The Middle East

With an announcement that a 35% stake in its national carrier is up for sale, the Kuwaiti government has taken another step towards privatising Kuwait Airlines, a project that has been in the works since 2008. At the same time, efforts are under way to build a national railway, with the government recently signing a contract with a consortium of consultancy firms to undertake research on a proposed rail link between Kuwait International Airport (KIA) and the country’s ports.

Jordan’s recently unveiled five-year national tourism strategy foresees the private sector playing a growing role in the sector, with the eventual goal of doubling the industry’s contribution to GDP.

Abu Dhabi has surpassed 1m hotel guests for the first half of the year and seems likely to achieve its tourism aims for 2011, although increased competition could eat into margins in the longer term.

Saudi Arabia’s economy looks set for a period of sustained growth, with oil revenues remaining high, non-hydrocarbons exports on the rise and the effects of a massive investment programme by the state starting to kick in.

With a recent milestone achieved in aluminium production and major expansions planned in the steel sector, Oman is becoming an increasingly prominent player in the global metals industry.

International ratings agencies and analysts have given Qatar’s banking sector a clean bill of health, though the central bank is keeping an eye on non-performing loans (NPLs), as well as monitoring inflationary pressure.