa- The airline, a 50-50 JV between the Cologne-based 150 - logistics / Sun- ny group and Turkish Airlines purchases 8 aircrafts and Express renews fleet in its 20th year Turkey Transport / TNT / Nether- The express courier subsidiary of the transport group to 8 107 logistics TNT lands open a new 3767 spm-operation centre at the Sabiha Ekspres Gökçen airport, near Istanbul

147

Investments and partnerships in the MED region in 2010

Annex 7. List of partnerships detected for 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Algeria Banking / HSBC UK The banking group to open a second branch in Algiers - - insurance before the end of the year 2010, after the start of its operations in Algeria in 2008 Algeria Consulting / Pano France The network of indoor and outdoor specialists to open - - engineering Boutique an office in Tizi Ouzou through franchise agreement with local partner Algeria Data Danem France The software publisher to sign a partnership with local - - processing / engineering company Algeo-Fleet to expand its software activities in Algeria Algeria Data SAB France The publisher of banking software to ink a partnership - - processing / with AEBS (Algeria e-Banking Services) which becomes software its retailer for Algeria Algeria Distribution Afflelou France The optical retailer to open its first store in Algeria in - - / retail Bab Ezzouar mall in Alger, through a franchise agreement with local Mansel Distribution Algeria Furnishing / Sinpas Turkey The group's subsidiary specialising in kitchen and - - houseware GYO / bathroom furniture to choose a local franchisee to enter Prodek / the Algerianl market Vanucci Algeria Transport / Air France The airline company to launch in June 2010 two new - - logistics Méditer- flight connection between Paris and Mulhouse, France, ranée and Jijel Algeria Transport / Air France The airline company to open two new flights to Chlef in - - logistics Méditer- Algeria, from Lyon and Paris, thus becoming the third ranée company to serve this airport Algeria Transport / GoFast / France The airline to initiate a regular line on 14 June 2010 - - logistics Aigle between Lille and Tlemcen to strengthen its presence in Azur North-Western Algeria Algeria Transport / Iberia Spain The airline operator to open a flight to Oran, its second - - logistics Algerian destination after Alger Algeria Transport / TAP Portu- The national flagship carrier to launch a new regular - - logistics Portugal gal flight between Lisbon and Algiers in order to increase trade relations between both countries Cyprus Banking / Banca Roma- The Romanian bank to open its second foreign branch 4.8 15 insurance Transil- nia in Limassol, creating 15 local jobs vania Cyprus Banking / EFG Greece The banking group to expand its branches network in 4.8 15 insurance Eurobank Cyprus via its subsidiary Tekfenbank, in which Turkish Tekfen still holds a 30% stake

148

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Cyprus Banking / MDM Russia The banking group's subsidiary LTB, which set up in 4.8 15 insurance Bank Limassol in 2002, to open a new branch in Cyprus Cyprus Consulting / Harneys Virgin The British Virgin Islands-based offshore law firm to 1.7 11 engineering Islands open an office in Limassol UK Cyprus Consulting / RSS United The provider of temporary solutions to open a new 0.8 7 engineering Arab office in Limassol to rent desalination containers in the Emirates Mediterranean countries Cyprus Telecom / Telecom Italy The group's Irish subsidiary to team up with Cypriot - - internet Italia / Cyta to set up a submarine optical fiber cable between Med- Tel Aviv and Marseille Nautilus Cyprus Tourism / Arcandor Germa- The tour operator Thomas Cook to add Paphos and - - catering / Thomas ny Paralimni to its 'Sentido' hotels through a franchise Cook agreement with a local partner Cyprus Transport / Ryanair Ireland The low-cost air carrier to add the Cypriot city of - - logistics Larcana to its European destinations Egypt Automotive Mitsu- Japan The car maker to choose as new dealer for Egypt the - - industry bishi joint-venture between Kuwait Al Mulla group and Egyptian conglomerate of companies M.A. Kharafi Egypt Automotive Yoko- Japan The tire manufacturer to ink a distribution agreement - - industry hama with Egyptian vehicle maker GB Auto (Ghabbour Auto) Rubber Egypt Banking / Al Ansari United The provider of worldwide remittance and foreign - - insurance Exchange Arab exchange services to partner with National Bank of Emirates Egypt to expand its network of correspondent banks Egypt Banking / Bahrain Bahraïn The group to expand the outreach of its money transfer - - insurance Financing subsidiary, EzRemit, by concluding a strategic Company partnership with the United Bank of Egypt (BFC) Egypt Banking / MoneyGr USA The global money transfer company to partner with - - insurance am Egyptian United Bank to offer services in 43 new locations throughout the country's main cities Egypt Banking / Xpress United The company to team up with the National Bank of - - insurance Money Arab Egypt to develop instant money transfer services to the Emirates Egyptian community living abroad Egypt Consulting / Avaya USA The company to partner with Egypt Telecom's - - engineering subsidiary TE Data to provide innovative call center solutions for the Egyptian market Egypt Consulting / Crowell USA The law firm to open an affiliate office in Cairo under - - engineering & Moring the sponsorship of its local partner Hegazy & Associates

149

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Consulting / FLSmidth Den- The engineering group to ink a five-year agreement - - engineering mark with local company Wadi El Nile to operate their cement plant and maintain equipments Egypt Consulting / Oxford UK The economic consultancy firm to collaborate with CI - - engineering Business Capital, the investment banking arm of CIB, for the Group preparation of its Egypt country report 2011 Egypt Data Eset / USA The antivirus developer to ink a retail distribution - - processing / Adaox agreement with local KMG Technology, which will software Middle assist customers and provide after sale services East Egypt Data Facebook USA The social network to sign a commercial partnership - - processing / with Egyptian digital advertising company Connect software Ads to attract new members in Arab countries Egypt Distribution Al United The multi-brand electronics and IT retailer to open a - - / retail Futtaim / Arab shop in Cairo Festival City, developed by its parent Plug-ins Emirates company and due tol open its doors in 2012 Electronix Egypt Distribution IKEA Nether- The international home products manufacturer and - - / retail lands retailer to open a store in the Cairo Festival City project developed by Emirati Majid Al Futtaim Egypt Distribution Spinneys United The supermarket chain owned by Abraaj Capital, to - - / retail Arab open its thirds store in Egypt and its second in Cairo in Emirates 6th October City Egypt Electronic Brother Japan The manufacturer of office equipment and supplies to - - ware Industries ink a distribution agreement with local Smart / Brother Technology Company Gulf Egypt Electronic Samsung South The electronic giant to open its flagship store in Cairo's - - ware Korea City Stars mall, to become its largest store to showcase all its products Egypt Energy ENI Italy The group to ink a strategic framework agreement with - - the two Egyptian state-run companies EGPC and EGAS, to define joint development projects Egypt Energy Mubadala United The clean energy investor to team up with Egyptian - - Developt. Arab Sugar and Integrated Industries Company to develop a / Masdar Emirates CDM fuel-switch project Egypt Furnishing / Toys R USA The retailer of toys and juvenile products to open a - - houseware US shop through franchise in the new Cairo Festival City complex, due to open its doors in 2012 Egypt Other or not KidZania Mexico The chain of family entertainment centres to open its - - specified first 'edutainment' branches in Cairo, Giza and Alexandria through its local franchisee Edrak

150

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Other or not Pearson / UK The book publishing group's subsidiary to partner with - - specified Penguin Egyptian Dar E-Shorouk to translate and publish world literature classics in Arabic Egypt Other or not Philips Nether- The electronic corporation to annouce a nationwide - - specified lands partnership with National Training Institute (NTI) to improve healthcare in Egypt Egypt Other or not Saudi Saudi The company to ink a cooperation agreement with - - specified Research Arabia famous Al Ahram Establishment to develop printing, and publishing, distribution and other media services Marketing Group Egypt Public CMCS United The Dubai provider of project portfolio management - - works / real Arab solutions to open offices in Cairo and Alexandria while estate Emirates gearing up for further North African expans Egypt Telecom / Alcatel- France The telecommunications services provider to ink a - - internet Lucent commercial partnership with the local company Mobinil to develop personalised mobile marketing Egypt Telecom / Comviva India The firm specialised in services to mobile operators to - - internet clinch a partnership with Vodafone Egypt, concerning their e-recharge services Egypt Telecom / Saudi Saudi The telecom provider to partner with Egypt Air to - - internet Telecom Arabia enable the national flogship carrier's passengers to use their mobile phones during air travel Egypt Textile / Al United The group to open its first Marks & Spencer franchise - - luxury Futtaim Arab shop in the Dandy Mega Mall on the outskirts of Cairo Emirates Egypt Textile / Hennes & Sweden The fast fashion company to open its second store in - - luxury Mauritz Cairo through its franchise agreement with Koweiti (H&M) retailer M.H. Alshaya Egypt Textile / INTERSP Switzer The sporting goods retailer to open a shop through - - luxury ORT land franchise in the Cairo Festival City complex due to open its doors in 2012 Egypt Textile / Pablosky Spain The specialist in children's footwear to reinforce its - - luxury presence in Egypt by opening new shops through franchising agreement Egypt Textile / Saks Fifth USA The brand of luxury clothing to open its third store in - - luxury Avenue Cairo in the Designopolis complex and mull over further expansion Egypt Tourism / Arcandor Germa- The tour operator to open 4 hotels in Marsa Alam, - - catering / Thomas ny Hurghada and Luxor under the 'Sentido' brand through Cook a franchise agreement with a local partner

151

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Tourism / Crystal Chili The Chilian firm to partner with several local - - catering Lagoons developers such as Golden Pyramids Plaza and Amer to build artificial lagoons in Egypt Egypt Tourism / Dubai United The hospitality group to sign an agreement with - - catering Holding / Arab Egyptian developer Palm Hills Development to manage Jumeirah Emirates a five-star resort located in Palma Gamsha resort Egypt Tourism / Hilton USA The hospitality group to ink a management agreement - - catering World- with local Zaghloul Group for the new-build Hilton wide Heliopolis in Cairo, scheduled to open in 2014 Egypt Tourism / Hilton USA The hospitality group to sign a management agreement - - catering World- with local with Safir El Zamalek Hotel Company for its wide 4th hotel in Cairo, Zamalek Residence Egypt Tourism / Hilton USA The hospitality group to ink a management agreement - - catering World- with local Zaghloul Group for the Hilton Makadi wide Resort, south of Hurghada, due to open in 2012 Egypt Tourism / Jinan United The chain of eco-friendly hotels and residencies to - - catering Arab partner with Egyptian Minerva for the management of Emirates the Ein Shanda Hotel in Ad-Dakhla oasis Egypt Tourism / LVMH / France The luxury chain to sign a management agreement for a - - catering LVMH hotel due to open in Aswan in 2012 under the brand Hotel 'Cheval Blanc', owned by Egyptian Orascom Managt. Egypt Tourism / Tata / Taj India The chain of luxury hotels to manage 3 hotels to be - - catering developed by local Palm Hills Developments by 2012 on the North Coast, in Ain Sokhna and Aswan Egypt Transport / Air United The largest low-cost carrier in the Middle East and - - logistics Arabia Arab North Africa to open a new flight to Sohag, its third Emirates destination in Egypt Egypt Transport / Air United Air Arabia Egypt, the low cost carrier's local subsidiary, - - logistics Arabia Arab to launch a daily bus service between Alexandria and Emirates Cairo Egypt Transport / Etihad United The Emirates national flagship carrier to launch four - - logistics Airways Arab weekly flights between Abu Dhabi and Alexandria, Emirates Egypt Egypt Transport / FlyDubai United The low-cost airline company to open three weekly - - logistics Arab flights between Dubaï and Asyut by May 2010 Emirates Egypt Transport / Gulf Air Bahraïn The national air carrier to launch services to Alexandria - - logistics from June 2010 Egypt Transport / IDO Turkey Istanbul maritime transportation company to sign a - - logistics cooperation protocol with Egypt to provide consultancy services and training

152

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Egypt Transport / Jazeera Kuwait The Koweiti airline to open in December its fifth non- - - logistics Airways stop route to Egypt, Sohag, which it will serve three times a week Egypt Transport / MTC / Kuwait The flagship airline to open a route from Kuwait to the - - logistics Wataniya Egyptian Sohag province in November 2010 to answer Airways the demand of Egyptians living in Kuwait Egypt Transport / MTC / Kuwait The national flagship carrier to launch four weekly - - logistics Wataniya flights to Alexandria to serve the increasing demand for Airways travel between Kuwait and Egypt Egypt Transport / RAK United The national carrier to open a new flight route between - - logistics Airways Arab the UAE and Cairo, operating three times a week Emirates Egypt Transport / TAP Portu- The national airline company to partner with Egyptian - - logistics Portu-gal gal counterpart EgyptAir to increase the number of flights between Egypt and Europe Egypt Transport / THALES France The electronics company to sign a co-operation - - logistics agreement with Egypt Ministry of Transport for vocational training in the railway sector Egypt Transport / Tunisair / Tunisia The 51%-controlled Mauritanian subsidiary of the - - logistics Maurita- Tunisian airline company to launch a new flight nia Airw. connection between Nouakchott and Cairo in June 2010 Egypt Transport / Turkish Turkey The airline to launch direct flights to Alexandria in - - logistics Airlines April 2010 Egypt Transport / Visemar Italy The Venetian JV between the shipbuilder and the - - logistics Line maritime operator to launch a ferry service connecting Venice with Tartous and Alexandria in May 2010 Israel Aeronautics Liebherr Switzer Thegroup to ink a technological partnership with local - - / ships / rail land Palbam-Amts in order to develop magnesium based products for the aeronautical industry Israel Agri- Cadbury UK The confectionery company plans to re-enter the Israeli - - business chocolate market through its Israeli representative, Globrands Israel Agri- Doctor's USA The fast-food chain to reopen its gate in three Israeli - - business Associates cities through franchise agreement with local / Subway businessemen Gour Gal Israel Agri- Pernod France The producer and distributor of spirits and wines to - - business Ricard partner with Israeli company Tempo which becomes its sole distributor in Israel Israel Automotive Fiat Italy The Italian group Fiat to ink a franchise agreement with - - industry alon group for its Ferrari and Mazerati brands

153

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Automotive General USA The world's largest automaker to ink a partnership - - industry Motors contract with local businessman Shlomo Shmeltzer's company to relaunch the Opel brand in Israel Israel Banking / America's USA Boston-based, emerging growth-focused investment - - insurance Growth bank to open an office in Herzliya Capital Israel Banking / IP Bewer- Germa- The fund teams up with Israeli attorneys Luzzatto to - - insurance tungs ny provide capital and know-how to early-stage ventures (IPB) for the development of patents in renewables Israel Banking / Land- USA The strategic and financial advisory firm to open an - - insurance mark office in the country to set up an Israel private equity Ventures fund for high-tech companies Israel Banking / Scor France The reinsurance company to establish a representative - - insurance office in Tel Aviv for the Life and Health market after 30 years of presence Israel Consulting / Google USA The Irish subsidiary of the search engine to sign a - - engineering cooperation agreement with Or Yehuda-based Babylon, a provider of translation web services Israel Consulting / Steria France The computing services company to sign a partnership - - engineering agreement with local FTS to provide 'Steria Agile Billing' services to Israeli telecom operators Israel Consulting / WCC&E USA The law firm headquartered in Los Angeles to open an - - engineering office in Tel Aviv to provide a broader range of legal services to its US and Israeli clients Israel Data Bright- USA The world's leading online video platform to choose Tel - - processing / cove Aviv's BestTV as its exclusive reseller and service software provider in Israel Israel Data Buon- Italy The group to ink a cooperation agreement with IMA, an - - processing / giorno organisation representing over 100 Israeli companies, to software develop its innovation activities Israel Data Cliosoft USA The solution provider for the electronics design - - processing / industry to choose Advanced Semiconductor software Technology (AST) as its exclusive distributor in Israel Israel Data Facebook USA The group to sign a 3-year partnership with Israeli - - processing / Nana10 which becomes its official marketing company software Israel Data Microsoft USA The computer software giant to team up with Israeli 3D - - processing / motion-sensing tech specialist Prime Sense to develop software its 'Project Natal' for XBOX 360 Israel Data Pirate Bay Sweden The Seychelles-based Swedish association to team up - - processing / with Israeli social network Meezoog to set up Pirate software Date, a joint dating site

154

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Data Upstream Canada The company to sign a technology partnership deal - - processing / Works with local process optimization solutions developer software Jacada to provide services for contact centers Israel Data Viasat USA The provider of advanced satellite communication - - processing / services to team up with Israeli company Pointer to software develop innovative location-based services Israel Distribution 7camicie Italy The network of shirt shops to ink a franchising - - / retail agreement with local company Yuvalim, which manages several malls and retail ventures in Israel Israel Distribution Arcadia UK The apparel retailer to open two 'Topman' men's - - / retail clothing shops in Herzliya and Beersheba through franchise agreement with local Sakal Sport Israel Distribution Future Canada The distributor of electrical and electromechanical - - / retail Electro- components to ink a worldwide franchise distribution nics agreement with Israeli manufacturer Yitran Israel Distribution Gap USA The specialty retailer to open in 2010 two new Israeli - - / retail store, in Herzliya and Eilat, thanks to a franchise agreement with local group Elbit Israel Distribution IKEA Nether- The famous Swedish brand to open a mall in Rishon - 500 / retail lands LeZion through a EUR 14million investment of its local franchisee Bronfman Fisher Investments Israel Distribution Payless USA The famous retailer of discount shoes to open 15 stores - - / retail within 18 months thanks to a franchise agreement with Israeli Sakal group Israel Drugs Abbott USA The pharmaceutical and medical devices company to - - ink a strategic partnership agreement with the government to work with Israeli innovative companies Israel Drugs Novartis Switzer The Swiss pharmaceutical company to obtain a non- - - land exclusive license and jointly develop local NasVax's adjuvant technology for improved flu vaccines Israel Drugs Roche Switzer The pharmaceutical group to sign a cooperation - - land agreement to use the EarliTest solution developed by the Israeli company Aposense Israel Electr. General UK The group to team up with Caesarea-based company - - hardware Electric / Arineta to jointly develop computed tomography for GE cardiovascular applications Health- care Israel Electr. Pfizer USA The pharmaceutical company to sign a technical 0.6 - hardware cooperation agreement with local Exalenz Bioscience tu use its diagnostic device BreathID

155

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Electr. Schneider France The group to sign a cooperation agreement with Israeli - - hardware Electric Sunday Energy, a photovoltaic array integrator, to build up to 200 MW of mid-sized PV arrays Israel Electronic Entropic USA The designer of semiconductors for home entertainment - - components to reinforce its agreement with TowerJazz, which will expand its Migdal Ha'emek plant capacity Israel Electronic Samsung South The electronic giant to sign an agreement with Israeli - - components Korea flash memory developer Anobit, so as to equip its next generation of electronic devices Israel Electronic Toppan Japan Specialty foundry TowerJazz to become the preferred - - components vendor for Japan's Toppan and also an official design center partner Israel Electronic Microsoft USA The transnational to ink a partnership with Israeli - - ware developer Radvision to jointly invest and develop video conferencing systems Israel Energy Enerqos Italy The turnkey supplier of large-scale solar plants to set up - - GEM Solar, a JV company with two local companies, Ginergia and Menorah Group Israel Furnishing / Natuzzi Italy The Italy-based furniture company to open a new store - - houseware in Jerusalem Israel Metallurgy Posco South The world's second largest steel producer to ink a - - Korea partnership with the Office of the Chief Scientist to develop R&D activities in Israel Israel Telecom / BT Group UK The group to sign an exclusive partnership deal with - - internet the local Bezeq International to market its services and products in Israel Israel Telecom / Vivendi / France The group's Moroccan subsidiary to ink partnership - - internet Maroc with three Israeli companies to offer roaming services to Telecom its mobile phone customers Israel Textile / American USA The fashion brand to be in Israël, thanks to a franchise - - luxury Eagle agreement with the local company Fox-Wizel Outfitters Israel Textile / Burberry UK The luxury chain to open its first store in the country, in - - luxury Tel Aviv Israel Textile / Crocs / USA The shoe manufacturer, already present in Israel, to - - luxury Crocs open six new stores through a franchise agreement with Israel its local partner Azrieli Group Israel Textile / Javier Spain Luxury fashion chain to open its first store in Tel Aviv - - luxury Simorra and plans to open 10 stores across country through franchising agreement Israel Textile / LVMH France The French luxury group to open a Louis Vuitton store - - luxury in the north Tel Aviv mall in Ramat Aviv

156

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Israel Textile / Promod France The ready-to-wear brand to enter Israel thanks to an - - luxury agreement with Israeli company Maslamani, which acquired the concession to market the brand Israel Tourism / Kempin- Germa- The luxury hospitality chain to manage an hotel - - catering ski Hotels ny currently under construction on Tel Aviv's seafront by Israeli developer Nahal group Israel Tourism / Marriott / USA The hospitality group to sign an agreement with Israeli - - catering Ritz- developers Tidhar, Migdal et Adi's Investments to Carlton manage a hotel to be built in Tel Aviv Israel Tourism / Unilever / UK The agri-business giant to open 2 new stores of its - - catering Ben& famous ice creams in Modiin and Rishon Lezion, in Jerry's addition to the one already operating in Glilot Israel Transport / Better USA The company to open a visitor center near Tel Aviv and - - logistics Place to partner with the Dor Alon gas station chain to develop its vehicles recharge network Israel Transport / JetBlue USA The passenger airline to team up with its Israeli - - logistics counterpart El Al as to provide connecting options between the United States and Israel Israel Transport / Lufthansa Germa- The airline company to clinch a commercial partnership - - logistics ny with the Israeli travel agency Mesmi Tourism Jordan Agri- Chemical Egypt The tobacco manufacturer to sign an agreement with its - - business Industries Jordanian counterpart to produce, market and Holding / distribute its products in Jordan Eastern Jordan Automotive Bayerische Germa- The Bavarian automobile manufacturer to ink a contract - - industry Motoren ny with local Abu Khader Automotive which becomes its Werke new importer for Jordan (BMW) Jordan Automotive Harley- USA The famous motorbike brand to open a dealership in - - industry Davidson Amman through franchise agreement with local retailer Jordan Global for Motorcycles Jordan Automotive MAN Germa- The manufacturer of commercial vehicles to ink a - - industry ny distribution agreement with Jordanese Integrated Automotive, which becomes its exclusive dealer Jordan Automotive Tata / India The automotive brand to ink a partnership agreement - - industry Land with Mahmoudia Motors, which becomes its sole dealer Rover in Jordan Jordan Banking / Dubai United JDIB, established in 2008 and in which Dubai Holding - - insurance Holding Arab and Dubai Islamic Bank s hold a 20.8% stake, to open its Emirates main office in Amman

157

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Jordan Banking / Egyptian Egypt The banking group to ink a cooperation agreement with - - insurance Arab local Middle East Insurance, 20% owned by French Axa, Land to develop its services in Jordan Bank Jordan Banking / Standard UK The group's local subsidiary to sign an agreement with - - insurance Chartered Kuwaiti TSC to expand its payment network in Safeway supermarkets in Jordan Jordan Consulting / BPG United The marketing solution provider to team up with local - - engineering Arab Elite group, to become its representative in Jordan Emirates Jordan Consulting / KM USA The education and certification provider to ink a - - engineering Institute partnership with local consulting firm MindCirclez to expand new offerings in the Middle East Jordan Consulting / Microsoft USA The group to sign a strategic partnership agreement - - engineering with Ahli Bank to build the local bank's IT capacity and develop areas of competencies Jordan Consulting / Sabre USA The global travel distribution system provider to sign a - - engineering partnership with the Royal Falcon Airlines to include its flights in its service of booking Jordan Consulting / YouGov / UK The Dubai-based branch of the company, dedicated to - - engineering YouGov- the MENA region, to team up with Jordanian Siraj Analyseize to conduct joint marketing research projects Jordan Data IBM USA The IT company to take part in the setting up of a - - processing / Centre for Service Science Innovation for the Jordan software University of Science and Technology in Irbid Jordan Data ISC Egypt The group to partner with Emirati group's local - - processing / subsdiary Kulacom Jordan to develop new cloud software computing IT services for its Jordanian customers Jordan Data MindArk Sweden The software company to partner with Jordanian game - - processing / developer Beladcom to create the first online virtual software environment tailored toward Arab audiences Jordan Data nPario USA The group to ink a technological partnership with - - processing / Jordanese telecom provider Umniah to build a software customised data platform for its subscribers Jordan Data Red Hat USA The group to strengthen its partnership with local - - processing / Savvytech, which becomes its technical service provider software for its clients in Jordan and in the region Jordan Distribution Ace USA The retail cooperative of hardware to open its first store - - / retail Hardware in Jordan at Mecca Mall in Amman Jordan Distribution Go Sport France The sporting goods retailer to open in July 2010 its first - - / retail Jordanese store in Amman trough a master franchise agreement with local partner No Limits

158

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Jordan Distribution Go Sport France The sporting goods retailer to open a second store in - - / retail Amman, in the 'Taj Mall', through a master franchise agreement with local partner No Limits Jordan Distribution Total / France French energy group to incorporate its first 2 gas - - / retail Total stations in Zarqa, in addition to the 5 stations already Jordan operated in Amman Jordan Drugs BioCryst USA The American SME to partner with Jordan-based - - company Hikma, who is to manage the pandemic flu treatment stockpiling for the MENA region Jordan Drugs Celltrion South The company to sign an exclusive agreement with - - Korea Jordan's firstpharmaceutical company, Hikma, which becomes its exclusive dealer for the MENA region Jordan Electronic LG South The electronic giant to inaugurate an air conditioning - - ware Electro- Korea academy in Amman to provide training services for nics Jordan and all Levant countries Jordan Other or not Mubadala United The firm specialised in the satellite broadcast services to - - specified Developt. Arab team up with Amman based media hub Jordan Media / Yahsat Emirates City to identify cooperation projects Jordan Other or not TRT Turkey The state-run channel TRT to sign a cooperation - - specified agreement with Jordanian channel JTV to launch a round-the-clock television broadcast in Arabic Jordan Textile / Armani Italy The luxury group's home furnishings collection to open - - luxury a new Armani/Casa store in Amman Jordan Tourism / Crystal Chili The Chilian firm to partner with local developer Sama - - catering Lagoons Jordan to build an artificial lagoon near the Dead Sea coast, in the 'Al Buhayra' resort Jordan Tourism / Easyjet UK The airline to launch new low fare route from London - - catering Gatwick to Amman three times a week Jordan Tourism / Hilton USA The famous hospitality group to ink an agreement with - - catering World- Emirati Aabar to manage a third Jordan hotel, the Dead wide Sea resort, due to open in 2013 Jordan Tourism / Hilton USA The hospitality group to manage a hotel in Aqaba - - catering World- developed by Jordan Maritime Complex for Real Estate wide Investments due to open by the end of 2010 Jordan Tourism / Marriott USA The hospitality group to sign a management contract - - catering for a 4th Jordanian hotel with local Arab International Hotels Company, to open in 2013 in Aqaba Jordan Transport / Air Baltic Lavtia The semipublic utility airline company to start two - - logistics weekly flights between Riga and Amman Jordan Transport / Alitalia Italy The airline company to start four weekly flights - - logistics between Roma and Amman in Jordan by June 2010

159

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Jordan Transport / Iberia Spain The airline company to start direct flights with Amman - - logistics during summer 2010 Jordan Transport / Knafaim / Israel Israel's second largest airline, owned by the US - - logistics Arkia Jordache, to open two new regular lines to Aqaba from Tel-Aviv and Haifa and to offer travel packages Leba- Agri- Cie France Joel Robuchon's group to open its first Lebanese wine - - non business Française cellar in the new Souks of Beirut through a franchise Restaura- agreement with the local Fawaz Holding tion Joel Robuchon Leba- Automotive Brilliance China The group to sign a dealership agreement with local - - non industry Auto AutoXpert, which becomes the exclusive agent for its car and mini buses brands Leba- Automotive Harley- USA The famous motorbike brand to open a show-room in - - non industry Davidson Beirut through franchise agreement with local businessman Marwan Tarraf Leba- Automotive McLaren UK The sports car company to team up with local Saad & - - non industry Trad which becomes its local service partner and clients assistance provider Leba- Automotive T3 USA The electric vehicle manufacturer to ink an exclusive - - non industry Motion distribution agreement with EcoVision Levant for its T3 i-Series in Lebanon, Syria and Jordan Leba- Banking / Kipco / Kuwait The Iraki private commercial bank Bank of Baghdad, in - - non insurance Burgan which Burgan Bank holds 52% stake, to open a branch Bank in Beirut Leba- Consulting / Groupe Canada The US management consulting subsidiary of the - - non engineering Aeroplan loyalty management company to open an office in / Peppers Beirut, the 4th to be located in the Middle East region & Rogers Leba- Consulting / Hewitt USA The provider of human resources outsourcing and - - non engineering consulting services to launch a programme on Arab talents and set up an office in Beirut Leba- Consulting / Rollins / USA The consumer services company to set up a franchise - - non engineering Orkin agreement in Lebanon with local businessman Samer El Khoury to provide pest control services Leba- Data Microsoft USA The group's Arabic web portal to sign a strategic - - non processing / partnership with Lebanese Realestate.com.lb to support software the local real estate market

160

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Leba- Data National Saudi The ICT group to sign a distribution agreement for - - non processing / Techno- Arabia Lebanon and Syria with Lebanese Netiks through its software logy subsidiary company DirectFN, alias Mubasher Group / DirectFN Leba- Distribution Cremeria Italy The traditional ice-cream chain franchisor to sign an - - non / retail Vienna agreement for the opening of a shop in Beirut under its 'Dolcissimo' brand Leba- Distribution Land- United The retail conglomerate to enter the Lebanese market - - non / retail mark Arab with the opening of 2 stores of its Centrepoint and Max Int'al Emirates concepts in Beirut (LMI) Leba- Distribution Monoprix France The group to ink a 10 year exclusive distribution - - non / retail partnership agreement with Lebanese Admic to set up Monoprix and Monop' stores in Lebanon Leba- Distribution Sorbino Italy The Italian fast fashion company to open its first - - non / retail Lebanese shop in Beirut Leba- Electr. TouchIT Turkey The touch-based visual communication products - - non hardware Techno- manufacturer to conclude a distribution agreement for logies Lebanon with local company El-Haceb Leba- Electronic Philips Nether- The group to open an office in Beirut, after 50-year - - non components lands presence through retailers, to develop a regional hub for operations in the Levant Leba- Electronic Acer / Taiwan The PC manufacturer to enter Lebanon market thanks - - non ware Packard to a partnership agreement between its subsidiary Bell Packard bell and the local company Distinet Leba- Furnishing / Versace Italy The famous luxury brand to partner with Damac - - non houseware Properties to design the interiors of one of the most prestigious residential towers in Beirut Leba- Other or not CMCS United The provider of portfolio management solutions to ink - - non specified Arab an exclusive agreement with the American University Emirates of Beirut to offer public building trainings Leba- Other or not Economist UK The famous media group to open a regional - - non specified representative office in Beirut with the help of its local partner the Alef Publishing and Media Company Leba- Other or not France 24 France The French speaking 24/7 international news channel to - - non specified clinch a partnership with SGBL to launch a new Arabic speaking channel Leba- Other or not GoNabit United The first Middle East group-buying website to expand - - non specified Arab its pioneer e-commerce leisure services by including Emirates Beirut in its offers

161

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Leba- Textile / Ajmal United The perfume manufacturer to open two retail outlets in 1.5 - non luxury Perfumes Arab Beirut, Lebanon, its second international market outside Emirates the GCC after Malaysia Leba- Textile / Burberry UK The luxury chain to open its first store in the country, at - - non luxury Allenby Street in Beirut Souks Leba- Textile / Christian France The designer of luxury shoes to open a store at Saks - - non luxury Loubou- Fifth Avenue in beirut in JV with the Syrian luxury tin retailer Chalhoub Group Leba- Textile / Gucci Italy The luxury group to open its first 'Tom Ford' store in - - non luxury the Beirut Grand Hotels District through a franchising agreement with local Luxury Clothing Leba- Textile / Hermès France The luxury small leather goods and high fashion - - non luxury company to open its first Lebanese shop in Beirut in partnership with Lebanese Galop SAL Leba- Textile / Int'al Switzer The high-end Swiss watch manufacturer to open a new - - non luxury Watch land boutique in Beirut Souks through franchising (IWC) agreement with local Ets. H. Atamian Leba- Textile / LVMH France The French luxury group to open its first Louis Vuitton - - non luxury in Downtown Beirut Leba- Textile / Pablosky Spain The specialist in children's footwear to reinforce its - - non luxury presence in Lebanon by opening new shops through franchising agreement Leba- Textile / PPR / France The reknown jeweller to open its first boutique in - - non luxury Bouche- Lebanon, in the Downtown Beirut Gold Souks ron Leba- Textile / Victoria's USA The lingerie brand plans to expand its activities in - - non luxury secret Middle East with the opening of a new store in Beirut in early 2011 Leba- Tourism / Gaucho UK The Argentine food restaurant chain to open its first 3 40 non catering restaurant outside UK in Beirut Leba- Tourism / MSC Switzer The leader in the cruise industry to make four Beirut - - non catering land Port calls per season, in partnership with the lebanese Wild Discovery Leba- Tourism / Roberto Italy The designer to open a Cavalli Club in Beirut under its - - non catering Cavalli master license agreement with the local investment company Pragma Leba- Transport / Air United The low-cost airline to launch 4 weekly non-stop flights - - non logistics Arabia Arab from its Alexandrian hub to Beirut Emirates Leba- Transport / Air Baltic Lavtia The semipublic utility airline company to start two - - non logistics weekly flights between Riga and Beirut

162

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Leba- Transport / Brussels Bel- The airline to conclude an agreement with Lebanese - - non logistics Airlines gium MEA for a thrice weekly flight Brussels-Beirut in order to develop connections to Africa Leba- Transport / MTC / Kuwait The airline which started services in January 2009, to - - non logistics Wataniya open a sales office in Beirut, one of its most popular Airways destinations Leba- Transport / Pegasus Turkey The Turkish low-cost carrier to open a daily flight - - non logistics Airlines connection between Paris and Beirut via Istanbul Libya Banking / First Gulf United The First Gulf Libyan Bank, a 50% controlled subsidiary - - insurance Bank Arab of the Emirati bank, to open a branch at the Rixos Hotel (FGB) Emirates in Tripoli Libya Banking / Islamic Saudi The private sector arm of the Islamic donor to team up - - insurance Developt. Arabia with Libya's National Council for Economic Bank / Development to launch a fund to support SMEs ICD Libya Banking / Martin& Turkey The insurance and reinsurance brokerage company to - - insurance Martin open an office in Tripoli for Libya and Northern African countries, especially Algeria Libya Consulting / CT Park Malta The parking manager to ink an agreement for the - - engineering management of the first of five car parks he is to operate through its subsidiary CT Park Libya Libya Consulting / Denton UK The London-based international law firm to establish in - - engineering Wilde Libya following the ink of an association agreement Sapte with local Tumi Law Firm Libya Data Emirate United The operator to launch a post-paid mobile satellite - - processing / Thuraya Arab service in team with its new distributorl Al Jeel Al software Emirates Jadeed, a subsidiary of local group LPTIC Libya Other or not Exmed UK The medical support provider to team up with local - - specified Refaq Medical Services to develop services for international and local Oil and Gas companies Libya Telecom / Vodafone UK The group to sign a strategic partnership agreement - - internet with local Al-Madar Al-Jedid to improve the services offered to Libyans users Libya Textile / Koton Turkey The first Turkish fast fashion company to enter the - - luxury Libyan market by opening a shop in Tripoli shopping area ofSyahia Libya Tourism / Alula / La Malta The group to open its first restaurant La Scala - - catering Scala Ristaurante in Libya, in Tripoli, through a franchise Ristorante agreement Libya Tourism / Gulluoglu Turkey The baklava producer to open a 2nd store in Tripoli in - - catering (Gulu 2011 to address the strong demand addressed to the 1st Gulu) store previously opened in the capital

163

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Libya Tourism / Starwood USA The luxury hospitality group to open its first Sheraton - - catering / Sheraton hotel in the centre of Tripoli and plans to open a second one in mid 2012 Libya Transport / Air France The airline company to reschedule by March 2011 its - - logistics France- route connecting Paris to Tripoli, closed since 1989 KLM Libya Transport / British UK The airline carrier launch new flights to Tripoli from - - logistics Midland London Heathrow by winter 2010 Airways Libya Transport / Hitachi Japan The group to sign a sales and marketing agreement - - logistics with local El Zulal for the distribution of its membrane bioreactor product range in Libya Libya Transport / Sixt Germa- The leading mobility service provider to expand in - - logistics ny North Africa by settling in Tripoli through franchise agreement with a local partner Libya Transport / Spanair Spain The charter airline to open a thrice-weekly flight - - logistics between its Mediterranean hub of Barcelona and Tripoli in February 2011 Libya Transport / Tunisair / Tunisia The 51%-controlled Mauritanian subsidiary of the - - logistics Mauritania Tunisian airline company to launch a flight connection Airways between Nouakchott and Tripoli in June 2010 Malta Transport / Grimaldi Italy The shipping company to expand its fleet to open a new - - logistics route with Malta Moroc- Aeronautics ADS UK The aerospace, defence and security group to ink a - - co / ships / rail cooperation agreement with Moroccan industrial cluster GIMAS Moroc- Automotive Fiat Italy The group to choose Somed's subsidiary Fenie Brossette - - co industry as the exclusive retailer of its New Holland brand specialised in construction equipment Moroc- Banking / Banca Spain The Canary bank to open a representative office in - - co insurance Civica / order to prepare the opening of a branch in 2010 and Caja- the ‘grupo Banca Cívica' project canarias Moroc- Banking / La Poste / France The bank teams up with Attijariwafa Bank to develop - - co insurance Banque new banking services for customers living on both Postale shores of the Mediterranean Moroc- Banking / MoneyGr USA The company specialising in money transfers to partner - - co insurance am with locals CIH, MEA Finance/Canal M and WafaCash, its new agents in Morocco Moroc- Banking / Unicaja Spain The group to team up with Societe Generale Morocco - - co insurance on migrants' transfers and training and to open a representative office in Casablanca

164

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Cement / Gedimat France The building materials distributor to sign a partnership - - co glass / agreement with local company Multicolles-Multiprobat materials to open a first show room in Casablanca Moroc- Cement / Thyssen- Germa- The German company, specialised in cement - - co glass / Krupp / ny engineering, to sign a contract of technological leverage materials Polysius with Ciments de Bizerte Moroc- Chemistry / Valspar USA The coating and paints manufacturer to team up with - - co plasturgy / local company Colorado, which becomes its exclusive fertilizers retailer for Morocco and Algeria Moroc- Consulting / AENOR Spain The standardisation and certification organisation to - - co engineering open an office in Tangiers to contribute to the improvement in infrastructures and food safety Moroc- Consulting / BearingP Nether- The business consulting company to open an office in - - co engineering oint lands Casablanca following the creation of its Emerging Markets division Moroc- Consulting / Bouygues France The group to co-operate with Moroccan engineering - - co engineering companies on other public works projects outside Morocco Moroc- Consulting / Ivalis France The provider of inventorie services to clinch a franchise - - co engineering contract with local engineer Saad Serghrini to reach the Moroccan market Moroc- Consulting / Maniega Spain The law firm to expand and to open a Moroccan office - 2 co engineering & Soler in Casablanca by the end of June 2010 with two Moroccan lawyers and one Spanish Moroc- Consulting / Pano France The network of indoor and outdoor specialists to open - - co engineering Boutique six offices through franchise agreement with local partners, including 2 in Casablanca Moroc- Consulting / Team France The brand design consultancy firm to open a regional - - co engineering Créatif office in Casablanca with the support of its local partner Com2Market Moroc- Consulting / UIMM France The industrial syndicate to team up with its Moroccan - - co engineering counterpart GIMAS to launch a training centre dedicated to aeronautics in Casablanca Moroc- Data Danem France The software publisher to establish in Morocco by - - co processing / signing a partnership agreement with local engineering software company Synthèse Conseil Moroc- Data Gemalto Nether- The digital security group to develop a biometric - - co processing / lands passport system for Morocco in team with local group software Netopia, headquartered in Casanearshore Moroc- Distribution Brico- France The retail do-it-yourself and hardware store chain to - - co / retail rama open its first store in Tanger through franchising agreement with a diaspora entrepreneur

165

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Distribution Carrefour France The group to open its second supermarket in Morocco - - co / retail in Marrakech through its exclusive franchise agreement with local distribution group LABEL'VIE Moroc- Distribution Domino's USA USA's second pizza delivery company to open a - - co / retail Pizza restaurant in local group Aksal's Morocco Mall in Casablanca through a local franchisee Moroc- Distribution Piazza Italy The ready-to-wear company to establish its first - - co / retail Italia Moroccan store in Marrakech through a franchising agreement and plans to open several others Moroc- Distribution PPR / France The company specialised in cultural product - - co / retail FNAC distribution to open a shop in local group Aksal's Morocco'mall, to open in Casablanca in 2011 Moroc- Distribution PPR / France The retail and luxury goods company to open the first - - co / retail Yves Yves Saint Laurent Libanese shop in Beirut Souks Saint Laurent Moroc- Distribution Sanrio Japan The Japanese company owning the Hello Kitty brand to - - co / retail open a luxury store under the Victoria Casal brand in Casablanca Moroc- Drugs DFine USA The company specialised in the treatment of vertebral - - co pathologies to choose Reflexion Pharma as its representative in Morocco Moroc- Electr. TomTom Nether- The world's leading provider of navigation solutions - - co hardware lands and digital maps to expand into Morocco through a partnership with several local retailers Moroc- Electronic Verifone USA The secure electronic payment solution provider to sign - - co components a partnership with local company M2M to introduce new payment services in Morocco Moroc- Energy Alstom France The group to sign an agreement with local company - - co Nareva, subsidiary of ONA group, to build and manage for 5 years a wind farm in Akhfenir Moroc- Energy EDF France RTE, the group's subsidirary dedicated to electricity - - co transport, to ink a technical cooperation agreement with Morocco National Electricity body, ONE Moroc- Energy Simest Italy The group aiming at promoting internationalisation of - - co Italian companies to team up with Moroccan agency SIE to launch renewable energy projects Moroc- Furnishing / Point France The wall decorative items manufacturer and - - co houseware Cadre distribution nework to open a shop in Casablanca through franchise agreement

166

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Other or not Spring- France The internet service provider and manager of - - co specified bird Skyrock.com social network to team up with local Saga,which becomes its representative in Morocco Moroc- Public Emaar United The real estate promoter to ink a commercial - - co works / real properties / Arab partnership with local developer Alliances estate Hamptons Emirates Développement to market the Port Lixus property in Int'al Larache Moroc- Telecom / France France Morocco's second mobile operator, Meditel, in which - - co internet Telecom / the group holds 40% stake, to open its first flagship Orange store in Casablanca Moroc- Telecom / Rotana / Saudi The group's media branch to sign an exclusive - - co internet Rotana Arabia partnership deal with Moroccan Meditel to develop a Media multimedia music platform for young Moroccans Moroc- Textile / Benetton Italy The ready-to-wear brand to sign a new franchise - - co luxury contract with local company DHV, which opens two new stores in Marrakech Moroc- Textile / Swatch Switzer The famous Swiss watch and accessory manufacturer to - - co luxury land open a new store on Massira El khadra avenue in Casablanca Moroc- Tourism / Arcandor UK The tour operator to add 5 new Mediterranean locations - - co catering / Thomas to its new brand 'Club Jumbo' including Marrakech Cook Moroc- Tourism / Barcelo Spain The hotel chain to invest so as to refurbish the Marina 1 - co catering Smir, property of Moroccan Omar Kabbaj's group for which it has a 10 year management contract Moroc- Tourism / Club France The group to upgrade its 'Yasmina' village in Cabo 0.15 - co catering Méditer- Negro and sign a 15 year management contract with its ranée local developer SIM, a 6-94 JV with CDG Moroc- Tourism / Coffe Italy The Italian coffee brand to open ten shops in Morocco - 100 co catering Vergnano thanks to a franchise contract with Moroccan business woman Hakima Touzani Moroc- Tourism / Hilton USA The hotel group to manage a five star hotel to be built - - co catering World- near Larache during the second stage of Port Lixus wide project Moroc- Tourism / Hyatt USA The hotel group to manage a five star hotel to be built - - co catering Corp. near Larache during the second stage of Port Lixus project Moroc- Tourism / Marriott / USA The group to manage under its 'Reserve' brand a resort - - co catering Ritz- developed by Bristish fund Sienna in Cabo Negro near Carlton Tanger and due to open by 2013

167

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Tourism / Massaleh Kuwait The real estate group's local subsidiary Taameer - - co catering Developt. Hospitality Morocco to open an hotel in Fez under the / Taameer Ramada brand it acquired for Morocco in 2007 Hospitality Morocco Moroc- Tourism / Mc- USA The fast-food chain to further expand in Morocco - - co catering Donald's through local franchisee by opening its third restaurant in the Tanger-Rabat road Moroc- Tourism / Pestana Portu- The group to ink a management contract for the Anfa - - co catering gal Place Living Resort, a high-end mixed-use project developed by its fellow company Inveravante Moroc- Tourism / Preferred USA The owner of independent luxury hotels to add 2 - - co catering Hotel Moroccan hotels to its network: the Kenzi Menara Palace and the dellarosa Hotel in Marrakech Moroc- Tourism / Ramada USA The hospitality group to manage two 3 star hotels in - - co catering Tangiers and Marrakech under development by Pearl One, an affiliate of Kuweiti Taamer Moroc- Tourism / Starwood UK The hotel chain to open a five-star palace in the heart of - - co catering / Le Marrakech medina, the Royal Mansour Marrakech, due Meridien to open by the end of 2010 Moroc- Transport / Air United The low-cost airlines to launch a new route from its - - co logistics Arabia Arab Alexandria hub to Casablanca in October 2010 Emirates Moroc- Transport / Air France The low cost subsidiary of the airline carrier to - - co logistics France- inaugurate a new air route linking Marseille to KLM / Marrakech Transavia Moroc- Transport / Boluda Spain The group to win through its French subsidiary Boluda - - co logistics France a 20-year management contract for the boatage in the port of TangerMed Moroc- Transport / British UK The airlines company to open three weekly flights - - co logistics Airways between Gatwikc and Marrakesh in March 2011 Moroc- Transport / Brussels Bel- The airline to open two new flights from Brussels to - - co logistics Airlines gium Marrakech and Agadir Moroc- Transport / CMA- France The shipping company to open a new stop-off in - - co logistics CGM Casablanca for the export of Moroccan fruits and vegetables to France Moroc- Transport / Easyjet UK The low-cost airline to expand its activities in Morocco - - co logistics by opening a new route to Agadir from Paris and Milan Moroc- Transport / Easyjet UK The low-cost airline to launch a new route to the - - co logistics Cherifian Kingdom in November 2010, between Paris and Fez

168

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Transport / Etihad United The air company to strengthen its partnership with - - co logistics Airways Arab Moroccan company RAM to offer more destinations Emirates Moroc- Transport / Grimaldi Italy The shipping company to open a new weekly line for - - co logistics goods and passengers tbetween Tanger Med, Livorno and Valencia Moroc- Transport / Helitt Spain The airline company to open new routes between - - co logistics Tanger and Tarifa, Algesiras and Barbate by helicopter Moroc- Transport / Islas Spain The Canary Islands-based airline company to open two - - co logistics Airways weekly non-stop flights between Las Palmas and Marrakech Moroc- Transport / Naviera Spain The Canary Islands-based shipping company to open a - - co logistics Armas regular line between Laâyoune and Las Palmas Moroc- Transport / Norwe- Norwa The low-cost airline to launch weekly flights to Agadir - - co logistics gian Air y and Marrakech from Copenhagen, Oslo and Stockholm Shuttle in November 2010 Moroc- Transport / Pedon France The company to team up with Fez Sidi Mohammed Ben - - co logistics Abdellah university to manage a new environment and hydrobiology cluster Moroc- Transport / Ryanair Ireland The airline company to open its first flight Edinburgh- - - co logistics Marrakech by May 2010 Moroc- Transport / Ryanair Ireland The low cost airline company to start six weekly flights - - co logistics between Fez and Pisa, in Italy Moroc- Transport / Ryanair Ireland The low cost airline to open in November 2010 a route - - co logistics between Beauvais (France) and Tangiers, with three flights a week Moroc- Transport / Ryanair Ireland The low cost airline company to start two weekly flights - - co logistics between Madrid and Oujda in Morocco Moroc- Transport / Ryanair Ireland The low-cost airline company to open a route between - - co logistics Beauvais, near paris, and Fez Moroc- Transport / Spanair Spain The national flagship to open a weekly route between - - co logistics Palma de Mallorca and Nador, mainly for the Moroccan community use Moroc- Transport / TAP Portu- The airline company to launch 3 weekly non-stop - - co logistics Portu-gal gal flights from Lisbon to Marrakech, in addition to the flights to Casablanca it already operates Moroc- Transport / TNT Nether- The group engaged in the pick up, transfer and delivery - - co logistics lands of goods and documents to open 2 branches in Tanger Med and Agadir to expand its network Moroc- Transport / Transdev France The public transport specialist to win the 6 year - 380 co logistics operation and maintenance contract for Rabat tramway, which is to create 380 new jobs

169

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Moroc- Transport / TUI / Germa- The Belgium subsidiary of German TUI to inaugurate - - co logistics Jetairfly ny two air routes between Belgium and Morocco: Tetuan- Liege and Al Hoceima-Brussels Moroc- Transport / Water- Bel- The group to lead a consortium in charge of building - 20 co logistics leau gium and operating a wastewater treatment plant in Aïn Kansara near Fez Pales- Public France France Orange, Renault, PSA Peugeot Citroen, AutoMotor and - - tine works / real Telecom / Danone to team up with Palestinians businessmen to set estate Orange up an industrial park in Bethlehem Pales- Telecom / France France The group to sign a partnership agreement with - - tine internet Telecom / Wataniya Mobile, Palestine's new mobile operator in Jordan which Qatar Telecommunications holds 30% stake Telecom Pales- Telecom / Zain United The group to team up with local Paltel which joins the - - tine internet (MTC) Arab 'One Network' service platform between Jordan and Emirates Palestine developed by Jordanian Globitel Syria Agri- Philip USA The group to grant a licence to the General - - business Morris Organisation of Tobacco for the local production of Marlboro cigarettes in Syria Syria Automotive Mitsu- Japan The car maker to choose as exclusive dealer Nahas - - industry bishi Motors, a subsidiary of the Nahas Group that already has 2 global brands in its portfolio Syria Banking / HC Egypt The investment bank to open an office, first step before - - insurance Securities the establishment of a subsidiary in a 60-40 JV with 2 and local businessmen Investmt. Syria Banking / Isbank Turkey Turkey's largest private bank to be the 1rst commercial - - insurance bank to open a representative office in Syria, and plans to establish a local private bank Syria Banking / National Egypt The State-owned bank to open a representative office in - - insurance Bank of Damascus because of the high capital required for a Egypt fully-fledged subsidiary (NBE) Syria Consulting / ClassNK Japan The ship classification society opens an office in Tartous - - engineering (Nippon to offer its services in the port of the city Kaiji Kyokai) Syria Consulting / Cleartag Leba- The Lebanese web design agency to team up with - - engineering non Syrian company Tabbaa Advertising and Printing Services (TAPS) to enter the local market

170

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Consulting / Ernst & UK The local subsidiary of the international group to set up - - engineering Young the headquarters of its local representation, created in 2009, at the Eighth Gate in Yaafour Syria Consulting / Nexia UK The international network of financial audit and - - engineering Int'al consultancy firms to open a branch in Damascus Syria Distribution Admic Leba- The retail chain, which holds the regional franchise of - - / retail non the French brand Monoprix, to open two stores in Damascus and Aleppo by the end of 2010 Syria Distribution Roots Saudi The group specialised in construction materials to - - / retail Steel Arabia become the sole distributor of Swedish company Atlas Copco's products in Syria Syria Distribution Tawasol Jordan The distributor to build a mobile phones wholesale - - / retail centre in Qaboun, a district of Damascus, with its local partner Attar Brothers Syria Electronic LG South The group to name local Onecom as its exclusive - - ware Electro- Korea distributor of mobile phone handsets and provider of nics after-sales and maintenance services Syria Energy Shell Nether- The energy group to launch in Syria its programme to - - lands encourage young people to start their own business, Intilaaqah Syria Syria Textile / Scabal Bel- The textile and apparel group to open its first store in - - luxury gium the country, in Damascus, in partnership with its local distributor Hachem Alakkad & Sons Syria Tourism / Accor France The hotel chain to take the management of 2 hotels - - catering owned by local Bena Properties under the Novotel and Ibis brands in Aleppo Syria Tourism / Accor France The hotel chain to take the management of a new hotel - - catering in Old Damascus under the Mercure brand Syria Tourism / Dedeman Turkey The group to manage the Jol Jammal Resort, a new 4- - - catering star hotel developed by Russia's Intourist and local Sinara in Lattakia, due to open in 2013 Syria Tourism / Dubai United The group to sign an agreement with Syrian developer - - catering Holding / Arab Souria Holding to manage a five-star resort located in in Jumeirah Emirates the Baramkeh area of Damascus Syria Tourism / Kuwait Kuwait The hotel group to sign a contract with local Al-Shami - - catering Hotels to manage a first hotel in the country, in Aleppo Company / Safir Int'al Hotel Managt.

171

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Syria Tourism / Marriott / USA The chain to manage a new 4-star hotel inaugurated in - - catering Ritz- Aleppo by the Premier Minister, which overlooks the Carlton citadel and contains 90 rooms and suites Syria Tourism / Segafredo Italy The coffee shop chain to open its two first outlets - - catering Zanetti outside Damascus through franchising agreements with local entrepreneurs Syria Transport / Air United The low-cost airline to launch a new line between - - logistics Arabia Arab Sharjah and Damascus by June 2010 Emirates Syria Transport / FlyDubai United The low-cost airline to open a new route to Latakia from - - logistics Arab June 2010, its third destination in Syria after Damascus Emirates and Aleppo Syria Transport / Gulf Air Bahraïn The national air carrier to launch services to Aleppo - - logistics from June 2010 Syria Transport / Iberia Spain The airline company to start direct flights with - - logistics Damascus during summer 2010 Syria Transport / LOT Poland The biggest airline in Central Europe to e-established - - logistics Polish direct flights between Warsaw and Damascus after a 10- Airlines year hiatus of the route Syria Transport / National Saudi The low-cost subsidiary of the airline company to - - logistics Air Arabia launch direct flights to Aleppo from Riyadh and Jeddah Services (NAS) / Nas Air Syria Transport / Qatar Qatar Qatar's national carrier to increase its flights to Syria - - logistics Airways following the signing of a bilateral Open Skies agreement Syria Transport / TNT Nether- The group engaged in the pick up, transfer and delivery - - logistics lands of goods and documents to add Damascus to its Middle East road network services Syria Transport / Tunisair Tunisia The airline company to open a route to Aleppo in order - - logistics to promote and boost tourism between the two countries Syria Transport / Turkish Turkey The regional low-cost carrier of the national airline - - logistics Airlines / company to launch 3 weekly non-stop flights from Anadolu Ankara to Damascus Jet Syria Transport / Visemar Italy Visemar Line, JV between the shipbuilder and the - - logistics Line maritime operator to launch a ferry service connecting Venice with Tartous and Alexandria in May 2010

172

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Aeronautics Bombar- Canada The manufacturer of transportation equipment to team - - / ships / rail dier up with local Cynapsys to identifyl Tunisian partners in various domains Tunisia Aeronautics EADS / Nether- The European aerospace corporation to team up with - - / ships / rail Euro- lands Tunisavia to manage the helicopter maintenance centre copter in Sfax and turn it into a regional platform Tunisia Automotive SAIC / China The car manufacturer to sign a distribution agreement - - industry Ssang- with Sotudis, the Tunisian distribution company Yong Tunisia Automotive Toyota Japan The car manufacturer to inaugurate its local retailer BSB - - industry Toyota's new headquarters in Sidi Daoud and plans to build a factory in the country Tunisia Automotive Volks- Spain The group's Spanish brand to ink a distribution - - industry wagen / agreement with Tunisian Ennakl which already Seat distributes all the Group Volkswagen's brands Tunisia Cement / FLSmidth Den- The group to win a five year contract for the operation - - glass / mark and maintenance of the Carthage Cement plant, materials including the training of the staff Tunisia Consulting / Acer / Taiwan The computer constructor to sign a commercial - - engineering Gateway agreement with local company TMI for the distribution and the maintenance of its products in Tunisia Tunisia Consulting / Apave / France The inspection and training specialist to ink a - - engineering Apave collaboration agreement with local Cesafe Aero to Aero- develop aircraft trainings in Tunisia Services Tunisia Consulting / Bearing- Nether- The business consulting company to open an office in - - engineering Point lands Tunisia following the creation of its Emerging Markets division Tunisia Consulting / Crit France The provider of temporary employment services to - - engineering open a branch in Sfax two years after establishing a subsidiary in Tunis Tunisia Consulting / Dacom Nether- The provider of technology services for a sustainable - - engineering lands agriculture to partner with local Loukil group to market its products in Tunisia Tunisia Consulting / Fidal France The Paris-based corporate law firm to open a regional - - engineering office in Tunis by teaming up with 10 Tunisian attorneys and tax advisors Tunisia Consulting / Florian France The human resources management company to - - engineering Mantione establish a partnership with local company Stratège to institut expand its services in Tunisia Tunisia Consulting / GfK Germa- The group specialised in market research services to - - engineering ny open its first office in Tunis

173

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Consulting / IconA Italy The provider of furnishing solutions for big structures - - engineering Ital- and hotels to open a commercial office in Tunis contract Tunisia Consulting / Pano France The network of indoor and outdoor specialists to open - - engineering Boutique two offices through franchise agreement with local partners in Nabeul and Tunis Tunisia Consulting / Realogy / USA The real estate group to sign a franchise agreement with - - engineering Century local businessmen to open 50 offices in Tunisia before 21 the end of 2016 Tunisia Consulting / Roland Germa- The France subsidiary of the corporate strategy - - engineering Berger ny consultancy to sign a cooperation agreement with Tunisian engineering group Comete Engineering Tunisia Consulting / Viadeo France The professional social network to sign an exclusive - - engineering partnership with local ReKrute.com to develop new e- recruitment services Tunisia Data Danem France The software publisher to expand its activities in - - processing / Tunisia by teaming up with local engineering company software Zai Net Informatique Tunisia Data Microsoft USA The group to sign a cooperation agreement with the 0.06 - processing / Tunis Federation of Social Solidarity to supervise software trainings in the field of programming systems Tunisia Data Microsoft USA The group to strengthen its partnership with local Oxia, - - processing / which opens a service centre for Dynamics AX solutions software in Sousse dedicated to EU clients Tunisia Data Nexence France The provider of mobile marketing solutions to team up - - processing / with Sousse-based company Phone Gestion in order to software distribute its services in Tunisia Tunisia Distribution Système France The retail cooperative society to open an hypermarket - - / retail U in Sousse through a franchise agreement with Mhiri local group's subsidiary 'Trade and Retail' Tunisia Drugs C2F France The manufacturer of orthopaedic prostheses (knee, hip) - - Implants to set up a shop in Tunisia Tunisia Drugs Philadel- Jordan The pharmaceutical group to establish a joint venture - - phia with local laboratory Simed to manufacture medicines Pharma in Sfax Tunisia Electr. Samsung South The electronics giant to sign a distribution agreement - - hardware Korea with local Tunisiana to market its new 'Galaxy S' smartphone Tunisia Electronic Fci France The group to sign a co-operation agreement with local - - components Coficab (Groupe Elloumi) to develop connectors production and assembly activities in Tunisia

174

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Electronic Acer Taiwan The mobile phone manufacturer to team up with - - ware Medcom, a subsidiary of the Loukil group (2500 employees), which becomes its Tunisian distributor Tunisia Electronic Panasonic Japan The global manufacturer of consumer electronics to - - ware choose local company MiS, an affiliate of Loukil group, as exclusive retailer for Tunisia Tunisia Electronic Sony Japan Electronic giant to conclude a distribution agreement - - ware with local MIPS and set up an after-sales services centre in Tunis Tunisia Energy Ansaldo Italy The energy firm to sign a 12 year maintenance contract - - for the Sousse plant that it builds in team with its Canadian partner SNC-Lavallin Tunisia Energy DEGERen Germa- The solar system manufacturer to partner with CITET - - ergie ny and the local company SES for a photovoltaic lighting pilot project between Tunis and Carthage Tunisia Energy EDF France The energy operator to partner with its Tunisian - - counterpart STEG in various technical fields in order to prepare a nuclear plant project by 2023 Tunisia Energy Mitsui & Japan The firm to build a 5 MW concentrating solar power - - Co plant in El Borma in team with Tunisian partners and through a Japanese grant Tunisia Energy Total France The group to inaugurate two motorway service stations - - equipped with photovoltaic systems between Msaken and Sfax Tunisia Other or not Adn- Italy The group to sign a partnership with the Agence - - specified kronos Tunisienne de Communication Extérieure, ATCE, to strenghten cooperation between Mediterranean media Tunisia Other or not Canal France The French Pay TV group to partner with local Arabsat - - specified Plus for the management of its future Tunisian customers Tunisia Other or not Kwik-Fit / UK The motor vehicle repair chain to open its first centres - - specified Speedy in Tunisia, and namely in Tunis, by clinching franchise agreements Tunisia Other or not Sunrise USA The Florida-based flight school to open a representative - - specified Aviation office in Tunis, where it manages a flight school for Tunisian and foreign students Tunisia Public RE/MAX USA The real estate franchise network to establish in Tunisia - - works / real through a franchise agreement with local businessman estate Tarek Thabet Tunisia Public Techno- Italy The real estate franchise group operating in 8 European - - works / real casa countries to open its first Tunisian agency in Berges du estate Lac in Tunis

175

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Telecom / France France The group, which won the 3rd fixed-line and mobile - - internet Telecom / telephone license in JV with local Divona, to buy a Orange branch from Tunisian bank Biat in Tunis Tunisia Textile / Pablosky Spain The specialist in children's footwear to reinforce its - - luxury presence in Tunisia by opening new shops through franchising agreement Tunisia Tourism / Accor France The group to sign management contract for an Ibis and - - catering a Novotel hotel to open in 2011, in partnership with local construction firm STI, the owner Tunisia Tourism / Arcandor Germa- The tour operator to open 5 hotels in Djerba, - - catering / Thomas ny Hammamet and Tabarka under the 'Jumbo' and Cook 'Sentido' brands through its local franchisee TTS group Tunisia Tourism / Arcandor Germa- The tour operator to add 3 hotels under the Sentido - - catering / Thomas ny brand in Djerba, Hammamet and Tabarka through its Cook partnership with local company TTS Tunisia Tourism / Club France The famous tour operator to open a new commercial - - catering Méditerra agency in Tunis to enhance its services to its Tunisian née customers Tunisia Tourism / Emirates United The airline company to partner with Tunisian travel - - catering Airline Arab agency 'Always Travel Service' to offer packages for Emirates FIFA World Cup 2010 Tunisia Tourism / Fountaine France The catamaran manufacturer to sign a partnership with - - catering Pajot local company Marina Bizerte to offer special offers to their customers Tunisia Tourism / Hotels & France The hotel management concern created in France by - - catering Clubs Mohamed Adel Oueslati and Tahar Khadraoui to set up in Tunisia Tunisia Tourism / Norama Italy The tour operator and destination specialist for Italy - - catering (Bergame) and Finland to open its first North African branch in Tunis Tunisia Tourism / Orizonia Spain The leading tour operator in Spain to open two five-star - - catering Corp. / hotel in spring 2010, in the cities of Sousse and Mahdia Iberostar Tunisia Tourism / Preferred USA The owner of independent luxury hotel and resort - - catering Hotel brands to set up business in Tunisia with the Russelior hotel in Hammamet Tunisia Tourism / Starwood USA The hospitality group to team up with local Dair Ismaïl - - catering / Golden to manage three hotels in Tabarka, Ain Drahem and Tulip Mahdia under the Golden Tulip brand Tunisia Transport / Air United The Moroccan subsidiary of the airline carrier to open a - - logistics Arabia Arab route from Casablanca and Tunis which will be run Emirates three times a week

176

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Transport / Air Berlin Germa- The Berlinese airline carrier to launch a new flight from - - logistics ny Euroairport Basel-Mulhouse-Freiburg to Enfidha in Tunisia Tunisia Transport / Air France The low-cost subsidiary of the airline company to open - - logistics France- a Marseille - Monastir route with bi-weekly flights KLM / Transavia Tunisia Transport / Air France The low-cost subsidiary of the airline company to open - - logistics France- a Lille - Monastir connection by spring 2011 KLM / Transavia Tunisia Transport / Alwafeer Saudi The low cost airline company specialised in pilgrimage - - logistics Air Arabia flights to open new flights with the major Tunisian cities Tunisia Transport / Arcandor Germa- The leisure travel service provider to open a new - - logistics / Thomas ny weekly flight between Aberdeen and Monastir Cook Tunisia Transport / CEA - France The French Atomic Energy and Alternative Energies - - logistics Commiss Commission to partner with local Telnet through the ariat à LINKLAB R&D collaborative platform l'énergie atomique et aux énergies alternativ es Tunisia Transport / Dart / Jet2 UK The low cost airline to open a new flight from Glasgow - - logistics to Monastir to answer the needs of British tourists Tunisia Transport / Emirates United The airline company to sign a partnership agreement - - logistics Airline Arab with its Tunisian counterpart Tunisair Emirates Tunisia Transport / Lufthansa Germa- The air company to open an additional weekly flight - - logistics ny between Frankfurt and Tunis Tunisia Transport / Luxair Luxem The Grand Duchy's airline company to launch a new - - logistics burg weekly route from Vatry, France, to Djerba Tunisia Transport / Medievac Ivory The airline company specialised in emergency medical - - logistics -JetXpress Coast transport to open a local branch in Tunis where it plans to have a plane Tunisia Transport / Port de Italy The Port of Genova to sign a development agreement - - logistics Gênes with its Tunisian counterpart the Port of Rades to develop a marine motorway

177

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Tunisia Transport / Sage UK The leading supplier of business management softwares - - logistics to sign a distribution agreement with local Trium Technology (Discovery Datasoft group) Tunisia Transport / Sixt Germa- The leading mobility service provider to team up with - - logistics ny the Tunisian flagship carrier Tunisair to launch mutual fidelity programmes in 90 countries Tunisia Transport / Veolia France The JV Groupe des Eaux de Marseille to win through its - - logistics Environn local subsidiary Someden several delegation contracts ement for wastewater treatment in Tunisia Turkey Aeronautics Hyundai / Turkey Eurotem, JV between the group and Turkish national - - / ships / rail Hyundai train company TCDD, to team up with Tuvasas, a Rotem TCDD subsidiary, to manufacture trains Turkey Aeronautics MBDA France The European leader in missiles and missile systems to - - / ships / rail sign a partnership with locals Aselsan, Roketsan & Ayesas for an air defense system Turkey Agri- Rosenthal Germa- The company teams up with Yıidiz Holding, the - - business ny local leader in the agri-business sector, to develop its operations in the field of tea Turkey Automotive Aston UK The luxury car brand to enter the Turkish market with - - industry Martin local Borusan Otomotiv, which will open a showroom at the Süzer Plaza in Istanbul Turkey Automotive Byd / Byd China The car maker to team up with local Boyner for the - - industry Auto production and distribution of its conventional and electric powered models in the country Turkey Automotive Faw China The car maker to team up with local Komsan - - industry Automotive to distribute 4 models of its small trucks in 11 Turkish provinces, including Bursa Turkey Automotive Fiat / Italy The JV between Fiat and Turkish Koc to develop its - - industry Tofas electric engines in partnership with the white goods producer Arcelink, another Koc subsidiary Turkey Automotive Finmec- Italy The subsidiary of the Roma-based industrial giant - - industry canica / cooperates with Karsan to manufacture buses in Bursa BredaMe for both local and foreign markets narinibus Turkey Automotive Renault France The group to sign a partnership agreement with the - - industry municipal subsidiary Istanbul Enerji to promote and develop electric vehicle use in Istanbul Turkey Automotive Renault / France The Romanian subsidiary of the car maker now relies - - industry Dacia on a network of 68 authorised dealers and 250 technical centres in the country

178

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Automotive Yamaha Japan The giant to choose the local company Ramzey to - - industry Motor undertake manufacturing of its motorcycles to export to African markets Turkey Banking / Advent USA The Boston-based buyout firm, active in the country - - insurance Int'al since 2001, to open a liaison office in Istanbul Turkey Banking / China China The development bank to launch a strategic partnership - - insurance Developt. with local Akbank, which will allow reciprocal Bank operations and joint projects Turkey Banking / Japan Japan The international branch of the public bank to sign a - - insurance Finance deal with Isbank to finance the purchase of Japanese (JFC) / ships by local importers Japan Bank for Int'al Cooper. (JBIC) Turkey Banking / National Greece The bank to establish with Finansbank, its 77,22% - - insurance Bank of owned-subsidiary, an Istanbul-based office for its joint Greece investment fund in the ISE and the ASE Turkey Banking / Religare / India The investment firm to sign a strategic partnership - - insurance RCML agreement with local Garanti to develop common projects on M&A, IPOs and co-investment Turkey Banking / Sace Italy The Italian export credit insurance group to open a - - insurance representative office in Turkey, where Italy is the fifth foreign investor Turkey Banking / Visa / USA The retail electronic payments network operator to - - insurance Visa partner with Turkish bank Akbank to offer a cell phone Europe payment service in Turkey Turkey Banking / World USA The private investment arm of the World Bank - 50 insurance Bank / upgrades its Istanbul office to cover Europe, Central IFC Asia, Middle East and North Africa Turkey Consulting / Clifford Austria The law firm teams up with local Yegin Legal - - engineering Chance Consultancy to add an Istanbul desk to its international network and advice Turkish and foreign firms Turkey Consulting / Fleet Bel- The Belgian JV between two British and Dutch groups - - engineering Synergy gium to team up with Fleetcorp Turkey, owned by the Kuwaiti group TII, to develop car leasing Turkey Consulting / Interactive USA The group's subsidiary to partner with Turkish Matriks - - engineering Data / which will distribute its financial information solutions Managed in Turkey and neighbouring countries Solutions

179

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Consulting / Poyry Finland The consulting and engineering firm to team up with - - engineering Turkish Temelsu for the development of four hydropower plants on the Murat River Turkey Consulting / Schoen- Austria The law firm teams up with local Türkoglu & Celepci to - - engineering herr add an Istanbul desk to its network and advice Turkish and foreign firms Turkey Distribution BC UK The local supermarkets chain in which the British - - / retail Partners / investor has a 51% stake to open its first supermarket in Migros Afyon at the new Afium shopping centre Turkey Distribution Harvey UK The department stores chain to open its second store in - - / retail Nichols the country, in Ankara, in partnership with Demsa, its new exclusive franchisee Turkey Distribution MirriAd UK The leader in digital products placement to sign an - - / retail agreement with Turkish companyl Advertainment Media to access new markets in the region Turkey Drugs Homedics USA The manufacturer of back and body massagers to enter - - Turkish market through a distribution agreement with local firm Gizpa Turkey Drugs Lansinoh USA The company specialised in breastfeeding solutions to - - Labo- enter in a new phase of its strategic expansion by ratories opening the first Turkish office in Istanbul Turkey Electronic DivX USA The group to team up with local household appliances - - ware manufacturer Arcelik, owned by Koc group, to distribute DivX digital TVs in Turkey and Europe Turkey Electronic Hisense China The electrical appliances giant teams up with Antek - - ware Teknoloji, a local Anadolu's subsidiary, to bring its flat- screen TVs to the Turkish market Turkey Electronic Hoya / Japan The camera brand of the group to launch around 15 - - ware Pentax products on the Turkish market through Nar Technology, its local distributor Turkey Energy Alstom France The energy group to build and operate a 34 MW wind - - farm in Hatay province in partnership with local company Gürkis Turkey Energy Qatar Qatar The petrochemicals company to open a representative - - Petro- office in Istanbul in order to become one of leading leum / petrochemical suppliers for the region Qapco Turkey Energy Schneider France The energy company to turn its Istanbul-based - - Electric company into the headquarters for its 16 Middle East and Balkan-based subsidiaries

180

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Energy Shell / Nether- The JV between the oil giant and local Turcas inks a - - Shell & lands strategic partnership with Istambul's ferries IDO to Turcas develop their respective sales Petrol (STAS) Turkey Energy Vogt Germa- The service provider for the photovoltaic industry to - - ny team up with local construction company Endem Insaat to address the local market Turkey Furnishing / Fiskars Finland The nordic gardening tools giant chooses Botanika as - - houseware local distributor to launch its cutting tools on the Turkish market Turkey Furnishing / iRobot USA The firm to ink a partnership agreement with the local - - houseware firm Korur to sell its home robots in Turkey Turkey Mechanics / Raytheon USA The defense group to sign an agreement with Turkish - - machinery Aselsan Electronics which becomes its succontractor for the manufacture of ‘Relay Station' systems Turkey Other or not Aegis / UK The group's subsidiary agency to open an office in - - specified iProspect Istanbul to provide its suite of performance marketing offerings to a high growth market Turkey Other or not Bloom- USA The financial group to launch a Turkish TV channel - - specified berg with local Ciner's media subsidiary, in charge of distribution and broadcasting Turkey Other or not China China The publishing giant to launch a Turkish version of its - - specified Int'al China Today magazine with local Dijiteck, which will Publish. print and distribute 10,000 copies/month Group (CIPG) Turkey Public Armani Italy The luxury group to partner with Turkish real estate - - works / real company Astas for the interior design and the estate management of a real estate project in Istanbul Turkey Public Crystal Chili The world's first crystalline lagoon developer to build a - - works / real Lagoons 4 hectare lagoon as the centrepiece of the Olivian real estate estate development project in Turkey Turkey Public Ferrovie Italy The railroad company to sign a cooperation agreement - - works / real dello with its Turkish counterpart for the development estate Stato railroads infrastructures Turkey Public Sotheby's USA The auctioneer to open through a local franchisee the - - works / real first office of its real estate arm, specialising in estate luxurious properties, based in Istanbul Turkey Public Yoo UK Stark's design agency teams up with local Say Yapi to - - works / real design a 100 house-project in the Ortakoy district of estate Istanbul to be completed in 2012

181

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Telecom / Alcatel- France The group's Turkish subsidiary to sign a partnership - - internet Lucent / with Turk Telecom for 2 projects regarding Alcatel- transmission systems and digital platforms Lucent Teletas Turkey Telecom / Vringo USA The mobile phone service company to ink a partnership - - internet with Turkey's leading mobile content services provider Retromedya to enter the Turkish market Turkey Textile / Aldo Canada The shoes brand to ink a partnership with the local - - luxury group Olgar, which plans to open 40 Aldo shops in Turkey Turkey Textile / Armani Italy The luxury brand to open a store in Galleria, the oldest - - luxury Turkish shopping mall, which has just been restored in outer Istanbul Turkey Textile / Fabbrica Italy The jewelry manufacturer to cooperate with Turkish - - luxury Industr. designer Zeynep Ongay, which will design at the Brevetti Istanbul office rings to be produced in Italy Orafi (FIBO) Turkey Textile / Hennes & Sweden The ready-to-wear brand to enter the Turkish market - - luxury Mauritz with a 2,300 square meters shop to open in Forum (H&M) Istanbul in November 2010 Turkey Textile / Inditex / Spain The fashion accessories brand of the group to open its 2 - - luxury Uterque first Turkish outlets in Istanbul, at Akmerkez shopping centre and in the Nisantasi district Turkey Textile / Mont- Germa- The famous pen brand headquartered in Hamburg to - - luxury blanc ny open its first Turkish store in Istanbul through its exclusive distributor Rotap Turkey Textile / Phillips- USA The brand to open 10 new stores in 2010 under the - - luxury Van licence agreement signed with local Aydinli in 1997 Heusen / U.S. Polo Assn. Turkey Textile / Prada Italy The Milan-based luxury brand to open its second shop - - luxury in Istanbul, in the Istinye Park mall, as part of an aggressive strategy to expand eastward Turkey Textile / Swarov- Austria The crystal jewelry and objects maker to open its first - - luxury ski Turkish store on Bagdat Avenue, in he Anatolian side of Istanbul Turkey Textile / Versace Italy The clothing brand to open a store in Galleria, the oldest - - luxury Turkish shopping mall, which has just been renewed in outer Istanbul

182

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Tourism / Alaaddin Pales- The 2 West Bank entrepreneurs to open a falafel - - catering Salah & tine restaurant in Tavanli, a Western town from where they Sultan have been importing chickpeas for 5 years Yunus Turkey Tourism / Arcandor Germa- The tour operator Thomas Cook to add Izmir to its - - catering / Thomas ny hotels under the new brand ‘Club Jumbo', through a Cook franchise agreement with a local partner Turkey Tourism / Burger USA The fast-food chain, which national franchise is held by - - catering King TAB Gida, to open 70 restaurants in 2010, reaching a Holdings total number of 370 (BKH) Turkey Tourism / Focus USA The fast food group to open 40 Moés Southwest Grill - - catering Brands restaurants through a franchise agreement starting in September 2010 and by 2017 Turkey Tourism / Hilton USA The hospitality group to manage the 'Avanos- - - catering World- Cappadocia' hotel in Cappadocia, owned by Turkish wide company Ata Turizm Isletmecilik Tasimacilik Sanayi Turkey Tourism / Hilton USA The hospitality group to manage the Istanbul-Old City - - catering World- hote under its Doubletree brand in partnership with a wide Turkish owner Erpet Turizm Insaaat Taahhut Turkey Tourism / Hilton USA The hospitality group to expand in Turkey and manage - - catering World- a new five star hotel located in Ankara's suburbs, the wide Doubletree by Hilton - Kolej Turkey Tourism / Hilton USA The group to manage a new five star hotel in Kadikoy, - - catering World- the Istanbul-Moda Doubletree, 1st hotel to be opened wide by the group on the Asian side of the city Turkey Tourism / Hilton USA The group to manage a new five-star resort in Bodrum, - - catering World- owned by the local subsidiary of Azeri ISR group wide Turkey Tourism / Hooters USA The restaurant chain to open, with a local franchisee, its - - catering first Turkish restaurant in Istanbul's Galleria shopping centre in December 2010 Turkey Tourism / InterCon- UK The group to add 1 Istanbul-based hotel to its Crowne - - catering tinental Plaza network and 2 others to its Holiday Inn Express Hotels network, opening planned for 2011-2012 Turkey Tourism / InterCon- UK The giant business hotel company to manage a new - - catering tinental hotel in Bursa under its brand 'Crowne Plaza', in team Hotels with Turkish developer Oztimurlar Turkey Tourism / Kerten / Ireland The hotel chain, in which the fund holds a 50.4% stake 0.5 - catering The since February 2010, to open its second boutique hotel House in Istanbul in the Nisantasi district Hotel

183

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Tourism / Luxe USA The representation company to welcome the Elite - - catering World- World Istanbul in its 200 hotel network with the aim to wide attract new customers, especially from the US Hotels Turkey Tourism / Maison France The coffee-roasting branch of the group teams up with - - catering Richard / local cake retail chain Özsüt to enter the Turkish market Cafés and share its knowledge Richard Turkey Tourism / Marriott USA The group to manage the JW Marriott Hotel Ankara, - - catering developed by local Ozdogan, that will open by the end of 2010 Turkey Tourism / Piola Italy The pizzerias chain to open its first restaurant in the 0.7 - catering country in Istanbul Turkey Tourism / Shangri- China The Hong-Kong-based group teams up with local - - catering La Tanriverdi to open and manage a luxury hotel on the Bosporus shores in Istanbul in April 2012 Turkey Tourism / TUI Germa- The package-holiday company to franchise a hotel in - - catering ny Belek under its new Puravida brand, which targets experienced travellers aged between 30 and 50 Turkey Tourism / TUI / Germa- The package-holiday company to open through - - catering Sensimar ny franchise 2 new Sensimar hotels in Belek and Kemer Turkey Transport / Air Algeria The public airline company to start two weekly flights - - logistics Algérie between Constantine, the country's thrid biggest city, and Istanbul Turkey Transport / Air United The national flagship to ink an agreement with Turk - - logistics Arabia Arab Pegasus Airlines which will conduct the management Emirates and sales of its flights to the Middle East Turkey Transport / Air United The Moroccan subsidiary of the low cost carrier to add - - logistics Arabia Arab new flights between Casablanca and Istanbul Emirates Turkey Transport / EgyptAir Egypt The company's Maintenance and Repair service to ink a - - logistics technical cooperation agreement with its Turkish counterpart Turkish Airlines Turkey Transport / FlyDubai United The low-cost airline company to open five weekly - - logistics Arab flights between Dubai and Istanbul by June 2010 Emirates Turkey Transport / Lufthansa Germa- The airline to open direct flights to Bursa, its fourth - - logistics ny regular destination in the country after Istanbul, Ankara and Izmir Turkey Transport / Qatar Qatar The airline company to start four weekly flights to - - logistics Airways Ankara, in addition to the two flights to Istambul already operated

184

Investments and partnerships in the MED region in 2010

Host Sector Investor Origin Project description FDI Jobs country (€m) creat. Turkey Transport / Shammout Syria The airline company to open 3 weekly flights with - - logistics / Cham Istanbul, before launching new connections between Wings Damascus and other Turkish airports Airlines Turkey Transport / Spanair Spain The airline company to launch a daily flight between - - logistics Barcelona and Istanbul's SGIA airport, located on the Asian side of the city Turkey Transport / True Star Italy The international operator in the baggage security - - logistics sector to enter the Turkish market by delivering services in Istanbul, Ankara and Izmir airports

185

Investments and partnerships in the MED region in 2010

Annex 8. Methodology

The data from the ANIMA-MIPO Observatory are produced from a synopsis of the announcements of investments detected by the business information team and the partner agencies of ANIMA.

Differences with the UNCTAD approach

Here the announced investments are from the year n, where the project promoter advertises or validates the project – which will be carried out this very same year or the following years (year n+1 etc.). MIPO therefore provides data by anticipation, which do not take into account the origin of the capital invested (profits recycled on site, local or foreign bank finance, etc.), but which incorporate only the part involving the foreign operator. UNCTAD on the other hand identifies in the balance of payments of each national economy the inputs of foreign capital intended for direct investment. It is a macro-economic approach, which globalises all the investments, whether financial (mergers-acquisitions) or physical: after the event UNCTAD confirms the macro-economic reality of the transfers of private capital. A deviation of around one year to 18 months may be observed compared with ANIMA-MIPO figures.

Typology

Since the launch of the Invest in Med programme, the ANIMA-MIPO Observatory (Mediterranean Investment & Partnership Observatory) includes:

. an observatory of FDI (foreign direct investment), defined as tangible, dated, localised projects (the uncertain or simply envisaged FDI is recorded in the confidential base of leads or pre-projects), with a significant volume of investment made, at least partially, by a foreign operator;

. an observatory of partnerships, defined as projects where a foreign corporation approaches a domestic market, either through an identified partner or by opening local representation (branch, network, etc.).

The various categories of FDI and partnerships are presented in the following figure. The distinction is often difficult, for many projects are at the same time FDI and partnerships. In the first, the importance of the identified project (jobs, amount invested, size of industry) takes precedence. In the second, the relational dimension (commercial, operational, technological, strategic) wins

186

Investments and partnerships in the MED region in 2010 over the volume of the investment. The MIPO Partnership data base also includes the opening of a representative office, which can be considered as "partnership with the country", and the commercial franchises.

Typology of FDI and partnership projects

Greenfield Creation by a foreign operator of a tangible asset on an identified site (merchandise production unit or services, etc.) Base Brownfield Extension of an existing activity on the same site Investment Branch, Creation by a foreign operator of a significantly large company in the host state, (multinational, or (projects in relocation investment greater than 5 million euro, or more which the than 3 sites created in the country) financial Licences and Here an operator takes over the operation of a component PPP public facility (motorway, airport etc.) or a resource or the size of (licence for an oil seam, telecom network), with a the industry significant investment (more than 5 million euro) take Financial JV, Financial operation involving the partial takeover (less precedence) partial than 95%) of an activity or a partnership (JV with a acquisition local partner), carried out by a foreign operator Acquisition, Purchase by a foreign operator of a minimum stake total of 95% in a company or an activity (private or privatisation public) Development Creation of an entity the aim of which is to agreement cooperate with a local company with no mention, at this stage, of the amount invested Base Technological Cooperation of a technological nature (joint R&D, Partnership partnership innovation, use of licence, etc.) (projects in Commercial Cooperation of a commercial nature (distribution which the partnership agreement, joint commercial activity, etc.). relational Representative Opening of an entity in the host country, on a component office modest scale (no legal status, less than 3 outlets) with a local Franchise, Opening of selling space or a commercial outlet partner takes shop (bank branch, hotel), on a modest scale (investment precedence) less than 5 million euro) Management Takeover of the management of an asset (car-park, contract beach, container terminal etc.) or a public service (water, electricity, public transport, etc.), without major investment (less than 5 million euro)

187

Investments and partnerships in the MED region in 2010

Selection criteria

The projects retained should correspond to detailed specifications: more than 5% of foreign content, investor identified, country of origin, destination, nature and summary description of the project. In two thirds of all cases, the information collected comprises a quantitative element - either the amount of the investment, or number of jobs created. The information is updated each time new data concerning the project appear. The procurement contracts or strict portfolio investments (stock exchange) are rejected. On the contrary, acquisitions are taken account of. It is the last line investor (mother company) which defines the geographical origin.

The amounts invested, often known in US dollars, have been converted for 2010 into euro at the average annual rate of 1 USD = 0.71449 €.

The MIPO data base only retains the projects announced by a foreign operator as certain, with perspectives for the start of the realisation within 18 months in one of the MED countries. The pre-projects (simple intention to invest, but over the short term or without a precise site) are kept in a confidential data base of prospects managed by ANIMA.

For certain sectors (BPW, tourism, sometimes energy), the gross amount announced is good for a period in excess of the 18 months to come. In this case, only the "firm"part (1st stage of the accopmplishment of pluriannual large projects ) is taken into account. ANIMA is thus in a position to propose an approximation of the amounts committed in the short term. This also explains why the majority of the analyses and tables mention "net" FDI.

The Observatory is also linked to a Geographical Information System, the on-line Mediterranean investment and partnership atlas (www.medmaps.eu), which enables the projects to be geolocated. The ANIMA-MIPO data base is corrected each year for earlier years, with all the information received about the projects being cumulated in such as way as to conserve a history per project and per business. This explains certain modifications in the tables produced from one year to the next.

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The Invest in Med programme aims at developing sustainable trade relationships, investments and enterprise partnerships between the two rims of the Mediterranean. Funded at 75% by the European Union over the 2008-2011 period, it is implemented by the MedAlliance consortium, which associates economic development organisations (ANIMA, leader of the programme), CCIs (ASCAME, EUROCHAMBRES), and business federations (BUSINESSMED). The members of these networks, as well as their special partners (UNIDO, GTZ, EPA Euroméditerranée, World Bank, etc.), gather a thousand of economic actors - mobilised through pilot initiatives centered on key Mediterranean promising niches. Each year, a hundred operations associate the 27 countries of the European Union and 9 Mediterranean partner countries: Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Palestinian Authority, Syria and Tunisia. The Mediterranean between growth and revolution Foreign direct investment and partnerships in the MED countries in 2010 STUDY N° 21 / March 2011 Bénédict de Saint-Laurent, Jeanne Lapujade, Zoé Luçon (ANIMA) ISBN 978-2-915719-60-4 © ANIMA-Invest in Med 2011

Caught between two crises (the world economic storm of the 2008-2009 and the Arab revolutions of early 2011), in 2010 the southern rim of the Mediterranean experienced a transition year marked by good achievements in terms of foreign direct investment (FDI) attraction and international partnerships. 826 FDI projects of were announced in 2010, against 542 in 2009, that is +52%. The increase is less marked in terms of amounts: €33.2 billion, against €28.4 billion in 2009, that is +17%. The international partnerships of companies continue for their part their increase: 493 projects in 2010, against 288 in 2009 (+71%). In 2010, the FDI created nearly 175 000 direct jobs (against 93 000 in 2009), and approximately 585 000 indirect jobs, that is more than 750 000 jobs on the whole.

In spite of these strong achievements, the model of development of the Mediterranean countries partners of Europe appears disputed, through the changes in progress in particular in North Africa (Tunisia, Egypt, Libya): the dividends of the economic liberalisation hardly profit the whole population and are accompanied by adverse effects (strong concentration of the FDI on certain spaces, reduced local added-value, sometimes negative impact on the environment or the culture, ousting of certain domestic companies to the profit of foreign operators etc). A model of development creating even more jobs, reinforcing the local industrial fabric, giving more importance to the initiatives of the South, better respecting social responsibility criteria, developing all the territory and population, still largely remains to be built… www.invest-in-med.eu