1. Page 1 of 7
QE Intra-Day Movement
Qatar Commentary
The QE index rose 0.8% to close at 12,990.4. Gains were led by the Industrials
and Transportation indices, gaining 1.4% and 0.8%, respectively. Top gainers
were Gulf International Services and Qatar Electricity & Water Co., rising 4.8%
and 2.3%, respectively. Among the top losers, Mazaya Qatar Real Estate Dev.
fell 2.1%, while Widam Food Co. declined 1.8%.
GCC Commentary
Saudi Arabia: The TASI index fell marginally to close at 9,808.0. Losses were
led by the Multi-Inv and Petro. Ind. indices, declining 2.0% and 0.9%,
respectively. Al Alamiya fell 4.6%, while SARCO was down 4.3%.
Dubai: The DFM index gained 0.7% to close at 4,610.7. The Insurance index
gained 3.1%, while the Transportation index rose 1.5%. Arab Insurance Group
surged 14.8%, while Dubai Islamic Insurance & Reinsurance Co. was up 6.8%.
Abu Dhabi: The ADX benchmark index rose 1.5% to close at 4,914.2. The
Energy index gained 5.9%, while the Inv. & Fin. Ser. index was up 2.2%. Union
Insurance Co. rose 9.1%, while Dana Gas gained 8.2%.
Kuwait: The KSE index fell 0.3% to close at 7,159.1. The Technology index
declined 1.6%, while the Consumer Services index was down 1.0%. Zima
Holding fell 13.5%, while Pearl of Kuwait Real Estate Co. was down 12.8%.
Oman: The MSM index rose marginally to close at 7,191.9. Gains were led by
the Industrial index rising 0.2%, while the other indices ended in red. Financial
Services gained 7.0%, while Al Anwar Holding was up 4.1%.
Bahrain: The BHB index declined 0.1% to close at 1,461.8. The Services
index fell 0.9%, while Industrial index declined 0.4%. Bahrain
Telecommunication Co. fell 1.6%, while Aluminium Bahrain was down 0.4%.
Qatar Exchange Top Gainers Close* 1D% Vol. ‘000 YTD%
Gulf International Services 109.00 4.8 494.9 123.4
Qatar Electricity & Water Co. 192.30 2.3 86.6 16.3
Qatar Gas Transport Co. 23.08 1.9 2,274.5 14.0
Islamic Holding Group 71.80 1.8 56.2 56.1
Barwa Real Estate Co. 41.50 1.8 739.7 39.3
Qatar Exchange Top Vol. Trades Close* 1D% Vol. ‘000 YTD%
Qatar Gas Transport Co. 23.08 1.9 2,274.5 14.0
Masraf Al Rayan 54.50 (0.2) 2,005.3 74.1
Vodafone Qatar 19.30 1.0 1,397.3 80.2
Mazaya Qatar Real Estate Dev. 18.60 (2.1) 1,094.3 66.4
Barwa Real Estate Co. 41.50 1.8 739.7 39.3
Market Indicators 14 Jul 14 13 Jul 14 %Chg.
Value Traded (QR mn) 536.1 554.8 (3.4)
Exch. Market Cap. (QR mn) 703,756.1 700,230.8 0.5
Volume (mn) 12.1 14.2 (15.1)
Number of Transactions 6,354 7,237 (12.2)
Companies Traded 40 42 (4.8)
Market Breadth 21:15 15:22 –
Market Indices Close 1D% WTD% YTD% TTM P/E
Total Return 19,375.06 0.8 0.5 30.6 N/A
All Share Index 3,281.19 0.7 0.5 26.8 15.7
Banks 3,149.53 0.6 0.2 28.9 15.6
Industrials 4,364.24 1.4 1.0 24.7 17.0
Transportation 2,267.07 0.8 1.4 22.0 14.6
Real Estate 2,721.19 0.6 (0.5) 39.3 13.6
Insurance 3,650.36 0.5 2.6 56.3 9.5
Telecoms 1,629.88 (0.2) (1.3) 12.1 22.5
Consumer 6,897.78 0.3 0.6 16.0 27.1
Al Rayan Islamic Index 4,316.60 0.3 (0.2) 42.2 18.7
GCC Top Gainers##
Exchange Close#
1D% Vol. ‘000 YTD%
Saudi Dairy & Food. Saudi Arabia 114.25 9.9 144.4 32.5
Dana Gas Abu Dhabi 0.79 8.2 121,750.5 (13.2)
Gulf Int. Services Qatar 109.00 4.8 494.9 123.4
Nat. Bank of Abu Dhabi Abu Dhabi 15.10 4.1 1,183.3 19.5
Qassim Cement Saudi Arabia 102.08 3.2 393.4 14.1
GCC Top Losers##
Exchange Close#
1D% Vol. ‘000 YTD%
IFA Hotels & Resorts Kuwait 0.18 (5.3) 2.2 (37.5)
Sharjah Islamic Bank Abu Dhabi 1.80 (5.3) 520.0 16.9
Abu Dhabi Nat. Hotels Abu Dhabi 3.02 (4.1) 13.0 (2.6)
Yanbu Nat. Petrochem. Saudi Arabia 68.76 (3.5) 1,806.9 (6.8)
Investbank Abu Dhabi 2.81 (3.1) 50.0 14.9
Source: Bloomberg (
#
in Local Currency) (
##
GCC Top gainers/losers derived from the Bloomberg GCC
200 Index comprising of the top 200 regional equities based on market capitalization and liquidity)
Qatar Exchange Top Losers Close* 1D% Vol. ‘000 YTD%
Mazaya Qatar Real Estate Dev. 18.60 (2.1) 1,094.3 66.4
Widam Food Co. 55.00 (1.8) 17.3 6.4
Gulf Warehousing Co. 51.20 (1.5) 1.1 23.4
Al Khaleej Takaful Group 44.50 (1.1) 225.8 58.5
United Development Co. 25.15 (1.0) 186.4 16.8
Qatar Exchange Top Val. Trades Close* 1D% Val. ‘000 YTD%
Masraf Al Rayan 54.50 (0.2) 110,130.0 74.1
Gulf International Services 109.00 4.8 53,282.2 123.4
Qatar Gas Transport Co. 23.08 1.9 52,271.6 14.0
Barwa Real Estate Co. 41.50 1.8 30,547.0 39.3
Vodafone Qatar 19.30 1.0 27,044.7 80.2
Source: Bloomberg (* in QR)
Regional Indices Close 1D% WTD% MTD% YTD%
Exch. Val. Traded
($ mn)
Exchange Mkt.
Cap. ($ mn)
P/E** P/B**
Dividend
Yield
Qatar* 12,990.40 0.8 0.5 13.1 25.2 147.26 193,321.8 16.2 2.2 3.9
Dubai 4,610.67 0.7 0.8 16.9 36.8 246.78 89,476.0 24.8 1.8 2.3
Abu Dhabi 4,914.23 1.5 1.4 8.0 14.5 105.50 136,435.3 14.5 1.8 3.4
Saudi Arabia 9,808.04 (0.0) 0.0 3.1 14.9 1,758.64 533,982.9 19.4 2.4 2.9
Kuwait 7,159.11 (0.3) 1.2 2.7 (5.2) 74.98 112,172.3 17.0 1.1 3.9
Oman 7,191.85 0.0 0.0 2.6 5.2 17.60 26,505.0 12.5 1.7 3.9
Bahrain 1,461.83 (0.1) 1.4 2.4 17.1 2.44 54,032.1 11.5 1.0 4.7
Source: Bloomberg, Qatar Exchange, Tadawul, Muscat Securities Exchange, Dubai Financial Market and Zawya (** TTM; * Value traded ($ mn) do not include special trades, if any)
12,800
12,900
13,000
13,100
9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00

2. Page 2 of 7
Qatar Market Commentary
 The QE index rose 0.8% to close at 12,990.4. The Industrials
and Transportation indices led the gains. The index rose on the
back of buying support from non-Qatari shareholders despite
selling pressure from Qatari shareholders.
 Gulf International Services and Qatar Electricity & Water Co.
were the top gainers, rising 4.8% and 2.3% respectively. Among
the top losers, Mazaya Qatar Real Estate Dev. fell 2.1%, while
Widam Food Co. declined 1.8%.
 Volume of shares traded on Monday fell by 15.1% to 12.1mn
from 14.2mn on Sunday. Further, as compared to the 30-day
moving average of 16.9mn, volume for the day was 28.6% lower.
Qatar Gas Transport Co. and Masraf Al Rayan were the most
active stocks, contributing 18.9% and 16.6% to the total volume
respectively.
Source: Qatar Exchange (* as a % of traded value)
Ratings, Earnings and Global Economic Data
Ratings Updates
Company Agency Market Type* Old Rating New Rating Rating Change Outlook Outlook Change
Doha Insurance Co.
(DOHI)
S&P Qatar FSR/LT LIC BBB+/BBB+ A-/A-  Stable –
Source: News reports (* LT – Long Term, ST – Short Term, FSR- Financial Strength Rating, FCR – Foreign Credit Rating, LCR – Local Currency Rating, IDR – Issuer Default Rating, SR – Support Rating, LC –
Local Currency, LIC – Local Issuer Credit))
Earnings Releases
Company Market Currency
Revenue
(mn)2Q2014
% Change
YoY
Operating Profit
(mn) 2Q2014
% Change
YoY
Net Profit (mn)
2Q2014
% Change
YoY
Saudi Cement Co. (SCC) Saudi SR – – 296.0 -6.3% 288.0 -6.2%
Saudi Ceramic Co. Saudi SR – – 78.9 -12.3% 84.1 2.3%
Arriyadh Development Co.
(ADCO)
Saudi SR – – 47.0 -4.4% 47.0 -3.4%
Halwani Bros Co. Saudi SR – – 36.5 16.6% 23.1 5.5%
Saudi Hotels & Resort Areas
Co. (SHARCO)
Saudi SR – – 33.9 0.3% 47.0 29.0%
Herfy Food Services Co. Saudi SR – – 53.3 5.4% 52.4 2.3%
Omani Euro Foods
Industries (OEFI)**
Oman OMR 1.0 -3.1% – – -0.1 NA
Oman Refreshment Co.
(ORC)*
Oman OMR 35.1 4.1% – – 4.7 1.1%
Source: Company data, DFM, ADX, MSM (* 1H2014 results, ** FY2014 results)
Global Economic Data
Date Market Source Indicator Period Actual Consensus Previous
07/14 EU Eurostat Industrial Production SA MoM May -1.10% -1.20% 0.70%
07/14 EU Eurostat Industrial Production WDA YoY May 0.50% 0.50% 1.40%
07/14 Italy Banca D'Italia General Government Debt May 2166.3B – 2146.4B
07/14 Japan METI Industrial Production MoM May 0.70% – 0.70%
07/14 Japan METI Industrial Production YoY May 1.00% – 1.00%
07/14 Japan METI Capacity Utilization MoM May -0.70% – -2.20%
Source: Bloomberg (s.a. = seasonally adjusted; n.s.a. = non-seasonally adjusted; w.d.a. = working day adjusted)
Overall Activity Buy %* Sell %* Net (QR)
Qatari 60.79% 71.40% (56,935,207.60)
Non-Qatari 39.22% 28.60% 56,935,207.60

3. Page 3 of 7
News
Qatar
 QIBK reports net profit of QR389.6mn in 2Q2014, up 16.2%
QoQ – Qatar Islamic Bank (QIBK) reported a net profit of
QR389.6mn during 2Q2014 vs. QR338.9mn in the same period
a year ago, reflecting an increase of 16.2% QoQ (+15.0% YoY).
2Q2014 net income beat BBG consensus estimate of
QR351.6mn (Reuters QR348.8mn). Total assets of the bank
stood at QR89.1bn, up 15% YTD. Financing activities have
significantly increased to reach QR54.5bn having grown by 16%
YTD. Customer deposits of the bank have moved up to
QR61.3bn, registering a strong growth of 22% YTD. Total
income for the 1H2014 amounted to QR1.8bn, up by 18% as
compared to 1H2013. Income from financing activities was the
primary growth driver at QR1.2bn for the 1H2014, representing
an increase of 23% as compared to 1H2013. Net commission
and fees income also registered a strong growth of 42% YoY to
reach QR191mn for the period ended June 2014. QIBK was
able to manage the ratio of non-performing financing assets to
gross financing assets at 0.9% as compared to 1.5% in June
2013. QIBK’s coverage ratio reached 97.2% as of June 2014
compared to 85.5% in June 2013. (Peninsula Qatar)
 QEWS reports in-line 2Q2014 results – Reported net income
for the June quarter came in at QR417mn (+39% QoQ, -4%
YoY), just 2.1% above our estimate of QR408mn. Reuters
consensus was at QR423mn but with wide divergences in the
other estimates (QR389mn and QR471mn). Reported revenue
was slightly lower than our estimate at QR779mn as water sales
were softer than our model. We maintain our Accumulate rating
and price target of QR214.90. Our price target promises upside
of around 12%. (QE, QNBFS)
 MARK will be suspended from trading today – Based on the
instructions from Qatar Financial Markets Authority (QFMA),
Masraf Al Rayan (MARK) will be suspended from today (15 July,
2014) until the information related to the sale of its equity stake
in Seef Lusail Real Estate Development Company has been
completed. (QE)
 QFCA amends tax rules, offers new incentive, tax relief –
The Qatar Financial Centre Authority (QFCA) has introduced
innovative amendments to its existing tax regulations and tax
rules. The QFCA announced that the amendments offers a
unique incentive in respect of using tax loss and new areas of
tax relief, particularly providing an opportunity for Qatari-owned
entities to opt for a zero tax rate to apply to their operations in
the QFC. The amendments will help Qatari-owned entities
investing in Qatar to opt for the zero tax rate on their operations
conducted from the QFC. It will also help them to invest
overseas by introducing advantageous changes to the taxation
of structures – for example, Holding Companies and Special
Purpose Companies established in the QFC. Such structures
previously could only be set up abroad but these latest changes
to the QFC Tax Regulations and Rules encourage their
formation. The tax regulations, which originally came into force
in 2010, provide for the imposition, administration and collection
of tax in accordance with Article 17 of the QFC Law in relation to
QFC Entities. (Peninsula Qatar)
 Real estate deals stood at QR3.9bn between June 1-26 –
Real estate transactions across the seven municipalities in
Qatar stood at QR3.9bn between June 1 and June 26.
According to Century 21, these were spread across 627 real
estate transactions, registering QR6.3mn average value per
single deal. The average weekly transaction value stood at
QR0.9bn as against the average 156 transactions. The total
number of transaction deals reached 627 in June with vacant
plots registering the highest number of transactions reaching
446 deals, followed by villas which registered 159 transactions.
The vacant plots maintained the highest value of transaction as
compared to the other real estate asset groups, recording
QR2.4bn, which was an equivalent of 61% in the month of June.
(Gulf-Times.com)
 Increasing rent adds to rising prices – According to the
Ministry of Development Planning & Statistics (MDPS) figures,
house rents rose 7.4% YoY last June, taking the rate of inflation
in the country to 2.8%. The MDPS said that rental charges of
residential buildings were particularly going up. Rent is clubbed
with fuel and energy in the Consumer Price Index (CPI) basket
and the three together have the highest weight (32.2%) in it.
After rent, the expenditure head that saw the maximum price
rise in a year (4.9%) until June comprised furniture, textiles and
home appliances. Transport and communications became 1.4%
more expensive, while entertainment and recreation rose 1.2%,
and those of garments and footwear, 1.1%. Healthcare, on the
other hand, did not witness a sharp price rise and became
costlier by a merely 0.6% YoY. As an expenditure head,
healthcare has the least weight (2%) in the CPI basket. Food
prices declined 0.6% in the period (from June 2013 to June
2014). Food, incidentally, is clubbed with beverages and
tobacco in the CPI basket and they together have a weight of
13.2% in the CPI basket. (Peninsula Qatar)
 BRES obtains NOC from QFMA for BCA transaction –
Following the announcement by Barwa Real Estate Company
(BRES) regarding the execution of share sale and purchase
agreement between BRES and Labregah Real Estate Company
in relation to the sale of 95% of the share capital of Barwa
Commercial Avenue Company (BCA), BRES has fulfilled the
necessary requirements and obtained a NOC from the Qatar
Financial Markets Authority (QFMA) in relation to the
transaction. (QE)
 SEC plans world-class education city in Lusail – The
Supreme Education Council (SEC) has announced that the
Lusail City will be home to a full range of schools with world-
class features. The SEC is working with the Lusail Real Estate
Development Company (LREDC) to implement the Lusail City
Education Infrastructure Excellence (EIE) program. The city will
include a full range of schools with world-class features that will
be disclosed in the coming stages. The SEC also revealed that
there were plans in co-operation with Qatar’s top real estate
developers to allocate land zones for establishing new schools
and kindergartens. Accordingly, a joint commission between the
SEC and LREDC was formed to support Qatar National Vision
2030 and the Education and Training Sector Strategy (ETSS) by
implementing the EIE program. The SEC also revealed that the
main developer “LREDC” will call for tenders on a number of
school-planned lots in further stages. The first stage recorded
tender operations on seven private schools including two
kindergartens, and five independent schools including two
kindergartens. The sites will be delivered by the end of 2014 for
development pending their official launch and operation by
2018. (Gulf-Times.com)
 Reuters: Qatar overseas M&As at 46% of Mideast deals –
According a report by Thomson Reuters, Qatar’s overseas
acquisitions accounted for 46% of Middle Eastern mergers and
acquisitions (M&A) activities in 1H2014. The largest deal during
1H2014 was Labregah Real Estate Company’s purchase of a
$2.5bn stake in Barwa Commercial Avenue Company. Boosted
by this deal, real estate was the most targeted sector,
accounting for 29% of 1H2014 activities. Bank of America Merrill
Lynch topped 1H2014 and announced the Middle Eastern

4. Page 4 of 7
involvement of M&A league table of $4bn. The value of
announced M&A transactions with any Middle Eastern
involvement reached $14bn during 2Q2014, two-and-a-half
times the value registered during the previous quarter and the
highest quarterly total since 1Q2011. Thomson Reuters’
Managing Director, for Middle East and North Africa, Nadim
Najjar said that Middle Eastern equity and equity-related
issuance during 1H2014 totaled $2.9bn, reflecting a 6%
increase in activities from 1H2013 ($2.8bn). Middle Eastern debt
issuance reached $18bn during 2Q2014, the all-time highest
quarterly total recorded in the region. On investment banking
fees, Najjar pointed out that despite the quarterly uptick, fees
earned during 1H2014 registered a 19% decline from the same
period in 2013 to $375.9mn. Fees from completed M&A
transactions totaled $110.9mn during 1H2014, up 3% from
1H2013, and accounted for 29% of this year’s overall Middle
Eastern fee pool. (Peninsula Qatar)
International
 Citi profit falls, hurt by $7bn legal settlement – Citigroup Inc.
said that its quarterly earnings fell 96%, hurt largely by a $7bn
mortgage settlement, but also by declining income in most of its
main businesses including stock trading and retail banking.
There were bright spots in the results, including better-than-
expected stock and bond trading results, which helped the bank
post adjusted earnings that beat the average analyst estimate.
Citigroup shares rose 3.7% to $48.74. While the trading results
topped expectations, revenue from stock and bond trading
declined. The profit for Citigroup's main businesses, known as
Citicorp, fell 23% in the second quarter, as revenue slid 8% and
expenses rose 4%. The results underscored how much work
CEO Michael Corbat still has to do to fix the third-largest US
bank, which has been struggling to contain its costs for more
than a decade. Net income to common shareholders totaled
$80mn, or 3 cents a share as compared to $4.09bn, or $1.34 a
share, in the same quarter last year. Excluding the bank's $7
billion settlement with the U.S. government as well as
accounting adjustments to trading results that reflected the
changing market value of the bank's debt, Citi posted earnings
of $1.24 per share. That compared with the average analyst
estimate of $1.05 a share, according to Thomson Reuters. The
bank's settlement with the US government over shoddy
mortgages resulted in a $3.8 billion charge, before taxes.
(Reuters)
 Eurozone industry stumbles in May, recovery still frail –
Eurozone industrial production dropped sharply in May with only
the energy sector thriving, another sign that the bloc's economic
recovery remains fragile. Data from the European Union's
statistics office Eurostat showed the output in the 18 countries
sharing the Euro dropped 1.1% in the month in May, following a
0.7% rise in April. That was still less than the 1.2% monthly fall
forecast in a Reuters poll. Compared with the same period in
2013, the factory gate output grew by 0.5%, in line with market
expectations, after a 1.4% rise in April. The MoM decline was
led by a 2.4% fall in production of intermediate goods such as
parts used for cars. There was a 2.2% drop in the production of
non-durable items such as food or cosmetics. The energy sector
was the only one to grow, showing a 3% increase after
recording a 1.2% growth in April. (Reuters)
 IMF warns further shocks would stall Eurozone recovery –
The International Monetary Fund (IMF) warned any new shocks
could halt the Eurozone's economic recovery, spoil improving
market sentiment and eventually tip the region into deflation.
The Eurozone economy has been growing for a year, but its
expansion remains too weak to compensate for the preceding
two-year recession across the 18 countries that share the Euro.
Nor can it yet make inroads into record-high unemployment. The
Fund wrote in a regular report that, with limited policy space in
the near term, further negative shocks - either domestic or
external - could sour the financial market sentiment, halt
recovery, and push the economy into lower inflation and even
deflation. The last week’s news of irregularities at a web of
family-held holding companies behind Portugal's largest listed
bank, Banco Espirito Santo, pushed up borrowing costs for
some Eurozone countries and revived memories of the region's
debt crisis. The IMF said the Eurozone's recovery remained too
weak after the efforts of member governments to reform, the
European Central Bank's action to spur growth, and a clean-up
of the financial sector. A report showed Euro zone industrial
production dropped in May, underscoring the fragile recovery.
The IMF urged the Eurozone to support economic demand,
complete a reform of the banking sector known as banking
union and advance structural reforms. (Reuters)
 BRC: UK retail sales growth slows sharply in June – British
retail sales growth slowed in June to one of its weakest rates in
three years, possibly in response to fears of higher interest
rates, industry figures showed, adding to the recent lackluster
economic data. The British Retail Consortium (BRC) said total
retail spending in June was just 0.6% higher than a year before,
the lowest growth rate since May 2011 if annual volatility caused
by the timing of Easter is excluded. Consumer spending has
been a major driver of Britain's unexpectedly strong economic
recovery over the past year, but in May the Bank of England
said it expected the rate of growth to fall slightly in the second
half of 2014. The industrial output and the construction sector
were weak in May, while services activity growth slowed to a
four-month low in June. The BRC said the second-quarter sales
growth was robust overall, rising by 2.6%, the fastest growth
rate for a calendar quarter since the third quarter of last year.
But the figures were flattered by Easter falling in the second
quarter this year and the first quarter in 2013, and spending
growth slowed toward the end of the quarter, after chalking up
an annual growth of 2.0% in May. (Reuters)
 BOJ to stick to recovery scenario despite tax hike impact –
The Bank of Japan (BOJ) is set to maintain its stimulus program
and its projection that inflation will approach its 2% target next
year, unfazed by recent data casting doubts over its scenario of
an investment-led economic recovery. The central bank may
slightly cut its economic growth projection for the current fiscal
year to March 2015 as exports remain weak and household
spending tumbled more than expected after a sales tax hike in
April. But the BOJ's nine-member board is likely to roughly
maintain its optimistic inflation projections and stick to its view
the world's third-largest economy will continue a moderate
recovery as the pain from the tax hike subsides. With no major
changes in the broad economic outlook, the BOJ is set to
maintain its policy framework, under which it has pledged to
increase base money by 60-70tn Yen per year via aggressive
asset purchases, largely Japanese government bonds. The BOJ
has stood pat on policy since unleashing an intense burst of
stimulus in April last year, when it pledged to pull Japan out of
chronic deflation and accelerate consumer inflation to 2% in
roughly two years. (Reuters)
 China June fiscal spending jumps 26.1% YoY as Beijing
spurs flagging economy – China's fiscal expenditure surged
26.1% in June from a year earlier to 1.65tn Yuan, reflecting the
government efforts to speed up spending to shore up the
economy. Spending growth accelerated from a rise of 24.6% in
May. The finance ministry said, of the total 6.9tn Yuan of
government spending in the first six months, money disbursed
on public housing projects grew the most, surging 30.2% from a

5. Page 5 of 7
year ago to 201.9bn Yuan. Expenditure on medical and
healthcare sectors rose 18.4% in the first half to 490.5bn Yuan,
while spending on rural-urban community projects grew 23.6%
to 618bn Yuan. The finance ministry had earlier urged local
governments to quicken the pace of budget allocation to
guarantee the completion of key projects and lift the slowing
economy. Recent data and activity surveys have pointed to
some signs of stabilization in the economy as a raft of
government stimulus measures kick in, but many economists
believe more policy support still may be needed if Beijing wants
to deliver on its 2014 economic growth target of around 7.5%.
(Reuters)
Regional
 UNCTAD: Mideast FDI increases 65% in 2013; Brazil eyes
growth opportunities – According to United Nations
Conference on Trade and Development (UNCTAD) World
Investment Report 2014, Brazil is increasingly viewing the
Middle East as a source of investments. The Middle East’s
foreign direct investment (FDI) increased by 65% in 2013 as
compared to 2012, driven by increasing flows from the Gulf
Cooperation Council (GCC) states. The FDI flows are resources
put into the economy’s productive sectors. According to the
report, the UAE, Saudi Arabia, Bahrain, Qatar, Kuwait and
Oman have a high level of foreign exchange reserves,
especially in their oil & gas industries. Qatar and Kuwait topped
the GCC states in terms of investments abroad. The FDI flows
to the UAE went up by 9% to reach AED10.5bn, making it the
second highest FDI recipient in the region last year after Turkey.
(Bloomberg)
 Reuters: UAE most active ME debt capital market in 1H2014
– According to Thomson Reuters' quarterly investment banking
analysis for the Middle East (Mideast), the UAE was the most
active nation in the Mideast during 1H2014 in terms of debt
capital market activities, accounting for 55% of the activities,
followed by Saudi Arabia with 28%. Dragged down by a slow
1Q2014, bonds issued in the Mideast during 1H2014 fell 16%
from the same period last year, to $22bn. Investment grade
corporate debt totaled $16.4bn and accounted for 90% of the
first half total. International Islamic debt issuance declined 17%
YoY to reach $14.1bn, the lowest first half total since 2011.
HSBC took the top spot in the Mideast bond ranking during
1H2014 with 14% market share. Mideast investment banking
fees reached $237.9mn during 2Q2014, a 72% increase from
1Q2014. The value of announced M&A (merger and acquisition)
transactions with any Middle Eastern involvement reached
$14bn in 2Q2014, 2.5 times the value registered during the
previous quarter and the highest quarterly total since 1Q2011.
(Bloomberg)
 EY: May was good month for MENA hospitality industry –
Ernst & Young (EY) said that the MENA region’s hospitality
industry remained largely stable in May 2014, despite small
declines in a few markets, adding however that the industry is
expected to see a slowdown in the summer months, as it does
every year. In May 2014, Dubai’s hospitality market witnessed a
slight drop, with overall average occupancy decreasing by
approximately 3.2% percentage points (pp) over last year. This
was coupled with a slight drop in ADR of 1.2% and decrease in
revenue per available room (RevPAR) by 2.5%. This is mainly
due to the additional supply of over 3,400 new branded hotel
rooms, all within 4 and 5 star hotel segments which have been
added to Dubai’s hotel supply over the past year. May 2014
performance slowed in comparison with April, which is in line
with the city’s typical summer season. Occupancy fell by
approximately 5.0% MoM, while average room rates decreased
from $327 in April 2014 to $244 in May 2014. (Bloomberg)
 SABB/HSBC EMI: Saudi non-oil private sector output
surges to 26-month high – According to the SABB/HSBC
Emerging Markets Index (EMI), the global emerging markets
registered stronger output growth in June 2014. The EMI posted
52.3, up from 50.6 in May, signaling the sharpest rate of
expansion since March 2013. The pick-up in output growth was
reflected in both manufacturing and services, most notably the
latter where activity growth hit a 15-month high. June 2014 data
signaled the continued expansion of the Saudi Arabian non-oil
private sector, with output growth quickening to a 26-month
high. New business from abroad also improved, albeit at a
slower pace than the total new orders. Data also indicated the
sharpest rise in input buying since the survey began in August
2009. (GulfBase.com)
 ACCBC acquires majority stake in Lebanon-based National
Beverage – Aujan Coca-Cola Beverages Company (ACCBC)
has acquired a majority stake in National Beverage Company, a
manufacturer and distributor of Coca-Cola and Pampa products
in Lebanon. ACCBC acquired the stake from Transmed, a
consumer products distributor, which will retain a holding in
NBC. ACCBC is a venture between Coca-Cola Company and
Saudi's Aujan Industries. (Reuters)
 Saudi CMA announces listing & trading of Al Hammadi –
Saudi Capital Market Authority (CMA) announced the listing and
trading of Al Hammadi Company for Development & Investment
on July 15, 2014 within the retail sector with the symbol 4007,
with a fluctuation limit of 10%. (Tadawul)
 Almarai awards contract to WABCO – US-based WABCO
Holdings’ wholly-owned subsidiary, Transics International has
signed a contract with Saudi-based Almarai Company. Transics
will equip Almarai’s entire long-haul vehicle fleet of more than
1,300 trucks with its fleet management system, thereby helping
the food company to further enhance its fleet’s safety and
operational efficiency. Starting in August, Transics will upgrade
Almarai’s trucks for efficient truck, driver, trailer and cargo
management and expects to furnish Almarai’s entire fleet of
long-haul trucks by 2Q2015. (Bloomberg)
 Kenya keen to boost trade ties with UAE – The trade
relationship between Kenya and UAE will be further boosted as
both countries seek to open new business avenues that will
propel economic growth. Stronger trade ties will help the UAE
and the regional business community to tap into Kenya, which is
seen as East Africa’s regional trade and finance hub. With
bilateral trade between Kenya and the UAE reaching close to
$1bn in 2012, there is enough potential to boost trade between
the two sides. (GulfBase.com)
 Abraaj Group mulls bid for Egypt’s Amoun Pharma –
According to sources, Abraaj Group is considering a bid for
Egypt-based drugmaker Amoun Pharmaceutical Company.
Abraaj has held initial talks with Amoun ahead of a potential bid,
which may value the business at $700mn to $800mn. Amoun’s
shareholders had hired Jefferies Group to explore a potential
sale. The company’s owners include emerging market-focused
private equity arms of Capital Group, New York-based Concord
International Investments, and the Rohatyn Group. (Bloomberg)
 Dubai Trade signs agreement with RSA Insurance – Dubai
Trade and RSA Insurance have signed an agreement to join
Tradeshield, the online cargo insurance platform. Under the
terms of the agreement, RSA has been integrated with Dubai
Trade’s insurance platform to provide its e-Cargo insurance
services to the trade and logistics community & contribute
toward making it simpler & convenient for Tradeshield
customers to choose leading insurance providers for online
cargo insurance. (GulfBase.com)

6. Page 6 of 7
 DSI EGM approves capital increase – Drake & Scull
International’s (DSI) EGM has approved the capital increase by
issuing AED10mn convertible bonds at an issue price of AED1
for the employees share option plan noting that the company will
not collect the amount of the shares and the shares will be
considered as compensation and bonuses for the employees.
Additionally, the company also approved the capital increase by
issuing AED55mn convertible bonds in order to enter strategic
partner where the conversion price is the market price for the
shares at the date of conversion and the conversion price
should not be in any way less than the nominal value of the
share, and to authorize the company's board of directors to
negotiate the terms and conditions of the convertible bonds to
approve and execute the same. (DFM)
 Emirates Airline signs $13bn service agreement with GE –
Emirates Airline has signed a 12-year agreement with US-based
General Electric (GE) for the maintenance, repair and overhaul
of its new GE9X engines. The $13bn engine order will power the
150 Boeing 777X jets that Emirates is buying from Boeing
Company for $56bn. The order is GE Aviation's largest
commercial jet engine contract from an airline. (Reuters)
 Etihad to launch daily service between Delhi and San
Francisco – Etihad Airways will expand its reach in India as it
launches a daily flight from New Delhi to San Francisco from
November 18, 2014. Etihad is bullish about the new Abu Dhabi-
San Francisco route due to a 250,000 strong Indian community
living in the San Francisco Bay area. (Bloomberg)
 FGB becomes first UAE bank to be set up in South Korea –
First Gulf Bank (FGB) has set up a new representative office in
Seoul, South Korea. The Seoul office will work toward
supporting the existing FGB clients’ operations which also have
a presence in Korea, in addition to providing services to Korean
investors and companies that are active in the UAE, GCC and
across Asia. Following the expansion, FGB becomes first UAE
bank to be set up in South Korea. (Bloomberg)
 SDC signs agreement with OPWP for expansion of IWP –
Sharqiyah Desalination Company (SDC) has entered into an
amended & restated water purchase agreement and an interim
agreement with Oman Power & Water Procurement Company
(OPWP) for the expansion of its existing water desalination
capacity of 10.6mn imperial gallons per day (MIGD) seawater
reverse osmosis plant. The expansion project is an independent
water project (IWP) to be developed on a BOO (Build, Own,
Operate) basis and will be located at Sur, approximately 160
kilometers south west of Muscat, and will be constructed
adjacent to SDC’s existing plant & will benefit from its synergies.
SDC will obtain the approval of the shareholders and project
financiers to take the water expansion project forward. (MSM)
 Al Anwar wins legal battle against Addax Bank – Al Anwar
Holding announced that the GCC Arbitration Center has
delivered their judgment in favor of Al Anwar International
Investments (AAII), a wholly-owned subsidiary of Al Anwar,
about the ongoing legal case with Addax Bank regarding the
investment made in the bank. According to the judgment, the
share sale transaction with Addax Bank entered in June 14,
2009 has been annulled. Addax Bank has been directed to
refund the full investment of $4.67mn and AAII has been
directed to return 3,111,111 shares in Addax Bank. (MSM)
 NBO, SEZAD sign MoU – National Bank of Oman (NBO) has
signed a MoU with Special Economic Zone Authority at Duqm
(SEZAD) to provide financial support to potential investors at
SEZAD. As per the terms of the MoU, SEZAD will present the
schemes and offers provided by NBO to potential investors at
SEZAD. The agreement is part of SEZAD’s efforts to attract
more investors to the region. SEZAD is expected to sign similar
MoUs with other local banks to provide much-needed financial
support to investors and SMEs in particular, that are setting up
their businesses at SEZAD. The MoU provides the framework
for cooperation between SEZAD and NBO to facilitate project
financing and implementation in Duqm. (Bloomberg)
 SDO signs pact to support ESO initiatives – Shell
Development Oman (SDO) has signed two sponsorship
agreements with the Environment Society of Oman (ESO). The
agreements will enable ESO to hold a regional environment
competition for Omani students as well as conduct a research
study about the Egyptian vulture in Oman. As part of the first
agreement, SDO will sponsor an environment-focused
competition for Oman’s youth. The regional event will target
students across a range of colleges and will encourage
participants to openly discuss environmental issues. As part of
the second agreement, SDO will sponsor a study about the
Egyptian vulture, a species known to be located in several
regions of Oman. (GulfBase.com)
 Bank Sohar’s 2Q2014 net profit jumps 35% to OMR16.2mn –
Bank Sohar reported a net profit of OMR16.2mn for 2Q2014 as
compared to OMR12mn for 2Q2013, reflecting an increase of
35%. The bank’s total assets stood at OMR1.9bn at the end of
June 2014 as against OMR1.7bn at the end of June 2013. Net
loans & advances grew 16.5% to reach OMR1.37bn, while
customer deposits increased by 8.1% to reach OMR1.35bn.
(MSM)
 Alba seeks to boost customer base in Asia – Aluminum
Bahrain Company’s (Alba) participation in Aluminum China 2014
will provide an ideal platform to promote the company globally
and expand its customer base across Asia. Aluminum China is
considered Asia's leading aluminum industry trade fair, and has
attracted over 450 international exhibitors and key decision-
makers from 30 countries, encompassing the entire spectrum of
the aluminum value chain and also witnessed more than 63,000
visitors on the opening day of the exhibition. (GulfBase.com)
 GFH clarifies shareholders about Dubailand agreement –
Gulf Finance House (GFH) has made clarifications to its
shareholders and the markets on its earlier notification regarding
the agreement with Dubailand. GFH said that the deal is to
acquire a plot of 1.2mn square feet valued at $30mn. The
development will take place over a five-year period, and work is
expected to start within a span of six months. (Bahrain
Bourse,DFM)
 Bahrain Bourse launches new trading platform, X-stream –
Bahrain Bourse (BHB) has launched its new trading platform (X-
stream), one of the most developed and widely used platforms
by stock exchanges worldwide, in presence of Minister of
Finance and Minister in Charge of Oil & Gas Affairs. The
technology of the new platform will enable investors to trade in
derivatives, options, future options, and other instruments. The
platform will also enable rapid execution and settlement of
transactions at the bourse and enhance transparency. It will also
enhance the BHB’s capabilities to open up a new trading market
for investors to trade in more investment instruments besides
the shares, bonds and Sukuk. (Bahrain Bourse)

7. Contacts
Saugata Sarkar Abdullah Amin, CFA Shahan Keushgerian
Head of Research Senior Research Analyst Senior Research Analyst
Tel: (+974) 4476 6534 Tel: (+974) 4476 6569 Tel: (+974) 4476 6509
saugata.sarkar@qnbfs.com.qa abdullah.amin@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa
Sahbi Kasraoui Ahmed Al-Khoudary QNB Financial Services SPC
Manager – HNWI Head of Sales Trading – Institutional Contact Center: (+974) 4476 6666
Tel: (+974) 4476 6544 Tel: (+974) 4476 6548 PO Box 24025
sahbi.alkasraoui@qnbfs.com.qa ahmed.alkhoudary@qnbfs.com.qa Doha, Qatar
DISCLAIMER: This publication has been prepared by QNB Financial Services SPC (“QNBFS”) a wholly-owned subsidiary of Qatar National Bank (“QNB”). QNBFS is regulated by the Qatar
Financial Markets Authority and the Qatar Exchange; QNB is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time only. It is not an
offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute legal, tax, accounting, or financial advice. We therefore strongly advise potential
investors to seek independent professional advice before making any investment decision. Although the information in this report has been obtained from sources that QNBFS believes to be
reliable, we have not independently verified such information and it may not be accurate or complete. While this publication has been prepared with the utmost degree of care by our analysts,
QNBFS does not make any representations or warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. QNBFS reserves the
right to amend the views and opinions expressed in this publication at any time. It may also express viewpoints or make investment decisions that differ significantly from, or even contradict, the
views and opinions included in this report.
COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS.
Page 7 of 7
Rebased Performance Daily Index Performance
Source: Bloomberg Source: Bloomberg
Source: Bloomberg (*Market Closed on 14 July 2014) Source: Bloomberg
80.0
90.0
100.0
110.0
120.0
130.0
140.0
150.0
160.0
170.0
180.0
190.0
200.0
210.0
Jul-10 Jul-11 Jul-12 Jul-13 Jul-14
QE Index S&P Pan Arab S&P GCC
(0.0%)
0.8%
(0.3%)
(0.1%)
0.0%
1.5%
0.7%
(0.6%)
0.0%
0.6%
1.2%
1.8%
SaudiArabia
Qatar
Kuwait
Bahrain
Oman
AbuDhabi
Dubai
Asset/Currency Performance Close ($) 1D% WTD% YTD% Global Indices Performance Close 1D% WTD% YTD%
Gold/Ounce 1,307.11 (2.4) (2.4) 8.4 DJ Industrial 17,055.42 0.7 0.7 2.9
Silver/Ounce 20.91 (2.5) (2.5) 7.4 S&P 500 1,977.10 0.5 0.5 7.0
Crude Oil (Brent)/Barrel (FM
Future)
106.98 0.3 0.3 (3.4) NASDAQ 100 4,440.42 0.6 0.6 6.3
Natural Gas (Henry
Hub)/MMBtu
4.10 0.5 0.5 (5.5) STOXX 600 339.79 0.9 0.9 3.5
LPG Propane (Arab Gulf)/Ton* 103.38 0.0 0.0 (18.3) DAX 9,783.01 1.2 1.2 2.4
LPG Butane (Arab Gulf)/Ton* 123.50 0.0 0.0 (9.0) FTSE 100 6,746.14 0.8 0.8 (0.0)
Euro 1.36 0.1 0.1 (0.9) CAC 40 4,350.04 0.8 0.8 1.3
Yen 101.54 0.2 0.2 (3.6) Nikkei 15,296.82 0.9 0.9 (6.1)
GBP 1.71 (0.2) (0.2) 3.2 MSCI EM 1,063.66 0.5 0.5 6.1
CHF 1.12 0.1 0.1 0.1 SHANGHAI SE Composite 2,066.65 1.0 1.0 (2.3)
AUD 0.94 0.0 0.0 5.3 HANG SENG 23,346.67 0.5 0.5 0.2
USD Index 80.19 0.0 0.0 0.2 BSE SENSEX 25,006.98 (0.1) (0.1) 18.1
RUB 34.33 0.3 0.3 4.4 Bovespa 55,743.98 1.7 1.7 8.2
BRL 0.45 0.4 0.4 6.8 RTS 1,361.89 (1.5) (1.5) (5.6)
186.7
153.4
139.0