Iraq's Local Businesses Thrive amid Lockdown

Iraqis walk through a fresh produce market in the southern Iraqi city of Basra as some lockdown restrictions imposed during the novel coronavirus pandemic have been eased. AFP
Iraqis walk through a fresh produce market in the southern Iraqi city of Basra as some lockdown restrictions imposed during the novel coronavirus pandemic have been eased. AFP
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Iraq's Local Businesses Thrive amid Lockdown

Iraqis walk through a fresh produce market in the southern Iraqi city of Basra as some lockdown restrictions imposed during the novel coronavirus pandemic have been eased. AFP
Iraqis walk through a fresh produce market in the southern Iraqi city of Basra as some lockdown restrictions imposed during the novel coronavirus pandemic have been eased. AFP

A national lockdown in Iraq to contain the spread of the novel coronavirus pandemic has been favored by local businesses who no longer have to compete with Turkish, Iranian or Chinese imports.

Amin Qassem, who has operated in an ice cream factory in the oil-rich province of Basra since 2006 expressed his satisfaction over the new circumstances.

"The coronavirus crisis has allowed us to prove ourselves on the Iraqi market," he said.

"When there was cheap ice cream coming in from Iran, I had to lower my prices to sell so that my ice cream wouldn't be stuck melting in storage," he added .

"Now, I can sell at higher prices. We were able to win back the same markets where imports once crushed us."

Meanwhile, Hadi Abbud, who owns a plastics factory also in Basra, has already reported an exponential surge in orders for plastic tubing, usually brought in from China, AFP reported.

His factory has been working 24/7 to mould, cut and polish thick plastic cylinders proudly stamped "Made in Iraq."

"These days, I'm getting new orders for plastic tubes faster than I can even produce them," said Abbud, his white hair meticulously combed back.

Sales are so good he is planning to recruit another 50 workers for his 100-man factory.

"The situation has really changed," Abbud said, his smile barely concealed by the face mask he wore as part of mandated social distancing in his factory.

According to AFP, even at sea, the difference is notable.

"Starting around a month ago, there have been many more fish," said Mohammed Fadel, who sells his daily catch at a stand in Basra's downtown market.

In Basra's markets, tables are now heaving with rows of silvery fish and buckets of prawns, carefully examined by shoppers in gloves and masks.

The catches are so plentiful that a kilogramme of "zubeidy," a local sea bream, has dropped from $16 to $9.

"The number of fish -- and the prices -- are just extraordinary," said Fadel.



Saudi PIF Invests $200 Million in ETF Bond Fund

The fund is the first of its kind in Saudi Arabia to focus on fixed-income exchange-traded funds (ETFs). (Asharq Al-Awsat)
The fund is the first of its kind in Saudi Arabia to focus on fixed-income exchange-traded funds (ETFs). (Asharq Al-Awsat)
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Saudi PIF Invests $200 Million in ETF Bond Fund

The fund is the first of its kind in Saudi Arabia to focus on fixed-income exchange-traded funds (ETFs). (Asharq Al-Awsat)
The fund is the first of its kind in Saudi Arabia to focus on fixed-income exchange-traded funds (ETFs). (Asharq Al-Awsat)

State Street Global Advisors, a subsidiary of State Street Corporation, announced that Saudi Arabia’s Public Investment Fund (PIF) has invested SAR 750 million ($200 million) in the newly launched SPDR J.P. Morgan Saudi Aggregate Bond ETF.

According to a statement released by the company on Wednesday, this fund is the first of its kind in Saudi Arabia to focus on fixed-income exchange-traded funds (ETFs). It is listed in both the London Stock Exchange and Germany’s Xetra, offering investors the opportunity to track government and quasi-government bonds denominated in either the Saudi Riyal or the US Dollar, including sukuk (Islamic bonds).

This investment aligns with the objectives of Saudi Vision 2030, representing a significant step toward enhancing the international presence of Saudi Arabia’s financial markets and attracting foreign investments. The fund is available to investors across several European countries, including Austria, Denmark, France, Germany, and Italy.

Commenting on the investment, Yazid Al-Humaid, Deputy Governor and Head of MENA Investments at PIF, said: “The fund continues to create opportunities and enable access to diverse capital markets in the Kingdom. Investing in the first internationally listed Saudi fixed-income ETF underscores PIF’s commitment to deepening Saudi capital markets, attracting investors, and fostering partnerships across global financial centers.”

CEO of State Street Global Advisors Yi-Hsin Hung emphasized that the launch of the fund is a significant milestone in providing innovative opportunities for investors while contributing to Saudi Arabia’s economic growth.