Arabian Gulf Business Insight (AGBI)

Saudi Arabia’s Public Investment Fund (PIF) has signed a deal with a US investor potentially worth up to $2 billion. The $1 trillion sovereign wealth fund has signed a memorandum of understanding with I Squared Capital, a US-based global infrastructure investment manager, to identify opportunities in digital infrastructure and district cooling – both critical enablers of the real estate sector.

New loans down by more than 50% Combines lending and supply Aims to help first-time buyers Saudi Arabia has launched a programme to help first-time buyers get mortgages, after new home loans fell by more than half over the past year, jeopardising the kingdom’s 2030 homeownership target. The scheme was launched by the Real Estate Development Fund (REDF) in partnership with Saudi National Bank (SNB) and the National Housing Company (NHC).

Iraq is working with a US-Qatari consortium on a feasibility study for a proposed oil pipeline to the Syrian Mediterranean port of Baniyas. The cabinet has approved the signing of preliminary heads of terms and a confidentiality agreement with the consortium, the state-run Iraqi News Agency reported, quoting oil ministry spokesman Salim Al-Rikabi. He said Iraq is pursuing a strategy to diversify export outlets and increase the flexibility of crude exports.

Private capital drives diversification Flagship waterfront scheme dominates Mega-project credibility faces scrutiny Oman is seeking billions of dollars in foreign investment to develop a series of new cities and urban regeneration projects worth more than $16 billion, as the sultanate accelerates efforts to diversify its economy and attract more private capital. Salalah Future City is the largest so far, according to documents uploaded on Invest Oman, the investment opportunities portal.

Abu Dhabi renewable energy company Masdar has secured funding for its $6 billion solar and battery storage project, which is designed to generate renewable electricity around the clock. The $5 billion financing package was obtained from a consortium of 13 local and global banks, Masdar said. The group comprised four banks from the UAE and the remainder from France, the UK, Germany, China and Japan.

Re-exports helped Oman to maintain its trade surplus during the first four months of 2026, despite the disruption arising from the US-Israeli war with Iran. A surge of 67 percent for re-exports, to OMR770 million ($2 billion) during the period, pointed to stronger transit and regional trading activity, the state-run Oman News Agency reported, quoting data from the National Centre for Statistics and Information.

Iraq plans to establish a joint investment fund with Turkey to finance development projects, as Ali Al-Zaidi, Iraq’s prime minister, pushes economic reforms and stronger regional investment ties. Al-Zaidi, a former businessman appointed in May to lead his country, unveiled the fund plans during talks with Alparslan Bayraktar, the Turkish minister of energy and natural resources, in Baghdad last week.

The ink on the memorandum of understanding between the US and Iran had barely had time to dry. Last week, President Donald Trump declared the agreement “over” and ordered new strikes against Iran after Tehran flexed its muscles in the Strait of Hormuz, attacking several Gulf vessels. This latest chapter should put to rest any illusion that the truce had solved the underlying deep political rift. For a brief window, the agreement did breathe real hope into the market.

Dubai has started work on a new road project as part of its 2040 urban master plan. The Roads and Transport Authority (RTA) has awarded a AED2 billion ($545 million) contract for the Latifa bint Hamdan Corridor Development project. The 12km corridor will connect existing and planned residential areas in Nad Al Sheba, Al Barari, Dubai Hills, Dubai District One, Mohammed Bin Rashid Gardens, Living Legends, Majan and Global Village, the UAE state-run Wam news agency reported.

Saudi-listed Knowledge Economic City (KEC) is setting up a private real estate fund to develop two hotels and a branded residential scheme in Medina. The fund will be managed by Albilad Capital and will support the first phase of the Multaqa Almadinah hospitality project, expected to cost SAR1.5 billion ($399 million). The phase includes a 288-key JW Marriott Hotel, a 327-key Marriott Hotel and 295 branded residential units, the developer said in a statement to the Saudi stock exchange.