BUSINESS Tuesday 7 November 2017

PAGE | 22 QE PAGE | 23 8,014.71 7,562.28 23,556.32 $56.24 Made in Qatar: -112.18 +1.93 PTS +17.13 PTS +0.60 French Altice & US Huge response 1.38% 0.03% 0.07% Sprint launch new from exhibitors FTSE100 DOW BRENT mobile venture Dow & Brent before going to press

QFC reaches out to potential Turkish investors The Peninsula trade volume between Qatar and trade relations between Qatar Trade volume Turkey stood at $834.5m in 2016 and Turkey,” he said. mid rising bilateral In the first quarter of and that figure was recorded at Sheikha Alanoud added: “Our trade relations 2017 Turkish $634m in the first eight months discussions with Turkish busi- between Qatar and companies undertook of 2017. nesses have proved very Turkey, Yousuf 128 projects totalling “Our recent visit to Ankara worthwhile. We have raised Mohamed Al Jaida, and Istanbul was highly produc- awareness about the QFC plat- $14.2bn in Qatar. It CEOA and Sheikha Alanoud bint tive. Qatar and Turkey’s economic form and have had a lot of interest was recently Hamad Al Thani, Managing and business interests continue from businesses wishing to Director, Business Development, announced that Qatar to grow stronger and both regions expand to Qatar. There are over at the Qatar Financial Centre will invest $19bn in are benefitting from one another. 200 Turkish companies operat- (QFC) Authority, recently met Turkey in 2018. As one of the most competitive ing in Qatar with many joint with Ankara and Istanbul based countries in the Arab region, ventures between Turkish and investors and businesses look- The bilateral trade Qatar’s business environment Qatari business people. This is a ing to expand to Qatar. They also volume between offers countless rewarding oppor- figure we anticipate will increase, met several government officials Qatar and Turkey tunities to businesses and and the QFC platform is one ave- Nihat Zeybekci (centre), Turkey’s Minister of Economy and including Nihat Zeybekci, Tur- stood at $834.5m in investors looking to expand,” Al nue that will help bring more key’s Minister of Economy and Jaida said. Turkish companies to Qatar.” Commerce with Yousuf Mohamed Al Jaida (second right), 2016 and that figure Commerce. “The QFC continues to be an The QFC endeavours to pro- CEO of QFC; and other QFC officials on the sidelines of their was recorded at Qatar and Turkey have integral part of Qatar’s strategy mote Qatar as a lucrative meeting in Turkey, recently. always had strategic relations in $634m in the first to diversify its economy. Our destination for Turkish compa- many areas of cooperation, built eight months of 2017. meetings with Turkish govern- nies. Once a company submits its firms enjoy competitive benefits, repatriation of profits, 10 percent upon a strong and friendly his- ment officials were also very application, a dedicated QFC rela- such as operating within a legal corporate tax on locally sourced torical relationship. Trade projects totalling $14.2bn in positive and gave us the chance tionship manager is appointed to environment based on English profits, and an extensive double relations continue to increase; in Qatar. It was recently announced to discuss our diversification provide guidance on the registra- common law, the right to trade tax treaty agreement network the first quarter of 2017 Turkish that Qatar will invest $19bn in ambitions and how we can help tion process, obtaining a license in any currency, 100 percent for- with more than 60 countries, companies undertook 128 Turkey in 2018. The bilateral to add to the increasing bilateral and setting up operations. QFC eign ownership, 100 percent including Turkey.

EU finance minsters’ meet Commercial Bank launches first contactless Debit Cards in Qatar

The Peninsula Debit Card as a normal chip and Contactless cards are a fast, PIN card for conducting transac- easy and secure way to pay for ommercial Bank tions if the value of transaction is purchases by simply touching announced the launch of higher than the contactless daily your card on a reader, and a PIN Cthe first contactless Debit limit. is not required. Transactions are Cards in Qatar on the internation- Contactless cards are the lat- much faster compared to cash ally accepted Visa & MasterCard est innovation from Commercial and PIN-based transactions, NFC platform. Bank to make banking simple and making contactless “Tap & Go” The contactless Debit Cards convenient for the best client an important feature for super- will enable Commercial Bank’s experience. Starting in Novem- markets, fast food outlets, mass customers to conveniently “Tap ber, Commercial Bank will roll public transport, ticketing and & Go” at NFC-enabled point of out the first batch of contactless sporting events in many parts of sale (POS) terminals and they can Debit Cards to the Qatari market, the world. also use the card as a normal shortly followed by contactless “Commercial Bank has a long Debit Card at any POS terminal. Credit Cards and Pay Cards. tradition of being innovators in Commercial Bank contactless Another digital innovation com- the payments market and we are FROM LEFT: Johan Van Overtveldt, Belgian Finance Minister; Hans-Joerg Schelling, Austrian Debit cardholders will not be ing soon from Commercial Bank proud of introducing the first con- required to enter a PIN or sign are digital wallets. Set to go live tactless Debit Cards in Qatar, with Finance Minister; and Pierre Gramegna, Luxembourg’s Finance Minister react at the start receipts for transactions up to QR in Spring 2018, digital wallets Credit Cards following soon,” said of an eurozone finance ministers meeting in Brussels, Belgium, yesterday. → See also page 24 100 per day. Customers will also allow customers to pay for pur- Joseph Abraham, CEO, Commer- have an option of using their chases using their mobile phones. cial Bank Group. Gulf NOCs need to focus on integration of value chains QIB inks sales & purchase deal The Peninsula countries with significant oil compound annual growth rate including oil production, refin- around 4,000 retail fuel stations, reserves continued to receive the of 12 percent. ing, shipping and most under its own Q8 brand, with MBSB CC states must increase greatest possible benefit from “As the global market for oil, petrochemicals. makes direct sales of fuel and their investment in value- their natural resource. gas and petrochemicals further EQUATE is a key part of heating oil to retail and indus- Gadded oil and gas “Historically, downstream evolves, we need to bring more these investments, 42.5 percent trial customers, is a major QATAR Islamic Bank (QIB) processing to support sustaina- industries in the Gulf have been of the processed value of petro- owned by KPC subsidiary, Pet- supplier of diesel to the road has signed a sales and pur- ble, long-term economic growth, relatively underdeveloped,” leum products within our own rochemical Industries Company transport industry, and a signif- chase agreement with Malaysia one of Kuwait’s leading indus- Husain said. “Exports from the economy as means for greater (PIC), in a partnership with US- icant supplier of aviation fuel at Building Society Bhd (MBSB) to try executives said yesterday. region itself were generally as diversification and industrial based Dow Chemical Company about 40 airports worldwide. sell its full stake of 60 percent Kuwait’s petrochemical pro- crude oil, with value adding tak- presence. This has become a high with an equal stake. Currently, KPC is now increasing its in the Asian Finance Bank, its ducer and international joint ing place outside the regional priority for Gulf NOCs.” EQUATE is the world’s second investment within Kuwait and affiliate in Malaysia. venture investor EQUATE’s Pres- economy. However, over the last For more than 30 years, largest producer of ethylene gly- the GCC. The under-construc- The sale process is ident and CEO Mohammad two decades, the region has Kuwait has consistently used col, which is used in a variety of tion $16bn Al Zour refinery will expected to be consummated Husain said better integration of emerged as a global hub for the downstream investments to applications including polyester be a 615,000 barrel per day within a period of six months upstream, midstream and down- production of chemicals and pet- increase the value of its petro- fibres. ultra-modern facility, to be oper- from date of the sales and stream sectors of the industry rochemicals, and the industry leum resources, operating a Another subsidiary of KPC, ated by the recently formed purchase agreement, QIB said must be a priority for national has been on a consistent and group of interlinked companies Kuwait Petroleum International subsidiary, Kuwait Integrated in a regulatory filing to Qatar oil companies (NOCs). exponential expansion drive, under the umbrella of the Kuwait (KPI), has refinery investments Petrochemical Industries Com- Stock Exchange (QSE), This would ensure that growing at an average Petroleum Corporation (KPC), in Europe and Asia, supplies pany (KIPIC). yesterday. 22 BUSINESS TUESDAY 7 NOVEMBER 2017

Made in Qatar: Information security conference concludes Huge response from exhibitors

Local handicrafts This year’s expo will also have a special pavilion dedicated to local handicrafts where entrepreneurs will get opportunity to introduce their products.

Mohammad Shoeb The Peninsula sectors, including all industrial he upcoming ‘Made sectors, heavy industries and FROM LEFT: Dr Ahmed Bouridane, Head of Computer and Electronic Security Systems Lab, Northumbria University - UK; in Qatar’ expo is SMEs. Toney Jennings, CEO - Encryptics; Mustapha Huneyd Bengali, Assistant Director Corporate Information Security, Corporate receiving an over- Saleh bin Hamad Al Sharqi Information Security at Ooredoo; and Mirza Asrar Baig, CEO-CTM360, at the panel session on ‘Cyber Security through whelming response (pictured), Director-General of Data Analytics and Machine Learning’ during the Fourth Annual Information Security Conference for the Financial Sector, from the exhibitors. QC, said: “Over 70 percent of the that concluded at Sheraton Grand Doha Resort and Convention Hotel, yesterday. Pic: Kammutty V P / The Peninsula TOver 70 percent of exhibition total area of the exhibition, area dedicated for exhibition which is estimated at 20,000 has already been booked so far, square metres, has been said a top official of Qatar reserved at DECC. This edition Chamber (QC), the organiser of of the expo will be witnessing a the highly anticipated event. large number of industrial com- Indonesia Q3 growth expands slightly to 5.06% The ‘Made in Qatar 2017’ panies and factories involved in exhibition, being held under the producing a wide range of prod- patronage of the Emir HH ucts across various sectors of Jakarta to power in 2014 on a pledge to Leather, a senior Asia economist Central Statistics Bureau, who Sheikh Tamim bin Hamad Al the local economy.” AFP boost annual growth to seven at the research house, said in a like many Indonesians goes by Thani, will run from December Al Sharqi noted the cooper- percent annually but his govern- commentary. one name. 14-17 at Doha Exhibition and ation of the Ministry of Energy ndonesia’s economy grew ment has struggled to rev up the The government’s statistics In a bid to accelerate growth Convention Center (DECC). and Industry with the Chamber more slowly than expected in commodities-driven economy. agency pointed to an expansion the central bank has slashed QC, which is hosting the in organising the exhibition. He Ithe third quarter, dimming Growth has remained stuck in the services sector as well as interest rates seven times in the coveted event in close cooper- also praised the support of the hopes that a high-profile drive at around five percent for the exports, which rose 17.27 per- last year -- including an unex- ation with the Ministry of Qatar Development Bank which to boost Southeast Asia’s biggest past three years and the latest cent year-on-year. Information pected drop to 4.5 percent from Energy and Industry and other has been the strategic partner economy will hit its GDP target result was unlikely to signify the and communications sectors, 4.75 per cent in August -- and key organisations, has of the exhibition since its incep- this year. start of a sustained recovery, and the storage industry, were Widodo has announced a series announced that the four-day tion. He said that the exhibition The economy expanded 5.06 according to London-based con- also key drivers, it said. of economic stimulus expo will be held across an area will also have a special pavilion percent in the July-September sultancy Capital Economics. “This growth is heartening packages. of over 20,000 square metres. dedicated to local handicrafts period from a year ago, a little “Given the mounting head- because the 5.06 percent figure Household spending, which Over 300 local companies are where such entrepreneurs will below market expectations and winds facing the economy, we is higher than the first and sec- accounts for more than half of expected to display their prod- get the opportunity to introduce off the government’s target of 5.2 expect growth to come in at ond quarters. This increase is Indonesian GDP, grew 4.94 per- ucts. The exhibitors will their products and meet their percent growth for 2017. around five percent over the quite significant,” said Suhari- cent on-year, but at a slower represent a wide range of perspective clients. President Joko Widodo came next couple of years,” Gareth yanto, head of the Indonesian pace than in quarter three 2016. GCC investors to benefit from Europe’s ongoing recovery

The Peninsula we have identified involves investing in fixed income secu- s conditions in Europe’s rities denominated in Turkish economy and financial lira, where double-digit yields Amarkets have improved are available on short maturi- recently, substantial differ- ties of only a couple of years, ences at a sector level have with bonds issued by supra- appeared across the region’s national agencies of particular assets, J P Morgan Private interest. Naturally, such an Bank’s Gabriele Zaninetti has investment involves exchange said. rate risk. Although it is far from “With a bright outlook for certain that the Turkish lira the global economy as well as will strengthen materially, the an improving domestic situa- era of rapid depreciation tion, we believe risk assets appears to have ended,” Zan- across Europe offer the poten- inetti said. tial for attractive returns. hybrids are a source of poten- With Europe’s economy Following impressive per- tially attractive returns. A and financial markets improv- formance in recent years, the diversified portfolio of corpo- ing over the past couple of region appears to be entering rate hybrids can provide years, Europe’s banking sec- a period where granular selec- significant exposure to the tor also offers selective tivity is increasingly ongoing recovery and growth opportunities. European banks important,” said Gabriele Zan- in core Europe. suffered stability issues in the inetti (pictured), Head of According to Zaninetti, most recent recession of 2012 Investments for the Middle compared with high yield owing to a burden of bad debt, East and North Africa, J P Mor- bonds, current hybrid bond but there are now opportuni- gan Private Bank. yields look attractive against ties for attractive returns from Across Europe’s core mar- where they have been trading investments in both equity and kets, President Macron’s historically. They provide fixed income securities. pledge to modernize the exposure to investment grade Share price volatility, cash French labour market has the issuers in core Europe but offer flow returns and the ability to potential to boost the earnings more attractive risk-adjusted increase market share are all growth of French companies, returns than other assets due themes likely to continue to which remain depressed rel- to the subordinated format. drive the dispersion of asset ative to both their pre-crisis Although much attention returns in this sector. levels and recent performance has been focused on Europe’s “For some time now, J P of German businesses. core, improvements in the Morgan Private Bank has Compared with other macroeconomic situation have maintained a positive view on European countries, we like not been limited to this area. Europe’s investment environ- the composition of France’s Europe’s emerging markets ment against a background of equity market. It has a higher are benefiting from more sta- improving economic growth, weighting to domestic compa- ble global commodity prices, falling unemployment, sup- nies, and is in a prime position an increase in international portive central bank policies, to benefit from the uptick in trade volumes and improve- and a rebound in business and economic activity. ments in investor sentiment. consumer confidence. We find J P Morgan also has a pos- Poland, Russia and Turkey numerous opportunities itive view on banks, which all seem to be experiencing within this vibrant, dynamic make up a substantial portion economic upturns and their and varied market, which of the market. currencies have stabilised after investors can exploit to For investors who do not years of depreciation against improve the risk-adjusted want to take on additional developed countries. returns of their portfolios,” equity market risk, corporate “One of the opportunities Zaninetti added. TUESDAY 7 NOVEMBER 2017 BUSINESS 23 UK businesses demand clarity; May provides none

London Slow progression government’s Brexit ambitions British firms will have imple- Reuters must be matched with “urgent mented contingency plans by Britain is due to leave delivery”, adding: “Every oppor- March if Britain and the EU have ritish businesses urged the EU in March 2019, tunity must be taken to reduce not struck a transitional deal by Prime Minister Theresa but negotiations on uncertainty for the sake of jobs then, a CBI survey said. Another BMay yesterday to provide how goods & services and the economy.” survey said most European busi- clarity on how Brexit will work, But May, who recently nesses plan to cut back orders will flow between the but she gave few details beyond unnerved executives by saying from British suppliers because two have made slow reiterating plans to seek a tran- any transitional deal would not of the slow progress of Brexit sition deal as soon as possible. progress. be agreed until the entire exit talks. Britain is due to leave the EU, agreement is sealed, had little While Britain’s economy has its largest trading partner, in of a soap opera with a different detail on timing. shown unexpected resilience March 2019, but negotiations on episode each week and that Brit- “We are in a negotiation with since the Brexit vote, there are how goods and services will flow ain was less united than the EU’s the European Union ... First of all signs of weakness including between the two after that date 27 other states. we need to get full agreement slowing growth and accelerat- have made slow progress, fueling “Brexit is only 508 days that this is something that will ing inflation. fears of an exodus of multina- away, but for many businesses Britain’s Prime Minister, Theresa May (left) and Britain’s happen, and then we’ll need to Brexiteers accept there is tional firms. their alarm clocks are set earlier opposition Labour Party Leader, Jeremy Corbyn addressing negotiate the details,” she said in likely to be some short-term eco- In a speech to Britain’s most than that: They’re set to the delegates at the annual Confederation of British Industry (CBI) response to a question from Reu- nomic pain but say Britain will powerful official business lobby moment they’ll actually enact conference in east London, yesterday. ters. “Of course, some of those thrive in the longer term if cut group, May said she understood their contingency plans,” CBI details, you need to know what loose from what they see as an how important clarity was for President Paul Drechsler said just terms of a transitional period “I know how important it is the end state is, what that future undemocratic and costly exper- business and that she hoped for before May spoke. they would need to plan for a for business and industry not to partnership is, because this is iment in European integration what she calls an “implementa- “The clock is ticking, so gov- damaging “hard Brexit”. face a cliff-edge and to have the about practical change.” they see as doomed to fail. tion period” that would allow the ernment and the EU need to get Ever since the June 2016 EU time it needs to plan and prepare May did not answer a ques- But companies have become same trading conditions to con- a move on. First of all sorting out, referendum, business leaders for the new arrangements,” May tion on whether she was increasingly vocal in recent tinue for around two years after with clarity, details on a transi- have been calling on the govern- told the CBI conference. confident of getting a trade deal weeks over fears that Britain the exit date. tional arrangement.” ment to give them clarity about “I want us to agree the with the EU fully finalised by could crash out of the world’s But the president of the Con- BT, Britain’s biggest telecoms how Brexit will look, though detailed arrangements for this October 2018. May’s Brexit min- biggest trading bloc without a federation of British Industry company, said that unless busi- ministers say that is impossible, period as early as possible.” ister has said previously he wants deal, imperiling cross-border chided the government, saying nesses were clear by the given that the exit terms have still The CBI’s director general, an outline transitional deal in supply chains, business orders its Brexit strategy reminded him beginning of 2018 about the to be negotiated. Carolyn Fairbairn, said the early 2018. Almost two in three and jobs.

Trump addresses business leaders German industrial orders increase on strong eurozone demand in September

Frankfurt percent in September from economic and financial crisis,” AFP August, after already rising by 4.1 Destatis said. The increase was percent the previous month, the wholly attributable to a bumper erman industrial orders, a federal statistics authority Des- rise in orders from Germany’s key indicator of the health tatis said in a statement. Analysts eurozone neighbours, the statis- Gof Europe’s biggest econ- had been forecasting a drop in ticians calculated. Industrial omy, rose unexpectedly in orders of 1.3 percent for orders from the single currency September, driven by booming September. area grew by 6.3 percent month- demand for German-made “In the last two months, on-month, while orders from the goods in the eurozone, data orders outstripped the volume rest of the world fell by 1.0 per- showed yesterday. German that was reached at the end of cent and domestic contracts industrial orders grew by 1.0 2007, before the outbreak of the shrank by 0.1 percent.

US President Donald Trump delivers remarks to US and Japanese business leaders at the US ambassador’s residence in Tokyo, yesterday.

French Altice & US Algeria invests $2bn into Hassi Sprint launch new Rmel gas field

Algeria mobile venture Reuters

San Francisco lgeria’s state energy AFP firm Sonatrach yester- Aday started $2bn of rench media and telecom new investments into the group Altice is launching a Hassi Rmel gas field to keep Fnew mobile venture in the production stable at the coun- United States in a deal signed try’s biggest gas field. with American operator Sprint, “The objective is to main- the groups announced Sunday. tain the 190 million cubic Through the agreement, the metre output for the next 10 French group’s American affil- years,” Chief Executive iate Altice USA “will utilize Abdelmoumene Ould Kad- Sprint’s network to provide dour told reporters at the site. mobile voice and data services customers in a string of coun- Hassi Rmel gas field rep- to its customers throughout the tries, including France, Portugal, resents 60 percent of Algeria’s nation,” a joint statement read. Israel and the Dominican total gas output. Sprint, an affiliate of Japan’s Republic, according to the com- It produces between 190 SoftBank, “will leverage the pany. “We are excited to bring and 210 million cubic metre Altice USA broadband platform our global expertise to the US to per day but Sonatrach needed to accelerate the densification enhance and strengthen our to invest into the field’s com- of its network,” it added, with- offerings,” said Altice USA chair- pression facilities to maintain out providing a timeframe or man and CEO Dexter Goei. output, Kaddour said. financial details of the deal. “Working together, we will “This is a strategic project The announcement came be able to capitalize on Sprint’s for us, we need to make sure just a day after Spring and vast mobile network, which fits it will come online 2020. T-Mobile—a US affiliate of Deut- well alongside Altice USA’s deep Delays are unacceptable,” he sche Telekom—called off WiFi network, and leverage added. merger talks. “As content and Altice’s global mobile experience Japanese firm JGC has connectivity continue to con- to deliver greater value, more been put in charge of the verge, we believe this approach benefits and seamless connec- project. will be a model for future stra- tivity for our US customers.” Opec member Algeria has tegic arrangements across Altice has big ambitions in the been hit hard by the slump in multiple industries including US, announcing last week a bun- world oil prices and has cable, tech and others,” said dle for mobile clients to also struggled to attract energy Sprint president and CEO have access to the internet, a investment to help develop Marcelo Claure (pictured). Altice landline and television, a first in new fields and increase exist- has more than 26 million mobile the US market. ing production. 24 BUSINESS TUESDAY 7 NOVEMBER 2017 Britain frozen out as EU Reliance Asset Management finance chiefs plot future

Brussels The question of the euro- AFP EU meeting zone getting its own budget, an old idea recently dusted off uropean Union finance The 27 EU ministers again by Macron as part of his ministers meet with- discussed 3 key issues grand vision for post-Brexit out Britain in Brussels that go to the heart of Europe, is also complicated. yesterday to try to making the euro more Paris wants a big budget as iron out their differ- politically & a show of European solidarity Eences on plans to reform the economically unified, in the face of financial shocks, euro in the wake of the shock so it is more resilient whereas Juncker wants to make Brexit vote. against future crises. it smaller-scale—a line favoured They prepared for a leaders’ by the Germans. summit on December 15 to dis- Banking union and a system cuss proposals by French has not signed the treaty, and of deposit guarantees to prevent President Emmanuel Macron Croatia, which was not an EU bank runs will also be on the and European Commission chief member when the treaty was agenda, with the EU keen to Indian billionaire Anil Ambani (second left); Chairman of the Reliance Group, with his Jean-Claude Juncker. signed, were also both be invited finally finish plans that have son Anmol (left), wife Tina (second right) and mother Kokilaben arrive for the listing The 27 EU ministers dis- as observers in a bid to build been on the drawing board ceremony of Reliance Nippon Asset Management at the National Stock Exchange (NSE) cussed three key issues that go unity behind plans for a key part since the eurozone debt crisis in Mumbai, yesterday. to the heart of making the euro of the European dream. started. One further issue they more politically and economi- But Britain was left out in the were likely to discuss is the next cally unified, so it is more cold, as it did not sign the pact, head of the Eurogroup, to resilient against future crises. and is also set to leave the EU in replace Jeroen Dijsselbloem of These are creating a unified 2019 before most of the planned the Netherlands, who steps eurozone budget that could be reforms will take effect. down in January. Jordan plans new city to ease crowding used to respond to a crisis; sim- One of the most complex There is no official candi- plifying the EU’s budgetary subjects were simplifying rules date but rumoured frontrunners Amman attract long-term investment, the The project would “invest in discipline rules; and finally com- for EU and particularly eurozone include Portugal’s Mario Cen- AFP government said in a statement clean and renewable sources of pleting a “banking union” that budgets, which governments teno, Slovakia’s Peter Kazimir, published Sunday. The project energy and water treatment” as removes restrictions between have to keep under tight control France’s Bruno Le Maire or Lux- ordan has announced plans to was aimed at finding “drastic well as provide affordable hous- lenders across the bloc. to escape sanctions from embourg’s Pierre Gramegna. build a new city east of the solutions to rising population ing, the statement said. The meeting included the Brussels. EU economics commis- Jcapital Amman in order to density and traffic congestion” It would be built in five Eurogroup of 19 countries that But if the Europeans agree sioner Pierre Moscovici’s name ease rising population density in Amman and the northeastern phases with the first one ready use the single currency plus on the need for reform, they are has also been mentioned and traffic congestion. city of Zarqa, said the statement by 2030 and the last expected to seven others that signed the divided on how to achieve it although ministers appear more The project to build the city carried by the official Petra news be completed in 2050. Cash- 2012 European fiscal pact dur- with France traditionally taking likely to go for one of their own. some 30 kilometres (18.5 miles) agency. Amman is home to four strapped Jordan hopes the ing the eurozone debt crisis. a more easy-going line than A formal decision will be made from Amman was part of a drive million people while 1.3 million project will attract private and The Czech Republic, which austerity-loving Germany. on December 4. to stimulate the economy and make up the population of Zarqa. foreign investors. SoftBank H1 net Westpac Bank annual net profit jumps 7% UK car sales profit down on skid by 12.2% Sydney was to carefully balance growth interest margins. They also face one-off factor AFP and returns, while meeting all a hefty new government levy to in October of our new macro-prudential raise Aus$6.2bn over four years Tokyo ustralian banking giant regulatory requirements. through a 0.06 percent charge London AFP Westpac posted a seven “We achieved the required on the borrowings of the big five Reuters Apercent jump in annual macro-prudential targets for banks—ANZ, Commonwealth, oftBank said yesterday net profit yesterday, helped by home lending. The credit qual- Macquarie, NAB and Westpac. ritish new car registra- its net profit for the first a fall in bad and doubtful debts ity of our loan portfolio is in Last week, National Australia tions fell 12.2 percent in Shalf of the fiscal year with the lender saying it was in great shape with stressed assets Bank posted a Aus$5.28bn BOctober as demand fell plunged after the previous “excellent shape”. reducing during the year.” annual net profit, up from just across all parts of the market, year’s sale of a game devel- Westpac’s Aus$7.99bn The bottom line was helped Aus$352m in the previous cor- the Society of Motor Manu- opment business, but (US$6.11bn) result in the year to by a 24 percent fall in charges responding period when facturers and Traders (SMMT) operating profit surged on September 30 rounded out for bad and doubtful debts to writedowns hurt its bottom line. said yesterday. Sales totalled brisk sales for its US telecom annual reporting from three of Aus$853m. Revenue was up 3.9 NAB, which is reshaping for 158,192, leaving registrations unit. the nation’s big four banks, with percent to Aus$21.8bn, driven by a digital future, also announced in the year to date down 4.6 The Japanese mobile all of them growing their a rise in net interest income on 6,000 jobs would be axed, percent compared with 2016. giant said net profit for the six business. the back of strong growth in although it would create 2,000 “Declining business and months to September came Cash profit, the financial “We have continued to suc- loans. Earnings at its institutional new positions for a net reduc- consumer confidence is in at 102.6bn yen ($900m), industry’s preferred measure cessfully navigate a challenging arm and New Zealand opera- tion of 4,000. undoubtedly affecting down 86.6 percent from the which strips out volatile items, environment while our strategy tions both jumped. ANZ Bank saw a 12 percent demand in the new car mar- same period a year earlier. came in three percent higher at builds momentum,” said chief Westpac’s solid profit jump in annual net profit to ket but this is being The dive in SoftBank’s net Aus$8.06bn. executive Brian Hartzer (pic- capped results from three of Aus$6.41bn the week before, compounded by confusion profits was mainly because it Westpac left its dividend tured), describing the bank as in Australia’s big four lenders, all while Commonwealth Bank, over government policy on sold former mobile game sub- unchanged at 94 cents, for a full- “excellent shape”. of whom are battling higher Australia’s largest, operates on diesel,” said SMMT chief exec- sidiary Supercell Oy and the year payout of Aus$1.88. “Our primary goal in 2017 funding costs and lower a different reporting schedule. utive Mike Hawes. profits from this unit had inflated last year’s figures, it said. But operating profit soared 35.1 percent to 874.8bn yen thanks to a EU to discuss tax havens blacklist after ‘Paradise Papers’ leaks sound performance from its US wireless unit Sprint, the company said. Brussels the EU’s executive arm, Valdis Some EU countries remain Sales edged up 3.3 per- Reuters Dombrovskis, told reporters sceptical about the blacklist and cent to 4.41trillion yen, it said. yesterday. are themselves under scrutiny Together the pair would uropean Union states will EU countries had planned for for unfair tax competition. have had 131 million subscrib- today discuss plans for a months to reach an agreement Smaller EU states, like Lux- ers, virtually matching Etax havens’ blacklist, offi- on a blacklist for tax havens by embourg, Malta and Ireland, second-ranked AT&T and cials said, in a bid to tackle the end of this year. The new attract firms with lower corpo- posing stiff competition to offshore tax avoidance after revelations prompted the discus- rate taxes. Some have been market leader Verizon leaked documents revealed sion to be brought forward, EU sanctioned for deals with mul- Communications. investments by wealthy individ- officials said, but no final deci- tinationals that slashed their tax SoftBank did not release uals and institutions around the sion was expected today. bills, reducing revenues in other earnings estimates for the fis- globe. The EU has discussed several EU states. cal year through March 2018, The subject’s inclusion on the measures to crack down on tax To win over their resistance, which is not unusual for the monthly meeting’s agenda of EU avoidance, including in the wake the proposed EU blacklist would company. finance ministers came after of the “Panama Papers”, a apply only to non-EU countries. Led by flamboyant weekend media reports citing release by the ICIJ last year Also, states which charge no cor- founder Masayoshi Son, Soft- the so-called “Paradise Papers”, which chronicled a shadowy Vice-President for the Euro and Social Dialogue, Valdis porate taxes will not be Bank has embarked on a a trove of financial documents world of offshore holdings and Dombrovskis (left) and EU tax commissioner, Pierre Moscovici. automatically considered tax string of international acqui- leaked mostly from Appleby, a hidden wealth. havens, under a preliminary deal sitions both big and small in prominent offshore law firm. Measures proposed by the An EU-wide blacklist is could discourage individuals and reached by EU finance ministers recent years. Son was among The documents were European Commission include believed to carry more weight. companies from putting money last year. the first business people to obtained by Germany’s Sued- an EU-wide list of tax havens Jurisdictions included in the list in those jurisdictions. On tax matters the EU can meet Donald Trump after his deutsche Zeitung newspaper and meant to discourage the rerout- could be subject to sanctions if Moscovici added that the EU take decisions only with the November election victory, shared with the International ing of profits made in the EU to they did not cooperate. blacklist should be more ambi- unanimous backing of its 28 and was also among dozens Consortium of Investigative tax-free or low-tax countries, “It’s time that we agree and tious than the existing list of the member states, unless extraor- of Japanese and American Journalists (ICIJ) and some media like Panama or Bermuda. publish a blacklist on tax Organisation for Economic dinary procedures are launched business leaders who outlets. Reuters has not inde- At the moment, each EU state havens,” EU tax commissioner Cooperation and Development - an option never tested so far. attended a speech by the vis- pendently verified them. Appleby has its own list of jurisdictions Pierre Moscovici told reporters, (OECD), a global group of mostly To reduce the appeal of tax iting US president in Tokyo was not immediately available that are seen as less cooperative calling for a “credible” list and rich nations that has so far been havens, Brussels has also pro- yesterday. for comment. on tax matters. “adequate sanctions” when seri- leading the fight against tax posed the setting up of public Son has pledged to invest The latest revelations “put Criteria to define a tax haven ous breaches are unveiled. avoidance. registries that would show the $50bn in business and job- renewed emphasis on the work vary greatly among EU states and There are no details yet of The OECD list of non-coop- real owners of companies, which creation in the United States, the European Commission is some of them omit any jurisdic- the type of sanctions that could erative jurisdictions on tax are often hidden by frontmen in winning praise from the then doing to fight tax avoidance”, the tions in their national be imposed, although being on transparency includes to date shell firms in offshore president-elect. vice president of blacklists. the blacklist in itself only Trinidad and Tobago. jurisdictions. TUESDAY 7 NOVEMBER 2017 BUSINESS 25 Investors grab German bonds before ECB decision

London Reinvesting proceeds alongside its usual monthly pur- ‘Germany’ redemptions will be and Italy’s were 1 bps lower. Reuters chase data at 1445GMT. substantially higher than any Bond markets were broadly The ECB last month While this is not expected to other bracket – and also be supported by a sense that the ECB erman government announced an include a breakdown of redemp- higher than the capital key is in no rush to exit its ultra-easy borrowing costs hit a extension to its tions by country, investors will suggests.” stance. two-month low yes- quantitative easing be trying to work that out from Schaffrik added that data The Bank’s chief economist terday as investors scheme until at least historical redemption data the shows the ECB has bought Ger- Peter Praet on Monday said the bought the country’s ECB will also publish. man bonds of a shorter maturity decision to extend asset pur- September, and while Gbonds in anticipation of new Germany is expected to on average than those in periph- chases was warranted by weak it plans to lower the European Central Bank (ECB) receive the largest reinvestment eral countries. Therefore, those inflation and reinforced its guid- data that could give clues to rate of new purchases flows because the ECB buys bonds will be first to mature. ance to keep rates at their current where it will focus future asset it has also said it will bonds in line with the size of a German 10-year bond yields level for an extended period. purchases. reinvest proceeds country’s economy in what is - which move inversely to price - Late on Friday, Benoit The ECB last month from bonds it has known as the capital key. fell further than their euro Coeure, who is the ECB’s direc- announced an extension to its previously bought. “More than the absolute zone peers on Monday, down 3 tor in charge of the asset quantitative easing scheme until amounts, the split by countries basis points at their lowest in purchases, said the decision to at least September, and while it the next twelve months, the ECB will be quite important,” RBC’s around two months of 0.33 extend purchases might result in plans to lower the rate of new has previously bought. for the first time yesterday was global macro strategist Peter percent. a stronger euro but that the purchases it has also said it will To allow investors to gauge scheduled to publish the expected Schaffrik (pictured) said. Yields on lower-rated Span- exchange rate was not a policy reinvest proceeds from bonds it those reinvestment needs over monthly redemption amounts “We suspect that the ish bonds were flat on the day target for the ECB.

US tax reform Car owners face fuel shock as test results gap to reality grows

Berlin which means most claims of pollution later this week. Bloomberg efficiency improvements only Scrutiny on vehicle emis- showed up in lab tests, accord- sions has intensified since ar owners in Europe are ing to the ICCT. Volkswagen’s cheating scandal paying about €400 ($460) “The gap between sales- erupted more than two years Ca year more than they brochure figures and the real ago. The crisis has sapped expected for fuel because of a world has reached another all- demand for diesel models and record gap between what vehi- time high,” said Uwe Tietge, lead prompted automakers to step cles actually burn on the road author of the study, which ana- up investment in electric vehi- compared with manufacturers’ lyzed data from 1.1 million cles. The so-called Worldwide data, according to a study from vehicles in eight European Harmonized Light Vehicles Test the International Council on countries. Procedure is in the process of Clean Transportation. While emissions gaps exist being rolled out in Europe and Carbon dioxide emissions on in the US, Japan and China, should bring official figures the road are 42 percent higher Europe has the biggest discrep- closer to real-world on average than the official fig- ancy between official data and emissions. ures from carmakers, the road results because of loose “But even the new test pro- organization, which helped regulations and limited enforce- cedure contains new loopholes US Treasury Secretary Steven Mnuchin is greeted by Ivanka Trump at the Ronald Reagan uncover Volkswagen AG’s ment, according to the ICCT. The that could permit the perform- Presidential Library where they talked about tax cuts and reform yesterday in Simi Valley, cheating on diesel emissions, European Commission, the ance gap to increase again in the California. Mnuchin is visiting Southern California this week to persuade local business said in a summary of the report executive arm of the European future,” Peter Mock, the ICCT’s leaders to support the Trump administration tax reform plans. released yeserday. The differ- Union, is due to announce a pro- managing director, said in the ence was just 9 percent in 2001, posal to address vehicle statement. Microsoft boosts video-game investment Dollar steadies one-week

Seattle from gamers for its lack of hot development, said Spencer, a agree to acquire cult favorite high on US tax reform Bloomberg first-party titles. “We need to 30-year Microsoft veteran who Minecraft in September 2014 , and grow, and I look forward to doing has spent the morning sipping tea more recently to change direc- New York last month. The dollar was 0.04 s Microsoft Corp begins that,” Spencer said. from a “Gears of War” pint glass. tors’ mindset about gaming Reuters pct higher against the Japanese selling a new Xbox console, “Our ability to go create con- A year ago, Microsoft shut down overall, Spencer said. In July 2014, yen, and the euro was 0.16 per- Athe focus of its video-game tent has to be one of our strengths. two studios, Lionhead in the UK Nadella declared gaming an he dollar was holding cent lower against the unit is shifting toward software We haven’t always invested at the and Press Play in Denmark. important market, but one that near a one-week high greenback. and services. same level. We’ve gone through The renewed investment was not core to Microsoft’s Tagainst a basket of cur- “In the absence of any The company plans to ups and downs in the invest- marks an increasing focus on the mission. rencies yesterday, with traders major external drivers, it is increase investment in develop- ment.” Microsoft is scheduled to Xbox business as a whole, while As Microsoft’s Xbox devices wary of pushing it higher more of a sideways market ing in-house video games, start selling the Xbox One X, a just a few years ago Microsoft continue to be outsold by rival because of a proposed US tax when it comes to the dollar,” including starting or acquiring high-end console targeted at viewed the unit as a sideline. In Sony Corp’s PlayStation, the Red- overhaul and uncertainty about said Mazen Issa, senior FX studios to do so, Xbox chief Phil hard-core gamers from today. September, Spencer was pro- mond, Washington-based the composition of the US Fed- strategist at TD Securities in Spencer said in an interview last Historically some of Micro- moted to report directly to Chief company is also changing the way eral Reserve. New York. “Between now and week. That’s an about-face from soft’s biggest sellers for Xbox have Executive Officer Satya Nadella it measures success in the Xbox The dollar index, which the end of the year, we still its approach the past several been games the company pub- and now sits on the senior lead- business away from console rev- tracks the greenback against have to deal with the tax bill, years, during which Microsoft has lished itself, including the “Halo” ership team. Restoring gaming to enue and unit shipments toward six major currencies, was up the Fed (Open Market Commit- shuttered studios, cancelled and “Gears of War” franchises, the forefront at Microsoft required more closely watching sales of 0.04 percent at 94.982. The tee), and obviously there are games, and faced criticism at an but in recent years it has scaled winning over Nadella and the games, subscriptions and related index is just shy of the three- some uncertainties around industry conference back some in-house board – initially to get them to services. month high of 95.150 hit late trade policy as well.”

Africa’s largest World’s busiest airport fuels intrigue on election eve bank challenges Atlanta who is endorsed by Reed. Mean- shuttle service, advertising along Bloomberg while Reed and another its concourses and the conces- UK lenders candidate, City Council President sionaires who run its shops and ravellers moving through Ceasar Mitchell, have been feud- restaurants. AFRICA’S largest lender by the world’s busiest airport ing over who should control It’s big money. Airport man- market value plans to take on Tprobably don’t know airport contracts that don’t agement predicts spending $6 Britain’s biggest banks with the they’re feeding the quiet finan- expire until late next year. billion over the next two decades takeover of Aldermore Group cial engine of Atlanta politics Another candidate, former Bain on improvements, under a plan Plc as growth in its home mar- when they drop their money on & Co partner and ex-city COO dubbed ATLNext. It includes a ket stutters. the Kentucky bourbon on Con- Peter Aman, took the unusual new 10-gate Concourse G at a FirstRand Ltd said yester- course T, the peppered goat step last month of publicly out- cost of $983m and a new $943m day it agreed to buy all of cheese and honey on F, or the ing the vendor-political money sixth runway. The airport is also Aldermore after winning the neck pillow and paperback tree. He said a supporter tried to planning to replace two massive backing of the UK lender’s thriller on C. school him on the mutual back parking decks at a cost of $665m, board and its largest share- They are, though, and this scratching rules for tapping it. build a $500m complex with a holder. The offer, which values year, with nine major candidates “It was appalling, in terms of four-star hotel on the site of Aldermore at about $1.4bn, will vying to replace Atlanta’s term- the connection between the ven- Hartsfield’s current economy lot help the Johannesburg-based limited Mayor Kasim Reed in an dors at the airport and the and a new curbside canopy as A file photo showing a part of the iconic Hartsfield-Jackson company diversify away from election today, the role of Atlan- money and the influence,” Aman part of a $383m terminal Atlanta International Airport, the world’s busiest. South Africa, which accounts ta’s Hartsfield-Jackson said in an interview. improvement project. for about 96 percent of earn- International Airport’s political With more than 104 million Then there’s the captive partners, subcontractors and and has sporadically delivered ings and where economic money has sprung messily into passengers last year, Hartsfield- market waiting for flights. This ,important in Atlanta, their scandal. In the 1990s, one air- growth is slowing to near lev- public view. Jackson is the most trafficked year, gross sales in airport con- minority subcontractors. City port contractor admitted slipping els last seen in the 2009 Airport vendors --including airport on the globe, followed by cessions topped $1bn in a requirements for bringing hundreds of dollars to a city recession. “There’s plenty of contractors, engineers and con- Beijing and Dubai. The city of calendar year for the first time. minorities into the vendor mix councilman every Thursday at opportunity for a challenger cessionaires -- or would-be Atlanta owns it, and controls the The concessions universe have made some subcontractors breakfast. Another councilman bank to go and keep giving it vendors have provided about a billions in contracts tied to it -- includes large contractors who rich. was a secret subcontractor for a to the big banks,” Aldermore third of the money raised by can- for engineering, construction choose which restaurants line Airport money has helped vendor while voting to lower the Chief Executive Officer Phillip didate Keisha Lance Bottoms, and design work, parking, concourses, as well as their fuel Atlanta politics for decades vendor’s airport rent. Monks said by phone. 26 BUSINESS TUESDAY 7 NOVEMBER 2017

QATAR STOCK EXCHANGE

QE INDICES SUMMARY QE MARKET SUMMARY COMPARISON WORLD STOCK INDICES EXCHANGE RATE 06-11-2017 Currency Buying Selling Index Day’s Close Pt Chg % Chg Year High Year Low QE Index 8,014.71 1.38 % Index 8,014.71 US$ QR 3.6305 QR 3.6500 QE Total Return Index 13,440.20 1.38 % Change 112.18 All Ordinaries 6027.188 -3.136 -0.05 6037.9 5635.1 UK QR 4.7473 QR 4.8139 % 1.38 QE Al Rayan Islamic Index 3,110.34 1.83 % Cac 40 Index/D 5508.54 -9.43 -0.17 5536.4 4733.82 Euro QR 4.1996 QR 4.2590 YTD% 23.21 CA$ QR 2.8325 QR 2.8883 QE All Share Index 2,230.61 1.80 % Volume 9,351,661 Dj Indu Average 23539.19 22.93 0.1 23557.06 17994.64 QE All Share Banks & Swiss Fr QR 3.6153 QR 3.6667 Value (QAR) 999,967,281.83 Hang Seng Inde/D 28596.8 -6.81 -0.02 28798.78 21883.82 Financial Services 2,527.50 0.82 % Trades 3,032 Yen QR 0.03165 QR 0.03226 Iseq Overall/D 6957.89 -26.41 -0.38 7157.43 6369.05 Aus$ QR 2.7667 QR 2.8207 QE All Share Industrials 2,468.78 1.88 % Up 03 | Down 36 | Unchanged 1 Kse 100 Inx/D 41030.77 -33.23 -0.08 53127.24 39478.05 Ind Re QR 0.0558 QR 0.0569 QE All Share Transportation 1,592.86 3.41 % 05-11-2017 Index 8,126.89 Pak Re QR 0.0342 QR 0.0350 QE All Share Real Estate 1,557.25 2.25 % S&P 500 Index/D 2587.84 7.990.309708 2588.4 2245.13 Change 19.34 Peso QR 0.0705 QR 0.0719 QE All Share Insurance 2,825.95 5.50 % % 0.24 SL Re QR 0.0235 QR 0.0240 QE All Share Telecoms 1,020.12 2.27 % YTD% 22.13 GOLD AND SILVER Taka QR 0.0432 QR 0.0444 Volume 4,703,859 QE All Share Consumer GOLD QR149.2674 per gramme Nep Re QR 0.0349 QR 0.0356 Value (QAR) 228,132,832.60 Goods & Services 4,558.68 2.08 % SA Rand QR 0.2546 QR 0.2596 Trades 2,211 SILVER QR1.9813 per gramme

INTERNATIONAL MARKETS - A LIST OF SHARES FROM THE WORLD

COMPANY CLOSE NET VOLUME COMPANY CLOSE NET VOLUME COMPANY CLOSE NET VOLUME COMPANY CLOSE NET VOLUME COMPANY CLOSE NET VOLUME NAME CHG TRADED NAME CHG TRADED NAME CHG TRADED NAME CHG TRADED NAME CHG TRADED

A C C-A/D 1796.85 -6.8 8083 Container Cor-/D 1393 12.3 26368 Ifb Agro-B/D 652.25 -20.4 4667 Mangalam Cem-B/D 385 -7.65 1428 Aban Offs-A/D 219.3 12.9 1183592 Dai-Xc/D 419.9 -0.5 3813 Ifb Ind.Ltd.-B/D 931 33.05 2448 Maral Overs-B/D 42.85 0.55 1754 LONDON Ador Welding-B/D 609.95 -6.05 51089 Dcm Financia-B/D 3.3 0.15 15000 India Cement-A/D 182.4 -4.2 461134 Mastek-B/D 351.35 3.25 49087 Aegis Logis-A/D 232.7 0.05 11462 Dcm Shram Ind-/D 353.5 5.3 22747 India Glycol-B/D 405.1 15.45 397279 Max Financial-/D 567.35 -2.7 26835 3I Group/D 965 -2.5 163259 Alembic-B/D 42.6 -0.3 135721 Dhampur Sugar-/D 308.75 0.85 60811 Indian Hotel-A/D 114.5 0.05 1084267 Mrpl-A/D 133.65 -2.45 148719 Assoc.Br.Foods/D 3327 -6 88467 Alkyl Amines-B/D 576.95 -6.5 2833 Dr. Reddy-A/D 2394.75 -22.85 20222 Indo-A/D 112.5 0.2 84527 Nahar Spg.-B/D 123.85 5.3 21924 Barclays/D 181.45 -1.85 15112068 Alok Indus-B/D 4.63 0.22 11457009 E I H-B/D 151 -1.35 7621 Indusind-A/D 1647.65 -26.95 24867 Nation Alum -A/D 94.5 0.4 1075540 Bp/D 517.2 0.5 5135426 Apollo Tyre-A/D 242.9 6.55 323298 E.I.D Parry-A/D 370.5 -0.55 32652 J.B.Chemical-B/D 302.35 1.25 55298 Navneet Edu-B/D 173 -1.15 6208 Brit Am Tobacc/D 4959.5 -36 448729 Asahi I Glass-/D 395 4.3 12179 Eicher Motor-A/D 31109 -59.85 1389 Jagson Phar-B/D 37.2 -0.6 5340 Nepc India-Z/D 0.82 -0.04 5245 Bt Group/D 250.05 0.25 6261048 Ashok Leyland-/D 125.9 2.25 539593 Electrosteel-B/D 34.2 -1.1 255687 Jamnaauto-B/D 65.2 -0.4 296662 Neuland Lab-B/D 1191.85 -9.35 2075 Centrica/D 169.98 2.2 4399038 Ballarpur In-B/D 14.16 -0.1 503593 Emco-T/D 20.8 0.95 19043 Jbf Indu-B/D 242.9 13.35 61847 Nrb Bearings-B/D 143.55 1.95 17862 Gkn/D 323 4.6 1327907 Banaras Bead-B/D 63.95 -0.55 1679 Escorts Fin-Xt/D 5.4 0.25 5589 Jct Ltd-Xc/D 3.5 -0.07 559464 O N G C-A/D 198.65 7.3 1810274 Hsbc Holdings/D 733.9 -4.2 5278889 Bata India-A/D 812 -0.95 17170 Escorts-A/D 715.75 -8.35 130427 Jenson&Nich.-T/D 7.71 -0.18 23998 Oil Country-B/D 58.25 2 27741 Kingfisher/D 317.7 0.6 2149090 Bayer Crop-A/D 3862.35 41 2712 Eveready Indu-/D 347 -2 5800 Jindal Drill-B/D 167.05 9.5 85820 Onward Tech-B/D 131.5 0.5 17441 Land Secs./D 956 -2 505495 Beml Ltd-A/D 1785.95 45.95 86899 F D C-B/D 201 -0.6 9771 Jktyre&Ind-A/D 153 7.55 319718 Orchid Pharm-T/D 18.55 0 59305 Legal & Genera/D 270.77 -2 2890158 Bhansali Eng-B/D 135.9 -3.45 328117 Federal Bank-A/D 116.6 0.65 505186 Jmc Projects-B/D 481.25 35.15 24073 Orient Hotel-B/D 39.65 -0.95 32975 Lloyds Bnk Grp/D 67.51 0.12 46480325 Bharat Bijle-B/D 1009.3 -12.65 5206 Ferro Alloys-X/D 20.3 -1.7 968135 Kabra Extr-B/D 136.9 -2.5 5502 Orient.Carb.-B/D 1345.4 41.8 1244 Marks & Sp./D 326.4 -1.9 2373782 Bharat Ele-A/D 185 2.05 306437 Finolex-A/D 711.25 -6.5 4202 Kajaria Cer-A/D 696.65 24.75 43015 Patspin India-/D 31.65 3.1 104006 Next/D 4441 -30 96220 Bharatgears-B/D 177.75 4.9 61838 Forbes-B/D 2123.4 32.9 2406 Kakatiya Cem-B/D 387.65 -6.85 6850 Radico Khait-B/D 213.05 1 134118 Pearson/D 696 2.5 1030250 Bhartiya Int-B/D 620 6.65 17974 Gail-A/D 465 1.45 69843 Kalpat Power-B/D 403.4 14.55 34067 Rallis India-A/D 236.6 -3.35 19549 Prudential/D 1845.21 -22 673243 Bhel-A/D 98.9 -1.15 844616 Gammon India-Z/D 8.53 0.4 195111 Kalyani Stel-B/D 418.1 -4.45 21054 Rallis India-A/D 236.6 -3.35 19549 Rank Group/D 233.9 -1.1 3012 Bom.Burmah-A/D 1627.6 -21.6 20679 Gangotri Tex-Z/D 1.03 0.04 6761 Kanoria Chem-B/D 87.4 1.05 41007 Reliance Indus/D 529.15 -8.75 126908 Rentokil Initi/D 326 -0.7 911160 Bombay Dyeing-/D 204.1 9.45 1646470 Garden P -B/D 37.15 2.1 162774 Kg Denim-Xc/D 62.8 2.3 24189 Ruchi Soya-B/D 27.5 -0.5 488882 Rolls Royce Pl/D 978.665 2 641071 Camph.& All-Xc/D 1017.05 13.65 3808 Goodricke-Xc/D 279.95 -6.4 11794 Kilburnengg-Xd/D 86.9 1.5 28024 Saur.Cem-Xc/D 91.1 1.6 91110 Rsa Insrance G/D 610.5 -7 431365 Canfin Homes-A/D 456.35 -11.45 121449 Goodyear I -B/D 814.1 -0.1 10509 Kinetic Eng-Xc/D 66.1 0.35 10306 Sterling Tool-/D 268.9 -0.2 1377 Sainsbury(J)/D 233.82 -1.3 1560996 Caprihans-Xc/D 121.8 2.4 30920 Hcl Infosys-A/D 47.7 0.3 394372 Kopran-B/D 70.7 0.35 68575 Tanfac Indu-Xd/D 143.2 7 54846 Schroders/D 3473 -24 21243 Castrol India-/D 420.35 4.8 189254 Him.Fut.Comm-B/D 30.3 -0.3 1865282 Lakshmi Elec-X/D 767.4 27.25 14533 Tanfac Indu-Xd/D 143.2 7 54846 Severn Trent/D 2173 42 554833 Century Enka-B/D 386 -0.95 13288 Himat Seide-B/D 367.95 -5.75 9725 Lakshmi Mach-A/D 5970 118.85 1136 Thirumalai-B/D 2207.55 255.85 140894 Smith&Nephew/D 1405 -7 588706 Century Text-A/D 1370.6 -43.15 141852 Hind Motors-B/D 7.98 -0.07 148043 Lgb Broth-B/D 929.35 -14.3 2120 Til Ltd.-B/D 547 -8.2 4620 Smiths Group/D 1576 -13 118936 Chambal Fert-B/D 148.1 -2.4 62166 Hind Org Chem-/D 22.05 0.05 126197 Lloyd Metal-Xd/D 22.2 -0.05 82947 Timexgroup-T/D 38.5 1.8 54553 Standrd Chart /D 714.5 -9 1629673 Chola Invest-A/D 1263.8 24.2 16771 Hind Unilever-/D 1243.9 5.8 45138 Lumax Ind-B/D 1834.65 82.75 5472 Tinplate-B/D 259.3 -4.9 218029 Tate & Lyle/D 698.5 8.5 633852 Chowgule St-Xt/D 14.25 0 2128 Hind.Petrol-A/D 434.55 -10.6 156322 Lupin-A/D 1034.7 -14.55 46903 Ucal Fuel-B/D 198 -1.65 3622 Tesco/D 176.9 -2.15 5749716 Cimmco-B/D 105.15 6.65 62810 Hindalco-A/D 272.8 4.3 1032873 Lyka Labs-B/D 66.05 6.55 901482 Ucal Fuel-B/D 198 -1.65 3622 Unilever/D 4262.5 -15.5 622815 Cipla-A/D 655.4 15.8 150401 Hous Dev Fin-A/D 1784.3 8.95 39815 Mafatlal Ind-X/D 325.15 16.35 25991 Ultramarine-Xc/D 284.8 5.8 29323 United Util Gr/D 838 3 621196 City Union Bk-/D 163.25 0 357047 I F C I-A/D 25.5 0.35 994146 Mah.Seamless-B/D 497.1 -0.55 8696 Unitech P -A/D 6.82 -0.16 2125984 Vodafone Group/D 218.85 -0.5 10391417 Colgate-A/D 1043 10 16019 Idbi-A/D 64.75 -0.05 283450 Maha Scooter-B/D 2722.25 68.75 2521 Univcable-B/D 165.3 -2.65 16092 Whitbread/D 3687 -18 102978 TUESDAY 7 NOVEMBER 2017 BUSINESS VIEWS 27

Dangling 30% raises, European banks hire from US rivals

Hannah Levitt and Hugh Son Bloomberg

uropean investment banks are back in the hiring game, raising the stakes for compensation on both Esides of the Atlantic. Firms including Barclays Plc and Deutsche Bank AG have been seeking to regain trading share by poaching personnel from American rivals, according to recruiters. For traders and salespeople who haven’t seen raises in years, the move can be profitable: European banks are offering pay packages as much as 30 percent higher and guaranteed bonuses in some cases, according to Mike Karp, chief executive officer of New York-based recruiter Options Group. A general view of London Stock Exchange building. “The Europeans have realized that while they’ve been cutting costs and being a bit frugal in their behavior, they’ve been losing business to the US banks and now they’re playing catch-up,” said Jason Kennedy, CEO of Kennedy Group in London, which hires for banks and LSE CEO’s exit gets obscured hedge funds. Wall Street traders lost leverage in pay negotiations after the financial crisis as European and Asian compet- itors receded, leaving fewer potential bidders for their services. As a result, banks including JPMorgan Chase & as Hohn seeks U-turn Co. have paid investment-bank employees a smaller chunk of revenue. In industry jargon it created a “bulge-bracket discount” -- the lower pay relative to their production that traders and salespeople accept at a firm that’s con- are competing to lure what could be the larg- achievements,” Brydon said in the Octo- sidered a safe harbor. Edward Robinson, Nishant Kumar and est initial public offering in history. On ber 19 statement announcing Rolet’s Armed with fresh capital raised by the sale of stock Will Hadfield Saturday, US President Donald Trump per- departure. He didn’t provide a reason why and businesses, European firms have gone on the offen- Bloomberg sonally lobbied Saudi King Salman to list the CEO was leaving. sive. It’s a reversal from the past few years, when the Saudi Arabian Oil Co., known as Aramco, Rolet couldn’t pull off his biggest deal beleaguered banks fired traders, pared balance sheets on the New York Stock Exchange. The share -- the sale of the LSE to its German coun- and restructured operations. Deutsche Bank CEO John hen London Stock Exchange sale, which may value the company at $2 terpart, Deutsche Boerse AG. The 9.8 Cryan said in March that he wanted to return to “control- Group Plc announced last trillion, will generate a cascade of fees for billion-pound transaction, which would led growth.” Credit Suisse Group AG said earlier this year month that Chief Executive the winning exchanges. have created a European heavyweight in that it’s done shrinking the trading business and will look Officer Xavier Rolet would The LSE, in a statement dated Novem- the intensifying contest between global to grow in high-return areas. leave at the end of 2018, ber 3, said it followed proper procedures to exchanges, collapsed in March amid fall- Competition for talent may put more pressure on all WChairman Donald Brydon celebrated his name a new CEO. “Xavier Rolet will be pro- out from Brexit and regulatory banks as they set year-end bonus pools over the next two “remarkable achievements” and thanked viding input into the process to identify his resistance. months. Goldman Sachs Group Inc. and the investment- him for staying in the role until a successor successor and is focused on his role as CEO Deutsche Boerse is also looking for a bank divisions of JPMorgan and Morgan Stanley set aside is found. until his successor is appointed,” the board new CEO after Carsten Kengeter resigned $22.3 billion in the first nine months of the year, almost What looked like an orderly transfer of said. last month. Prosecutors are probing 3 percent more than the year-earlier period. power is now threatening to throw the com- Ramesh Chhabra, a spokesman for the insider-trading allegations relating to his European institutions have an unexpected selling point: pany into turmoil, after hedge-fund manager LSE, declined to comment beyond the purchases of the German company’s shares Regulations there limit the size of bonuses paid to twice Christopher Hohn on Friday stunned inves- statement. in December 2015, before it was disclosed a person’s salary, meaning that some traders see the fixed tors by contending the LSE was forcing the The French-born Rolet, who took part that the exchange was seeking to take over part of their compensation skyrocket when leaving a US 57-year-old Rolet to leave. Hohn, whose TCI in the Lisbon-Dakar Rally in 2007, recog- the LSE. bank. Still, another rule that forces European firms to defer Fund Management Ltd. holds more than 5 nized that the LSE had to do more than be In his letter, Hohn urged the board to bonus payments over a number of years serves as a dis- percent in the exchange, said Brydon, 72, neutral ground where buyers and sellers extend Rolet’s contract to 2021 and praised advantage to recruiting bankers, Cryan said last month. should quit instead. could trade stocks. It also had to become the CEO for creating “enormous value Barclays CEO Jes Staley, himself a JPMorgan veteran, “It is clear to us that he has been forced a data hub and clearing house that could through transformative acquisitions and took the top job at the UK bank in December 2015 and by the board to leave against his wishes,” bring information and transparency to a excellent operational management.” He immediately implemented a hiring freeze, then cut thou- Hohn wrote in a letter to the LSE board that global marketplace that keeps getting faster threatened to call a shareholders’ meeting sands of jobs. When he shifted to expansion mode, he he also sent to other stockholders. “Your and never closes. to vote on the removal of Brydon as chair- hired JPMorgan’s head of equities trading Tim Throsby to decision will result in significant value To that end, he overhauled the LSE’s man, unless the company reverses its run Barclays’s trading and investment-banking units. destruction for shareholders.” technology, invested in tapping potential decision to let Rolet go “in This year, Throsby hired former Goldman Sachs part- The dust-up strikes after an eight-year breakthroughs like blockchain database the near future.” ner Guy Saidenberg as global head of sales and ex-Bank push by Rolet to revamp the centuries-old software, and executed a raft of deals to of America Corp. executive Filippo Zorzoli to run macro institution, which culminated in his -- ulti- square off against Asian and American distribution for Europe, the Middle East, Africa and Asia. mately unsuccessful -- plan to sell it to its rivals. Rolet built the world’s top index Credit traders have been in demand as investors seek German rival. While Brexit gave Rolet, a business, FTSE Russell, by acquiring assets US corporate bonds, which provide higher yields than former French Air Force officer, a critical from Citigroup Inc., Frank Russell Co., and sovereign notes. Gary Rapp, former head of investment- role in protecting the City of London, the other players. In the process, the execu- The dust-up strikes after an grade trading at Goldman Sachs, joined UBS Group AG in company’s dominant role in clearing became tive became the public face for the a similar role. Dylan Blair, a former corporate bond trader politically charged after the vote. exchange. eight-year push by Rolet at Morgan Stanley, was hired by BNP Paribas SA in Sep- “It feels like there’s something going on LSE’s shares fell 0.2 percent in London to revamp the centuries- tember as head of investment-grade credit trading. that neither you or I understand,” said Steve trading on Monday. The stock has gained old institution, which Deutsche Bank hired more than half a dozen credit Grob, director of group strategy at Fidessa 29 percent this year, and has surged more traders and among them is former Goldman Sachs part- Group Plc. “The bit that’s less clear is why than fivefold since the CEO took over in culminated in his -- ultimately ner Paul Huchro. Credit Suisse lured two Bank of America Xavier would have someone go out there 2009. unsuccessful -- plan to sell it equities veterans. and say, ‘Stay on.”’ “There will be many opportunities to its German rival. The stockholder unrest comes as bourses ahead to celebrate Xavier’s remarkable How China drew respect from Greens while boosting its pollution

Jessica Shankleman competitiveness, kills people -- opening doors for its rapidly- soft approach without direct according BP Plc. As the US and Bloomberg that’s a big driver for China,” said expanding clean energy businesses confrontation.” At WWF, Lou Europe retire their dirtiest power Rachel Kyte, a United Nations -- especially the solar panel Leonard said the nation has no plants, China by 2040 will install f politics make strange bedfel- special representative who leads making industry it dominates. The choice but to work on reducing its 26 percent of all the new coal- lows, few are more unlikely the Sustainable Energy for All nation’s central role on climate footprint on the environment. fired generation, according to Ithan the growing link between program. “How that translates into may both reduce friction between “They’re either going to be International Energy Agency data. China and the environmentalists their leadership beyond the way richer and poorer countries that seen as a constructive proactive “It’s easy for environmental seeking to rein in climate change. they’re already leading is held up deals in the past and force or they’re going to be seen activists to point to the amount of The nation that spews the most something that will be important weaken rules designed to bring as a big part of the problem,” said money that China is spending on pollution and is building dozens of to watch.” transparency to measuring Leonard, who is the group’s senior renewables or the fact that they’re coal-fired power plants is also Once a wrecker of global pollution. vice president on climate and engaged in Paris,” said Nicolas winning accolades from the likes warming deals, China under For now, environmental energy. “They’re the world’s Loris, research manager for of Greenpeace and WWF for its President Xi Jinping is moving to groups are praising Xi’s handling largest annual emitter now.” energy and environment at the efforts to fight global warming and shape the consensus on how to rein of both climate and Trump. Part of Praise for China on the Heritage Foundation, a steer an eventual path away from in greenhouse gases after President is out of necessity: the practices environment is remarkable given conservative think tank in fossil fuels. Donald Trump decided to scale they use in the west of confront and the scale of its emissions and that Washington. “I don’t know if the “Air quality kills back US involvement. China’s protest wouldn’t work with China. the government has said pollution outcome of China doing those ambitions on climate will be on Also, the green groups remain won’t peak until 2030. While things will result in any averted display this week, when Trump critical of China and have long photovoltaic makers including warming. They continue to rely on arrives in Beijing on November 8 suggested ways it can clean up its Trina Solar Ltd. and JA Solar and build conventional power Once a wrecker of global warming deals, to meet Xi, and on the other side of industry. Holding Co. are stepping up plants.” China under President Xi Jinping is moving the world where envoys from Still, the words green groups capacity to feed booming demand Loris is concerned China will to shape the consensus on how to rein almost 200 nations gather starting use indicate they want Xi as an ally at home and abroad, energy in water down standards on how in greenhouse gases after President Monday in Bonn for UN climate -- and a foil against Trump. Shuo China is dominated by fossil fuels. countries measure carbon dioxide talks. Li, a senior global policy adviser at China surpassed the US as the coming from industry, leaving Donald Trump decided to scale back US Xi is seeking to translate his Greenpeace East Asia, said China biggest emitter of carbon dioxide scientists less certainty over the involvement. prestige into gains for China’s has been effective in working in 2006 and is now responsible path of emissions and the outlook diplomatic and trade agenda, around Trump on climate using “a for 27 percent global pollution, for temperatures. 28 BUSINESS TUESDAY 7 NOVEMBER 2017

BACK TO BUSINESS sight Traders aren’t yet calling an end to naira problem

Bloomberg Group Inc. in Los Angeles, which oversees $200bn and igerian officials recently started buying naira are increasingly debt again after pulling out confident the during the 2014 oil crash. naira’s troubles “That could change if we got are over for a significant drop in crude Ngood. Some investors production or prices. It’s not disagree. clear how Nigerian officials Portfolio inflows have would react. That would be Visitors seen standing next to an aircraft at the The Jet Business booth during the European Business Aviation Convention & risen in the past three a key test to reassure inves- Exhibition (EBACE) at Cointrin airport in Geneva, Switzerland, in this file picture. months with crude prices tors they can get their money increasing above $60 a bar- out even in times of stress.” rel and money managers Yield-starved global taking heart from a new for- investors have piled billions Credit Suisse looks to lure super-rich eign-exchange trading of dollars back into the coun- window, in which the naira try in the second half of this London/Zurich Moving the financing from firm Karatzas Marine Advisors of the risks associated with a has converged with the year, attracted by the naira’s Reuters its corporate to private bank & Co. sector that has struggled with a black-market rate. devaluation after the Nafex means that, in those sectors, Credit Suisse declined to give near decade-long slump caused That prompted central window opened in April and he leap in assets at Credit Suisse will now be prima- details about its loan exposure by too many vessels ordered and bank Governor Godwin yields on one-year Treasury Credit Suisse’s private rily lending to affluent in shipping, aviation and prop- weaker demand. Emefiele and Patience Oniha, bills of above 21 percent for bank to a record high individuals - clients whose per- erty, but finance sources Lloyds (LLOY.L) became one the head of the nation’s Debt most of the year. this year has been sonal wealth it helps manage. estimated Credit Suisse’s expo- of the first lenders to pull out of Management Office, to tell Foreign holdings of Nige- aided by a key plank But there are risks with such sure in shipping alone was at shipping finance, while fellow investors in London on Octo- rian government debt may Tof the bank’s new strategy: lend- exposure. Shipping finance in least $12bn. Credit Suisse’s total British bank Royal Bank of Scot- ber 27 that the currency was have more than doubled ing money to the world’s particular can be a perilous net private banking loans totaled land (RBS.L) is in the process of set to strengthen. Finance from around 5 percent a year ultra-wealthy. proposition due to doubts over about 110 billion Swiss francs exiting. Others such as Germa- Minister Kemi Adeosun con- ago, according to Standard Switzerland’s second-big- the current profitability of many ($110 billion) at the end of the ny’s Commerzbank CGKG.DE curred, saying November 2 Chartered Plc. That’s helped gest bank is trying to lure more companies in the industry and third quarter. and Bank of Ireland (BIRG.I) are the government sees no sig- the naira to appreciate 2 per- rich customers by helping them whether lenders can make suf- The bank declined to com- winding down their remaining nificant exchange-rate risk cent since August to 360.25 fund their businesses and life- ficient returns on investments. ment on the shipping loans exposures. Finance sources esti- as it prepares to raise $5.5bn per dollar, trimming its loss styles, with shipping, aviation Credit Suisse - bucking a figure. mate the sector has a capital of Eurobonds. in 2017 to 12 percent. The and real estate loans a central trend of banks retreating from Asked about the financing shortfall of $30bn this year. But Nigeria’s system of yield on one-year T-bills has focus. shipping - believes it can reduce switch to the private bank and Finance experts say Credit capital controls, multiple dropped around 400 basis The company has moved its vulnerability by lending to the the associated risks, a Credit Suisse’s new tack of lending via exchange rates and the trad- points in two months to 18.2 lending in those areas from its high-net worth individuals who Suisse spokeswoman said such its private bank has helped it ing window known as Nafex percent, still among the high- corporate bank to its wealth control firms, often millionaire lending was part of its overall make significant in-roads with would struggle to survive a est in major emerging management unit, or private or billionaire tycoons, accord- wealth platform and that the Greek shipping magnates - drop in oil revenue or senti- markets tracked by bank, over the past two years; ing to finance experts. bank considers “franchise value among the richest in the industry ment turning against Bloomberg. the switch is one way in which The tactic nevertheless rep- when engaging holistically with - in the past year, capitalizing on emerging markets, which For now, Nigeria’s ben- Chief Executive Tidjane Thiam resents a calculated gamble, they wealth management clients”. RBS’s exit from Greece. may come as the US Federal efiting from a bullish oil aims to deliver on his overarch- said, because these people’s per- A source familiar with the Leading Greek shipping Reserve raises interest rates, market and rampant demand ing strategy of driving group sonal wealth are often linked to matter said Credit Suisse had not tycoon John Angelicoussis is according to investors for developing-nation assets. growth by expanding wealth the fortunes of the industry. seen any significant losses on among those that Credit Suisse including Ashmore Group Plc Crude prices have increased management. “From the bank’s point of shipping loans and that such has helped finance, Thomson and Standard Life Aberdeen 34 percent since June as It is also one reason why view, the deposits and private lending gave it a foot in the door Reuters LPC data shows. Plc. Opec members including Credit Suisse’s private bank is wealth product is the juice; the to bank for wealthy families, “Presently, Credit Suisse “At the moment, it’s easy Saudi Arabia push for output growing faster than that of its value to the bank has to be which run major shipping seems to be shedding off part of for them to manage the cur- cuts to continue in 2018. And Swiss rival UBS (UBSG.S), the strong enough in order to con- companies. the smaller (ship) owner portfo- rent system and muddle production in Nigeria, which world’s largest wealth manager, sider making risky loans,” said Many banks, facing capital lio and those who are not top tier through,” said Brett Rowley, is exempt from the curbs, has in terms of revenue and attract- Basil Karatzas of New York pressure from regulators, are names with top tier deposits,” a managing director at TCW risen 15 percent this year. ing new money. based shipping finance advisory retreating from shipping because said Karatzas.

A company not under sanction is Capital just like any other company, period. It was (investing in Navigation) a Wilbur Ross, US Commerce normal commercial relationship. Comment Secretary

NAME IN THE MARKET: CYBER ATTACK Apple said to be selling debt Lebanon bond price as tax reform moves ahead falls no cause

New York through,” said Noel Hebert, an analyst at for concern Bloomberg Bloomberg Intelligence. “If you end up with tax policy that’s supportive, maybe they’ll Beirut pple Inc. is selling bonds as the iPhone come back to take down some of the debt or Reuters maker looks to fund stock buybacks fund a huge dividend.” Aand dividends. The technology company has “always ebanese Finance Minis- The company is offering fixed-rate bonds been a very strong advocate for comprehen- ter Ali Hassan Khalil in as many as six parts, Apple said in a filing sive corporate tax reform,” Maestri told Lsaid a fall in the cash yesterday. The sale comes even as proposed Bloomberg in a telephone interview last price of Lebanon’s US dollar- tax law changes have the potential to bring week. Repatriation could allow Apple to denominated bonds on billions of dollars that were earned over- accelerate the pace of its capital return pro- Monday was no cause for seas back into corporate coffers in the US. gram, he said at a conference in February. concern. As of September 30, Apple was sitting In the meantime, Apple hasn’t waited on “The movement in the on $268.9bn in cash and marketable secu- Washington for clarity. It sold $5bn of debt market is natural after the rities, 94 percent of which were outside the two months ago to fund its capital return pro- resignation of the government US, Chief Financial Officer Luca Maestri said gram just before unveiling its 10-year and does not reflect the pres- on an earnings call. The House Republicans’ anniversary iPhone. That came on top of its ence of a problem,” he said. tax plan would charge companies a 12 per- first maple bond sale for C$2.5bn, ($1.96bn) Lebanese dollar bond cent tax on the overseas profit they’ve also for share buybacks and dividends. prices fell across the curve earned, compared with the 35 percent they The longest portion of the bonds Apple and credit default swaps would pay if they brought that money back is set to sell are 30-year securities that may jumped on Monday after home now. yield around 1.125 percentage points more Prime Minister Saad al-Har- Kristin Huguet, a spokeswoman for than Treasuries, according to a person with iri’s surprise resignation over Apple, didn’t immediately return messages knowledge of the matter, who asked not to the weekend threw the coun- seeking comment. be identified as the details are private. try into a fresh political crisis. “For people that are constantly in the Apple is more than three-fourths of the In August, Moody’s Investors market and are constantly funding share- way through a program that’s returning Service downgraded Leba- holder returns, you can’t put everything on $300bn of capital to shareholders by the end non’s long-term issuer ratings hold on the hope that tax policy comes of March 2019. to B3 from B2.