Gulf Stocks Little Changed as Markets Await Outcome of US-Iran Talks

A man looks at a stock screen at the Kuwait Stock Exchange (AFP)
A man looks at a stock screen at the Kuwait Stock Exchange (AFP)
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Gulf Stocks Little Changed as Markets Await Outcome of US-Iran Talks

A man looks at a stock screen at the Kuwait Stock Exchange (AFP)
A man looks at a stock screen at the Kuwait Stock Exchange (AFP)

 

Most Gulf stock markets saw limited trading early on Thursday, after the United States and Iran concluded a new round of indirect talks in Doha with no signs of progress towards a lasting peace agreement.

According to sources familiar with the matter who spoke to Reuters, the two-day talks focused on maritime traffic through the Strait of Hormuz and the release of frozen Iranian assets, two of the main issues covered by the preliminary agreement between the two sides.

Qatar's Ministry of Foreign Affairs stated that the next round of negotiations would be held after the funeral of Iranian Supreme Leader Ali Khamenei, scheduled for July 9.

In Saudi Arabia, the main TASI index fell by 0.1 percent in early trading, amidst mixed performance of leading stocks.

Speaking in Washington, US President Donald Trump said talks on possible restrictions on Iran's nuclear program were making progress, adding that the latest meetings had been positive and that negotiations were continuing.

In the United Arab Emirates, Dubai's main stock index was little changed in choppy trading, while Abu Dhabi's benchmark index rose 0.2%.

Qatar's benchmark index fell 0.3%, weighed down by a 0.9% decline in shares of Qatar National Bank.

 



New Saudi Law Broadens Business Participation, Supports Entrepreneurs

A view of operations at the Saudi Competitiveness and Business Center, which facilitates procedures for companies and businesses entering the local market Photo: Turky Alagili
A view of operations at the Saudi Competitiveness and Business Center, which facilitates procedures for companies and businesses entering the local market Photo: Turky Alagili
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New Saudi Law Broadens Business Participation, Supports Entrepreneurs

A view of operations at the Saudi Competitiveness and Business Center, which facilitates procedures for companies and businesses entering the local market Photo: Turky Alagili
A view of operations at the Saudi Competitiveness and Business Center, which facilitates procedures for companies and businesses entering the local market Photo: Turky Alagili

Saudi Arabia has cleared the way for citizens as young as 15 to do business under a sweeping new commercial transactions law, a move aimed at bringing more young entrepreneurs into the economy while strengthening the Kingdom's business regulations.

The Cabinet, chaired by Crown Prince and Prime Minister Mohammed bin Salman bin Abdulaziz, approved the law on Tuesday, drawing praise from experts who said it would strengthen investor confidence, clarify commercial rules and create a more predictable business environment.

Commerce Minister Majid Al-Qasabi said the law regulates commercial sales, supply contracts, brokerage and commercial agency agreements, while allowing citizens aged 15 and older to engage in business under specific conditions.

The legislation also complements the Civil Transactions Law as part of efforts to stimulate commerce and investment, he said.

The Ministry of Commerce said the 271-article law covers commercial activities, merchants, business establishments, traders' obligations, accounting records, contracts and negotiable instruments, including bills of exchange, promissory notes and checks.

It replaces three existing laws: the Commercial Law, the Negotiable Instruments Law and the Commercial Books Law.

Curbing commercial disputes

The law seeks to promote fair competition and curb practices that harm competitors, giving affected businesses the right to seek court orders to stop harmful conduct and claim compensation.

It also exempts certain categories of merchants from maintaining accounting records and allows records to be stored electronically or on paper in Arabic, with the option of using another language.

By clarifying commercial rights and obligations, the legislation aims to make business outcomes more predictable and reduce disputes.

For the first time, rules governing commercial sales, supply contracts, commercial agencies and brokerage agreements are brought together in a single legislative framework, with provisions designed to protect the rights of all parties.

Boost for smaller businesses

Set to take effect 180 days after publication in the Official Gazette, the law aims to give small and medium-sized enterprises (SMEs) greater legal protection and help them expand through commercial contracts and agency arrangements.

It also seeks to boost business confidence, support SME growth and competitiveness, and make commercial operations more efficient by consolidating rules previously spread across separate laws.

Modernizing business rules

Osama bin Ghanem Al-Obaidi, a legal consultant and professor of commercial law, told Asharq Al-Awsat that the Cabinet's decision marked a significant step in modernizing Saudi Arabia's economic legislation.

The law goes beyond regulating contracts and transactions, he said, reflecting a push for a clearer, more flexible business environment suited to a modern economy and the needs of investors and entrepreneurs.

Al-Obaidi singled out the decision to allow citizens aged 15 and older to engage in business under specific conditions.

The change, he said, could help young Saudis gain practical experience earlier and turn their ideas and skills into viable businesses.

He said the law would also encourage investment by bringing commercial rules into one accessible legal reference, making them easier to understand and apply.

Attracting domestic and foreign investment

Al-Obaidi said the law clarifies commercial contracts, unifies commercial registration rules and regulates negotiable instruments and electronic documents, giving the latter the same evidentiary standing as original paper documents.

"There is no doubt that the law will strengthen the investment environment and the competitiveness of the Saudi economy," he said.

"It will also attract foreign and domestic investment by providing a legal framework aligned with international best practices and reducing commercial risks through clear rules, rights and obligations for all parties."

He said the legislation would close legal gaps and complement the Civil Transactions Law, helping build a more stable commercial regulatory environment.

Building a more stable market

Economic and investment specialist Tahani bint Abdullah AlKhayyal told Asharq Al-Awsat that clearer rules governing commercial contracts and transactions would help businesses understand their rights and obligations, avoid disputes and better anticipate legal outcomes.

Such clarity, she said, is essential to building a more efficient and investment-friendly market.

A predictable legal framework would also help domestic and international investors assess opportunities and risks with greater confidence while supporting more stable, sustainable business relationships.

AlKhayyal stressed the importance of the law for SMEs, which play a key role in diversifying the economy, creating jobs and driving innovation.

Clearer rules, she said, would help smaller businesses organize their operations, protect their rights and compete more effectively.

"This becomes even more important when legislation is integrated with digital services and legal awareness initiatives, making it easier for business owners to understand and comply with requirements while reducing procedural burdens," she said.

AlKhayyal said the law's real test would be its impact on the market: whether it makes doing business easier, strengthens legal protections and encourages new ventures.

Modern legislation, she added, should empower individuals and businesses by opening up economic opportunities.

She said the law would strengthen Saudi Arabia's commercial framework and support Vision 2030 goals to broaden economic participation and reinforce the private sector's role as a key driver of growth and development.


IEA: The Age of Electricity is Coming, We Will Still Use Oil and Natural Gas

FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo
FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo
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IEA: The Age of Electricity is Coming, We Will Still Use Oil and Natural Gas

FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo
FILE PHOTO: A view of the logo of the International Energy Agency in Paris, France, December 15, 2023. REUTERS/Sarah Meyssonnier/File Photo

The concentration of a small number of countries in clean energy supply chains is an emerging challenge for Southeast Asian countries, International Energy Agency Executive Director Fatih Birol said on Tuesday, amid fast-rising power demand in the region.

"The age of electricity is coming. We will still use oil, still use natural gas including LNG, but electricity demand is growing very strongly," Birol told delegates at the Singapore International Energy Week conference.

Birol did not identify the countries dominating clean energy supplies, but China is by far the largest global supplier of renewable energy equipment, from solar panels ⁠to wind turbines, electric ⁠vehicles and batteries.

Electricity demand in ASEAN countries is rising at twice the pace of overall energy consumption, driven by industrial electrification, air-conditioning needs, electric vehicles and data centers, he said.

Southeast Asian nations have emerged as key drivers of China's clean-energy export boom, splashing out over $20 billion on Chinese-made clean-tech products so far in 2026, according ⁠to energy think tank Ember.

Birol also warned that geopolitical tensions have become an increasingly dominant force in global energy markets.

"In my professional life, I have never, never ever seen the dark and long shadow of geopolitics dominating the energy sector in such a way," Reuters quoted him as saying. "I can only imagine that the role of geopolitics will be much more pronounced, and this means energy security is going to become even more important than it is today."

Birol said the Middle East war has triggered fundamental changes in global energy consumption patterns, ⁠spurring growth in ⁠solar, coal and nuclear power as well as electric vehicle adoption.

"I see in the last eight months very strong growth of electric car sales," he said, adding that global electric vehicle sales outside China had risen 60% above previous trends over the period because of the conflict.

Consumption of alternative energy sources has increased as diesel prices have jumped about 200% and LNG prices have risen 250% from pre-war levels, according to Birol.

He said on Monday at the same conference that he does not expect energy markets in 2027 to return to where they were before the US-Israeli war on Iran began.


Cyprus Seals $1.8 Bn Deal to Develop First Commercial Gas Project

The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)
The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)
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Cyprus Seals $1.8 Bn Deal to Develop First Commercial Gas Project

The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)
The Cypriot Cronos field in the Mediterranean is being developed by a joint venture between operator Eni and TotalEnergies (X)

Cyprus signed contracts worth $1.8 billion with Italian energy provider Eni on Monday to develop the Mediterranean island nation's first commercial gas project, with production slated for 2028 on the project in partnership with France's TotalEnergies.

European countries have stepped up efforts to use domestic energy resources with the Ukraine and Iran wars roiling global energy markets and supply in recent years.

The agreements to develop the field in Cyprus' exclusive economic zone cover engineering, construction, installation and drilling work, allowing natural gas to be transported to Egypt for processing and liquefaction before delivery mainly to European markets.

"Eni has signed the main engineering, procurement, construction and drilling contracts for the development of the Cronos Project, marking the start of the project's execution phase and a key milestone towards the monetization of Cyprus' first gas development," AFP quoted the Italian firm as saying in a statement.

"As Eni's first development project in Cyprus and the country's first hydrocarbon development, Cronos represents a strategic milestone."

Cypriot President Nikos Christodoulides in a statement hailed the agreement as a "decisive step towards exploiting our country's natural wealth.”

He said the contracts for the "first commercial exploitation of Cypriot natural gas" were worth up to $1.8 bn.

"It represents a strong vote of confidence in our country's energy prospects with significant geopolitical and economic implications," he added.

Cypriot Energy Minister Michalis Damianos said the project marked Cyprus' transition from offshore exploration and discoveries to developing and producing its gas reserves.

Kronos is estimated to contain more than three trillion cubic feet of natural gas.

Existing Egyptian infrastructure will be used, including facilities linked to the large Zohr gas field, with the gas to be liquefied at the Damietta terminal for export.

Using existing infrastructure is expected to reduce costs and accelerate the route to market, while deepening energy cooperation between Cyprus and Egypt.

"A regional value chain is being created that connects Cyprus's resources, Egypt's infrastructure and European demand," said Damianos.

Cyprus has discovered offshore gas but has not yet brought a field into commercial production.

Kronos is seen as a key test of its ability to turn those discoveries into exports.

Eni and Total hold the majority of exploration blocks -- seven of 13 south of the island -- licensed by the Cyprus government.

The eastern Mediterranean has become an energy hot spot, with significant natural gas finds off Israel and Egypt.