Gulf Business - May 2024

BUILT ON TRUST

MASTERCARD’S KHALID ELGIBALI EXPLAINS HOW THE COMPANY IS ACCELERATING FINANCIAL INCLUSION IN THE MIDDLE EAST

P.10 GOLD’S ROLLERCOASTER

As prices soar, investors are pondering about where to next

P.30 STATE OF VENTURE CAPITAL

A deep dive into the state of global VC and its impact on startups

SPECIAL FOCUS

HEALTH

Only available in selected Swatch Stores

09

The brief

An insight into the news and trends shaping the region with perceptive commentary and analysis

42

Special Focus: Health and Wellbeing

We look at regional trends and why the UAE is attracting the attention of global wellness brands

34 Trust and transformation

Khalid Elgibali, COO for EMEA at Mastercard, on how the brand is supporting an inclusive, digital economy across its markets while bolstering trust among its customers and stakeholders

55 Lifestyle

The right balance: New Balance’s Stuart Henwood on the brand’s regional growth p.60

Quite the ride: Influencer Supercar Blondie talks about SBX Cars and her journey p.62

A true thoroughbred: Why the Ferrari Purosangue lives up to its name p.65

“Al Maktoum International Airport will enjoy the world’s largest capacity, reaching up to 260 million passengers. It will be five times the size of the current Dubai International Airport. As we build an entire city around the airport in Dubai South, demand for housing for a million people will follow. Dubai will be the world's airport, its port, its urban hub, and its new global centre.”

Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai

Editor-in-chief Obaid Humaid Al Tayer

Managing partner and group editor Ian Fairservice

Chief commercial officer Anthony Milne anthony@motivate.ae

Publisher Manish Chopra manish.chopra@motivate.ae

Group editor Gareth van Zyl Gareth.Vanzyl@motivate.ae

Editor Neesha Salian neesha.salian@motivate.ae

Digital editor Marisha Singh marisha.singh@motivate.ae

Senior feature writer Kudakwashe Muzoriwa Kudakwashe.Muzoriwa@motivate.ae

Senior art director Freddie N. Colinares freddie@motivate.ae

Senior art director Olga Petroff olga.petroff@motivate.ae

69

The SME Story

Insights from experts on how the region’s dynamic SME ecosystem is evolving

General manager – production S Sunil Kumar

Production manager Binu Purandaran

Production supervisor Venita Pinto

Senior sales manager Sangeetha J S Sangeetha.js@motivate.ae

Group marketing manager Joelle AlBeaino joelle.albeaino@motivate.ae

Cover: Freddie N Colinares

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HEAD OFFICE: Media One Tower, Dubai Media City, PO Box 2331, Dubai, UAE, Tel: +971 4 427 3000, Fax: +971 4 428 2260, motivate@motivate.ae DUBAI MEDIA CITY: SD 2-94, 2nd Floor, Building 2, Dubai, UAE, Tel: +971 4 390 3550, Fax: +971 4 390 4845 ABU DHABI: PO Box 43072, UAE, Tel: +971 2 677 2005, Fax: +971 2 677 0124, motivate-adh@motivate.ae SAUDI ARABIA: Regus Offices No. 455 - 456, 4th Floor, Hamad Tower, King Fahad Road, Al Olaya, Riyadh, KSA, Tel: +966 11 834 3595 / +966 11 834 3596, motivate@motivate.ae LONDON: Acre House, 11/15 William Road, London NW1 3ER, UK, motivateuk@motivate.ae

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Two developments in the UAE in recent weeks have shown the character and sheer resilience of the country.

The first was its rapid response to the record rainfall that fell on April 16. More than 200mm of rain fell across large swathes of the country, the highest in a 24-hour period ever since records began 75 years ago in the Emirates.

Some roads turned into waterways and floods engulfed several parts of cities such as Dubai, Sharjah, and Abu Dhabi. But within days of this extreme weather event, traffic was flowing again, and business was largely back to normal.

The UAE’s ability to navigate and manage this situation effectively highlights why so many people, from across the globe, are looking to come here. Things get done here, and they get fixed even quicker.

MORE THAN 200MM OF RAIN FELL ACROSS THE UAE LAST MONTH — THE HIGHEST EVER IN A 24-HOUR PERIOD”

A second major development in the Emirates has been the announcement about a $35bn project to build a massive passenger terminal at Al Maktoum International Airport in Dubai. Upon completion of the project, Al Maktoum International will become the biggest airport in the world, with a capacity to service 260 million passengers every year.

To put this into perspective, Dubai International Airport (DXB) is currently already the busiest airport in the world for international passengers and last year 87 million travellers traversed through the hub, according to data from Airports Council International (ACI).

There’s no doubt that the UAE and GCC are among the most exciting places in the world right now when it comes to future growth opportunities.

van Zyl, Group editor

Gareth

GOLD: Riding high amidst uncertainty

The outlook for gold remains positive in the long term, buoyed by factors such as geopolitical tensions, robust central bank demand, and popularity of retail jewellery demand

Amidst economic uncertainties and geopolitical tensions, gold has emerged as a shining star, capturing investors’ attention with its remarkable ascent. Over the past two months, the yellow metal has surged by a staggering 20 per cent, breaching psychological barriers and setting new records.

FACTORS DRIVING THE SURGE

Several key factors have fuelled the recent surge in gold prices. Firstly, there was palpable anticipation

of interest rate cuts by the US Federal Reserve, with market expectations of two-three rate reductions. However, sticky inflation and recent unfavourable economic data have put the Fed on the defensive.

Geopolitical tensions, particularly in the Middle East, have also played a significant role in driving investors toward safehaven assets like gold.

Uncertainties surrounding key elections in 2024 have further heightened market jitters, prompting a flight to safety. Concerns about China’s economic slowdown earlier this year, have added to the riskaverse environment, providing additional support for gold prices. The devaluation of certain currencies relative to the US dollar is another factor making gold more attractive. For investors in these countries, gold serves as a hedge against inflation and a means to preserve the value of their savings. Countries such as Turkey and Egypt, which have experienced significant currency devaluation and hyperinflation, are witnessing a surge in gold investments.

CENTRAL BANK PURCHASES AND GLOBAL DEMAND

Central Bank purchases of gold have surged in recent times. In 2022 and 2023, consecutive annual purchases exceeded 1,000 tonnes each, far surpassing the 450 tonnes purchased in 2021. This trend has persisted into 2024, with countries like India and China leading the charge in bolstering their gold reserves.

According to the World Gold Council, central bank accumulation continued, with net purchases of 19 tons in February, marking the ninth consecutive month of adding to reserves. China spearheaded these acquisitions, followed by India, Turkey, and Kazakhstan. Central banks now absorb approximately 25–27 per cent of annual gold mine production, which not only supports gold prices but also stabilises them by mitigating downside volatility.

OPPORTUNITIES AND CHALLENGES

The outlook for gold remains positive in the long term, buoyed by factors such as geopolitical tensions, robust central bank demand, and strong retail jewellery demand. However, challenges persist, particularly in the form of short-term volatility and uncertainty surrounding Federal Reserve interestrate policy.

While gold prices may experience some shortterm pullback, driven by profit-taking and market corrections, the underlying fundamentals remain supportive of its long-term trajectory.

Potential factors that could at least temper the upward trajectory of gold prices, if not initiate a bearish reversal, include easing geopolitical tensions in the Middle East and Ukraine, along with a reduction in associated sanction risks. Moreover, the conclusion of gold buying programmes by major Central Banks in emerging markets, stabilisation of growth concerns in China, and a notable shi t towards hawkish policies by the Federal Reserve resulting in interest rate hikes might also contribute to this trend. Investors are increasingly drawn to gold exchangetraded funds (ETFs), with the GLD ETF notably boasting an impressive year-to-date performance of 14.87 per cent.

WHAT TO EXPECT IN THE COMING MONTHS

In the near future, investors should prepare for ongoing volatility in the gold market, influenced by shi ting geopolitical landscapes and economic indicators.

The possibility of Federal Reserve interest rate adjustments will remain a significant factor impacting gold prices, alongside developments in global trade, inflationary trends, and currency fluctuations. While temporary fluctuations are anticipated, prudent investors may identify opportunities to seize strategic entry points, employing methods such as dollar-cost averaging or staggered investments.

Despite looming uncertainties, gold’s historical role as a safe haven and preserver of wealth positions it favourably in today’s volatile economic climate.

COMMODITIES WATCH

SILVER

CENTRAL BANK PURCHASES OF GOLD HAVE SURGED IN RECENT TIMES. IN 2022 AND 2023, CONSECUTIVE ANNUAL PURCHASES EXCEEDED

Silver has embarked on a remarkable journey, with spot prices soaring by 18 per cent year-to-date, reaching $29.79 per ounce in mid-April. Furthermore, silver has recently surpassed its threeyear resistance level, signalling a sustained bullish trajectory and reaching its highest level in over three years. This surge correlates closely with a rally in gold prices amid geopolitical tensions. Additionally, heightened industrial consumption and persistent supply deficits have further buoyed the precious metal’s trajectory. Looking ahead, forecasts suggest that the global silver deficit will expand by 17 per cent in 2024, reaching 215.3 million troy ounces. In the latter half of 2024, silver prices are expected to receive steady support from the electric vehicle and solar sectors. These industries, crucial to the ongoing green energy transition, are anticipated to drive sustained demand for silver.

COPPER

The bullish trend for copper is expected to persist for at least the next three years, driven by global supply constraints and high demand for the metal in energy transition and artificial intelligence technologies. Producers are optimistic about the outlook as decarbonisation efforts and technological advancements fuel a new wave of copper demand, reminiscent of China’s growth-driven surge two decades ago. Furthermore, the London Metal Exchange (LME) recently announced a ban on trading key Russian metals produced on or a ter April 13, complying with the latest US and UK sanctions. The supply outlook for copper is further a ected by impending Chinese regulations, expected to reduce supply from smelters by 10 per cent. With copper prices already rallying over 14 per cent yearto-date, they may continue to climb given the current circumstances.

Vijay Valecha, chief investment o cer, Century Financial

Powering Saudi Arabia’s digital transformation

As Saudi Arabia moves towards a digital future, cloud-managed service providers emerge as key players in this strategic journey

In this era of technological advancement, cloud computing has emerged as a game-changer, enabling businesses to innovate, scale, and stay competitive. This trend is expected to continue, given Saudi Arabia’s commitment to nationwide digital transformation and economic diversification.

The overall cloud services market in Saudi Arabia was valued at $1.36bn in 2022 and is expected to reach $3.9bn in 2027, with an expected compound annual growth rate (CAGR) of 23.4 per cent over the 2022-2027 period, according to the International Data Corporation (IDC).

Driven by the positive economic outlook and promising demand for technology, many global cloud services providers including Oracle and Microsoft, as well as data centre operators have established availability zones in Saudi Arabia, further accelerating cloud adoption in the country.

While cloud adoption has soared in the kingdom, it is also creating new challenges. Numerous organisations that have transitioned to the cloud find themselves managing multiple environments characterised by diverse configurations.

Similarly, they might be actively transitioning legacy applications to the cloud or creating new applications specifically designed for cloud environments. Each of these situations introduces considerable complexity into the realm of cloud operations.

68 PER CENT OF ORGANISATIONS IN THE MIDDLE EAST PLAN TO MIGRATE MOST OF THEIR OPERATIONS TO THE CLOUD WITHIN THE NEXT TWO YEARS

ELEVATING IT WITH CLOUD-MANAGED SERVICES

Amazon’s Jeff Bezos has described certain IT functions as “undifferentiated heavy lifting”. Undifferentiated heavy lifting in practice signifies the essential yet non-value-added IT functions vital for maintaining a functional IT environment within an organisation. While crucial for stability, these tasks don’t contribute to setting the organisation apart competitively.

Many cloud service providers do not offer help with undifferentiated heavy-lifting tasks at the cloud operations layer, such as infrastructure monitoring, incident/problem/change management, backups and patching.

The cloud solution providers expect customers to manage the services which leads to valuable expert resources that could be deployed elsewhere with greater returns and value – this is where cloud-managed service providers come in. A cloudmanaged service provider is a trusted third-party company that handles the management of a client’s IT infrastructure and systems remotely.

A CATALYST FOR GROWTH

A cloud business study by PwC and Strategy& revealed that 68 per cent of organisations in the Middle East plan to migrate most of their operations to the cloud within the next two years. To fund these initiatives, approximately four out of five companies intend to increase their cloud budget over the coming year, which will ultimately lead to increased demand for cloud service providers in the region.

From an operations layer perspective, cloud service providers present the same value proposition that attracts any organisation to the cloud. By offloading IT operations and concentrating on tasks that set companies apart from industry competitors, cloud service providers can help you become more agile, react swiftly, and grow to meet the changing conditions and threats.

Cloud service providers may help organisations with end-to-end cloud solution design, development, and management so that they can use the newest platforms, infrastructure, artificial intelligence, and analytics tools whenever they need

“CLOUD-MANAGED SERVICES CAN BE A STRATEGIC CAPABILITY TO HELP YOU MODERNISE FASTER, ACCESS HARD-TO-HIRE TALENT AND ACHIEVE YOUR ORGANISATION’S CLOUD OUTCOMES AT THE SPEED

them. Organisations can also scale up or down systems as needed.

Furthermore, cloud service providers help organisations design and execute cloud strategy, deployment, and migration, keeping the business objectives at the centre of the entire process. Regardless of whether an organisation has a multi-, public, private, or hybrid cloud, these services can include system administration, backup and disaster recovery, security services, performance monitoring and more.

Recent research indicates that a significant majority of companies successfully meeting their cloud objectives rely heavily on cloud-managed services. Cloud-managed services can be a strategic capability to help you modernise faster, access hardto-hire talent and achieve your organisation’s cloud outcomes at the speed required by today’s businesses.

Organisations leveraging Cloud service providers only pay for what they need and when they need it. Organisations are not stuck with hardware, software and services they do not require, and they get the elasticity to scale up or down to meet threats or react to changing markets.

The evolution of cloud-managed services in Saudi Arabia signifies a strategic maturation. Businesses are no longer viewing cloud services in isolation; instead, they are integrating technologies seamlessly into their overarching business plans.

Leveraging cloud-managed services is a logical extension of the reasoning organisations use when they begin their cloud adoption journey. By having cloud-managed services do the heavy lifting of IT operations management, organisations can effectively use resources to engage in activities that truly differentiate them and help them scale, increasing the already transformative value of the cloud.

Vikram Sharma, associate director at PwC Middle East

FROM OPPORTUNITY TO VALUE

We explore how GenAI can transform government productivity in the Middle East

Across the world, the public sector is sometimes associated – not always fairly – with slow-moving bureaucracies and outdated technology. However, breakthroughs in digital transformation and emerging technologies have resulted in paradigm shifts. Today, governments have the opportunity to significantly improve their operations and services by adopting artificial intelligence, and many have begun to do so.

Generative AI (GenAI) is the AI technology known for exceptional adaptability and understanding of human-like tasks. According to our recent findings at the Boston Consulting Group, GenAI has the potential to unlock $1.75tn in annual productivity gains for governments worldwide by 2033. It can improve the quality and efficiency of public services, from policymaking and internal operations to citizen engagement.

The demand for effective government service delivery and oversight requires forward-thinking and agility, and GenAI can play a crucial role in achieving this. Furthermore, incorporating GenAI into the public sector can bring significant economic savings. Based on the latest study titled Turning GenAI Magic into Business Impact, deploying GenAI tools delivers a range of short and long-term wins, including diffused productivity gains of 10 to 20 per cent and an achievable 30 to 50 per cent in efficiency gains. While integration in the public sector is not without its intricacies,

it bestows tangible potential, especially when referring to GenAI’s fundamental role in facilitating the invention of new offerings, services, and customer experiences.

GenAI is already reshaping the landscape of what’s possible with technology. Several Middle East governments have raised GenAI adoption as a national priority as part of a broad digital and AI push. The following opportunities offer a glimpse of its vast potential and set the stage for a deeper exploration towards modernising government operations and enhancing citizen engagement.

FIVE OPPORTUNITIES FOR GOVERNMENTS

01. Policies and programmes: GenAI can enhance policy development by rapidly synthesising data and drafting policy briefs, thus allowing policymakers to tackle complex issues efficiently. Additionally, GenAI plays a vital role in public consultation and participatory governance. It can process vast consultation submissions, summarise recommendations, and identify consensus, broadening citizen engagement and enriching policy co-creation.

This approach accelerates policy timelines, reduces risks, and ensures a more inclusive and transparent policy-making process.

02. Service delivery and operations: GenAI has the potential to improve public service delivery by providing accessible services 24/7 and personalised communication. Incorporating GenAI can help governments provide smooth, thoughtful, and personalised interactions with their citizens. From multilingual chatbots to GenAI-powered assistants, it can reduce wait times, enhance accessibility, and tailor services to individual needs.

03. Support functions: GenAI can streamline and enhance internal government operations, such as procurement and recruitment, and assist with learning and development. Government agencies are not just about frontline services; support operations are crucial for smooth functioning. Automated document analysis, code generation, and customised learning modules can improve processes, reduce errors, shorten timelines, and enable employees to focus on higher-value tasks.

04. Regulators: GenAI can transform regulatory bodies, where ensuring compliance is vital, but traditional methods can be slow and resource-intensive. AI-powered systems analyse real-time data to identify potential violations, predict risks, escalate the need for interventions, and streamline enforcement, fostering a culture of compliance and protecting citizens from harm.

05. Central agencies: Government agencies ensure coherence and alignment of whole-of-government strategies. GenAI can support data-driven decisions by simulating the impact of various strategic scenarios, budget allocations, and programme-driven outcomes. This helps optimise funding and resource distribution across different departments. These applications demonstrate the significant role of GenAI in transforming governmental operations and service delivery, which aligns with the broader objectives of improving efficiency, satisfaction, and strategic alignment.

QUICK TO ADOPT, QUICK TO ADVANCE

Many Middle Eastern countries’ citizens are notable for their high usage of digital government services. GCC countries are leading the way in adopting digital services, with 63 per cent of GCC residents using such services, surpassing the global average of 49 per cent. This high level of engagement indicates tangible potential for integrating GenAI to advance and further

Dr Lars Littig, MD and partner, and Rami Mourtada, partner and director, Boston Consulting Group

“SEVERAL MIDDLE EAST GOVERNMENTS HAVE RAISED GENAI ADOPTION AS A NATIONAL PRIORITY AS PART OF A BROAD DIGITAL AND AI PUSH.”

streamline internal government functions, leading to more effective G2C and G2G digital interactions.

From a productivity standpoint, adopting GenAI in Saudi Arabia is estimated to provide an annual productivity benefit of $56bn, while the UAE is expected to gain $11bn over the next 10 years. However, the benefits of adopting GenAI go beyond cost savings. GCC governments have taken a proactive approach to encourage adoption amongst citizens and the public and private sectors.

GCC governments are rapidly scaling up their GenAI efforts: Saudi Arabia recently launched its flagship “GenAI for All” initiative in collaboration with the Digital Cooperation Organization to accelerate GenAI adoption towards inclusion and prosperity. UAE is actively promoting GenAI, publishing a first-of-itskind in-the-region user guide for Generative AI called 100 Practical Applications and Use Cases of GenerativeAI. This guide provides recommendations for citizens and companies on utilising GenAI capabilities for personal needs across various dimensions – aiming to improve quality of life, productivity, and efficiency.

These scaled-up initiatives pave the way for the integration of GenAI as an enabler across a plethora of business and life functions. More importantly, they introduce much-needed guardrails and proactively promote the ethical and responsible use of the technology in line with forward-looking national AI strategies.

THE NEXT GENERATION

The increasingly groundbreaking and unparalleled advancement of GenAI and its injection into the public sector has the potential to revolutionise how governments interact with their citizens across government organisations. Properly and ethically adopting GenAI can bring about the next-gen government: an era characterised by proactive, intelligent, interconnected public services redefining how the government serves its citizens.

Embracing GenAI is not a matter of if but when, and the time is unequivocally now. With the promise of significantly enhanced efficiency and the opportunity to deliver services that rival the private sector’s best, government leaders must commit. The urgency is real. The potential is vast.

The seven rules of personal branding

From self-discovery to consistent messaging, explore practical strategies for crafting an authentic and impactful personal brand that resonates with your audience and drives your career forward

What is your personal brand?

Simply put it’s your reputation. Hence personal branding is about managing your name, that intangible yet invaluable asset. Here are seven tips on how to do this.

RULE # 1: KNOW YOURSELF

What are your values, skills and traits? What’s your goal? Why do you exist? What drives you every day? Someone asked me that last question at a book signing recently.

You don’t know yourself as much as you think you do. So, get honest feedback. Like at the book signing when, before I could reply, another audience member gave the right answer that nailed it.

RULE # 2: PICK YOUR DOMAIN

Your domain is an area that you’re both an expert in and are passionate about.

Expertise is important for credibility and insight. What domain do people at work or friends look to you for insights? Which career have you had the most success in?

Your passion is crucial because people will pick up on your passion instantly. Your passion will also make you write consistently plus you’ll be driven to read and connect widely.

What are you keen on and an expert in? Sustainability, gender equality, mental health, or financial inclusion?

Hint: It will most likely be a subset of your domain (For example: sustainable finance within finance) because you can’t be an expert in a vast and complex field like finance. It can also be multiple related domains.

RULE # 3: KNOW YOUR TRIBE

Reputation is important but with whom?

You must figure out who you want to be respected by. Gaining universal respect and approval can be quite challenging, as individual perspectives and preferences vary significantly.

Also, if you try to align with everyone, you will align with no one. This is of course linked to your expertise and your passion. People who aspire to (or already are in) your domain are your tribe. Once you start writing they’ll gravitate to you.

RULE # 4: FORM VIEWS

Now that you know yourself, your domain and your tribe you must develop your unique views. Think of your experience and expertise and then think of the current status of your domain. What do you agree and disagree with and why? Where do you see it in future? What’s broken and what would you do to fix it? There’s always scope for this.

I read a lot in my domain (leadership, coaching and psychology) and also talk to clients and others to not only stay up to date, but also fine-tune my views.

RULE # 5: BE CONFIDENT

State your views publicly and unambiguously. Be vocal about often ignored but important issues. Admit your relevant flaws and failures. Be open to being contrarian because you will be invisible if you repeat what everyone else is saying. Be open to public criticism and hold and justify views under fire. Develop your style, your voice.

Binod Shankar, executive coach and author of Let’s Get Real: 42 tips for the stuck manager

someone’s criticism and anyway it’s just their opinion. And if you can’t take criticism then you shouldn’t get into personal branding.

RULE

# 6: TELL STORIES

Who doesn’t love a story? That’s why theatre, movies and streaming are multi-billion-dollar industries.

“LOOK, EVERYONE HAS A RIGHT TO AN OPINION AND SO DO YOU AS LONG YOU HAVE BACKED IT WITH REASON OR FACTS AND FIGURES. ALSO, YOU MAY LEARN FROM SOMEONE’S CRITICISM AND ANYWAY IT’S JUST THEIR OPINION. AND IF YOU CAN’T TAKE CRITICISM THEN YOU SHOULDN’T GET INTO PERSONAL BRANDING.”

This is a major issue for many because they fear criticism once they express their views. Will you get criticised? Perhaps.

Look everyone has a right to an opinion and so do you as long you have backed it with reason and/or facts and figures. Also, you may learn from

STORIES

Stories are interesting, memorable, relatable and credible. So, look at your life and gather together all the episodes from work, hobbies, family etc. and see the common themes and lessons learnt. And then use these appropriately on social media, in presentations etc.

I cycle, hike, climb and coach. I am also a fitness and health enthusiast and these give me a rich fund of stories to tap into. Now that’s an excellent reason to develop a hobby.

RULE # 7: BE CONSISTENT

There are two aspects: consistency in messaging and frequency.

The first implies that you should stay on message and not contradict yourself by saying (for example) today that luck plays a big role in your career and then next month saying it doesn’t.

The second is about being “visible” on a regular basis and many have the habit of posting on LinkedIn and then disappearing for a few months. Remember, out of sight is out of mind. For example, I post three to four times a week on LinkedIn and have been doing this for the past seven years and it happens because it’s a priority for me.

There’s more to personal branding but that’s the essence.

On a concluding note, while you are the CEO of our own company (Me Inc), to thrive in your career today, you also have to be the chief marketing officer of the brand called You.

ARE INTERESTING, MEMORABLE, RELATABLE AND CREDIBLE. SO, LOOK AT YOUR LIFE AND GATHER TOGETHER ALL THE EPISODES FROM WORK, HOBBIES, FAMILY ETC. AND SEE THE COMMON THEMES AND LESSONS LEARNT

STATE YOUR VIEWS PUBLICLY AND UNAMBIGUOUSLY. BE VOCAL ABOUT OFTEN IGNORED BUT IMPORTANT ISSUES

Ahoy! Women on ‘board’

Gender diversity on boards can foster improved financial performance and innovation. These practical strategies can help companies foster inclusive boardroom cultures for sustainable success

The significance of gender diversity in corporate leadership is gaining widespread acknowledgement . The shortlist for Time magazine’s Woman of the Year 2024 includes a CEO of Indian origin, underscoring the value of gender parity among C-Suite executives.

Women’s involvement in decision-making processes enriches corporate performance and fosters innovation. However, achieving gender equality in enterprise boardrooms remains a distant goal.

MANDATORY REPRESENTATION

Regulatory mandates play a pivotal role in driving gender diversity on boards. Countries that have instituted quotas or legislative measures to enhance female representation have witnessed tangible outcomes. Moreover, greater gender

diversity is associated with increased focus on sustainability, ESG, and the SDGs (Sustainable Development Goals).

Research indicates that companies subject to regulatory mandates tend to exhibit higher proportions of women on their boards compared to those without such requirements. Furthermore, regulatory interventions have catalysed a broader cultural shi t towards gender equality in corporate governance.

Nordic countries, particularly Norway, Sweden, and Finland, have spearheaded e orts to promote gender diversity in enterprise boards, with Norway’s 2003 quota mandate yielding a significant rise in female representation.

Although the European Union has directives mandating gender quotas, progress has been slower compared to Nordic countries. The US trails behind

many European nations in this regard, with uneven progress despite some states introducing diversity quotas or disclosure requirements.

Asian countries have been slow in advancing gender diversity on boards, and progress is expected to take considerable time. In the GCC region, women’s participation on boards remains extremely low, with less than 3 per cent representation in listed companies.

However, the UAE has shown promising developments, nearly doubling women members on enterprise boards from 2017 to 2020.

In India, the Companies Act (2013) mandates certain categories of companies to have at least one woman on their boards. Despite this, the growth in the percentage of women on Indian boards has been sluggish, possibly due to lax enforcement or a shortage of qualified female candidates.

The nominal fines for non-compliance in India may serve as a deterrent, highlighting the need for stricter enforcement. Currently, only 73 per cent of NSE-listed companies meet the minimum mandated requirement of having at least one female director.

THE ADVANTAGES

Perhaps regulators can only do so much to advance the cause for women. It may be opportune for companies to focus on other aspects, such as value creation, to encourage greater female representation in boardrooms.

“COMPANIES SUBJECT TO REGULATORY MANDATES TEND TO EXHIBIT HIGHER PROPORTIONS OF WOMEN ON THEIR BOARDS COMPARED TO THOSE WITHOUT SUCH REQUIREMENTS.

FURTHERMORE, REGULATORY INTERVENTIONS HAVE CATALYSED A BROADER CULTURAL SHIFT TOWARDS GENDER EQUALITY IN CORPORATE GOVERNANCE.”

Dr M Muneer is a Fortune-500 advisor, startup investor and co-founder of the nonprofit Medici Institute for Innovation

CURRENTLY, ONLY 73 PER CENT OF NSE-LISTED COMPANIES MEET THE MINIMUM MANDATED REQUIREMENT OF HAVING AT LEAST ONE FEMALE DIRECTOR

THE UAE HAS SHOWN PROMISING DEVELOPMENTS, NEARLY DOUBLING WOMEN MEMBERS ON ENTERPRISE BOARDS FROM 2017 TO 2020

Numerous studies have sought to quantify the impact of gender diversity on boards, revealing a positive correlation with various value creation metrics. Gender-diverse boards are associated with better financial performance metrics, greater innovation, and more robust risk management practices. They also enhance companies’ reputation and stakeholder trust, leading to improved brand perception and customer loyalty.

LEARNING FROM BEST PRACTICES

Based on extensive global experience, here are some best practices to enhance women’s representation on boards:

Emphasise the tangible benefits of gender diversity through research and case studies. Leverage regulatory requirements to promote gender diversity.

Mobilise stakeholders to advocate for change.

Provide resources and support for women directors.

Establish clear targets and goals for increasing women’s representation. Ensure diverse candidate slates for board positions.

Implement transparent and merit-based recruitment processes.

Provide training on the importance of gender diversity.

Foster a culture of inclusive leadership.

Lead by example by ensuring diversity at the highest levels of leadership.

By adopting these strategies, companies can actively contribute to fostering gender diversity on boards and reaping the associated benefits.

Hospitality and its journey to net zero

The hospitality industry is integral to the global effort to advance sustainable practices and the transition to a carbon-neutral future

Today, no industry is exempt from responsibility in the ongoing battle against climate change. The hospitality sector must confront this challenge head-on and transform its narrative into one of success.

Tourism alone accounts for around 8 per cent of global carbon emissions, and as the number of people who can afford to travel grows, so will tourism’s environmental footprint, emphasising the urgent need for the industry to take a leading role in the journey to net positive – which goes beyond only

considering our negative impacts on the planet, and includes our positive contributions to sustainability.

As the hospitality industry stands at the crossroads of impact and influence, our sector’s role is no longer only about providing comfort and convenience; it is becoming an integral part of the collective effort to safeguard our planet. Travellers are becoming increasingly mindful of their carbon footprints as societies begin demanding accountability.

A recent survey suggests 76 per cent of international respondents either don’t believe or don’t know if hotels are ‘doing enough’ to minimise environmental impact, and the time to change that is now; hospitality must embrace sustainability as its guiding principle and lead the charge toward a greener, more resilient world, and ensure absolute transparency with these efforts.

COLLABORATION IS VITAL

While green initiatives and sustainable practices in-house are of huge importance and should continue to be a priority for properties globally, I believe the responsibility of each brand extends beyond its operations, education and sharing of knowledge within the industry to foster a culture

“TOURISM ALONE ACCOUNTS FOR AROUND 8 PER CENT OF GLOBAL CARBON EMISSIONS, AND AS THE NUMBER OF PEOPLE WHO CAN AFFORD TO TRAVEL GROWS, SO WILL TOURISM’S ENVIRONMENTAL FOOTPRINT, EMPHASISING THE URGENT NEED FOR THE INDUSTRY TO TAKE A LEADING ROLE IN THE JOURNEY TO NET POSITIVE.”

of accountability and collaboration could propel our sector onwards in this journey.

By encouraging a spirit of companionship within our sector, it is possible to facilitate the sharing of best practices and innovative ideas that can collectively drive the industry towards a more sustainable future. Through collaborative knowledge-sharing platforms, such as industry-wide workshops and research collaborations, we can promote the development and implementation of sustainable technologies and practices that impact not only our individual businesses but also the entire hospitality sector, and ultimately the planet.

Advocating for industry-wide sustainability standards is a collective e ort through which we can ensure a more cohesive and e ective approach to achieving net-positive emissions, essentially ensuring a benchmark for responsible environmental stewardship is set, that transcends individual competition.

Initiatives such as the Sustainable Hospitality Alliance (SHA) Pathway to Net Positive Hospitality, allow us to come together as an industry with common goals and commitments, encouraging our brands and franchisees to harness the collective power of a united guiding framework and take action.

A SHIFT IN PRIORITIES

The shi t in consumer behaviour towards sustainable tourism experiences emphasises the need for industry-wide collaboration to meet the growing demand for eco-friendly and responsible hospitality services.

Technology will undoubtedly play a critical role in achieving climate targets. Embracing renewable energy sources, deploying energy-e cient building

Panos Loupasis, market managing director for Türkiye, the Middle East, and Africa at Wyndham Hotels & Resorts

THE HOSPITALITY SECTOR’S ROLE IS NO LONGER ONLY ABOUT PROVIDING COMFORT AND CONVENIENCE; IT IS BECOMING AN INTEGRAL PART OF THE COLLECTIVE EFFORT TO SAFEGUARD THE PLANET

practices, and leveraging digital tools to monitor and optimise energy use are essential steps in reducing the industry’s carbon footprint. With innovation and digitisation becoming increasingly prevalent in tourism, there is vast potential to harness these technologies to make a positive impact on the environment.

However, the journey to a more sustainable future in the hospitality industry presents unique challenges. Hotels have high energy demands to ensure guests’ comfort and a delightful experience. Therefore, striking a balance between sustainability and guest satisfaction requires innovative approaches.

The integration of cutting-edge technologies and sustainable practices will be vital in overcoming these challenges, ensuring that hospitality businesses can thrive while also safeguarding the planet.

REACHING GOALS

As the UAE’s Year of Sustainability extends into 2024, and learnings from COP28 remain prevalent, the spotlight must continue to shine on the nation’s commitment to addressing climate change and promoting sustainable practices.

TRAVELLERS ARE BECOMING INCREASINGLY MINDFUL OF THEIR CARBON FOOTPRINTS AS SOCIETIES BEGIN DEMANDING ACCOUNTABILITY

It’s crucial for the hospitality industry to seize this moment and take collective action. COP 28 served as an opportunity to inspire organisations to come together and create meaningful change toward addressing the most pressing climate challenges of our time. By rea rming our commitment to socially, ethically, and environmentally responsible operations, the hospitality sector can lead the way in demonstrating its dedication to a sustainable future. Through collaboration, innovation, education, and the responsible use of technology, the hospitality industry can play a pivotal role in the journey to net positive. By setting ambitious sustainability goals and working collectively to achieve them, we can drive positive change and leave a lasting legacy for future generations.

As we strive to build a greener, more sustainable world, the hospitality sector has an indispensable part to play in shaping a brighter future for our planet and all its inhabitants.

Water sight:

Abandoned vehicles in standing floodwater in Ras al Khor district, Dubai, caused by heavy rain, on April 19. Unexpected weather conditions caused torrential rains in the UAE - the heaviest , recorded in 75 years.

UAE corporate tax: Deadline alert

New corporate tax deadlines for businesses to start in May. Here’s what you need to know

Th e Federal Tax Authority (FTA) recently announced new deadlines to register for corporate tax, significantly bringing forward the deadlines for businesses – in most cases more than a year earlier than originally indicated.

Instead of the previous deadline of September 2025 (for December tax year-end companies), the new staggered deadlines throughout 2024 require the first group of companies to be registered by May 31, with all companies to be registered by the end of December 2024.

With this new framework, the FTA has grouped businesses depending on the month in which their original licence was issued, regardless of the year of licence issuance.

To give a clear picture of the new time frames, the FTA has released a schedule showing the registration deadline corresponding to the month of licence issuance.

FOR EXAMPLE:

A business which was issued its original licence in May 2018 now has a registration deadline of July 31, 2024.

A business which was issued its licence in May 2023 also has a deadline of July 31, 2024.

A business which was issued its licence in October 2019 has a registration deadline of November 30, 2024.

Month of licence issuance

DECODING THE REASONS BEHIND THESE CHANGES

The point being illustrated is that only the month of licence issuance is taken into account – the year of issue is irrelevant.

What do the revised registration deadlines mean for businesses?

Whilst this announcement impacts the timing of registration, there is no change to the criteria of who needs to register, which includes all UAE-based companies.

Businesses that miss their deadline will face a hefty fine of Dhs10,000 for late registration.

Furthermore, the FTA indicated that there will be no grace periods, and fines will be incurred immediately upon missing the deadline.

(The year the licence was issued is irrelevant)

January or February

March or April

May

June

Deadline to apply for Corporate Tax registration (2024)

May 31, 2024

June 30, 2024

July 31, 2024

August 31, 2024

July September 30, 2024

August or September

October or November

December

Source: Federal Tax Authority

October 31, 2024

November 30, 2024

December 31, 2024

“The decision to bring forward the registration deadlines looks to be a well-considered move by the FTA to prevent a last-minute surge of registrations in late 2025, which could overwhelm the system,” said John Casey, managing director of TaxReady, a Virtugroup company that provides SMEs, entrepreneurs and micro businesses with specialised tax and accounting services. By staggering the deadlines throughout 2024, the FTA will be able to distribute the workload more evenly, ensuring that they can concentrate on processing tax filings starting January 1, 2025, which is when the majority of companies need to submit their annual filings.

This proactive approach will help prevent administrative bottlenecks that could occur if registration and tax filing were to coincide.

ACT ON TIME

Having assisted thousands of companies in registering for corporate tax and getting their accounting systems up to FTA requirements, Casey advises businesses to immediately take action and ensure their compliance with the updated tax deadlines.

“There is no benefit in waiting right up to your deadline to register. You will need to do it at some point, so best to get onto it now. Delaying it only increases your risk of incurring the fine,” he emphasises.

The UAE’s corporate tax laws stipulates that every business incorporated or operating in the country must register for corporate tax, keep proper accounting records and submit an annual tax filing at the end of their financial year.

These requirements apply even if a business qualifies for an exemption, does not generate any revenue, or is registered within a free zone. So even if a business doesn’t need to pay corporate tax, it will still need to go through the compliance steps to prove its non-taxable position.

L’ORÉAL INTERVIEW

Where beauty meets business

LAURENT DUFFIER, MD AT L’ORÉAL MIDDLE EAST, TALKS ABOUT THE BEAUTY GIANT’S 25TH ANNIVERSARY IN THE REGION AND ITS LEGACY, BEAUTY TRENDS THAT ARE IMPACTING THE REGIONAL INDUSTRY AND HOW L’ORÉAL IS DELIVERING ON ITS SUSTAINABILITY AND INCLUSION GOALS

BY NEESHA SALIAN

As L’Oréal Middle East commemorates its remarkable 25-year journey of beauty and innovation in the region, we chat with Laurent Duffier, the managing director, to delve into the highlights of this milestone anniversary. With a rich portfolio of 31 brands and a network of dedicated partners, L’Oréal Middle East has emerged as the leading beauty company in the region, serving approximately 140 million consumers across 10 countries. Over the past quarter-century, the company has expanded its footprint, now boasting over 500 employees representing 54 nationalities.

Beyond business success, L’Oréal Middle East has been committed to driving positive

change through sustainability initiatives, women empowerment programmes, and innovative partnerships.

From reducing its carbon footprint to empowering women in the workforce and pioneering beauty technology, we get insights into the company’s initiatives and achievements.

What are some of the current trends shaping the beauty and cosmetics industry in the region and future projections you foresee?

Consumers in the region are highly knowledgeable and passionate about beauty, embracing both complex makeup trends

and a growing preference for natural looks. Fragrances, particularly specific types such as Oud, are a key part of their beauty routines, often layered to create individualised scents. Consumers also represent various skin types and backgrounds, including locals and expatriates, and brands that understand and cater to this diversity are more likely to succeed. They also exhibit distinct shopping behaviours, with significant spikes in consumption during cultural events like Ramadan and Eid – highlighting the importance of cultural sensitivity and timely marketing strategies.

Additionally, there is a significant shift towards technology in beauty. Consumers are increasingly eager to explore new technologies for diagnostics and experimentation, reshaping the beauty landscape with innovations that offer tailored beauty experiences and outcomes. Strong innovations are also shaping the Middle Eastern beauty market, such as Melasyl, a new ingredient that has been recently launched by LaRoche Posay and targets hyperpigmentation disorders. This reflects a market that values cutting-edge products and staying ahead of trends.

Sustainability is also becoming a cornerstone of consumer preferences, as consumers in the region are becoming increasingly mindful of the environmental and ethical implications of their purchases. With 70 per cent of consumers declaring they want to prioritise eco-friendly products, there is a

Laurent Duffier

clear shift towards more sustainable brands which is not only shaping current purchasing behaviours but also setting the stage for future developments in the industry.

Digital platforms also play a crucial role in shaping consumer preferences, with social media bloggers influencing beauty advice, product choices, and brand interactions.

From innovative skincare solutions to trendy makeup products, the beauty industry in the region is dynamic and demands constant evolution. These developments offer more insights into the market’s appetite for both groundbreaking advancements and trendy, market-oriented products.

What are the key factors propelling growth in the beauty industry today?

The beauty industry in the GCC is experiencing robust growth, fuelled by several key drivers. First and foremost, the market itself is substantial, estimated at around EUR11bn with a compound annual growth rate (CAGR) of over 10 per cent from 2020 to 2023, positioning it among the top 10 beauty markets worldwide according to Euromonitor Data. The main reasons for the market dynamics are:

The region’s economic performance in comparison to the rest of the world. With non-oil sectors growing at around 4-5 per cent while Europe stands at less than a per cent, the Middle East presents a strong opportunity for the growth of the beauty industry.

The increasing participation of women in the workforce is particularly noted in Saudi Arabia where the number of working women has tripled. This notable shift in disposable income has led to an increase in the overall consumption of beauty products.

The arrival of a wealthy population, especially in the UAE, also adds to the market’s dynamism, particularly for luxury products.

The superior quality of beauty retail executions in the region, is a testament to its advanced retail infrastructure and innovative merchandising strategies, which have been pivotal in driving sales and enhancing consumer engagement at physical retail locations.

The growth of the e-commerce channel in the Middle East which has also seen a transformative shift. What was once a minor part of the market now boasts a significant share, achieving double-digit percentage growth.

This reflects new opportunities and reaches levels of market maturity comparable to developed regions like Europe and the US. These factors collectively underpin the dynamic expansion of the beauty industry in the region, driven by economic, demographic, and consumer preference shifts.

In conclusion, the Middle Eastern beauty market shows remarkable dynamism, and if the fundamentals remain the same, we are optimistic that it should continue in the upcoming years.

L’Oréal has celebrated over 25 years of growth in the region. Looking back, what do you believe were the pivotal moments, and what is your vision for the future?

Reflecting on the past 25 years, L’Oréal Middle East has experienced a remarkable growth journey, starting with just a few employees in 1998 and transforming into a leading beauty powerhouse, with 500+ employees, serving over 140 million consumers across 10 countries. Some of the key milestones include the creation of L’Oréal Saudi Arabia in 2011 and L’Oréal UAE in 2017, which have significantly contributed to our regional impact as well as becoming the “Official Beauty Products and Services Partner” for Expo 2020 Dubai. Our commitment to diversity, equity, and inclusion is reflected in our workforce, boasting 54 nationalities, achieving gender parity with 55.5 per cent females and 44.5

per cent males, with 43 per cent women in leadership positions, and maintaining a zero per cent gender pay gap. As a result, L’Oréal Middle East obtained the “Gender Equality European & International Standard” certification in the UAE in 2022.

We also rank among the Top 15 subsidiaries of L’Oréal worldwide, highlighting our significant influence and impact in the beauty industry on a global scale. This growth trajectory underscores our dedication to providing exceptional products and services tailored to the diverse needs of consumers across the region.

Sustainability is increasingly important for consumers. Tell us about L’Oréal’s sustainability achievements to date and your targets for 2030.

At L’Oréal, innovating within our brands and products alone is no longer sufficient; we have accelerated our transformation towards a business model that respects planetary boundaries and strengthens our commitments to sustainability and inclusion. In 2020, we launched the “L’Oréal for the Future” programme, structured around three core pillars: reducing our impact, engaging with our ecosystem, and contributing to solving global challenges.

We have made many commitments to sustainability: using 100 per cent renewable energy across all our operations, recycling all water used in our industrial processes, sourcing 95 per cent of our

FROM INNOVATIVE SKINCARE SOLUTIONS TO TRENDY MAKEUP PRODUCTS, THE BEAUTY INDUSTRY IN THE REGION IS DYNAMIC AND DEMANDS CONSTANT EVOLUTION. THESE DEVELOPMENTS OFFER MORE INSIGHTS INTO THE MARKET’S APPETITE FOR BOTH GROUNDBREAKING ADVANCEMENTS AND TRENDY, MARKET-ORIENTED PRODUCTS.”

ingredients from bio-based or sustainably managed resources, and ensuring all our plastic usage is from recycled or bio-based sources. All this is already achieved or will be achieved by 2030 at the latest.

In the GCC, our focus has been sharp on three priority areas: waste, water, and CO2 emissions. For instance, we have introduced several impactful initiatives in the region such as Garnier’s pioneering recycling programme in Saudi Arabia, in partnership with Naqaa Solutions and Panda, which has successfully recycled 340 tons of waste. We have also promoted the use of refillable products across our brands, significantly reducing material consumption. As a result, our Prada Paradox refillables use 40 per cent less material, and Kiehl’s recycling initiative has amassed 17.6 million returned items since 2009, including 2.7 million in 2023 alone.

Moreover, our introduction of the Gjosa showerhead in salons dramatically reduces water usage by 69 per cent, helping us conserve millions of litres each year. Set to launch in the region, this initiative will target 500 salons per year, resulting in

approximately 35 million gallons of water being saved every year.

Furthermore, our collaboration with Mohebi Logistics has led to the deployment of the first fleet of electric vehicles in the UAE, contributing to the reduction of greenhouse gas emissions linked to the transport of L’Oréal’s products in the region. Additionally, our partnership with Aramex has utilised biodiesel fuels to reduce carbon emissions by 4.4 per cent in cross-border activities.

These initiatives reflect our unwavering commitment to sustainability further demonstrating our leadership in transforming the beauty industry towards a more sustainable future.

Over the years, L’Oréal Middle East has taken part in purposeful initiatives, centered around women empowerment, sustainability and innovation. Take us through a few of these initiatives, and what impact the Group hopes to make in the region. Sustainability, innovation, and women’s empowerment are the foundational pillars

of our strategy, central to everything we do at L’Oréal Middle East.

Apart from our sustainability and innovation initiatives mentioned previously, our commitment to empowering women has also been reflected in the numerous programs that have impacted the lives of 25,000 people in the region.

For the last 10 years, the L’Oréal-UNESCO For Women in Science Middle East programme, has supported and empowered over 50 Arab female scientists through investing in endowments to support their professional growth. Moreover, the L’Oréal Paris Stand Up Against Street Harassment programme has educated 11,000 people in the GCC on addressing and preventing harassment.

Furthermore, the L’Oréal Saudi Arabia Hairdressing Institute exemplifies our dedication to empowering Saudi women by enhancing their skills in the beauty industry, leading to a 70 per cent employment rate in local salons. There is a potential to create 15,000 jobs for women in the salon industry in Saudi Arabia alone.

Last but not least, we have partnered recently with Himayah Organization in Saudi Arabia to support its ‘Safe Homes’ initiative to help more than 600 beneficiaries access skill training, psychological safety and preparation for employment.

Tell us about the brand’s ambassadors you are working with in the GCC region. Our brand ambassadors in the MENA region are all unique and powerful women who embody the essence and ethos of our brands.

Hend Sabri, the acclaimed EgyptianTunisian actress and producer, has been representing Garnier Middle East and North Africa since 2009 and has iconised the Garnier Color Naturals brand in the region. Mayan El Sayed, the rising young Egyptian actress, joined the Garnier’s family last year, bringing a connection to the Gen Z audience in the region.

On L’Oréal Paris, the Saudi Arabian musician and actress, Aseel Omran, has been representing the brand in the Middle East and North Africa since 2019. Finally, the remarkable Egyptian actress, Mona Zaki, joined the brand in 2021. Together, they amplify the voice of empowerment in the region.

CARBON CLEAN

Driving decarbonisation with CCUS

UK-BASED CARBON CAPTURE, USE AND STORAGE (CCUS) COMPANY CARBON CLEAN’S CEO, ANIRUDDHA SHARMA, SHARES HOW O&G COMPANIES ARE ADOPTING CCUS TECHNOLOGY AND HOW IT CAN BE A BLUEPRINT FOR OTHER SECTORS LOOKING TO KICK-START THEIR DECARBONISATION JOURNEY

BY NEESHA SALIAN

Tell us about CCUS and its growing role in decarbonisation.

There is no net zero without carbon capture, utilisation and storage (CCUS). CCUS addresses the emissions from the hardestto-abate sectors including cement, steel, and oil & gas, which account for around 30 per cent of all global emissions. Pointsource technology, like Carbon Clean’s, captures emissions at the source and prevents

them from entering the atmosphere. Alongside a mix of other clean tech solutions, CCUS will play a critical role in the decarbonisation of all heavy industries.

Give us an overview of Carbon Clean’s proprietary CCUS technology and how it aims to revolutionise industrial carbon capture.

We are revolutionising the carbon capture industry with our breakthrough

technology, CycloneCC, which eliminates the two biggest, historical barriers to widespread adoption: cost and space.

CycloneCC is our newest innovation and it’s focused on scalability – achieving significant reductions in cost, deployment time and physical space through a fully modular, prefabricated, skid-mounted carbon capture solution.

CycloneCC significantly cuts the total cost of ownership (TCO), by reducing capex and opex by up to 50 per cent compared to conventional carbon capture solutions. In terms of size, the equipment is 10 times smaller than conventional carbon capture units. The first deployment of a CycloneCC industrial unit anywhere is in the Middle East. We are now focused on scaling CycloneCC so it can be mass produced and deployed globally.

Tell us about Carbon Clean’s recent expansion into the Middle Eastern market through partnerships with ADNOC and Fertiglobe.

In October 2023, Carbon Clean expanded its presence in the Middle East when ADNOC selected our innovative modular CycloneCC technology for a carbon capture project at Fertiglobe’s nitrogen fertiliser plant in Abu Dhabi.

The project represents a significant milestone in our mission of delivering industrial decarbonisation on a gigatonne scale. It brings us one step closer to achieving the full commercialisation of this modular solution, which will play a vital role in decarbonising heavy industries and enabling them to meet net-zero targets.

With over 100 active patents and $195m in equity investment raised to date, Carbon Clean has garnered significant attention and support. Can you discuss the role of investors such as Chevron, CEMEX, and Saudi Aramco Energy Ventures in advancing your tech and projects?

When we raised our Series C in May 2022, it was the largest-ever funding round for a point-source carbon capture business. Then, our goal was to become the world’s

WE EXPECT THE MIDDLE EAST TO BECOME ONE OF THE WORLD’S MOST SOPHISTICATED CLEAN TECH HUBS OVER THE COURSE OF THIS DECADE. THE REGION HAS THE CAPITAL AND WILLINGNESS TO INVEST IN THE FIRST-OF-AKIND PROJECTS NEEDED TO ACCELERATE THE SCALE-UP OF CLEAN TECH.”

leading provider of carbon capture solutions for heavy industry – and that remains the case today.

We’re achieving this goal through the development of proprietary carbon capture technologies that are revolutionising the industry. Our investors, which include some of the most influential global energy and industrial companies, provide invaluable support towards the development and commercialisation of these breakthrough solutions, including through their market experience and long-term outlook.

Carbon Clean recently announced its entrance into the marine sector through a joint development agreement with SAMSUNG E&A for onboard carbon capture solutions (OCCS). What opportunities does Carbon Clean see in this sector?

The maritime sector is of significant strategic importance to us. We’ve partnered with SAMSUNG E&A to optimise CycloneCC for use onboard ships. With equipment ten times smaller than conventional carbon capture units, our modular CycloneCC technology is ideally suited to an environment where space is extremely limited. Shipping accounts for 3 per cent of global greenhouse gas (GHG) emissions, so it’s important to enable vessels to capture the carbon dioxide they emit while operating.

We were also awarded the carbon capture equipment supply contract for Ørsted’s FlagshipONE eMethanol project in Sweden, which will combine biogenic carbon dioxide with renewable hydrogen and supply up to 55,000 tonnes of eMethanol per year to the shipping industry.

How does the company envision its technology being a blueprint for other sectors in the journey towards decarbonisation?

All heavy industrial companies exploring options for decarbonisation will need to adopt carbon capture. But there is no silver bullet to reducing CO2 emissions. Carbon capture is one of the solutions needed to achieve net zero, in addition to other clean technologies such as renewables, electrification, green hydrogen and biomass.

In Abu Dhabi, our project with ADNOC will be the first deployment of a CycloneCC industrial unit anywhere in the world. This project will become the blueprint for how we want to work moving forward with

other hard-to-abate sectors, where we have existing partnerships with leading global companies. Our focus today is scaling our innovative technology at speed.

Can you speak to the Middle East’s genuine competitive advantage in industrial decarbonisation, particularly in the context of Carbon Clean’s recent expansion in the region?

If it wasn’t clear already, COP28 showed how decisive a role the Middle East will play in industrial decarbonisation and in achieving net zero more broadly. Remember, last year’s conference in Dubai was the first to mention carbon capture in the final agreement.

We expect the Middle East to become one of the world’s most sophisticated clean tech hubs over this decade. The region has the capital and willingness to invest in the first-of-a-kind projects needed to accelerate the scale-up of clean tech. This is complemented by strong public-private sector collaboration in the region, which creates a solid underlying investment environment.

The other di erentiator in the Middle East is the experience and specialist expertise many industrial companies have in carbon capture technology. This builds a platform for deep collaboration and creates an opportunity for the region to be a pioneer in adopting innovative carbon capture technologies.

As you participated in the recent World Future Energy Summit, what outcomes or advancements would you like to see emerge from the event, particularly about clean energy and carbon capture technologies?

I was pleased to see a focus on the more complex technical challenges for decarbonisation, as well as the power of partnerships at the recent World Future Energy Summit. The EU-GCC Green Transition Project announced at the summit is particularly exciting, signifying an important step forward in creating a supportive business environment across Europe and the Middle East, which will boost innovation and make it easier to share ideas and build networks. Collaboration and partnership are front and centre of any successful project, and I believe this will set the foundation for a strong, future relationship between the two regions.

Aniruddha Sharma

GLOBAL PRIVATE CAPITAL ASSOCIATION

Navigating opportunities and challenges

CARLOS RAMOS DE LA VEGA – DIRECTOR OF VC AT GPCA, SHARES INSIGHTS ON THE VENTURE CAPITAL AND STARTUP ECOSYSTEM BASED ON THE ORGANISATION’S RECENT REPORT

BY NEESHA SALIAN

The Global Private Capital Association (GPCA) is a non-profit, independent membership organisation representing private capital investors who manage more than $2tn in assets across Asia, Latin America, Africa, Central and Eastern Europe, and the Middle East.

The GPCA recently released its 2024 Global Tech report. Here, Carlos Ramos de la Vega – GPCA’s director of VC, shares insights on key trends impacting the venture capital (VC) ecosystem.

Given the significant increase in venture capital investment in the Middle East and Africa, what key opportunities do you foresee for startups in these regions?

Even though Africa and the Middle East recorded their third-largest year on record for VC investment during 2023, the total amount of capital invested remains a fraction of the capital committed to other global markets such as Latin America and Southeast Asia and represents an attractive opportunity for private capital investors

to participate in the development of these local ecosystems. The opportunity to build global businesses that can both generate attractive financial returns and positive societal impact remains top of mind for both investors and entrepreneurs, particularly for those investing and operating in verticals such as fintech and climate tech.

The ability to generate liquidity through successful exits remains top of mind for investors. Instances such as BioNTech’s acquisition of Instadeep for $549m in Africa last year exemplify the potential for these markets to capture the attention of global players interested in increasing their footprint in the region through the acquisition of quality assets.

Finally, the maturity of talent networks has been a driving force behind the launch of new local startups that are capturing investor’s interest. The emergence of networks, like the ‘Careem mafia’ in the Middle East developed after Uber acquired Dubaibased superapp Careem for �3.1bn in 2019, has served as a launchpad for the next generation of founders building local companies with global impact.

Despite the growth in VC investment, what are the primary challenges that startups in the Middle East and Africa are facing in terms of accessing capital and scaling their businesses?

Startups in the Middle East and Africa continue to face challenges spanning from restricted access to late-stage capital to the need for additional alignment with new kinds of investors, including CVCs and sovereign wealth funds. One significant hurdle lies in the increasing financing risk, as there’s a lack of global investor appetite to participate in late-stage financings at the same pace as in previous years, particularly compared to the momentum recorded during 2021. New market participants, particularly those with less familiarity with VC as an asset class, will need to prioritise alignment with founders to optimise the longterm growth profile of a business, coupled with the need to meet short-term ownership targets to protect financial returns.

The increased access to additional exit opportunities will also play a key role in the further development of both ecosystems and will be a key leading indicator of future institutional investor interest in backing

THE EMERGENCE OF NETWORKS LIKE THE ‘CAREEM MAFIA’ IN THE MIDDLE EAST, DEVELOPED AFTER UBER ACQUIRED DUBAIBASED SUPERAPP CAREEM FOR $3.1BN IN 2019, HAS SERVED AS A LAUNCHPAD FOR THE NEXT GENERATION OF FOUNDERS BUILDING LOCAL COMPANIES WITH GLOBAL IMPACT.”

local managers, which in turn will enable future technological progress by betting on local talent launching new initiatives.

In light of the increasing venture debt levels, what challenges can startups face in managing their capital structure and navigating debt financing options?

Founders and investors in a company’s cap table must have a clear understanding and alignment on the purpose of the debt financing resources raised by senior management. With the growth of alternative financing sources, founders are faced with additional flexibility to lower their cost of capital for their lending platforms, with unsecured lines of credit provided by investors such as Community Investment Management, and to support their working capital needs with financing provided by managers such as Partners for Growth or Stride Ventures.

Founders also must reconcile the differing investment horizons and return expectations of equity and debt investors in their cap table and ensure there is full long-term alignment on how both sources of capital complement the long-term growth of the business. Finally, with increased financing optionality, founders will now have increased optionality to allocate equity more strategically to build their teams and retain high-quality talent.

Looking ahead, what are your projections for the VC landscape in the Middle East and Africa over the next few years?

While we cannot predict investment figures at scale, we see two main themes driving substantial investor interest in these two regions. First, we note an increased focus on climate tech startups, with managers showing a growing interest in backing businesses that develop solutions ranging from water monitoring platforms to environmentally-friendly battery manufacturers. This reflects a broader recognition of the

need to address environmental challenges and the potential for innovative startups to drive positive change in the space. Second, artificial intelligence is expected to play a pivotal role, not only as a standalone category of investment, but also in its ability to transform traditional business models by building technology at the application layer and leveraging localised sources of alternative data that can drive long-term business moats and attractive network effects.

How do you anticipate the distribution of VC investment across sectors evolving?

While fintech remains the leading category of investment across Africa and the Middle East, we also expect to see the evolution of other verticals as the ecosystems continue to mature. Cleantech, for example, is likely to experience a surge in investment as stakeholders recognise the urgent need for sustainable solutions to address environmental challenges. E-commerce is also expected to remain a focal point, with the launch of vertically integrated business models and direct-to-consumer brands, driven by the region’s growing digital economy and shifting consumer behaviour. Additionally, biotech holds promise for significant investment growth, fuelled by advancements in healthcare technology and increasing demand for innovative

medical solutions. Regardless of sectorspecific theses, both investors and founders are increasingly directing their attention to business models that can demonstrate capital efficiency and a shorter path to profitability, which reflects a growing emphasis on sustainability and prudent financial management within the startup ecosystem.

Considering the significant role of public markets in driving VC exit value, what implications does this have for startups in terms of their long-term growth strategies and potential exit opportunities?

Historically, the largest share of VC exit value in Africa and the Middle East has been driven by M&A activity. Moving forward, there is still plenty of room for growth for both local and global corporates and strategic investors to become active and sophisticated acquirers.

Given the limited public listing window, the Africa and Middle East tech ecosystems will also be well served with the development of a secondary investor market to provide additional sources of liquidity for early-stage GPs.

This liquidity will in turn enable both healthy reinvestments from institutional investors into proven managers, as well as a stronger case for new allocators looking to diversify their core positions to deploy capital into emerging investors.

With VC accounting for a substantial portion of private capital deal value across GPCA markets, how do you see this trend shaping the broad landscape of private capital investment globally?

One notable shift is the expanded investor class in the technology space, with maturing growth equity investor class and the increased participation of traditional private equity players backing tech-enabled businesses, alongside venture investors writing cheques to software-first businesses. This corresponds to a broader market dynamic in which private capital investors embrace innovation and digital transformation as a key lever to drive operating efficiency across all of their portfolios. We can expect to see continued convergence between venture capital and other forms of private capital investment as investors seek to capitalise on the potential of technology across diverse sectors and geographies.

Carlos Ramos de la Vega

LOGITECH

LogiConnect: Advancing the cause of women in tech

LOGITECH IS TAKING THE INITIATIVE TO DRIVE GENDER DIVERSITY IN THE INDUSTRY WITH A NEW PLATFORM

BY MARISHA SINGH

Loubna Imenchal — head of Enterprise Business, for Africa, Middle East, Turkey and Central Asia at Logitech — is passionate about increasing women representation in the tech industry as well as creating infrastructure to help women ascend the corporate ladder.

Logitech, in partnership with Women Choice, has recently launched a platform dubbed LogiConnect for women in the industry to connect, mentor and grow in the ecosystem. Imenchal shares how this initiative is creating a supportive community for professional growth and empowerment.

Tell us about the platform.

LogiConnect is a platform close to my heart, initiated by Logitech in the Middle East, specifically in Dubai, to

address the underrepresentation of women in the tech industry.

Logitech, as a company, prioritises diversity and inclusion, offering a supportive environment to launch such initiatives. Hence, LogiConnect aims to encourage women in tech to share their challenges, experiences, and aspirations within the industry.

It’s an interactive platform, not just for me to share insights, but for all participants to engage and express themselves. We gather feedback through surveys to tailor support, offering coaching, workshops, and networking opportunities. LogiConnect is also a monthly event, allowiNg time to develop workshops and raise awareness about the platform’s benefits for women in the tech industry.

Which regions does this platform reach out to in terms of coverage?

LogiConnect was launched in the UAE and our initial focus is firming up our base in the country. We aspire to expand our footprint throughout the GCC. However, each market differs, and we know that our approach must be adaptable to each country’s environment. The UAE provides a conducive environment with significant representation of women in tech compared to other regions.

Our goal is to understand the unique challenges women face in each market and tailor our support accordingly. For now, LogiConnect’s launch is in Dubai, but we aspire to extend its impact across the GCC as we refine and adapt our approach to each market’s needs.

Tell us about the larger issue the industry faces and the reason that you believe that LogiConnect is a very important platform to help women in the tech industry?

The main challenge in the tech industry isn’t the ability of women to succeed but rather their lack of self-confidence and mental barriers based on stereotypes. Women often internalise societal stereotypes that tech roles are predominantly for men, leading to self-doubt and hesitation in seizing opportunities.

Unlike men who readily embrace challenges, women may over analyse decisions, particularly those related to work-life balance and family commitments. This selfdoubt can hinder career progression, as women may hesitate to pursue promotions or take on leadership roles. LogiConnect addresses this issue by providing a supportive platform for women to share experiences, overcome self-limiting beliefs, and receive tailored support.

Through interactive sessions and feedback mechanisms, we identify and address psychological barriers, empowering women to navigate career challenges with confidence.

What can the tech industry do to create a nurturing or an empowering environment for women in technology?

The industry must prioritise awareness and accessibility. Platforms like LogiConnect are extremely nascent but can play an outsize role in fostering a supportive infrastructure where women can share experiences and

THE FOREMOST BARRIER WOMEN ENCOUNTER IN THE WORKPLACE REVOLVES AROUND PSYCHOLOGICAL FACTORS. DESPITE POSSESSING THE REQUISITE SKILLS AND QUALIFICATIONS, MANY WOMEN HESITATE TO PURSUE CAREER OPPORTUNITIES DUE TO SELF-DOUBT AND SOCIETAL EXPECTATIONS.”

realise their potential. We need practical events and ongoing dialogue to dismantle stereotypes and instil confidence in women pursuing tech careers.

Additionally, education is key, particularly in encouraging younger generations to pursue tech careers without preconceived gender biases. I believe that it is only through diversity and inclusion, that tech companies can create environments where all individuals, regardless of gender, feel empowered to thrive.

What is the business advantage of having more women come up the ladder in the tech industry?

Does it reflect on the company’s bottom line and productivity? The value achieved from gender diversity goes beyond mere inclusion; it directly impacts innovation and market relevance. Consider this: women make up over half of the global population and wield significant purchasing power. Yet, without female representation in product development, companies risk overlooking the unique needs and preferences of this demographic.

Take gaming, for instance. While traditionally perceived as a male-dominated domain, gaming is enjoyed by people of all genders. However, designing gaming accessories tailored to the female hand anatomy requires a nuanced understanding of user experience. Who better to conceptualise such products than women themselves? By incorporating diverse perspectives into product design, companies like Logitech can tap into previously untapped markets and drive innovation.

When leadership teams reflect the diversity of their customer base, they are better equipped to address evolving market dynamics and drive sustainable growth. Diversity at the workplace isn’t just a trend or a social justice issue — it’s a business imperative. Companies that have evolved to reflect this have not only seen a positive impact to their bottom line but also

cultivate a culture of innovation and resilience. While progress has been made, the tech industry still has a way to go in achieving gender parity.

In 2024, what are the top barriers in the workplace for women, in your opinion?

The foremost barrier women encounter in the workplace revolves around psychological factors. Despite possessing the requisite skills and qualifications, many women hesitate to pursue career opportunities due to self-doubt and societal expectations. Unlike their male counterparts, who often apply for roles without hesitation, women tend to second-guess themselves, feeling compelled to meet unrealistic standards before even considering applying. This disparity in confidence not only affects their entry into the workforce but also influences career progression and decision-making.

Additionally, once women are employed, they face unique challenges related to family responsibilities and societal norms. The expectation that women should prioritise family over career persists, leading to concerns about balancing professional

aspirations with familial duties. This pressure to excel both at work and home contributes to feelings of inadequacy and prevents women from fully realising their potential.

Moreover, cultural and institutional barriers exacerbate gender inequality in the workplace. In regions like the Middle East, where traditional gender roles prevail, women often encounter systemic obstacles that limit their career opportunities. From restrictive maternity leave policies to societal stigmas surrounding women in leadership roles, these barriers perpetuate gender disparities and hinder women’s professional advancement.

In essence, addressing these barriers requires a multifaceted approach that encompasses awareness-building, policy reform, and cultural shifts.

How can women, who are interested in joining the platform, get involved?

Contrary to expectations, participation in our platform doesn’t require any financial commitment. Our only goal is to create a supportive community where women’s voices are valued, heard and given a platform to grow.

We’ve had two meets and the interest in our platform has exceeded our expectations, with more women eager to participate than we initially anticipated. The feedback that we have received is that participants recognise that our platform isn’t just another meeting where attendees disperse afterward. Instead, it’s a forum for impactful conversations where each participant’s input matters.

After each session, we follow up with a survey to gauge where participants feel they need support. This feedback guides our efforts, ensuring that we address the specific challenges of our community effectively.

Joining the platform is straightforward. Interested individuals can find information about upcoming sessions on LinkedIn or other channels, where they’ll see a registration link. We’re deliberate about ensuring the quality of participants to foster a community where meaningful connections and support can flourish.

Ultimately, LogiConnect aims to create a space where women can come together, learn from each other, and elevate one another professionally and personally.

Loubna Imenchal

WORDS GARETH VAN ZYL PHOTOS AHMED ABDELWAHAB

DRIVING INCLUSION, FUELLING DIGITAL CHANGE

FROM IMPLEMENTING ARTIFICIAL INTELLIGENCE TO ADVANCING FINTECH, MASTERCARD IS RAPIDLY EVOLVING THE VERY CONCEPT OF FINANCIAL INCLUSION AND INNOVATION. KHALID ELGIBALI — WHO IS THE CHIEF OPERATING OFFICER FOR THE EASTERN EUROPE, MIDDLE EAST, AND AFRICA REGION AT MASTERCARD — TELLS US HOW AND WHY MASTERCARD IS BRINGING ITS PAYMENT

TECHNOLOGIES TO MORE PEOPLE THAN EVER BEFORE IN THE MIDDLE EAST AND BEYOND

COVER STORY MASTERCARD

Card payments have come a long way ever since their origins in the late 1940s, when several US banks started issuing their customers specially issued paper that could be used like cash in stores.

By 1966, this had evolved into card payments becoming more widely accepted. Mastercard was part of this journey from the very beginning as the company evolved from the Interbank Card Association (ICA) to becoming ‘MasterCard International’ in the 1970s.

Since then, being international has been at the core of Mastercard’s operations. According to the company’s full year 2023 financial results on the New York Stock Exchange, there were 3.3 billion Mastercard and Maestro branded cards in circulation around the world for the period.

The Middle East region is one of the key growth regions for Mastercard that shows immense potential for the future.

Khalid Elgibali is the chief operating o cer for the Eastern Europe, Middle East, and Africa (EEMEA) region at Mastercard, and in an exclusive interview with GulfBusiness, he tells us more about how his company is innovating when it comes to crossborder and digital payments, his take on the growing adoption of instalment transactions, and how his company is navigating its various collaborations and initiatives in the region. He also gives us insight into Mastercard’s interesting tie-ups with tourism industry players, its artificial intelligence and cybersecurity initiatives and, finally, its fintech partnerships.

CROSS-BORDER OPPORTUNITIES, DIGITAL INCLUSION

The region’s digital payments landscape is evolving rapidly, with one of the main opportunities being the rise of cross-border payments, says Elgibali.

“The region is home to a large expat population, for many of whom cross-border payments are a vital way to stay connected to their communities.”

Research is backing this up. According to Mastercard’s 2023 Borderless Payments Report, 48 per cent of respondents in the UAE and 43 per cent in Saudi Arabia said that they expected to send cross-border payments more frequently over the next 12-month period.

Meanwhile, 36 per cent of respondents in the UAE and 40 per cent in Saudi Arabia said they are likely to receive more cross-border payments during the same period.

Here, Elgibali highlights how Mastercard Cross-Border Services facilitates the movement of funds to any end point across over 180 countries through one secure connection, thereby reaching 90 per cent of the world’s banked population.

But it’s not just cross-border payments that Mastercard is focusing on in terms of digital opportunities.

Another key area for the company is the growing popularity of installments that allow shoppers to convert their purchases into several interest-free payments with no processing fees.

“People appreciate the flexibility and convenience of the solution, but also want the added sense of security associated with a trusted provider, like a bank or a payment network,” explains Elgibali.

“The Mastercard Installments programme marked its debut in the EEMEA region with the launch of the SlicePay card in collaboration with First Abu Dhabi Bank under its Dubai First Framework. This was followed by the large-scale partnership with Network International that will expand the reach of the solution even further across the UAE. In Saudi Arabia, we joined forces with Saudi National Bank (SNB) to introduce the Flexi Card, which is also powered by Mastercard Installments,” he says.

In terms of other key digital transformation initiatives, Mastercard recently inked a long-term strategic collaboration agreement with Areeba, a leading regional payment processor based in Lebanon, to bring new Card-as-a-Service (CaaS) and Bank-as-aFintech (BaaF) propositions to the market.

At Mastercard, we aspire to become an AI powerhouse with our products and services, that’s why we are ramping up our investments in AI governance, technology, and talent. We have been using AI for more than 10 years, and today, it is critical to the solutions we provide to our customers.”

As part of the collaboration, Mastercard is helping to provide innovative products and services to banks, fintech companies, and non-banking financial institutions by building ready-tomarket CaaS hubs in selected Arab countries, spanning from the Levant to North Africa.

INTERPLAY WITH AI

Amid services such as OpenAI’s ChatGPT bursting onto the scene in late 2022, Mastercard already has a long history of using artificial intelligence.

Elgibali acknowledges that AI, computational power, and data technology are converging to propel this trend forward.

“AI enhances data analysis and decision-making, while computational power enables faster AI training and inference. Spatial computing benefits from AI-driven object recognition, and data becomes more valuable as it feeds into AI algorithms,” he says.

“At Mastercard, we are tapping into the potential of emerging technologies, like AI, machine learning, 5G, edge computing, biometric recognition as well as virtual and augmented reality, to enhance solutions already available today. Building on our shared commitment to innovation, we initiated a landmark strategic partnership with FAB, focused on delivering unique and disruptive digital products, services and solutions across the UAE, Saudi Arabia, Oman, and Egypt,” adds Elgibali.

“At Mastercard, we aspire to become an AI powerhouse with our products and services, that’s why we are ramping up our investments in AI governance, technology, and talent. We have been using AI for more than 10 years, and today, it is critical to the solutions we provide to our customers. For example, it allows us to protect the over 150 billion transactions that we process on our network every year at speed and scale. In fact, our AI-powered solutions have saved $35bn in fraud in the past three years,” he explains.

He underscores how Mastercard’s customers leverage the payments firms’ analytics and advisory services for AI expertise, such as thought leadership and custom AI engagements. “We embed AI features and capabilities into our data and services offerings, developed by more than 2,000 data scientists, analysts, and engineers.

“To enhance AI capabilities and readiness in the region, we opened the Centre for Advanced AI and Cyber Technology in

Dubai in partnership with the UAE Artificial Intelligence Office,” adds Elgibali.

He further notes that the cutting-edge AI solutions developed at the centre help Mastercard to detect cyberattacks, data breaches, and fraud, making the digital ecosystem safer for governments, banks, merchants, and consumers.

TOURISM OPPORTUNITIES

Tourism and travel hae experienced a dramatic uptick post-Covid as countries have reopened their borders.

Dubai International Airport, for example, achieved a remarkable turnaround in 2023. Not only did it surpass pre-pandemic passenger traffic, but it also exceeded its yearly forecast, welcoming 86.9 million travellers, more than the 86.4 million figure achieved in 2019. This 2023 number marked a 31.7 per cent surge compared to 2022.

This healthy picture extends to the rest of the region too.

“MENA is the only region to show a 22 per cent increase in tourist arrivals above 2019. Turkey, Egypt, Tunisia, and the UAE were among the top 10 fastest-growing destinations for European travellers in 2023,” says Elgibali.

“At Mastercard, we are committed to connecting people to their passion for travel by working with leading industry players to co-create innovative solutions tailored to travellers’ needs. A prime example is our two co-branded cards with Emirates NBD and Marriott Bonvoy that offer a curated selection of personalised travel and hospitality benefits.”

48 PER CENT OF PEOPLE IN THE UAE AND 43 PER CENT IN SAUDI ARABIA

EXPECT TO SEND CROSS-BORDER PAYMENTS MORE FREQUENTLY IN THE NEXT 12 MONTHS

The Mastercard Installments programme marked its debut in the EEMEA region with the launch of the SlicePay card in collaboration with First Abu Dhabi Bank under its Dubai First Framework. This was followed by the large-scale partnership with Network International that will expand the reach of the solution even further across the UAE.”

As part of its push to build out financial inclusion, Mastercard has pledged to bring one billion people and 50 million micro, small, and medium enterprises (MSMEs) worldwide — with a focus on 25 million women entrepreneurs — into the digital economy by 2025. “In Saudi Arabia, we collaborated with Saudi Awwal Bank to introduce an SME Business credit card, which aims to transform SME lending. It enables businesses to gain easy access to credit, pay their suppliers faster and optimise their cash flow,” says Elgibali.

“In Pakistan, we partnered with the Bank of Punjab and Pakistan So tware Export Board to launch the Mastercard Freelancer Digital Account and Card that helps freelancers and IT professionals access global services and receive payments from over 210 jurisdictions,” he adds.

In addition, the company joined forces with Aramex and the UAE Ministry of Economy’s ‘Entrepreneurial Nation’ to launch the ScaleUp platform with the aim of supporting SME growth in the country. ScaleUp presents an opportunity for startups and SMEs to pitch innovative ideas for a chance to win Dhs250,000, meet with angel investors, and gain several other benefits.

Its latest initiative in the SME space is its partnership with Abu Dhabi Global Market aimed at fueling the growth of the sector by digitising SME payment flows.

“We also recognise the crucial role women play in advancing innovation, sustainable development, and social progress. As part of our financial inclusion objectives, we pledged to equip 25 million women entrepreneurs worldwide with the tools and resources they need to grow their businesses by 2025, and we achieved our goal in June 2023,” shares Elgibali.

“Last year, we partnered with the international organisation Women Choice to establish the Social Innovation Incubator for Women’s Employment. Together, we seek to create one million

jobs for women across the Middle East and Africa in the next five years,” he adds.

FINTECH ADVANCEMENTS

From a fintech perspective, Mastercard considers itself “the original fintech”, notes Elgibali.

More particularly, the company views itself as a key enabler and partner in helping fintech companies get ahead.

“We provide the services and tools that fintech innovators need at every stage of their journey. We empower them to transform their bold ideas into reality and achieve scale at pace,” says Elgibali.

Among the examples that Elgibali refers to is a strategic alliance with HyperPay, which is the fastest-growing payment gateway in the MENA region.

ELGIBALI WENT ON TO HIGHLIGHT

MANY OTHER MEASURES that the company has carried out in terms of digital inclusion, which are listed below.

LAST YEAR, Mastercard achieved a significant milestone in government collaboration in the UAE with the launch of a unique Digital City Partnership with Dubai’s Department of Economy and Tourism. This initiative leverages Mastercard’s extensive global payments network to address key priorities outlined in the Dubai Economic Agenda (D33).

FURTHERMORE, Mastercard is actively assisting the Central Bank of Jordan in developing a payment ecosystem digitisation blueprint for the country. Mastercard also made significant strides in Jordan’s mass transit sector by introducing its innovative contactless transit payment systems, which was successfully implemented globally in cities such as London and Singapore.

CURRENTLY, Mastercard is working with the Egyptian Banks Company, the technology arm of the Central Bank of Egypt (CBE), to build a robust payment infrastructure, establish an e-wallet ecosystem, and pioneer tokenisation solutions in the country.

ScaleUp presents an opportunity for startups and SMEs to pitch innovative ideas for a chance to win Dhs250,000, meet with angel investors and gain several other benefits

AS A FINAL EXAMPLE, Mastercard partnered with the Dubai International Financial Centre under their Cyber Forward programme, aiming to boost cyber resilience across the financial industry and payments ecosystem.

“We are developing cutting-edge solutions that empower businesses, governments, and SMEs to shi t from cash-based payments to a seamless digital ecosystem,” he says.

Mastercard has also partnered with Loop to bring innovative payment methods to consumers and businesses in Saudi Arabia. In Pakistan, it joined forces with digital wallet provider JazzCash to revolutionise digital payments by introducing a ordable acceptance solutions in that country.

The company further signed an MoU with Fintech Saudi in 2023 to advance the growth of the kingdom’s fintech ecosystem.

The global payments major also has an ongoing strategic partnership with Dubai International Financial Centre in the fintech space in the UAE.

In Qatar, the company has joined forces with the Qatar Financial Centre Authority to explore the creation of a Fintech Innovation Lab catering to financial institutions, fintech players, and other financial services companies.

Finally, in Egypt, it hosts the annual Fintech Industry Retreat in partnership with GIZ Egypt and ElRehla and under the patronage of the Central Bank of Egypt, FinTech Egypt, and the Financial Regulatory Authority. Now in its fourth edition, the event convenes the country’s fintech community to explore opportunities to enhance the fintech landscape.

The ecosystem thrives when fintech companies have access to the tech they need to scale and grow further, adds Elgibali.

BOLSTERING CYBERSECURITY

Cybersecurity has become another key focus area for Mastercard as it has sought to safeguard digital payments. Interestingly, here, the innovative technology is helping Mastercard to fend o cyber threats. “We are securing the entire payments ecosystem with end-to-end encryption, tokenisation, and authentication. We work with our partners to develop innovative cybersecurity solutions, powered by advanced identity and AI technologies. McKinsey estimates that AI could potentially deliver up to $1tn of additional value each year,” says Elgibali.

MASTERCARD CROSS-BORDER SERVICES FACILITATES THE MOVEMENT OF FUNDS TO ANY END POINT ACROSS OVER 180 COUNTRIES THROUGH ONE SECURE CONNECTION, REACHING 90% OF THE WORLD’S BANKED POPULATION

In recent times, Mastercard has also acquired several companies with industryleading AI capabilities, such as Brighterion, RiskRecon and NuData, that enable it to boost its cybersecurity o erings.

“In the Middle East and Africa, we are collaborating with Network International to provide our Brighterion AI technology to 60,000 merchants across the region,” Elgibali says.

The company recently initiated an AIdriven in Saudi Arabia in partnership with SAB that leverages Mastercard Gateway’s advanced Transaction Risk Management technology to deliver safe and seamless digital transactions.

As Elgibali closes out, he highlights that “AI is fast becoming one of the greatest game changers of our time, reshaping the way we handle our finances, conduct business and interact with the global economy.”

“The next decade will be a defining one, with all our established systems intersecting with AI. We have already mentioned its unparalleled cybersecurity capabilities.

“And finally, AI-driven insights can help companies uncover whole new target customer segments, identify gaps in their o erings, solve business challenges, optimise processes, and drive e ciencies and cost savings.”

Deciphering speculative investments

In this article, investment experts from AIX Investment Group provide some advice, tips and suggestions for those looking to navigate the world of speculative investing

In the dynamic landscape of finance, speculative investments beckon with their allure of high-risk, high-reward opportunities. However, beneath their enticing surface, lie inherent risks and uncertainties. Navigating this terrain requires a keen understanding of its nuances and careful consideration of potential pitfalls. In this article, we unpack the intricacies of speculative investments, enriched with insights from Fadi Dabbagh, president of the board of AIX Investmen Group, and Harish Prithvi, COO of AIX.

UNDERSTANDING SPECULATIVE INVESTMENTS

“Speculative investments encompass financial ventures characterised by high risk and the potential for significant returns,” elaborates Prithvi. “Unlike traditional investments grounded in fundamental analysis and

historical performance, speculative ventures often rely on intuition, market trends, and speculation.”

Dabbagh adds, “Indeed, it’s this element of calculated risk that appeals to certain investors. They’re drawn to the thrill of identifying and capitalising on emerging opportunities.”

WHO BENEFITS FROM SPECULATIVE INVESTMENTS?

“Speculative investments appeal to individuals and entities with a high-risk tolerance and a thirst for adventure,” remarks Dabbagh. “Traders, venture capitalists, and seasoned investors seeking to capitalise on emerging trends or market inefficiencies often gravitate towards speculative ventures.”

Prithvi weighs in further by saying, “Absolutely, for those willing to accept the risks, speculative investments can offer a pathway to potentially outsized returns.”

Fadi Dabbagh, President of the Board

TYPES OF SPECULATIVE INVESTMENTS

Speculative investments manifest in various forms, each presenting its unique set of opportunities and challenges. From volatile penny stocks to futuristic cryptocurrencies and high-stakes venture capital investments, the spectrum of speculative ventures is vast and diverse.

“Within this spectrum,” Prithvi notes, “AIX Investment Group o ers a compelling option with AIX Bond 2.”

INTRODUCING AIX BOND 2

“Amidst the speculative investment landscape, AIX Bond 2 emerges as a compelling option,” says Prithvi. “With an impressive 12 per cent annual yield and a fixed quarterly coupon rate of

3 per cent, AIX Bond 2 stands as a beacon of assurance for investors seeking both growth and stability.”

“Dabbagh further states, ‘What sets AIX Bond 2 apart is its commitment to investor protection by utilising their unique diversified strategy. This ensures that investors can preserve their capital with minimal risk, providing a safety net amidst the uncertainties of the market.”

PROS AND CONS OF SPECULATIVE INVESTMENTS

“Speculative investments o er the tantalising prospect of significant gains within a relatively short period,” notes Prithvi. “Adding speculative assets to an investment portfolio can enhance diversification and potentially improve overall performance.”

Dabbagh further adds, “However, speculative investments are inherently risky, with the potential for substantial losses. They are highly susceptible to market fluctuations, economic downturns, and unforeseen events, leading to increased volatility and uncertainty.”

OVERCOMING THE SETBACKS

“While the risks associated with speculative investments are undeniable,” advises Dabbagh. “Savvy

12%

MINIMAL RISK

Investors benefit by preserving their invested capital, enabled by the 100 per cent payback of the bond.

REGULAR INCOME STREAM

Fixed-income coupon bonds provide investors with a steady income, allowing them to enjoy a streamlined cash flow.

Speculative investments are inherently risky, with the potential for substantial losses. They are highly susceptible to market fl uctuations, economic downturns, and unforeseen events, leading to increased volatility and uncertainty.”

investors can mitigate potential losses through strategic planning and risk management techniques,” he notes.

THE ROLE OF SPECULATIVE INVESTMENTS IN YOUR INVESTMENT PORTFOLIO

“Speculative investments play a unique role in investment portfolios,”

remarks Prithvi. “When balanced with more conservative assets, speculative ventures can enhance overall portfolio performance and resilience.”

EMPOWERING YOUR INVESTMENT JOURNEY

“In collaboration with premier experts well-versed in the nuances of speculative ventures,” emphasises Dabbagh.

“AIX Financial Consultation LLC empowers clients to discern opportunities boasting the highest potential returns,” he concludes.

LOW MARKET VOLATILITY

Bonds bear low volatility compared to equities, mutual funds, and other equivalent investments.

TRANSPARENT

As a publicly listed bond, Net Asset Value is available at the Vienna Stock Exchange and Bloomberg Terminal.

PORTFOLIO DIVERSIFICATION

Bonds enable efficient portfolio diversification and thus assist portfolio risk mitigation.

GLOBAL ADVANTAGE

As a listed financial security with an ISIN number, it allows access to bond subscriptions globally.

Harish Prithvi, COO

HEALTH AND WELLBEING

WE LOOK AT REGIONAL TRENDS AND WHY THE UAE IS ATTRACTING THE ATTENTION OF GLOBAL WELLNESS BRANDS

According to the World Bank , around two billion people face severe financial hardship when paying for health services. Intertwined challenges, such as climate change , pandemics, conflicts, societal ageing, and a projected shortfall of 10 million health-care workers by 2030, exacerbate the cycle of poverty and inequality.

OF HEALTHCARE TO 1.5BN PEOPLE WORLD BANK TO SUPPORT DELIVERY

THE WORLD BANK GROUP WILL COMBINE FINANCING, KNOWLEDGE, AND PARTNERSHIPS TO ADDRESS THIS CHALLENGE

The World Bank Group recently unveiled a new goal to help countries deliver a ordable healthcare to 1.5 billion people by 2030 by expanding services to remote areas, cutting fees and other financial barriers and focusing on lifetime care.

The development lender said it would deploy financing, its own health expertise and new partnerships with private-sector firms, non-governmental organisations and civil society groups in reaching the target, which it defines as a person receiving treatment by a health care worker through an in-person visit or a telehealth appointment.

The World Bank estimates about two billion people around the world face severe financial hardship when paying for health services. This is being exacerbated by climate change, pandemics, conflicts, societal ageing, and a projected shortfall of 10 million healthcare workers by 2030, it said.

“Providing a basic standard of care for people throughout their lives is critical for development,”

World Bank President Ajay Banga said in a statement. “This ambition won’t be realised with a solo e ort. It will require partners, a coalition of public and private sector, working together to expand access to healthcare services.”

HEALTHCARE WORKERS TO ASSIST COMMUNITIES

The World Bank said financing from its International Development Association fund for the poorest countries will aim to bring healthcare workers into communities where people may otherwise have no access to services.

In middle-income countries, the World Bank said its International Bank for Reconstruction and Development will deploy financing to incentivise government investments in health and regulations that provide market certainty and can attract privatesector investment, including in pharmaceuticals and medical equipment.

The World Bank added that Japan is launching a knowledge hub on its universal healthcare system aimed at enhancing other healthcare ministries’ capacity and expertise, an initiative supported by the World Bank and the World Health Organization.

By Reuters

A ‘HEALTHY’ BUSINESS

SUNIL JOHN , CEO OF BURJEEL HOLDINGS, SHARES HOW THE ADX-LISTED GROUP HAS MADE SIGNIFICANT PROGRESS IN ITS STRATEGIC AMBITIONS TO DRIVE INNOVATION IN THE REGION’S HEALTHCARE SECTOR

BY NEESHA SALIAN

In the wake of its successful IPO in 2022 and strong performance in 2023, Burjeel Holdings has garnered attention with a significant 15.6 per cent increase in its annual revenue, reaching a commendable Dhs4.5bn. Bolstered by a surge in net profit, operational e ciencies, and reduced financing costs, the company has witnessed a remarkable 52.4 per cent rise in profits, amounting to Dhs540m.

This success has been underpinned by strategic initiatives aimed at enhancing assets, expanding healthcare infrastructure, and providing specialised care, driving notable growth in patient revenue.

Here, Sunil John, CEO of Burjeel Holdings, talks to us about the company’s performance, the UAE healthcare industry, key trends and other developments.

Tell us about Burjeel Holdings’ financial performance. What have been the main growth drivers?

Burjeel Holdings made remarkable progress on its strategic ambitions to ramp up the group’s highgrowth assets, expand its healthcare infrastructure, and drive patient yield through the provision of highly

specialised complex care. We maintained our focus on expanding our medical network and enhancing operational efficiency through economies of scale and continued digitisation. Furthermore, with a substantial in-patient private market share of 19 per cent in the UAE, Burjeel has consolidated its position in the Emirates’ healthcare system, particularly in areas of highly complex healthcare.

Our network served more than six million patients in 2023, reflecting patients’ trust in our healthcare system and the ability to add new services to increase patient footfall. Our total patient footfall saw substantial increases of 9 per cent, primarily due to our investment in super-specialties and the ability to drive crossgroup referrals. Bed occupancy reached 61 per cent during 2023, reflecting both impressive improvement in utilization and the significant untapped capacity across Burjeel’s 16 hospitals. Our flagship facility, BMC — Burjeel Medical City, contributed 24 per cent to total hospital segment revenue in 2023. The continued ramp-up of BMC towards the end of 2023 drove a sharp increase in in-patient and outpatient footfall due to the introduction and rapid ramp-up of new services.

How did the IPO in 2022 impact the company?

The year 2022 was a landmark year in Burjeel Holding’s history, with our IPO listing on ADX. The IPO, which was multiple times oversubscribed, raised Dhs1.1bn. The proceeds from the IPO have powered our growth strategy and enabled us to continue to deliver accessible quality healthcare in the region.

Since the IPO, Burjeel Holdings has continued to rapidly expand its partnerships with world-class specialists. BMC – Burjeel Medical City, our flagship facility, opened the Paley Middle East Clinic, specializing in orthopedic care for musculoskeletal conditions and complex procedures. We also began our affiliation with Northwell Health, the largest healthcare provider in the State of New York, to launch a highly advanced Neuroscience Institute in Abu Dhabi. Furthermore, we launched the Advanced Gynecology Institute at the BMC, in collaboration with the Franco- European Multidisciplinary Institute of Endometriosis Academy (IFEM Endo). Lastly, we formed a partnership with Digipharm, a UK-based healthcare solutions innovator, demonstrating the Group’s commitment to enhancing its research and development capability and its use of technology to greatly enhance patient care.

How is the UAE transforming as a healthcare destination?

The UAE healthcare sector has experienced significant growth and transformation over the past decade, driven by a growing focus on private healthcare services. Factors contributing to this growth include an increasing preference for specialised care among nationals and expatriates and steady spending momentum across both demographics. The sector is supported by strong GDP growth, an increase in per capita healthcare spending, under-penetration of healthcare infrastructure, the prevalence of chronic and lifestyle diseases, and supportive healthcare service usage among nationals. The UAE’s health budget increase will support the country’s continued efforts to establish itself as a regional hub for healthcare. The 2024 general budget is Dhs64.1bn ($17.4bn), with a provision of Dhs5.2bn ($1.4bn) for healthcare and community protection. This allocation for healthcare in 2024 represents an 8.3 per cent increase from 2023.

THE 2024 GENERAL BUDGET IS DHS64.1BN ($17.4BN), WITH A PROVISION OF DHS5.2BN ($1.4BN) FOR HEALTHCARE AND COMMUNITY PROTECTION

How do you see AI and advanced technology impacting the medical ecosystem?

The adoption of telemedicine, AI, and electronic health records has improved access to care, enhanced diagnostic accuracy, and personalised treatment plans. The UAE is well poised to pioneer the technology-driven healthcare ecosystem in the region and create a future-proof delivery model that offers medical solutions that are personalised, preventive, and predictive. Technology is at the core of Burjeel’s patient-facing and back-office strategy. We are implementing Oracle’s state-of-theart electronic Medical record (EMR) system to deliver transformative clinical, commercial, and operational efficiencies across our healthcare facilities. EMR will enable improved digital outreach, process automation, and better use of patient insights to drive excellent outcomes. Additionally, data analytics and AI-led solutions are being harnessed to optimise patient care processes and enhance operational efficiency.

Through strategic partnerships with the Department of Health-Abu Dhabi, we are dedicated to advancing patient care standards. We also announced a new strategic partnership with e& enterprise, which is bringing advanced technology into the healthcare sector and transforming how we deliver care to our patients. By integrating sophisticated telehealth and remote patient monitoring systems, we are set to enhance patient access, improve care quality, and streamline healthcare delivery.

Tell us about your presence at Abu Dhabi Global Healthcare Week.

Our participation in the Abu Dhabi Global Healthcare Week underscores our commitment to advancing healthcare standards and our support for Abu Dhabi’s vision as a leading destination for medical tourism and healthcare innovation. This commitment aligns with our promise to ‘Safeguarding your Health at The World’s Safest City'. We will showcase our advanced healthcare services and will also mark the launch of our upcoming ‘H for Hope’ campaign, which shares powerful recovery narratives from our patients. The event offers an excellent platform to demonstrate our leadership in sophisticated healthcare delivery and reaffirms Abu Dhabi’s status as a pre-eminent centre for healthcare excellence and safety. With a team of internationally experienced professionals and a reputation for complex medical care, our flagship facility exemplifies how expert medical practice, combined with genuine patient engagement, drives hope and ensures safety across the healthcare spectrum.

AN INTEGRATED APPROACH

DR ZEMER WANG , MEDICAL DIRECTOR AT DP WORLD’S AVIV CLINICS, TALKS ABOUT STRESS, AGEING AND BRAIN PERFORMANCE AND HOW THE CLINIC’S MULTIDISCIPLINARY PROGRAMME HAS BEEN HELPING PEOPLE LIVE PRODUCTIVE AND HEALTHY LIVES

BY NEESHA SALIAN

Aoperations and ensuring that our facility provides the most advanced healthy ageing protocol to achieve optimal patient outcomes. My expertise centres on improving health span – the years of life lived in good health – rather than lifespan or longevity.

Tell us how stress can contribute to ageing and disease in the long run.

Stress plays a significant role in accelerating the ageing process and contributing to chronic diseases. In the long run, negative stress, which overwhelms our ability to cope, can harm our health. It triggers the release of stress hormones like cortisol, which can wreak havoc on our bodies, leading to conditions such as heart disease and arteriosclerosis.

Additionally, chronic stress o ten results in unhealthy lifestyle choices, such as poor diet, lack of exercise, and insu cient sleep, compounding its detrimental e ects.

As we age, the cumulative impact of these factors can severely impair our health and quality of life, underscoring the importance of managing stress e ectively to maintain health and vitality.

How does your clinic approach the concept of longevity and reverse ageing, and what innovative practices or technologies do you integrate into your approach?

viv Clinics has more than 15 years of pioneering research in hyperbaric oxygen therapy (HBOT) to its credit, setting a global standard in brain performance and healthy ageing. As a wholly-owned subsidiary of DP World, Aviv Clinics Dubai has brought this treatment modality to Dubai.

The clinic’s personalised approach integrates HBOT with patented cognitive training and nutritional coaching, tailored to address a spectrum of conditions from post-Covid symptoms to age-related decline, as well as stress.

Here, Dr Zemer Wang, medical director at DP World’s Aviv Clinics, tells Gulf Business how the clinic’s multidisciplinary programme is helping people improve their health for the better.

Give us an overview of your role as the medical director at Aviv Clinics and your experience in the field of longevity and reverse ageing.

As the medical director at DP World’s Aviv Clinics Dubai, my primary role involves overseeing our clinical

Our approach to reverse ageing and longevity is based on improving the period of life spent in good health, known as health span. We focus on practical and clinically proven interventions that can demonstrably reverse biological signs of ageing at the cellular level. At the core of our innovative, multidisciplinary programme is HBOT.

Our innovative application of this trusted therapy has shown remarkable outcomes in rejuvenating cells, enhancing cognitive function, and improving overall physical health.

Our holistic approach encompasses physical, cognitive, and nutritional aspects of health. We integrate physical training programmes tailored to enhance strength, mobility and endurance, vital for safely maintaining independence as one ages. Cognitive training is a key component of our regimen, aimed at improving mental acuity and problem-solving skills, essential for an active and engaged lifestyle.

Nutritionally, personalised dietary plans are designed to support cellular health and overall well-being. These plans are based on the latest research and tailored to the individual needs and goals of our patients, considering their specific health conditions. This comprehensive

Our approach to reverse ageing and longevity is based on improving the period of life spent in good health, known as health span."

approach ensures that each aspect of the brain and body is addressed, providing our patients with a robust foundation to live more healthy years of life.

Can you explain the concept of HBOT and how it contributes to enhancing overall wellbeing and longevity?

The core of our treatment programme is HBOT, which involves breathing a specific protocol of pure oxygen in a pressurised environment. Our world-class hyperbaric suites create high-pressure atmospheric conditions that allow the lungs to gather more oxygen than pure oxygen at normal atmospheric pressure.

The increased oxygen absorption significantly enhances the body’s natural healing processes. It aids in treating various conditions by stimulating the release of growth factors and stem cells, which promote healing and combat ageing. Specifically, clinical research using our unique HBOT protocol has shown enhanced cognitive function and energy levels, stem cell proliferation and improvements in two of the key cellular biomarkers of ageing: telomeres and senescent cells. In the long term, HBOT helps reduce inflammation, enhance neuron repair, and improve overall brain function.

We have observed remarkable improvements in cognitive and physical health among our patients, as evidenced in pre- and post-treatment assessments. Short-term memory and attention span are enhanced, as are complex multitasking and concentration abilities. These cognitive skills are critical for high-stakes decision-making and lead to increased productivity and e ciency, enabling executives to navigate the demands of their roles with greater ease and e ectiveness. For older adults who are no longer working, these skills translate to more years of mental acuity and independence. Physically, patients experience enhanced endurance and strength, contributing to a better overall quality of life. We’ve seen individuals who had previously struggled with routine physical activities, like climbing stairs, now perform them e ortlessly. Additionally, athletes and active people report faster recovery times a ter physical exertion and increased energy levels.

OUR ADVANCED GAIT ANALYSIS TECHNOLOGY IS EQUIPPED WITH OVER 8,000 SENSORS AND A CAMERA SYSTEM

Give us examples of some cutting-edge treatments or technologies used at Aviv Clinics that have shown promising results in optimising health and promoting longevity.

In addition to HBOT, we use high-resolution MRI and SPECT brain imaging to provide the most detailed analysis of structural and metabolic functions in the brain. This combination of imageing allows our comprehensive medical team to tailor cognitive and physical therapies based on specific neural activity patterns that are unique to each patient. Many times, we discover weakened activity in the brain from injuries that happened years ago. If le t untreated, these injuries could impact quality of life by limiting cognitive function later in life.

Our clinic employs a sophisticated computerised cognitive training platform with various brain training exercises. Each patient’s customised treatment plan is built to improve their own cognitive limitations, such as memory, focus, and problem-solving skills. Furthermore, our advanced gait analysis technology is equipped with over 8,000 sensors and a camera system.

This setup assesses walking patterns to identify areas of improvement, aiding in preventing falls and enhancing mobility, which is particularly important for our older adult patients.

Lastly, how do you envision the future of longevity and ageing reversal, and what advancements do you anticipate in this field in the coming years?

The future of longevity and ageing reversal is incredibly promising. We are entering an era where age-related decline is increasingly seen as a preventable and treatable condition rather than an inevitable part of life.

In the coming years, I anticipate a surge in innovative treatments designed to address ageing.

Currently, the advanced hyperbaric protocol we employ is the only evidence-based treatment scientifically proven to impact human ageing. This sets a precedent for the potential of similar breakthroughs that could significantly alter how we approach longevity and health span.

Research in this field is rapidly expanding, with promising results already seen in animal studies. We’ve made considerable progress in strategies extending the lifespan of mice, rats, and even primates through various interventions.

The challenge now is to translate these successes to human ageing, tailoring interventions that can be both safe and e ective.

WELLBEING HAVEN OF

SHA EMIRATES, THE WORLD'S FIRST “WELLNESS” ISLAND, WILL FEATURE AN INTERNATIONAL WELLNESS CLINIC AND RESIDENCES THAT REFLECT A TRANSFORMATIVE APPROACH TO HEALTHY LIVING

BY NEESHA SALIAN

ar from the madding crowd, in a private and exclusive enclave nestled between Abu Dhabi and Dubai, lies the picturesque AlJurf Gardens. The meticulously planned development features lush vegetation and a private marina and beach – all of which add to its appeal. The area, which is part of a nature reserve created to protect oryx and gazelles native to the UAE, will soon host the world’s first “wellness” island.

FUnveiled in April, Sha Emirates Island, a fully integrated wellness haven, is born out of a partnership between Abu Dhabi-based developer, Imkan Properties and award-winning international wellness brand, Sha Wellness. The destination is envisioned as more than just a luxurious escape, it’s positioned as a residential community designed to nourish the mind, body and soul.

Suwaidan AlDhaheri, CEO of Imkan Properties, says: “The partnership between Imkan and Sha Wellness Clinic has brought Sha Emirates to AlJurf with a shared vision to become a catalyst for health and wellness in the UAE. Sha’s philosophy is that the very best health for

Suwaidan AlDhaheri

mind, body and soul is attained through marrying optimum nutrition and treatments with external elements of luxurious and relaxing surroundings.”

Founded by Alejandro Bataller, an Argentinian-born entrepreneur with Spanish-Italian roots, Sha Wellness through its personalised programmes has helped more than 65,000 people experience a significant transformation in their health and wellbeing. These include a long list of members of royal families, heads of state and other celebrities.

In January, the wellness brand opened its second clinic in Costa Mujeres, Mexico, overlooking the Caribbean Sea. Its third clinic, at Sha Emirates Island, also promises to extend the benefits of the renowned Sha Method – to both residents and visitors. The holistic approach to wellness was developed by a team of worldclass experts and perfected over 15 years.

“We are excited to bring the unique SHA Method to the Middle East, making it possible for more people to benefit from our philosophy of integrative health and wellbeing. We travelled to dozens of locations in search of the perfect natural environment, warm weather and accessibility to create the world’s first fully integrated wellness island and found everything we could imagine and more at the seaside destination of AlJurf,” says Bataller.

THE DESTINATION IS ENVISIONED AS MORE THAN JUST A LUXURIOUS ESCAPE, IT’S POSITIONED AS A RESIDENTIAL COMMUNITY DESIGNED TO NOURISH THE MIND, BODY AND SOUL

He adds, “We started working together with Imkan in 2018. We decided to increase the size and scope of the project after the Covid pandemic, seeing the growing demand for such an offering. We decided to expand the project and facilities.

“So far, this is the most ambitious project for us. Sha is a difficult brand to replicate. This is not like a luxury hotel chain that you can just open around the world.

"We’ve put our know-how in the development and even the selection of materials to build the development to create a holistic, wellbeing-infused product that people living on the island can have access to.”

The exclusive wellness destination is expected to raise the UAE’s profile as a wellness hub considering AlJurf’s proximity to both Dubai and Abu Dhabi.

AlDhaheri says, “Sha Emirates Island will position AlJurf as the first destination in wellness tourism, mirroring our vision for the development. It’s the ideal setting for our wellness-led project.”

Bataller adds “Internationally, wellness tourism is growing around 16-17 per cent annually. People are more concerned about how to stay healthy.

"The main challenge for a person who has attended a wellness programme is the consistency and discipline required to maintain a healthy lifestyle after they return home.

"This concept will see health and wellness become an ongoing pursuit for all residents and visitors, allowing them to enjoy the lifelong benefits of what we offer at Sha Wellness.”

AN EXCLUSIVE RESIDENTIAL COMMUNITY

The island sanctuary will offer residents a selection of beachfront, shoreline and garden villas (a total of 86), each designed to maximise comfort, space and connection to nature.

A selection of one-to four-bedroom apartments, including two penthouses will be available. These will feature the same design elements as the villas. Sustainable practices are woven into the very fabric of the residences, with locally sourced materials, energy-efficient appliances, and solar-powered features, creating a sense of harmony with the environment. A team of international and local architects and designers – SAOTA, HBA, SIEC and OTAK – are working on the project. The destination is being created to achieve the WELL building certification System from Delos, the global authority on green building and practices.

Residents will also have exclusive access to a world of amenities dedicated to fostering a healthy lifestyle. Imagine unwinding at the state-of-the-art Sports Pavilion (one of nine pavilions), indulging in rejuvenating treatments at the on-site Sha spa, or exploring the island’s natural beauty on dedicated bike paths. Families can bond at the Family Pavilion, while the Wellness Kids Club (one of several pavilions) will introduce younger residents to healthy habits in a fun and engaging environment. Residents can also expect to participate in island-wide events, connect with neighbours who share their passion for wellness and forge meaningful connections.

RESIDENT PROFILE

Bataller says, “We don’t want to become just another luxury residential project. We want to make sure that the people who want to live here have a genuine interest in health and wellbeing. We’re looking at welcoming an international clientele mainly between 40 to 60 years old, who are looking to make Sha Emirates their first or even second home.”

He adds that people can register their interest in buying a property on Sha Emirates. “We are extending the opportunity first to family and friends and then to our clients and others. There will also be an application process to make sure potential residents are aligned with the principles and the values that are synonymous with Sha.”

The wellness island will also be an ideal setting to conduct scientific research to show how life expectancy, oxidative stress and other related factors can improve when you live in such a conducive environment, says Bataller, who intends to partner with Arab universities to run such studies when the destination opens to residents and visitors in the middle of 2026.

Alejandro Bataller

TAKE THE RIGHT STEPS

SMALL

MODIFICATIONS TO DIET, EXERCISE AND OTHER HABITS AND CAN HAVE GREAT RETURNS ON HEALTH, EMPHASISES DR STELLA GEORGE, CHIEF MEDICAL OFFICER, INTERNATIONAL HEALTH, CIGNA HEALTHCARE

Ahealthy diet, physical activity and tobacco control are at the centre of UAE’s National Policy for Promoting Healthy Lifestyles. It is also an important element of the 'We the UAE 2031' vision of a state-of-the-art healthcare system that supports healthy lifestyles.

The determination of the Ministry of Health and Prevention to promote healthy lifestyles reflects an international consensus that a good lifestyle can prevent and even reverse the most prevalent and "costly" to treat chronic conditions.

The UAE’s national indicators (2020) for health performance include a male smoking rate of 15.7 per cent, a child obesity rate of 17.3 per cent, 11.8 per cent of the population with diabetes, 26.8 cancer deaths per 100,000 and 84 deaths from cardiovascular disease per 100,000. All these indicators could be reduced with a wider adoption of healthy lifestyles. Globally, of the 41 million deaths due to chronic disease each year, 30

per cent can be attributed to lifestyle risk factors, eight million to tobacco use, 1.8 million to excess salt (or sodium) intake, over 1.5 million to alcohol and nearly a million to insu cient physical activity.

Dietary intervention and physical activity could reduce diabetes-related deaths by more than a million every year. Research shows that lifestyle treatments can reduce or reverse long-standing Type 2 diabetes within just three months.

Other chronic conditions that can be significantly impacted by lifestyle modification include chronic kidney disease, progression from prodromal to manifest Parkinson’s disease, mental health conditions, autoimmune diseases, and non-alcoholic fatty liver disease (NAFLD).

Lifestyle changes augment and strengthen our natural defence systems, thereby reducing the need for artificial or external remedies.

For people with hypertension (high blood pressure) – one of the most important risk factors for cardiovascular diseases – it’s been shown that lifestyle changes can reduce the required number and/or dose of blood pressure medications.

One study found that six months a ter stopping these medications, only 29 per cent of participants who lost weight and restricted their sodium intake required medication again. Conversely, 60 per cent of participants who failed to adopt these changes did need further medication.

STRESS, THE COMMON DENOMINATOR

Two decades ago, when I was studying medicine, we never talked about stress in terms of lifestyle risk factors. It was always about exercise, diet, sleep, smoking, and alcohol.

Recent findings from the Cigna Vitality Study have highlighted the alarming prevalence of stress in the UAE and Saudi Arabia. The study revealed that stress levels in these regions are significantly higher, standing at 89 per cent and 88 per cent respectively, compared to a global average of 80 per cent. This emphasises the urgent need to address stress as a critical component of overall health and wellness in these populations.

If we’re stressed, we’re less likely to make healthy choices in diet and more unwilling to exercise or hang out with friends. Stress also increases tobacco, alcohol, and drug use. Even worse, chronic stress can overwhelm our mind and body, causing a number of physical health issues which raise our vulnerability to viral infections and life-threatening conditions, such as hypertension, heart disease, Type 2 diabetes, obesity and metabolic syndrome.

PHYSICAL ACTIVITY –A SILVER BULLET?

Physical activity changes our energy patterns and a ects what we eat, the way we sleep and sustainable weight management. Best of all – it does not need to involve Olympic-level athleticism or step counts. Adequate physical activity at the age of 50 and above can be life-changing, even if you have never done any before, because without activity your body can quickly become frail. Muscle loss at this age becomes more prominent and undermines your strength, swi tness and stamina, while at the same time, you may develop osteoporosis or reduced balance. All these factors mean that without adequate exercise, events such as a fall can more easily result in a fracture, which can take longer to heal and result in further complications.

To slow muscle loss and boost bone health, you need to add protein-rich foods and necessary amounts of vitamins and minerals to your diet, as well as maintain regular physical activity. This should include 30 minutes of aerobic exercise per day and two hours of exercise to help with strength, balance, and flexibility per week (such as yoga, tai chi, Pilates, and/or isometric weightli ting).

We’re creatures of habit, so developing healthy routines is among the most powerful tools we have to ensure healthier lifestyles. Right from childhood, establishing good routines set us up for healthier behaviours: dedicating time to eating right, sleeping enough and exercising more.

3 days/week of moderate/greater intensity functional balance and strength training

Source:

Dr Stella George

SLEEP RIGHT, SLEEP TIGHT

A RECENT STUDY SHOWED THAT 40 PER CENT OF UAE RESIDENTS ARE NOT GETTING THE RIGHT AMOUNT OF SLEEP AND CAN IMPROVE THEIR SLEEP QUALITY SIGNIFICANTLY. WE DIG DEEPER TO LEARN MORE

In March, hotel chain Premier Inn Middle East and Silentnight Arabia, a UK-based bed brand, revealed new insights into the sleep quality and habits of UAE residents. The survey polled more than 950 individuals.

THE STUDY FOUND THAT…

The majority of respondents (80 per cent) reported that they feel as though they get a good night's sleep with 56 per cent sleeping six-eight hours per night; 41 per cent sleep less than six hours per night

A third (32 per cent) of respondents indicated that they suffer from an IRREGULAR SLEEP SCHEDULE

AVOIDING CAFFEINE (34 per cent) ranked second on the list to ensure sound sleep

TEMPERATURE AND CLIMATE also scored high on the survey (36 per cent) as a factor affecting sleep

THE MOST POPULAR SLEEP ROUTINE AMONG RESPONDENTS WAS WATCHING TV BEFORE BED (35 PER CENT)

29 PER CENT checked social media before going to bed

SLEEP CAN BE DISRUPTED BY MANY FACTORS, WITH STRESS BEING NUMBER 1 IN THE SURVEY (48 PER CENT)

LISTENING TO PODCASTS OR MUSIC (23 per cent), and reading a book ( 15 per cent) were popular hobbies before bedtime

34 PER CENT PEOPLE BRUSH THEIR TEETH AS THE LAST THING THEY DO BEFORE BED.

23 per cent of respondents actively LOWERED THE ROOM TEMPERATURE to ensure they slept well

55 PER CENT of the respondents reported going to bed between 10pm and midnight , while a significant number (27 PER CENT) said they go to sleep after midnight

People who sleep well most nights

People who sleep six-eight hours per night People who sleep less than six hours per night

FACTOID

According to the Sleep Health Foundation, the timing of our need for sleep is based on two factors:

The first is how long we have been awake

The second is our body clock If we stay awake all night we will feel more tired at 4am than at 10am.  Scientists call the time between 3am and 5am the ‘dead zone’. It’s when our body clock makes us ‘dead’ tired

HANNAH SHORE’S

10 TIPS TO SLEEP BETTER

TV AND DEVICES:  Tech isn’t always bad. If you are using a device before bed, use it in eye comfort mode to create calming sounds, listen to podcasts or breathing exercises

MUSIC, PINK AND WHITE SOUNDS: Certain sounds can help you fall asleep such as ocean waves, rainfall and a buzzing fan

AIRCONDITIONING: Dry air from the airconditioning can lead to dryness within the skin, throat and nose which can increase snoring. Using a humidifier can help

NEARLY HALF (47 PER CENT) of the respondents woke up between 6am and 8am , and 36 per cent between 4am and 6am

THE BIG DRIVING FORCE FOR WAKING UP IS THE ALARM CLOCK (81 PER CENT ), followed by family members or roommates (30 per cent), light exposure (27 per cent) and bird song (7 per cent ). Other wake-up aids include the sound of a kettle boilin g, the smell of breakfast , the body’s circadian rhythm , and the call to prayer

SOCKS: Bed socks can increase the blood circulation which can help with cooling the body down. Avoid the thicker ones

EARPLUGS: Invest in quality earplugs to block out construction and traffic noises if you live in an area prone to them

SLEEP TRACKERS: A great way to see how much sleep you are getting, however don’t rely on them too heavily as they can lead to sleep anxiety

PILLOWS: Pick the right pillow to match your sleeping style: front and back sleepers require thin pillows, while side sleepers need thicker ones to support the gap between the ear and shoulder edge

BRIGHT LIGHT:  Bright light at sunrise can easily wake you by halting sleep hormone production. Use blackout blinds, curtains, or an eye mask at home to block out this brightness

WORK: Taking work to bed can overstimulate our minds, making it hard to switch off. If you must work in your bedroom, set up a dedicated workspace to create separation between work and sleep

BED SHARING:  When sharing a bed, you’ll have to prioritise each other’s sleep routines. Try separate duvets to create your own space to reduce partner disturbance

Adults should aim for seven to nine hours of good quality sleep per night, six hours is on the lower end. We must allow our bodies the right amount of time in each stage of sleep to fully recover - five cycles of 90 minutes per night. Deep sleep repairs the body physically whereas light sleep benefits the brain function and emotional processing.

“A consistent sleep schedule ensures a good night of sleep. Irregular sleep patterns, like late nights and weekend lie-ins, lead to social jetlag, making Monday mornings much tougher.”

— HANNAH SHORE , sleep expert at Silentnight Arabia

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Lifestyle

An expression of elegance

Guido Terreni, CEO of haute horology brand, Parmigiani Fleurier, on his definition of luxury and the key values that distinguish the maison from its counterparts p.56

“The brand has roots that go back to 1906 and we continue to maintain our focus on producing high-quality footwear and apparel, prioritising function and leading the way with trends. This commitment to quality has fostered trust and loyalty a mong our customers who value performance and durability.”

Stuart Henwood, regional GM MEA and India at New Balance

HUBLOT Classic Fusion Tourbillon Orlinski 2024

Hublot’s brand’s collaboration with Richard Orlinski, the best-selling French artist, yields this stunning timepiece in vibrant yellow or sky blue. Its ‘beating heart’ is still the manually wound HUB6021. Its components, such as the crown and the six H-shaped screws around the bezel, appear suspended in space by black PVD skeleton bridges. The 45mm case boasts the bold contours of Orlinski’s style.

TIMELESS APPEAL

CEO GUIDO TERRENI HAS POSITIONED PARMIGIANI FLEURIER FOR SUSTAINED GROWTH BY FOCUSING ON INNOVATION, EXCEPTIONAL CRAFTSMANSHIP AND A DISTINCT BRAND IDENTITY

BY NEESHA SALIAN

When you think of the legacy of excellence that Swiss luxury watchmaking is known for, one brand that comes to mind is Parmigiani Fleurier (PF). The brand – named a ter its founder Michel Parmigiani – was created in Val de Travers in 1996. While remaining true to its founding values of aesthetic and mechanical innovation under the auspices of the Sandoz Foundation and the leadership of its CEO Guido Terreni, the

brand has been rewriting the rules of watchmaking with its iconic timepieces and focused strategy. Gulf Business spoke to Terreni ahead of Watches and Wonders in April. He shared the strategic direction that he adopted to reinvent the brand while marrying strategy with horological cra tsmanship. Terreni also discussed the brand’s iconic Tonda PF collection, its variations and how the maison continues to exemplify refined elegance and authenticity. Here are excerpts from the discussion.

You have been credited with infusing the brand with new vigour since you took over as CEO in January 2021. Tell us about the strategy driving this change and the highlights so far.

It’s been an incredible journey of transformation. Over the past three years, we’ve recentered PF, placing the brand’s core values and its discerning clientele at the forefront of our endeavours. Reflecting on Michel Parmigiani’s original vision, we aimed to recapture the essence of what made the brand a symbol of prestige in 1996.

At the heart of this renaissance was a fundamental question: Who is the modern-day patron of fine watchmaking? We sought to cater to individuals who eschew convention, individuals driven not by social status but by deeply personal ethics and values. This introspection led to the birth of the Tonda PF collection, a manifestation of understated elegance and exemplary craftsmanship.

The Tonda PF embodies a minimalist aesthetic, underscored by meticulous attention to detail. With its signature micro-rotor and refined finishing, each timepiece exudes quiet sophistication. Straying from overt branding, we crafted a timepiece that speaks volumes through its subtlety, appealing to connoisseurs who seek bespoke luxury.

In 2022, the success of Tonda PF reverberated across the industry, bringing the maison back into the spotlight. Bolstered by innovations such as the GMT Rattrapante and the Minute Rattrapante, we’ve pushed the boundaries of horological innovation. Moreover, our reverence for diverse cultural perspectives found expression in the Tonda PF collection. By incorporating various cultural calendars into our timepieces, we pay homage to the rich tapestry of global timekeeping traditions. Within this space, we offer the Tonda PF in three exceptional timepieces:

“BY INCORPORATING VARIOUS CULTURAL CALENDARS INTO OUR TIMEPIECES, WE PAY HOMAGE TO THE RICH TAPESTRY OF GLOBAL TIMEKEEPING TRADITIONS.”

the Islamic Hijri (lunar) calendar, the Chinese Xiali (lunisolar) calendar and the annual Gregorian (solar) calendar. These timepieces represent a blend of technical mastery and cultural appreciation.

This renewed focus on product excellence, coupled with strategic distribution and communication efforts, bore fruit. From weathering the challenges of 2020 to achieving unprecedented growth in 2023, PF experienced a remarkable resurgence, with a fivefold increase in size and tripled volume. As we chart a course forward, profitability signals not just success, but the dawn of a new chapter for the maison. Our commitment to innovation, craftsmanship, and client-centricity remains unwavering.

How would you describe luxury particularly when it comes to watches?

Luxury, to me, is far more than a mere label; it’s an ongoing pursuit of perfection. In the realm of watchmaking, this pursuit has sometimes been overshadowed by a tendency to dwell on past glories. While there’s value in honouring tradition, true luxury lies in the dynamic interplay between heritage and innovation.

Over the past few decades, the industry has witnessed a resurgence of interest in vintage timepieces. While this trend reflects a reverence for the past, it also speaks to a broader cultural shift — a recognition that the future is not inherently brighter than what has come before. As such, luxury is no longer solely about chasing the next big thing; it’s about cherishing craftsmanship and creativity that stand the test of time.

For me, luxury is also about crafting timepieces that push the boundaries of what’s possible. It’s about infusing each creation with a sense of artistry and ingenuity that captivates the imagination. In essence, luxury should inspire, delight and endure, resonating with discerning collectors across generations.

What is the watch that we would most likely find you wearing from PF’s collections?

If you were to glance at my wrist today, you’d find a timepiece that holds a special place in my heart: the Tonda PF microrotor in steel. It’s not just a watch; it’s a symbol of our journey of reinvention and innovation. This watch was the first we designed under my leadership, and it serves as a cornerstone of our entire collection. What makes it truly remarkable is not just its elegant design or impeccable craftsmanship, but the story behind its creation. I’m deeply attached to this watch because it was created in a remarkably short time

Guido Terreni

Tonda PF Hijri calendar

frame – just seven months. This achievement was made possible by the internal capabilities of our team, the Sandoz Foundation, and the unique circumstances of the pandemic. With surplus production and development capacity available, we were able to streamline the watch’s development process significantly.

From the initial idea to its realisation, we knew exactly what needed to be done, allowing us to swiftly bring the concept to life. This feat of efficiency will undoubtedly be remembered as a pivotal moment in our brand’s history – a testament to our adaptability and resilience.

It also underscores an important aspect of how we position ourselves vis-a-vis our competitors.

In your opinion, what is the brand’s USP and its focus on innovation?

I believe we’ve redefined PF’s brand identity by honouring its original aesthetic code. For us, it embodies a private luxury – a refinement tailored for the discerning watch connoisseur, without being ostentatious. This essence permeates every creation we undertake, emphasising purity of design and understated elegance.

In integrating craftsmanship, commercial viability, and innovation, there’s no fixed formula. It’s a delicate balance guided by sensitivity and emotion rather than a rulebook. Luxury, after all, is about evoking feelings, not fulfilling needs. We understand that the market doesn’t lack watches; it lacks unique expressions and meaningful narratives.

As an independent brand, we have the privilege of curating our clientele, serving those who resonate with our refined, understated ethos. Our approach revolves around understanding the emotions and aspirations of our ideal customer and translating these insights into aesthetically and technically superior creations.

Take, for instance, our world premieres. When innovating technically, we ensure consistency with our defined style. The way we unveil functions becomes an integral part of our design philosophy. Functions are concealed yet easily accessible, embodying a philosophy of understated sophistication. So, when you’re not travelling, the GMT Rattrapante is a simple two-handed display of time, showing the hour and minutes. And the same thing goes for the Minute Rattrapante.

Everything about the brand is subtle. Consider our approach to guilloché – a traditional technique reimagined for modernity. By miniaturising the guilloché, we’ve transformed it into a contemporary feature, subtle yet captivating. Similarly, our logo speaks volumes conveying the brand in a refined, elegant manner. The elliptical logo with the letters ‘PF’ was previously hidden in the movement and on the crown but we gave it a more prominent location on the dial.

Ultimately, it’s about employing creativity judiciously, crafting designs that resonate with our audience while staying true to our heritage and values.

Tell us about PF’s presence in the Middle East.

In terms of PF’s presence in the Middle East, we’re strategically expanding our distribution, prioritising strong partnerships over rapid expansion. Currently, we’re successfully established in Abu Dhabi with Mohammed Rasool Khoory & Sons, in Bahrain with PRJKT8, and Doha with Al Majed

Jewellery. We acknowledge the importance of Dubai and Saudi Arabia and are actively seeking opportunities in these key markets.

The recent introduction of the Tonda PF Hijri calendar has garnered exceptional feedback, particularly from Middle Eastern customers appreciating our deep cultural resonance.

This reinforces our commitment to interpreting regional creativity in a noncommercial manner, aligning with the profound values of our clientele.

What are some of the trends that you see dominating the watch industry?

As for key trends in the watchmaking industry, our focus remains on anticipating rather than following trends. The Tonda PF, introduced three years ago, exemplifies our approach by embodying timeless elegance over transient trends. We believe true luxury transcends mere fashion trends, emphasising personal expression, refinement, and cultural understanding.

Moving forward, we anticipate continued interest in the versatile sport chic trend, exemplified by metal bracelet watches. Additionally, there’s a growing appreciation for dress watches and strap variations, especially among collectors.

Regarding collaborations and partnerships, while not currently on our agenda, we remain open to opportunities that align with our brand ethos.

Looking ahead, PF is committed to diversifying our product lines while remaining true to our core values. As a leader, my leadership style focuses on sharing a vision rooted in our brand’s values, fostering alignment, and empowering our team to uphold our brand’s legacy while innovating for the future.

The Toric collection by Parmigiani Fleurier is making an exciting comeback in 2024 and was showcased at Watches and Wonders in Geneva in April. Redefining luxury with a modern twist, the Toric collection seamlessly blends technical innovation with refined aesthetics.  The timepieces, crafted from noble materials such as gold and platinum, feature manual winding. The collection’s dial is adorned with bevelled edges and meticulous graining. The alligator strap, finished with a sartorial stitch known as punto a mano, adds to the elegance and comfort of wearing. The movements, crafted in rose gold, showcase the maison’s mastery of horological artistry and focus on purity.

PARMIGIANI FLEURIER AT WATCHES AND WONDERS 2024

Tonda PF Automatic

THE RIGHT BALANCE

STUART HENWOOD, REGIONAL GM MEA AND INDIA AT NEW BALANCE, SHARES THE FACTORS DRIVING THE ACTIVEWEAR BRAND’S GROWTH IN THE MIDDLE EAST AND HOW ITS ENDURING LEGACY HAS DRIVEN ITS APPEAL AMONG REGIONAL CUSTOMERS

BY NEESHA SALIAN

New Balance, a brand synonymous with athletics since 1906, has carved a unique path in the world of sportswear and accessories. The brand’s success is evident – in 2023, it raked in a whopping $6.5bn in sales worldwide.

Furthermore, its trendsetting collaborations and focus on values have made the brand a global favourite. Here, Stuart Henwood, regional GM MEA and India at New Balance, talks about the company’s successful growth trajectory in the Middle East and why its appeal resonates with customers in the Middle East.

What inspired New Balance to expand its presence in the Middle East market?

The MENA region is a hugely exciting and diverse market that is increasingly setting cultural trends on a global level. Since establishing our New Balance MENA subsidiary in Dubai in July 2019, we’ve been on an expansion journey across both the GCC and Africa.

We’ve seen strong growth including doubling sales at our flagship store in Dubai Mall from 2022 to 2023 and have opened owned and operated stores in Dubai and Abu Dhabi, with plans to launch two more across the UAE this year.

Our network of partner stores also continues to expand across Kuwait, Qatar, Egypt, and Morocco, reflecting our commitment to engaging with diverse communities across the region.

What are the core values that have made New Balance such a global icon? How has it endured and maintained its popularity? Put simply it’s about maintaining our core principles no matter what we do - authenticity, innovation, and fearless commitment to quality cra tsmanship. The brand has roots that go back to 1906 and we continue to maintain our focus on producing highquality footwear and apparel, prioritising function and leading the way with trends. This commitment to quality has fostered trust and loyalty among our customers who value performance and durability. By championing diverse athletes and supporting grassroots initiatives, we continue to work with a wide range of partners, stakeholders and communities who share our ethos of inclusivity and empowerment. This has been demonstrated through our recent launch of our ‘Run Your Way’ campaign which aimed to create a global conversation celebrating movement of every type, by removing running stereotypes and promoting a more inclusive and positive view of running.

Tell us about some of the key partnerships that have made the brand so niche.

New Balance has a rich history of collaborating with both established brands and emerging talents across various industries. In the lifestyle space, recent examples include Teddy Santis, Aime Leon Dore, Ganni and Stone Island just to name a few. Collaborations play a key role and have helped establish the brand within the fashion space but more importantly, it’s underpinned by extremely strong inline collections across footwear and apparel.

Stuart Henwood

What specific strategies is New Balance implementing to resonate among consumers in the MENA region?

We’ve tailored our products to suit various lifestyles and fashion preferences across MENA, focusing on performance-driven footwear and apparel as well as lifestyle. We’ve also engaged in localised marketing by partnering with regional ambassadors and celebrities to authentically connect with customers.

Additionally, we’ve invested in immersive retail experiences including flagship stores and pop-up events.

These physical spaces not only serve as retail doors but also as hubs for community engagement and brand storytelling, fostering a sense of belonging and loyalty among consumers. This is best demonstrated by our brand-new retail concept ‘Uncommon Common’, which we have successfully launched in Dubai Hills and Yas Mall Abu Dhabi.

How does New Balance approach cultural nuances and preferences when designing and marketing its products?

We actively seek collaboration and partnerships with local artists, designers, and ambassadors to infuse authentic cultural elements into our products and campaigns. By working closely with individuals who have a deep understanding of the local culture such as Amy Roko and Ascia, for example, we create narratives that resonate with consumers on a personal and emotional level.

Additionally, as a wholly inclusive brand, New Balance looks to embrace all the di erent cultures, lifestyles and traditions that are celebrated within the MENA, while adopting a globalised approach. The importance of our global athletes and ambassadors is key to how we then filter down to a local level and where sport and culture intersect.

“We actively seek collaboration and partnerships with local artists, designers, and ambassadors to infuse authentic cultural elements into our products and campaigns.”

Share some insights into the current trends and demands in the global and regional athletic footwear and apparel market?

The global and regional athletic footwear and apparel market is witnessing several key trends and demands. There’s a growing preference for versatile athleisure wear that blends performance features with everyday style. Partnering with communities and influencers is generating excitement and reaching new audiences. Health and wellness specifically movement-related activities are also driving demand for products that support active lifestyles. Moreover, brands are focusing on localisation and cultural relevance, tailoring offerings to meet regional preferences and participating in local events. Overall, these trends highlight the evolving nature of the market, with brands needing to adapt to meet the diverse needs of consumers worldwide.

What role does innovation play in driving New Balance’s growth in the region?

The Middle East is a unique and dynamic region, with new trends and innovations constantly occurring in various industries.

New Balance understands this and adapts accordingly with its innovative products and campaigns that are imperative to grow and succeed in the region. The Uncommon Common retail concepts, for example, at Yas Mall and Dubai Hills Mall are thoughtfully and innovatively designed to blend shopping with shared experiences, encouraging people to come together, celebrate movement, and forge connections in a community environment.

Tell us about the partnerships that New Balance has forged in the Middle East region to enhance its brand presence. Our partnerships in the MENA region play a vital role in enhancing New Balance’s presence, building relationships with customers, and driving growth in key markets.

One of many notable partnerships is with Amy Roko, signed o cially in 2023. Born and raised in Saudi Arabia, Amy Roko made waves in the entertainment industry, starting on Vine and later becoming the first Saudi female rapper. Her advocacy for gender equality and female representation resonates with New Balance’s values of fearless independence and authentic selfexpression. Amy Roko’s journey embodies the spirit of determination, reflecting New Balance’s commitment to individuality and self-expression. On the performance side, our work with key sports marketing assets such as Al Sadd, Up and Running, Ultimate Athletics and New Balance Run Club (NBRC) have helped put the brand on the map by engaging in a way that highlights the authenticity of the movement space.

How does the brand plan to engage with the local community and contribute to an active lifestyle culture across MENA?

We do so through several community running events and pop-ups, fostering a strong sense of togetherness. We recently hosted the ‘Run your way’ pop-up in Dubai, where we welcomed more than 1,500 people throughout the week for daily runs that encourage a more active lifestyle. We also strive to engage with local communities through meaningful initiatives and events that reflect our commitment to social responsibility and cultural appreciation. One example is the NBRC, a running community o ering free group runs. NBRC currently operates in Dubai, Abu Dhabi, and most recently in Doha, Qatar.

SHIFTING GEARS

ALEX HIRSCHI, AKA SUPERCAR BLONDIE , IS RENOWNED FOR HER GLOBAL QUEST IN UNCOVERING THE RAREST AND MOST EXTRAORDINARY VEHICLES FOR HER VAST ONLINE COMMUNITY. IN AN INTERVIEW WITH GULF BUSINESS, HIRSCHI SHARES HER JOURNEY FROM INFLUENCER TO ENTREPRENEUR AND CO-FOUNDER OF SBX CARS, A NEW LUXURY CAR AUCTION PLATFORM

BY NEESHA SALIAN

Supercar Blondie needs no introduction. For years, Alex Hirschi has been traveling the world, tracking down the rarest and coolest cars for her massive social media following. But Hirschi isn’t just a content creator, she’s an entrepreneur at heart. Here, she talks about co-founding her latest venture, SBX Cars, a new online auction platform designed specifically for high-end and speciality vehicles. She dives into the inspiration behind the new venture, how it’s di erent from other auction platforms, and why it’s poised to change the game for collectors and dealers around the world.

What inspired you to start SBX Cars?

For the last seven years, I’ve been travelling around the world hunting down the rarest and coolest cars to film for our social media platforms. During that time, I developed relationships with collectors, dealers and original equipment manufacturers. The idea for launching this platform came about after these collectors and dealers around the world would reach out to me to ask if I knew where they could find a very rare car, or if I knew of a buyer for something they wanted to sell. It became clear to us that there was no centralised space for these collectors to find each other. As my main gig was spent building my media business, I couldn’t find the time to pick up the phone and ring around to try and connect them. This platform addresses that issue. Now all car lovers and collectors can find the cars of their dreams no matter where they are in the world.

How is it different from other luxury car auction platforms?

Our platform stands out in many ways. We are the first platform to solely focus on highend cars and special vehicles. We are also a global platform, with cars listed from Asia, the Middle East, Europe and the Americas. Other successful digital auction platforms only really cater to one market – either the US or Europe, and they focus more on the volume game, transacting hundreds of cars a week at an average price of $30,000. The average value of the vehicles on our site are over $1m. Due to the volume on our platform being much lower and the calibre of vehicles being very high, we also have a focus on customer service. For some time, there was doubt cast on whether you could sell multi-million dollar cars on a digital auction platform. This doubt has now gone, with many rare vehicles having successfully been sold online. This is the perfect time to create a global marketplace that only focuses on these vehicles, and create a space for them where the user experience feels and looks premium and your auction listing won’t get lost amongst hundreds of lower valued enthusiast cars.

Where do most of the lots originate from?

We have vehicles currently from many different countries including the US, Canada, Germany, Japan, Hungary, Switzerland, the UK, Denmark, Italy and the UAE.

“Our platform stands out in a number of ways. We are the first platform to solely focus on high-end cars and special vehicles. We are also a global platform, with cars listed from Asia, the Middle East, Europe and the Americas.”

Are you expecting a big response from buyers in the Middle

East?

Some of the rarest, most collectable vehicles currently listed on our platform are located in Dubai, so from the seller’s perspective, we’ve received an overwhelmingly positive response. Sellers are looking forward to having access to a whole new pool of buyers around the world. There are many incredible cars here in the country, but some of them end up sitting unsold for months, because they haven’t been seen by potential buyers in other countries.

We are honoured to have the world’s first auction of an AMG One, which is located in Dubai and is currently live and ready for bidders. This platform will also give

buyers in the UAE an opportunity to find rare gems that might be stored in small private collections in other countries.

You have transitioned from an influencer to an entrepreneur – tell us about your journey.

Sure. I’ve never seen myself as an influencer, I’ve always been a content creator. I’ve spent years tracking down the coolest cars all over the world to film and make content on my social media platforms. At the beginning, it was just me and my husband flying around the world together. For the first few years, we would travel about 300 days a year, so it was pretty hectic. We did all the roles, from sourcing,

Alex Hirschi

production, presenting, editing, data analysis and scheduling etc. Then when Covid hit, we couldn’t travel anymore, so we had to reimagine how the business would work. We started hiring other producers, editors and presenters who would source incredible content from car lovers all around the world to feature on our channels.

We also started an editorial news website with journalists covering cars, tech and luxury. Now we have a team of 65 people, with our headquarters in London and offices in Manchester, Dubai, Prague and LA. Last year, we also launched a boutique car design company with designers who help car manufacturers design their cars.

For the last year, we have been working on building this platform from scratch with a team of highly-skilled developers. After a lot of work by all, we finally launched

last week. My goal with this business was to launch new business lines that would eventually not require me to be involved at all. Being a content creator is not a sustainable business – if I’m not on camera, then the business doesn’t make money.

Having built a media company, then a design studio, and now an auction platform, means that these businesses can have a life of their own without relying on me.

How does it feel to be a woman who has broken stereotypes when it comes to the world of fast cars?

It feels great! It was never something I really set out to do. I, just like a lot of other women, love cars and I just wanted to be involved in this world.

It was interesting to see just how masculine the car world still was when I joined in

2017, but it has since evolved and I see a lot more female car content creators and women in all spaces of the car world now.

You have achieved great things with the Supercar Blondie brand, what is your secret to success?

The first thing I had to do was take a risk. Without risk, there’s no reward. I had to choose to leave a successful career in radio with a stable paycheck and venture into a whole new industry.

My advice would be to keep taking calculated risks. Yes, it was a risk to leave my career, but I knew if things didn’t work out in social media, I had the degree, I had the experience and I could always find another job in that field.

Throughout our growth, we’ve always been looking at new ways to expand and taking those risks. Some of them don’t work, but that’s fine, you go back to the drawing board and take another risk. Some of those decisions and risks will pay off. We also don’t live beyond our means. We live well below our means, meaning if one of the risks we take doesn’t work out, we have a safety net of money we have kept to get us through the next period.

A TRUE THOROUGHBRED

WITH THE ARRIVAL OF THE FERRARI PUROSANGUE, THE REVERED ITALIAN MARQUE HAS VENTURED INTO UNCHARTED TERRITORY, BLENDING ITS STORIED LEGACY OF AUTOMOTIVE EXCELLENCE WITH PRACTICALITY AND VERSATILITY. WE DISSECT THE CAR’S DESIGN, PERFORMANCE PROWESS AND DRIVING DYNAMICS TO SEE IF IT LIVES UP TO ITS PEDIGREE

BY SHIVAUM PUNJABI

Introducing the Ferrari Purosangue, the newest, meanest, and first naturally aspirated V12 four-door, four-seater Ferrari ever made. And before we proceed, it’s important to note that Ferrari does not refer to it as an SUV.

LOOKS OF IT

At first glance, the Purosangue may appear modest, blending seamlessly into the urban landscape. Yet, beneath its understated

exterior lies a masterpiece of design. The sculpted lines and aerodynamic features, such as the vents flanking the front DRLs that channel airflow around the vehicle, betray the car’s high performance.

Unlike its ostentatious predecessors, the Purosangue adopts the design language introduced by the Roma, characterised by curvaceous forms that depart from the marque’s traditionally sharp and edgy aesthetic. This ethos extends to the 296 GTB,

and together, these models signal a stylistic shift for Ferrari.

INSIDE STORY

The Purosangue’s rear doors are a conversation starter in themselves. These unconventional suicide doors hint at a more radical design direction for Ferrari. However, despite their presence, the Purosangue is a true four-seater, not a two plus two layout. The spacious rear cabin

comfortably accommodates four adults, even those over six feet in height, thanks to ample legroom. Wide rear windows, a panoramic sunroof, and an unobstructed forward view ensure a relaxing and airy experience for rear passengers.

Moving to the front seats, the heart of any Ferrari for its driver, the dashboard strikes a balance between familiarity and innovation. The dual-cockpit layout is a first for Ferrari, offering both driver and passenger an immersive experience like never before, with a dedicated instrument binnacle complete with its own screen.

This passenger screen allows for control of comfort features such as seat massage and ventilation, as well as standard media and climate adjustments. The driver’s side features a unique pop-out dial for climate control and seat settings, a design element not found on the passenger side. However, the classic instrument cluster remains behind the steering wheel, similar to recent Ferraris. This cluster is fully digital, featuring a central rev counter in Ferrari’s signature bright yellow, flanked by customisable panels that can be replaced entirely with an Apple CarPlay display for navigation or music visualisation.

The steering wheel itself adheres to the traditional Ferrari design, with its tactile

“Powering this remarkable machine is Ferrari’s iconic naturally aspirated 6.5litre V12, producing a staggering 715 horsepower. In a segment dominated by twin-turbocharged V8s, the Purosangue stands alone, offering the exhilarating song of a high-revving V12.”

Manettino drive mode selector and central touch-sensitive start-stop button.

The cabin is further elevated by the signature Ferrari touch: fine leather upholstery that spells luxury.

ON THE ROAD

Behind the wheel, the Purosangue truly shines. The steering is light yet precise, offering immediate and responsive turn-in.

Despite its increased weight, the Purosangue handles with surprising agility, feeling remarkably close to its sportier sibling, the 296 GTB. Balance is impeccable,

the brakes are phenomenal, and for skilled drivers, a hint of playfulness awaits in the form of a tail-happy character.

Powering this remarkable machine is Ferrari’s iconic naturally aspirated 6.5litre V12, producing a staggering 715 horsepower. In a segment dominated by twin-turbocharged V8s, the Purosangue stands alone, offering the exhilarating song of a high-revving V12.

This symphony is delivered seamlessly through an 8-speed dual-clutch transmission and an all-wheel-drive system, further enhanced by rear-wheel steering for exceptional stability at high speeds and manoeuvrability at low speeds.

The result is a “family car” with an astonishing 0-100 km/h sprint time of just 3.3 seconds.

THE VERDICT

In summary, the Ferrari Purosangue is a triumph of engineering and design. It seamlessly blends the practicality of a family car with the exhilaration of a supercar, setting a new standard in automotive excellence. While acquiring one may be a challenge, the experience it offers is unparalleled.

If you’re fortunate enough to secure a spot in its exclusive lineup (it’s sold out for the next two years), the Purosangue promises a ride into the heart of Ferrari’s legendary legacy.

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Building a global SME hub

Abdul Baset Al Janahi, CEO, Dubai SME, shares how the entity has supported the emirate’s rise as the entrepreneurial capital of the region

As Dubai continues to solidify its position as a leading hub for entrepreneurship and investment, immense focus is placed on nurturing the small and medium enterprises (SMEs) sector, recognising the integral role they hold in both society and economic expansion. SMEs are the backbone of the emirate’s economy and the growth of the sector is aligned with the goals of the Dubai Economic Agenda, D33, to double the size of Dubai’s economy by 2033 and to consolidate its position among the top three global cities for business and leisure.

At the core of the D33 Agenda lies a clear set of priorities aimed at empowering Dubai to become the fastest growing and most attractive hub for multinational corporations (MNCs), SMEs, and local champions. The agenda also emphasises creating a globally competitive cost environment to facilitate business set-up and operation, as well as providing a world-leading businessfriendly and sustainable environment.

STRONG PUBLIC-PRIVATE PARTNERSHIPS

Dubai’s success as an entrepreneurial hub is underpinned by robust public-private

partnerships across sectors, fostering innovation, driving investment, and creating an ecosystem conducive to sustainable growth and prosperity. The city’s status as a global liveability hub underscores its allure as a destination of choice for talent and businesses. With its strategic location, connectivity, and dynamic lifestyle offerings, Dubai offers a unique environment for entrepreneurs to thrive and succeed.

Dubai stands out as a top choice for residents, investors, and visitors and has been consistently recognised across multiple global indices, including being crowned the number one global destination for an unprecedented third year in a row in the Tripadvisor Travellers’ Choice Awards 2024 and ranked number two in Euromonitor International’s Top 100 City Destinations Index 2023. Dubai was also named as the top city in the world to relocate to in a report published in 2023 by financial services provider Remitly, and the world’s best city for remote workers in the 2023 Executive Nomad Index by property consultancy Savills. These accolades

Abdul Baset Al Janahi

underscore Dubai’s commitment to excellence across diverse sectors.

Through strategic initiatives and programmes, Dubai aims to enhance the contribution and performance of the SME sector, while forging a path towards a future defined by innovation, growth, and opportunity. There are a number of projects under the D33 Agenda which are designed to support SMEs in Dubai, including the development of a programme to identify 400 companies with high potential and support their capacity building and global expansion.

GOVERNMENT SUPPORT

Another innovative concept is the ‘Dubai International Growth Initiative’, launched in January by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of The Executive Council of Dubai. A partnership between the Dubai government and Emirates National Bank of Dubai (Emirates NBD), this initiative aims to allocate Dhs500m to accelerate the expansion of Dubai-based SMEs into global markets.

Additionally, the Intelak Hub, the city’s only startup platform dedicated to the travel, tourism, and aviation sectors, epitomises Dubai’s unwavering commitment to innovation, while continuous enhancements to federal policies and reforms, combined with visa initiatives

DUBAI SME PLACES A STRONG EMPHASIS ON INTEGRATING NATIONAL TALENTS INTO THE CITY’S ENTREPRENEURIAL ECOSYSTEM, HAVING SUPPORTED 1,186 EMIRATI

ENTREPRENEURS IN 2023 ALONE, REACHING 50,131 ENTREPRENEURS TO DATE.

including Golden Visa for investors, entrepreneurs and global talents, in addition to five-year multi-entry visa and a virtual working programme, further bolster Dubai’s appeal as an attractive destination for business.

Small and medium enterprises constitute 99.2 per cent of establishments and 50.5 per cent of the workforce, and contribute nearly 46.4 per cent to the total value-add generated in our city. Beyond their economic impact, SMEs are driving innovation and attracting talent into new and emerging industry sectors. They are a critical component of the UAE’s strategic blueprint for diversifying its non-oil economy and play an integral role in fostering job creation as well as driving sustainable economic growth.

A PILLAR OF SUPPORT

A TOTAL OF 2,937 NEW BUSINESSES WERE ESTABLISHED AND SUPPORTED BY DUBAI SME IN 2023, BRINGING THE TOTAL TO 16,443 BUSINESSES SINCE 2002, AND THE TOTAL VALUE OF INCENTIVES AND SERVICES PROVIDED TO DHS233.4M, ACCORDING TO ITS 2023 ANNUAL REPORT

With their agility and skill, SMEs play a pivotal role in shaping the future of Dubai as a vibrant global business hub. Inspired by Dubai’s visionary leadership and in alignment with the D33 Agenda, the Mohammed bin Rashid Establishment for Small and Medium Enterprises Development (Dubai SME), a part of the Dubai Department of Economy and Tourism (DET), aims to propel the growth of Emirati entrepreneurship and SMEs by providing comprehensive support and resources to guide them throughout every step of their entrepreneurial journey.

A total of 2,937 new businesses were established and supported by Dubai SME in 2023, bringing the total to 16,443 businesses since 2002, and the total value of incentives and services provided to Dhs233.4m, according to its 2023 annual report.

Dubai SME places a strong emphasis on integrating national talents into the city’s entrepreneurial ecosystem, having supported 1,186 Emirati entrepreneurs in 2023 alone, reaching 50,131 entrepreneurs to date.

With the launch of the Hamdan Innovation Incubator (Hi2) in 2014, Dubai SME has been successful in empowering many businesses to flourish including entrepreneurs leveraging innovative solutions and emerging technologies such as artificial intelligence, cybersecurity, blockchain, data analytics, cloud solutions, and augmented reality. Through the incubator, Dubai SME has been able to support 46 Emirati entrepreneurs with startups in the technology sector.

Promoting a healthy and supportive environment for small businesses to operate and thrive in, Dubai SME provides its members with various services including, but not limited to, training programmes, workshops, trade licences, funding and investment, product promotion, rating systems, and government procurement programmes, business development and advisory services. In 2022 alone, members of Dubai SME secured contracts totalling Dhs1.12bn ($305m), providing ample evidence of Dubai’s ongoing commitment to fostering entrepreneurial growth within the community. We also help promote a culture of innovation and leadership across all sectors and industries to further enhance Dubai’s position as the regional capital for entrepreneurship.

By setting up initiatives such as certified incubators, business development programmes, and dedicated working spaces, we are creating a future where Emirati entrepreneurs lead the way in driving Dubai’s economic prosperity.

Tapping the power of data

We look at the important role that data analytics can play in in human resources and finance for SMEs

BY JADD ELLIOT DIB

In the dynamic landscape of modern business, small and medium enterprises (SMEs) often find themselves grappling with limited resources while striving for growth and competitiveness. In this pursuit, binding the power of data analytics emerges as a pivotal strategy, particularly within the realms of human resources (HR) and finance. While traditionally viewed as the domain of larger corporations, data analytics has become increasingly indispensable for SMEs, offering transformative insights and informed decision-making.

According to Research Gate, a study conducted by Gupta and Bhatt (2021), which examined the impact of HR Analytics

on organisational excellence, indicated that such a tool is indeed vital in improving the efficiency and effectiveness of their HR practices.

TRANSFORMING KEY FUNCTIONS

Within HR departments, data analytics revolutionises recruitment, talent management, and employee engagement plans. By analysing historical data on recruitment efforts, SMEs can identify the most effective channels for sourcing talent, reducing time-to-hire and cost-per-hire metrics. Furthermore, data analytics facilitates the creation of comprehensive profiles of top-performing employees, enabling

Getty Images

Jadd Elliot Dib

WITH THE CORRECT ANALYTICS APPROACH, SMES CAN UNLOCK NEW AVENUES OF GROWTH,

HR professionals to refine hiring criteria and foster a culture of success within the organisation. Through sentiment analysis of employee feedback and engagement surveys, SMEs can proactively address issues of workplace satisfaction and retention and nurture a motivated and productive workforce.

Meanwhile, in the financial realm, data analytics empowers SMEs to optimise operational efficiency, mitigate risks, and drive strategic growth. By utilising financial data analytics tools, such as predictive modelling and trend analysis, finance teams can gain deeper insights into cash flow patterns, revenue drivers, and cost structures.

This enables SMEs to make datadriven decisions regarding pricing strategies, resource allocation, and investment

opportunities, thereby maximising profitability and sustainability. Basically, through the application of the right predictive analytics technique in risk management, SMEs can identify and mitigate potential financial risks, safeguarding against market fluctuations and unforeseen challenges.

Despite the myriad of benefits that data analytics offers, many SMEs remain

hesitant to embrace this transformative technology, citing concerns over cost, complexity, and expertise. However, the advent of user-friendly analytics platforms and cloud-based solutions has democratised access to data-driven insights, making them accessible and affordable for SMEs of all sizes. The proliferation of data analytics training programmes and consulting services provides SMEs with the necessary guidance and support to harness the full potential of their data assets.

NAVIGATING A DATA-DRIVEN ECONOMY

The adaptation of data analytics represents not merely a competitive advantage for SMEs, but a strategic imperative for survival and growth in an increasingly data-driven economy. By embracing the latent value within their data, SMEs can gain a holistic understanding of their operations, customers, and market dynamics, enabling them to stay agile and responsive in the face of evolving challenges and opportunities.

The correct integration of data analytics into HR and finance functions fosters synergy and alignment across the organisation, facilitating holistic decision-making and strategic alignment. By breaking down silos and fostering a culture of data-driven collaboration, SMEs can leverage their collective expertise and insights to drive innovation and achieve sustainable growth.

In conclusion, the importance of data analytics in HR and finance for small and medium-sized enterprises cannot be overstated.

One cannot deny the transformative impact of data science in 2024. With the correct analytics approach, SMEs can unlock new avenues of growth, enhance operational efficiency, and cultivate a competitive edge in today’s fast-paced business landscape. As we navigate the complexities of an increasingly interconnected world, data analytics emerges as a beacon of opportunity for SMEs, empowering them to thrive and flourish in the digital age.

The writer is the CEO and founder of the data analytics platform, Pangaea X.

Bolstering the SME community

Jochen Knecht, CEO at IFZA, shares how the free zone is committed to empowering startups with the tools, resources, and support they need to succeed in a rapidly evolving business landscape

BY NEESHA SALIAN

The International Free Zone Authority (IFZA) is known for its streamlined processes in issuing licences and helping startups. Could you share some insights into the key measures that have been put in place to make this happen?

IFZA, a leading free zone community with world-class infrastructure and stateof-the-art facilities, exists to attract international investors to Dubai, to contribute to its economic prosperity, to optimise the benefits of its business-friendly environment and to serve the wider community of the UAE.

From the very beginning, IFZA has set itself apart by providing a comprehensive network of support services that extend beyond company formation. In the course of our relationship with our partners, we have closely examined the pain points of startups and developed

an ecosystem that comprehensively addresses their challenges. Within the IFZA ecosystem, businesses find solutions to common challenges. For example, opening a bank account is one of the most pressing challenges startups in Dubai face. IFZA addresses these pain points head-on, offering assistance with banking, property services, insurance, office space, tax and bookkeeping and regulatory compliance. We aim to guide businesses easily and seamlessly through every stage of their lifecycle, empowering them for sustained success and growth.

During the period of travel restrictions, we became acutely aware of the importance of digitalisation and remote processes. We were one of the first organisations to establish remote processing, allowing business owners to register without the need for physical presence in the country. This initiative

Jochen Knecht, CEO, IFZA

was launched to further streamline our services and ensure continuous support for our clients.

The UAE has seen significant economic shifts in recent years. How does IFZA perceive the current economic landscape, especially concerning opportunities for startups?

Dubai has proven itself to be one of the most robust, dynamic and fastest-growing economies in the world. The emirate’s strategic vision D33 for economic diversification has created fertile ground for innovation and entrepreneurship and Dubai is brimming with opportunities for startups.

With the recent introduction of the UAE’s corporate tax, how does IFZA perceive this change impacting its strategy to attract businesses, and what measures is the company taking to navigate this new tax landscape for its clients?

The recent introduction of corporate tax in the UAE presents a pivotal opportunity for businesses. This move aligns the country with international standards, fostering informed decision-making and growth. We provide strategic guidance to navigate this new tax landscape. Our advisory services ensure that our partners and clients remain proactive and compliant with UAE laws and regulations. The UAE’s adoption of corporate tax in line with international

OPERATING WITHIN UAE FREE ZONES ENABLES BUSINESSES TO ENJOY 100 PER CENT FOREIGN OWNERSHIP, ACCESS TO STATE-OF-THE-ART INFRASTRUCTURE, STREAMLINED PROCESSES, SIMPLIFIED VISA PROCEDURES AND NETWORKING OPPORTUNITIES

norms motivates us to further support businesses in their financial endeavours. Moreover, the recent decision by the FATF to remove the UAE from its ‘grey list’ will enhance the country’s global standing, thereby stimulating trade and investment.

Additionally, our extensive network of partners includes business consultants who specialise in aiding SMEs and can help startups navigate the tax landscape. We also have banking and consulting support services in-house at IFZA. We regularly host knowledge-sharing sessions and workshops on the intricacies of corporate tax for businesses.

Some of the sessions focus on how the UAE corporate tax applies to people from different countries looking to expand into the country.

From your perspective, what are some of the most promising sectors for new businesses entering the UAE market?

Several sectors in the UAE continue to attract investments, both locally and globally. Key areas of promise for new ventures include e-commerce, technology, travel and tourism, renewable energy, healthcare, hospitality, fintech and mobility. By tapping into these growing sectors, startups can capitalise on emerging opportunities and contribute to the UAE’s economic diversification.

How do you adapt to the evolving needs of businesses, especially startups in the region?

All key decision-makers at IFZA are entrepreneurs. This is why we are keenly aware of the challenges expats face when setting up a business here in Dubai. Our own experience also gives us the luxury of unique insights to hone our processes and develop enhanced services. We are committed to staying ahead of the curve by offering tailored support programmes for startups, designed to address specific needs. From mentorship programmes to our comprehensive ecosystem of services, we ensure startups

have the correct guidance to help them in their journey. We conduct ongoing market research to stay abreast of industry trends and emerging opportunities which enables us to provide startups with valuable insights on market entry strategies. Through the IFZA Academy for Training, we offer a range of training, workshops, and seminars tailored to the needs of startups and businesses. These initiatives equip entrepreneurs with the knowledge and skills needed to navigate challenges and seize opportunities.

In your opinion, what are the key advantages that businesses gain from operating within free zones in the UAE and how do they compare to traditional business setups/ mainland businesses?

Free zones are, in essence, designed to cater to specific industries. Each free zone specialises in a certain industry. IFZA is designed to support SMEs, and we are more agile in helping our target markets adapt to the UAE business landscape, as compared to the mainland.

Also, free zones can act as incubators, supporting SMEs and startups in their preincubation, incubation and post-incubation phases. This provides an opportunity for business ideas to be tested as there are fewer restrictions and a more liberal regulatory environment for smaller businesses to test their ideas before entering the mainstream environment. Operating within UAE free zones enables businesses to enjoy 100 per cent foreign ownership, access to state-of-the-art infrastructure, streamlined processes, simplified visa procedures and networking opportunities. These benefits, coupled with our support ecosystem ensure that an ideal environment is created for businesses to thrive.

Partnerships often play a crucial role in supporting businesses. Could you discuss some of the partnerships IFZA has formed?

Our strength lies in our extensive network of more than 1,500 professional

partners globally. We also partner with international organisations to draw in investment. Most recently, we have partnered with Bundesverband Mittelständische Wirtschaft (BVMW), the German Federal Association of Small and Medium-Sized Businesses, as their official representative in Dubai. This partnership aligns perfectly with our aim to bring international businesses to Dubai and create opportunities for SMEs between Germany and the UAE.

IFZA has been expanding its reach through branch offices in various strategic locations. Could you share insights into the rationale behind this strategy?

A core part of our internalisation strategy is to expand through branch offices in key locations around the world. This is to further enhance business opportunities and drive investments into the UAE. By providing a local presence in key markets, we aim to facilitate a smoother entry into the UAE for global entrepreneurs. In addition to our offices in Spain, Switzerland, China, and Seychelles, we recently opened an office in Germany, to create opportunities for those looking to expand their business from Germany to Dubai and beyond. We have already seen great success with both Pfeiderer and EMAG, both leading German midsize companies, opening an office in Dubai with IFZA to expand their international reach. We are also planning to open offices in Austria, the UK, India, Africa, and Latin America in the coming year.

What is IFZA’s vision for the next few years, particularly in terms of supporting startups?

Looking ahead, we aim to continue to attract FDI and nurture a vibrant SME sector. We also aim for a rapid expansion of our ecosystem and to create a global network of partners at all the key destinations all around the world. Our focus will be on empowering startups to scale and thrive in a competitive global landscape, with a particular emphasis on leveraging emerging technologies and fostering sustainable business practices.