The Middle East

Turkey is currently enjoying lower borrowing costs and benefitting from a stable domestic financial sector, which showed itself to be far more resilient to the external shocks than in the past. Although Turkish bonds are seeing an increase in investment demand, risk aversion continues to be the main theme in the markets.

While the acquisition of iconic British department store Harrods in May by Qatar Holding – one of the government’s investment vehicles – made international headlines, the country’s domestic retail sector is also very much on the move. Though impressive in themselves, the spate of new developments are less likely to catch the attention of the global media than the $2.2bn Harrods deal, Qatari shoppers are set to benefit from a major increase in retail options, some of which will rival the Knightsbridge emporium for opulence and range.

Higher education in Abu Dhabi, which is seen as integral to the success of the emirate’s future economy, was given a boost recently when the Abu Dhabi Education Council (ADEC) unveiled plans to overhaul the sector.

After establishing itself as the world's leading supplier of liquid natural gas (LNG) products, Qatar is now targeting its resources towards its own domestic market.

By working to improve the emirate's distribution grid and secure new sources of gas to turn the turbines, Sharjah is hoping to avoid the power shortages that effected industrial growth last year.

Turkey's economy is well on the way to erasing memories of recession, posting solid growth from late 2009 onwards, though recent woes in neighbouring Greece and beyond will have many in Ankara casting a wary sidelong glance towards the West.