Thursday 28 March 2024
 
»
 
»
Story

Mumtalakat to 'tread cautiously on new projects'

Manama, March 11, 2009

Bahrain Mumtalakat Holding Company will tread cautiously on the new projects even though the present economic climate offered 'real good opportunities' in the real estate sector, said its chief executive.

Mumtalakat is the investment arm of the Bahrain which manages a portfolio of around $10 billion, focused primarily in the Kingdom.

In a wide-ranging interview with Oxford Business Group (OBG), the publishing, research and consultancy firm, Talal Al Zain said that the company's strategy for prudent expansion was to ensure that business cases were viable.

“Every crisis comes with opportunities for investors,” Al Zain said, citing the example of tapping into distressed assets. 'This is a route that Mumtalakat would certainly consider taking,' he added.

Al Zain also cited the urban design concept which Edamah, the Bahrain Real Estate Investment Company, is developing as an expansion opportunity for Mumtalakat.

Edamah is well established in developing and managing public real estate properties and land in Bahrain.

Al Zain pointed out that other areas of business also had the potential for growth despite facing a challenging economic climate. 'The hospitality and leisure sector offered a wealth of opportunities, thanks to the growing business tourism market,' he noted.

The insurance industry also looked strong, he said, on the back of years of good performance and the solid reputation of the central bank.

According to him, the light manufacturing sector will also enjoy a period of growth in the mid-to-long term.

On investment, Al Zain highlighted the positive impact that the financial crisis has had on the reputation of sovereign wealth funds.

He said that Western countries were becoming increasingly aware that SWF-managed companies had the same objectives as other private investors, which was to add value to both the fund as well as the subject of investment.

“Bahrain is particularly well-placed to be positively received in foreign markets thanks to the high transparency and open communication the government and Mumtalakat maintains with the outside world,” he stated.

OBG will publish 'The Report: Bahrain 2009,' the latest of its annual business guides, with the most comprehensive and accurate review of the Kingdom’s economy.

The Report is being published in tieup with its primary partner, the Bahrain Economic Development Board, with Securities and Investment Company (Sico) as capital markets partner, Ernst & Young as accountancy partner, and Qays H. Zu´bi Attorneys and Legal Consultants as legal affairs partner.-TradeArabia News Service




Tags: Projects | cautious | Bahrain Mumtalakat Holding Company |

More Finance & Capital Market Stories

calendarCalendar of Events

Ads