The Middle East

While the insurance sector continues to expand and post solid profits, Qatar’s policy writers are looking to improve profit margins by tapping into potential for further growth, particularly in construction and infrastructure insurance.

The government is banking on a multi-billon dollar investment programme to create a new transport grid that will serve as the backbone to Muscat’s plans to diversify and expand the economy, bringing the country’s many urban and economic centres closer together.

New legislation paving the way for Saudi Arabia’s banks to provide mortgages to clients should see the loan portfolios − and earnings − of the majority of the Kingdom’s lenders expand substantially. However, market conditions and the sector’s own inherent caution could limit the number of mortgages granted, at least until the market becomes more developed and is tested.

The transport and logistics sector is about to get a major boost, with a new port and cargo handling facility set to ease congestion and encourage long-term industrial development.

The construction sector will be operating in a new environment starting next year when building regulations mandating the use of eco-friendly best practices are due to be implemented. However, the shift toward greater sustainability may prove challenging for some.

A major software developer’s plans to open a training centre in Dubai look set to strengthen the emirate’s bid to become a regional information technology (IT) centre, although growth in the sector could be hindered by the constraints start-ups face in finding financing.