UAE at the start of a second boom

The UAE in general and Dubai in particular has come out of the world recession very well and is now on track for the second boom, said CEO of Shariah-compliant firm Mawarid Finance.

“From the beginning of 2013, the economy is looking up and the stock market has also started moving up. We believe that the market has fully recovered. We are actually at the initial stage of second boom.

"We can see prices and demand of residential and offices properties are going up day-by-day. We see investors coming from everywhere to Dubai,” said Mohamed Al Nuaimi.

Dubai stock market has gained 32 per cent year-to-date.

“Arab Spring has also contributed to show UAE as a safe haven and for its state-of-the-art infrastructure; at the same time efforts have been made by the federal and local governments with support of the private sector and large corporates. We see slow and steady boom over the next two to three years.”

Al Nuaimi is positive about the 2012 financial results and projected dividends for 2013 financial performances. “We hope to distribute dividends for the performance of 2013.”

Acquisitions

Shariah-compliant firm CEO aims to add a few companies to its growing portfolio this year as it’s involved in acquisition talks with a few firms.

Speaking to Emirates 24l7, Al Nuaimi said: “We are studying and closely looking at few opportunities; they are good. We are aiming at companies that complement our core business. We are open to any opportunity that offers us good return and is within the Islamic business framework.”

The group currently has eight subsidiaries. “We hope to reach 10-12 companies by the end of 2013,” he said.

In February 2013, it acquired 90 per cent stake in H&A Exchange and rebranded it Mawarid Exchange.

“Actually finance company licence has some limitations. You cannot do all the banking services so the exchange will open new avenues for Mawarid in terms of remittances, exchange business, cash handling which currently we don’t do in Mawarid and it will complete a cycle of all financial services that we aim to provide.

“We have identified a good company with clean books and aim to accelerate its growth. We tagged it with our name because we want to make it as our front office to reach wide customers at longer services hours.”

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