BSF revises down capital hike plan

RIYADH: Banque Saudi Fransi said on Sunday it has trimmed by more than half of initial plans to raise its capital by nearly 60 percent, citing a slowdown in the banking industry and inadequate conditions for right issues. The bank, in which France’s Credit Agricole is a main shareholder, now plans to raise its capital by 28.5 percent to SR7.23 billion, shelving a plan to raise capital to SR9 billion.

Omniyat to focus on its projects

DUBAI: Dubai-based developer Omniyat Properties will focus on completing its launched projects in 2009 before considering expanding outside the emirate, as a result of the global financial crisis. “It’s part of our long-term strategy to go international but with what’s happening in the world, this is not the year to do it,” the company’s Chief Executive Peter Walichnowski told reporters yesterday.

Emaar in talks with contractors

DUBAI: Emaar Properties, the Arab world’s largest listed developer, said it is in talks with its contractors and consultants to cut contract costs after falls in prices of raw materials. “Emaar Properties is in discussions with our contractors and consultants regarding the procurement strategy to achieve potential cost savings from the decline in the price of raw materials globally,” an Emaar Properties spokesman told Reuters in an e-mailed statement.

Global, Dar cut

pay to curb costs

KUWAIT: Two of Kuwait’s biggest investment firms, Global Investment House and Investment Dar, are laying off staff or cutting wages to lower costs due to the global slowdown, company officials said on Sunday. Global laid off around 40 employees on Wednesday, and reduced salaries by up to 20 percent, a company official told Reuters on Sunday. Islamic firm Investment Dar, which owns half of British luxury carmaker Aston Martin, has cut salaries by 5 to 20 percent, according to an internal memo obtained by Reuters.

Bahrain inflation rises to 5.1%

MANAMA: Annual inflation in Bahrain rose to 5.1 percent in December from 4.3 percent in November, official data showed. Bahrain’s consumer price index rose to 109.4 points on Dec. 31 compared with 104.1 points a year earlier, according to data posted on the Central Informatics Organization’s website.

Ratings of Dubai firms to be cut

DUBAI: A leading credit agency says it may cut its ratings for some of Dubai’s most prominent state-backed companies, putting pressure on the Middle East boomtown as it grapples with the financial slump. Moody’s Investors Service said yesterday it is reviewing the ratings of Dubai Holding Commercial Operations Group, DP World, DIFC Investments, Dubai Electricity & Water Authority, Jebel Ali Free Zone and Emaar Properties.

— Compiled from agencies