lebanonnewsnetwork.com

 Posted by BI-ME

Embracing one of the world’s fastest growing economic and mobile technology areas, DeFi Mobile and DoubleU have forged a new partnership, positioning DoubleU as the premier marketing and service provider for DeFi Mobile’s offerings in the Middle East and North African (MENA) region. (more…)

 Posted by BI-ME

Collaboration, Management and Control Solutions (CMCS), a leading provider of Project, Portfolio and Risk Management Information System solutions and the exclusive authorised representative of Primavera Solutions in the Middle East (excluding Saudi Arabia and Egypt), recently established its presence in Lebanon through the launch of its sister company, PMAG. (more…)

THE IMF RECENTLY PUBLISHED A POLICY PAPER entitled : “Lebanon—Weathering the Perfect Storms” ( written by Axel Schimmelpfennig and Edward H. Gardner) to review Lebanon’s ability to manage financial pressures following severe shocks despite its large public debt overhang and significant external vulnerabilities. (more…)

 By Sana TahaLebanon’s financial markets seem to be overcoming the political and military one long week of turmoil. The Eurobond market absorbed well the May 2, 2008 new issue of $882M at 9% interest maturing 2014, BLOM Invest Bank’s brief stated.  It was swapped with close to 93% of the $250M issue maturing May 2008, close to 60% of the $250M issue maturing June 2008, and 47% of the $750M issue maturing August 2008. Otherwise, demand was stable and prices hardly changed, with the weighted offer yield increasing by 2 bps to 7.87%. As to the average offer spread, it declined by 10bps to 497bps, largely due to the rise in the benchmark yield of the 10-years US treasury to 3.92%. (more…)

By IMF Survey onlineMay 12, 2008

• Regional growth expected to remain above 6 percent level
• But inflation expected to climb
• Need to continue strengthening fiscal policy frameworks

Despite slowing world growth, the outlook for the Middle East and Central Asia remains favorable in 2008, with commodity prices, including oil, expected to remain high, according to the IMF’s latest regional forecast.The surge in investment and strong productivity gains from broad-based structural reforms are expected to sustain growth above the 6 percent level (more…)

DIFC, May 09, 2008 — In response to the heightened political tension affecting Lebanon, Moody’s Investors Service today said that Lebanon’s foreign and local currency government bond ratings remain at B3 with a stable outlook.
“B3 is typically the lowest rating possible for governments that are not in default, or at imminent risk of default, and denote very poor creditworthiness and a high probability of repayment difficulties,” explains Tristan Cooper, Vice President - Senior Analyst in Moody’s Sovereign Risk Unit. “Given that the government of Lebanon is not in default, Moody’s believes that the country’s low ratings already encapsulate the risk of severe political turmoil,” says Mr Cooper. (more…)

Moody’s Investors Service has downgraded the financial strength ratings (FSRs) of the three rated Lebanese Banks (Bank Audi, BLOM Bank and Byblos Bank) to ‘D-’ from ‘D’. The three banks’ FSRs were placed on review for a possible downgrade in July 2006 following the outbreak of the Israel-Hezbollah conflict. The outlook for the banks’ foreign currency deposit (B3) and debt (B2) ratings has also changed, to negative from stable, while the outlook on the new FSRs is now stable. This rating action was triggered by the recent political tensions in the country subsequent to the resignations of six cabinet ministers.

Activity on the Beirut Stock Exchange (BSE) witnessed a slight improvement in light of the continuing interest in Bank Audi by a major Egyptian Financial House, plans better prospects for resolving the political impasse. Consequently,The BLOM Stock Index (BSI) registered a modest rise of 2% from last week to end this week at 1,575.79, increasing 4.93% year to date. Nevertheless, both volume and value marginally decreased 21.15% and 23.86% respectively to 809,927 shares and $21.3M. (more…)

Posted by David Kenner - NOW Staff

A renewed gold rush has recently seized the international markets, pushing the price of the metal above $1,000 per ounce for the first time in history.  Prices have been driven by fear of a US recession, as investors have moved their money out of stocks and into commodities like precious metals and oil. (more…)

“Al-Mustathmer”, a Lebanese financial institution, launched twoinvestment funds : Commodities Fund 1 and 2. Commodities Fund I is specialized in the trading of oil & its derivatives in foreign markets,while Fund II specializes in trades in metal. These funds will providean annual return of 18% which is higher than the return given by theexisting international financial indexes. Both funds are capitalized at $ 20 M each that can be increased to reach $ 200 M.

The unemployment rate in Lebanon has been a controversial topic in the past couple of months where the minimum wage negotiations have resurfaced the subject. The rate of the unemployed in Lebanon has been widely quoted from a low of 7.9% according to the Central Administration of Statistics to 25% as recently cited by the Labor Unionists. (more…)