Egypt has announced that it has reached an agreement with a consortium of global and regional banks for a $2 billion syndicated facility. The proceeds of the facility would primarily be utilised to finance country’s budgetary requirements.

 

Emirates NBD Capital Limited, the investment banking arm of Emirates NBD, and Standard Chartered served as global co-ordinators, initial mandated lead arrangers and bookrunners (IMLABs), acting both individually and collectively in these roles.

 

The Facility was closed with participation from a diversified mix of regional and international lenders, joining the facility as global co-ordinators and IMLABs. These include Emirates NBD Capital Limited (Emirates NBD Bank) and Emirates Islamic Bank; Standard Chartered Bank.

 

The mandated lead arrangers are Bank ABC; ABC Islamic Bank; Al Ahli Bank of Kuwait (DIFC Branch)

and Abu Dhabi Islamic Bank.

 

The Lead Arrangers include: Dubai Islamic Bank; Sharjah Islamic Bank; Mashreq Al Islami; National Bank of Kuwait (Bahrain Branch); Sumitomo Mitsui Banking Corporation (DIFC Branch).

 

Its arrangers are Gulf International Bank; Ajman Bank; Boubyan Bank;  Commercial Bank of Dubai anfd

The National Bank of Ras Al Khaimah.

 

Announcing the successful transaction, senior officials said the syndicated facility aligns with Egypt’s strategy to diversify sources of funding through access to international and regional syndicated loan market. 

 

The proceeds of the Facility would primarily be utilised to finance country’s budgetary requirements and support the country in safeguarding its strong economic path in the prevailing volatile global markets, while maintaining a decreasing debt trajectory as this facility follows the successful full settlement of $3 billion Syndicated Facility in November 2024.

 

Minister of Finance Ahmed Kouchouk said: "We are proud of the appetite and interest received from regional and international banks in the syndication. This $2 billion syndicated facility underscores Egypt’s resilience and the confidence of our economic reforms."

 

"Egypt continues to diversify its funding sources by leveraging regional financing opportunities, within a disciplined fiscal plan to maintain economic stability as well as fiscal and debt sustainability. Emirates NBD and Standard Chartered have demonstrated exceptional expertise in successfully closing this transaction," he stated.

 

The Facility was anchored by the IMLABs and was launched to a select group of Islamic and Conventional investors in general syndication. 

 

Concluding a super successful deal in a record time, the transaction received an overwhelming response from the market with more than 2.5 times oversubscription.

 

The Borrower chose to exercise the green-shoe option to upsize the Facility to USD 2 billion from the size at launch of $1.5 billion, post scale-back. 

 

The success of this transaction reiterates the strong regional and international investor confidence in the Egyptian economy, and its progressive credit story.

 

Hitesh Asarpota, the CEO of Emirates NBD Capital, said: "We are honored to have once again facilitated syndicated financing for Egypt and take pride in our expertise in offering financing solutions to support Egypt’s development priorities. The success of this issuance highlights Egypt’s strong position among emerging markets and the increasing confidence of cross-border investors in its economic outlook."

 

On the issuance, Standard Chartered Egypt CEO Mohammed Gad said: "Following the launch of our operations in Egypt, we are delighted to be part of this landmark transaction."

 

"As the largest and most diversified emerging market in the Mena region, Egypt holds significant strategic importance for Standard Chartered, and this successful issuance underpins our commitment to the country and aligns with our efforts to advancing the growth of the Egyptian economy while achieving the objectives outlined in Egypt’s Vision 2030. What a remarkable way to close 2024," he added.-TradeArabia News Service

RAK Properties, a leading developer in the northern emirate of Ras Al Khaimah, has reported a 40% year-on-year revenue growth in 2024 which soared to AED1.4 billion ($381 million), up from AED1 billion ($272 million) the previous year.

 

The announcement came during the company's Annual General Meeting today (March 13), where shareholders approved all agenda items, including the company's financial statements for the full year ended December 31, 2024.

 

The Emirati developer said its net profit grew by 39% to AED281 million in 2024 from AED202 million the previous year.

 

Total assets increased by 24% to AED8.01 billion as of December 31, 2024, compared to AED6.46 billion at the end of 2023, which was supported by a land contribution from the strategic shareholder, the Government of Ras Al Khaimah.

 

Total equity also saw significant growth, reaching AED5.53 billion, up from AED4.30 billion at the end of the previous year.

 

The shareholders reaffirmed RAK Properties' commitment to long-term value creation, with a strategic decision to reinvest profits into accelerating project development, enhancing asset value, and capitalising on Ras Al Khaimah's dynamic real estate landscape.

 

Rather than issuing dividends this year, the company is prioritising reinvestment into high-growth opportunities that will drive sustainable returns and strengthen its market position over the coming decade, said the developer.

 

This forward-looking approach, reinforced by the strategic support of the Government of Ras Al Khaimah, provides financial stability and the capacity to scale large-scale projects, including the flagship Mina masterplan, ensuring RAK Properties continues to deliver exceptional communities and long-term shareholder value.

 

On the solid results, Chairman Abdulaziz Abdullah Al Zaabi said: "RAK Properties has once again delivered an exceptional year of financial growth, reflecting not only the strength of our vision but also the continued confidence in Ras Al Khaimah as a rising hub for investment, tourism, and sustainable urban development."

 

"As Ras Al Khaimah continues to experience significant expansion across key sectors, RAK Properties remains committed to playing a pivotal role in shaping its future," he noted.

 

CEO Sameh Muhtadi said the group's disciplined approach has yielded exceptional financial results, reinforcing the strong market demand for its projects. 

 

"These record financial results allow us to reinvest in growth, accelerating new projects, enhancing asset value, and capitalising on opportunities across Ras Al Khaimah," he added.-TradeArabia News Service

Dhruva Consultants, a leading tax advisory firm in the Middle East, has launched a VAT Guide to simplify tax compliance for UAE’s construction sector. Designed as a key industry resource, it offers real-world insights that are in sync with Federal Tax Authority (FTA) guidelines.

 

As the UAE’s real estate sector continues to expand at an unprecedented pace, tax compliance has become a critical challenge for developers, contractors, property managers and home owners. 

 

To provide clarity and practical solutions, Dhruva Consultants, a leading tax advisory firm in the Middle East, has launched an exclusive VAT Guide tailored for the real estate sector. 

 

Designed as a first-of-its-kind industry resource, the guide simplifies complex VAT regulations, offering real-world insights that is in sync with the Federal Tax Authority (FTA) guidelines.

 

For master developers, it explores VAT implications for phased developments, infrastructure cost allocations, and strategies for maximizing input VAT recovery, said the company in a statement. 

 

Construction companies will find essential guidance on managing VAT for advance payments, handling contract amendments, and addressing the tax implications of project delays. 

 

Meanwhile, property managers and owners can gain clarity on tax treatments for leasing, service charge invoicing, and joint ownership arrangements, ensuring compliance while optimizing financial efficiency, it stated.

 

Nimish Goel, GCC Leader, Dhruva, said: "With Dubai’s real estate transactions surpassing AED761 billion in 2024 - a 36% increase from the previous year - and Abu Dhabi witnessing a 24.2% rise in real estate transactions in 2024 as compared to the previous year, the sector remains one of the most dynamic in the region."

 

"However, as projects grow in scale and complexity, so do the VAT implications, requiring developers, contractors, and property owners to adopt a more strategic approach to tax compliance," he stated.

 

Goel pointed out that VAT mismanagement can lead to unexpected tax liabilities, project financing delays and regulatory penalties. 

 

With multi-billion-dirham investments at stake, ensuring accurate VAT treatment is not just about compliance - it’s about protecting financial margins and operational efficiency. This is where Dhruva Consultants brings its expertise to the table.

 

Unlike standard tax guides, Dhruva Consultants’ VAT guide addresses the most pressing tax-related questions that real estate professionals face daily, he stated.

 

While the FTA has issued guidelines on VAT for real estate, Dhruva Consultants’ guide further complements it by incorporating industry-specific insights and practical case studies drawn from years of advisory experience with some of the UAE’s largest real estate players. 

 

This guide not only helps businesses remain compliant but also turns VAT management into a strategic advantage, it added.

 

"At Dhruva Consultants, we believe in making tax simple," remarked Goel. 

 

"The UAE’s real estate industry is evolving rapidly, and VAT compliance should not be a roadblock to growth," he stated. 

 

"This guide is a strategic tool designed to empower developers, contractors, property managers and owners with clear, actionable knowledge, helping them navigate the complexities of VAT while ensuring financial optimization," he added.-TradeArabia News Service