Captain Of A Shipwreck! 14 November 2025
Latest data from Property Finder shows that YTD sales have reached 177.52k, valued at US$ 151.20 billion, of which the primary sector has seen its share of the market rise to 74%, (value) and 63%, (volume). In the first ten months of 2025, the sector recorded an 18.0% hike to 103.94k transactions, with the value of sales up 33%. However, there was an October 8.0% decline in value and a 6.0% dip in volume on the year, but this may prove to have been a blip and business should return to “normal” this month. The secondary market also held firm, recording U$ 7.06 billion in value, (up 2.0%) across 7.72k transactions, (1.0% higher) in October.
The mid-income segment is seen to be the dominant player in the mortgage market which garnered US$ 4.35 billion, in 4.00k deals; total value dipped 0.1%, whilst volumes rose 10.0% – a sure sign that more buyers are entering the market at lower prices. The average mortgage value per unit fell 16.0% on the year, reaching US$ 1.14 million. Year-to-date mortgage transactions totalled US$ 40.35 billion, from 35.55k deals, with volumes up 19.0%, and average deal values down 10.0%. In the mortgage market, the monthly income group, earning US$ 5.45k -US$ 9.90k, accounts for nearly 30% of all mortgage requests; 81% of buyers seek homes to live in, while 16 per cent are investors, with 88% opting for apartments. In the US$ 21.k plus monthly income segment, around 18% buy on mortgages, focusing mainly on villas (32%) and premium apartments (63%). Property Finder surmised that “the move towards smaller apartments is down to more people looking for cost-effective ways to invest in property or to counter rent hikes. While there will always be a market for villas and high-end apartments among affluent buyers, more residents are seeing the practical and financial benefits of apartment living”.
Still on target for a Q4 2026 handover, this week, DAMAC Properties topped out its US$ 272.5 million ultra-luxury residential property, Cavalli Tower – the world’s first tower with interiors designed by the iconic Italian fashion house, Roberto Cavalli. Located beside the beach in Dubai Marina, with seventy-one storeys, it will feature four hundred and thirty-six units. Its designer was award-winning architect Shaun Killa, who also worked on the Dubai’s Museum of the Future. The development has a range of one- to five-bedroom apartments, duplexes and five‑bedroom penthouses and will have private sky pools, sky gardens, and an infinity pool overlooking the Arabian Gulf. It also has a Malibu Bay-inspired beach pool and a four-storey-high lobby.
In 2019, DAMAC Group acquired ‘Roberto Cavalli’ reinforcing the developer’s commitment to integrating global fashion heritage into real estate. Cavalli Tower was launched in 2021, and the partnership with the Italian company has also been involved in other projects – DAMAC Bay 1 and 2 by Cavalli, and Cavalli Estates in DAMAC Hills.
The latest entrant into the Dubai property market is Casa Vista Development, which has broken ground on its US$ 95 million debut luxury waterfront project, Aquora, at Dubai Islands; it will feature one hundred and five spacious coastal residences and is slated for completion by Q1 2028. Located on the mixed-use Island A, the development will offer fifty-four one-beds, thirty-six two-beds, and fifteen three-beds in simplex and duplex formats, with prices starting from US$ 518k. It also includes a basement and an expansive rooftop that will feature a twenty-two mt infinity pool, a dog park, and an open-air cinema, along with six waterfront retail outlets. Other amenities on the ground floor will include a Grand Lobby, Business Lounge, Open Courtyard, and prayer rooms, while the first floor will house a Clubhouse, adult and children’s swimming pools, cabanas, a Jacuzzi, a sauna, indoor and outdoor yoga areas, and a gym fully equipped with Technogym equipment.
The latest entrant, ex Expo City Dubai, is ‘Expo Valley Views’, with eight low-rise buildings housing one-, two- and three-bedroom apartments; it is located within the wider Expo Valley district. The project, set amid landscaped green spaces and water features, has been designed as a walkable neighbourhood, with extensive shading and social spaces. Amenities will include horse trails, yoga decks, fitness studios, multiple pools, children’s play areas and cafés. The project aligns with Expo City’s sustainability and decarbonisation strategy, supporting the UAE’s Net Zero 2050 Strategy, National Investment Strategy 2031, and the Dubai Economic Agenda (D33).
With Solcasa Residence in the Meydan district its primary current project, Mashriq Real Estate Development, a Dubai-based property company, has launched, in the ever-popular Jumeirah Village Circle, ‘Floarea Skies’; it will have forty-two studios, one hundred and thirty-four one-beds and sixteen two-beds. A standard studio apartment size will be three hundred and ninety-eight sq ft, with a price range starting at US$ 188k, one-beds will come in four types from seven hundred and seventeen to eight hundred and thirty-six sq ft, with prices from US$ 291k and two beds will range from 1.10k to 117k sq ft in three types, with prices from US$ 408k. Amenities will include a rooftop infinity pool, kids’ organic pool, Zen garden, floating meditation deck, mini golf, splash pad, poolside Baja shelves, a reading corner, board game area, sunken lounge, a BBQ zone and a fully equipped gymnasium. The developer, with past experience in Saudi Arabia, Singapore and Indonesia, is considering a further 1.2k units over the next two years, including ‘Floarea Vista’ in Discovery Gardens, ‘Floarea Grande’ in Arjan, and ‘Floarea Oasis’ at Dubai Land Residential Complex. It has already secured land for other projects on the drawing board – Floarea Breeze in Dubai Islands, Meydan District-11 and Dubai Production City.
‘IL VENTO’ is an interesting launch this week because Kora Properties is the real estate arm of AppCorp Holding, the parent company of the Apparel Group – the Dubai-based multinational conglomerate, with revenue in the region of US$ 3.5 billion. The residential project, in Dubai Maritime City, comprises a forty-storey tower, with three hundred and thirty apartments, being one hundred and eighty-two one -bedroom, ninety-three two bedroom units, fifty-one three-bedroom apartments and four penthouses hosting three bedrooms that come with added amenities, including a private swimming pool. The tower will feature three basement levels, a ground-floor lobby, and five podium-level parking floors. There will be some forty facilities and amenities, including a sky pool, indoor and outdoor swimming pools, a family entertainment/events hall, a kids’ play area, a gym, and a yoga area. The company has announced a payment plan in which buyers can pay 40% during construction and 60% on handover, with mortgage financing available. Nilesh Ved, Chairman of AppCorp Holding and Kora Properties, said the company aims to extend its legacy into real estate by creating spaces that combine architecture and community living.
A ForwardKeys report points to the fact that Dubai is likely to end up the year, third in a list of top global destinations, along with London and Tokyo. The study, based on forward bookings, indicates a 6.0% increase in international arrivals to Dubai compared with the same period last year, enhancing the city’s position as a global tourism, leisure, and business hub. It expects Dubai to account for 2.2% of all international tourist arrivals during Q4 – a percentage that grows every year. It noted that India and the UK remain the emirate’s top source market, with China and Germany posting annual increases of 34% and 9%. Leisure travellers account for the largest segment of incoming visitors, with long-stay bookings on the rise, but short stays (one – five days), continue to dominate with 46% of the total; long stays, (over fourteen days) are expected to show a 9% hike. In the first seven months of 2025, Dubai welcomed some 11.17 million visitors – 5.2% higher on the year. There are indicators that hotels and resorts across Dubai are seeing record booking levels, with some reporting up to a 30% increase in confirmed reservations.
Driven by an increased focus on diversification, Dubai’s H1 economy expanded by an impressive 4.4%, with a GDP of US$ 65.6 billion, as Q2 growth topped 4.7% to US$ 33.2 billion. The emirate’s Crown Prince, Sheikh Hamdan bin Mohammed, noted that “Dubai continues to advance a future-focused model of innovation, diversification and global competitiveness”, and that “these results reflect the combined efforts of the public and private sectors and the dedication of Dubai’s wider team”, bringing the emirate “closer to achieving the goals of the Dubai Economic Agenda D33″. Its D33 agenda also aims to raise the contribution of foreign direct investment to Dubai’s economy from an average of US$ 8.72 billion annually, in the past decade, to an average of US$ 16.35 billion in the next decade to reach a total of US$ 177.11 billion. Growth in H1, on an annual basis, was noted in most sectors of the economy:
real estate 7.0% higher US$ 5.40 billion 8.2% of GDP
human health/social work 20% higher US$ 899 million 1.4% of GDP
construction 8.5% higher US$ 4.36 billion 6.7% of GDP
financial/insurance 6.7% higher US$ 8.23 billion 12.5% of GDP
information/comm 5.3% higher US$ 2.78 billion 4.5% of GDP
accommodation/food 4.9% higher US$ 2.37 billion 3.6% of GDP
At the latest meeting of The Executive Council of Dubai, Sheikh Hamdan also issued guidance by approving a raft of policies, to make the emirate one of the world’s most beautiful, most liveable, and healthiest cities. The projects include:
The Public Parks and Greenery Strategy
over eight hundred projects, including three hundred and ten new parks, the improvement of three hundred and twenty-two existing parks, one hundred and twenty new open spaces, over seventy roads’ rights-of-way, and fourteen technological projects. It aims to boost annual park visits in Dubai to ninety-five million by 2040 and triple the number of trees, provide one hundred and eighty-seven sq km of green areas — eleven sq mt per person — and use 100% recycled water for irrigation
The Aviation Talent 33 initiative the council also approved the Aviation Talent 33 initiative which aims to reinforce Dubai’s position as the aviation capital of the world. The initiative will ensure Dubai has the readiness, skills, and technological leadership to deliver world-class operations at Dubai’s airports, including Al Maktoum International Airport. Key targets include Emiratisation in leadership and operational roles, providing over 15k job opportunities, more than four thousand training and skills development opportunities, and forging over thirty strategic partnerships with aviation companies as part of the Aviation Talent 33 network
The policy to Expand/Promote Affordable Schools to support Dubai’s aspirations to rank among the world’s top ten cities for education quality, in line with the Dubai Education Strategy 2033. The policy aims to attract around sixty new affordable schools by 2033, adding approximately 120k new seats. It also includes incentives to reduce government fees to encourage investors to establish new affordable private schools, including reduced land leasing costs
Sports Sector Strategic Plan 2033 developed by the Dubai Sports Council, which aims to make Dubai the world’s leading sports hub. It focuses on attracting international events, supporting sports clubs, developing talent, and encouraging public participation in sports. The plan comprises nineteen programmes and seventy-five initiatives across seventeen priority sports, serving all of society but especially youth and people of determination
Urban greening and parks the project also promotes healthy lifestyles, aiming for 80 per cent of Dubai’s residents to live within a five-minute walk of their neighbourhood park and within a ten-minute cycle ride of a district park
The Establishment of the Financial Restructuring and Insolvency Court Project
will specialise in financial reorganisation and bankruptcy applications and cases. The project aims to attract investment, assist traders and companies in settling their debts, avoid asset liquidation, and protect creditor rights through restructuring, debt repayment, and business continuity without compromising fairness. It aims to help make Dubai one of the world’s top three financial centres. This initiative also contributes to the broader vision to double Dubai’s economy, attract US$ 177.11 billion in investment, and add 65k Emiratis to the private sector
Early disease detection aiming to help place Dubai among the top ten cities for healthy life expectancy, the council approved the project to expand Early Detection Healthcare Services for Emirati citizens. This also aims to reduce chronic diseases that currently account for 52% of deaths. The project seeks to increase early detection for colon cancer by 40%, increase vaccination services by 50%, achieve over 90% patient satisfaction with early detection services, and reduce appointment waiting times for early detection to seven days or under
Last week, the Minister of Energy and Infrastructure, Suhail Al Mazrouei, noted that the federal government is examining the construction of a fourth federal highway, stretching 120 km with twelve lanes and capacity for up to 360k daily trips, as part of a US$ 43.62 billion national roads and transport investment programme. It is expected that the package will be implemented within five years. In the case of a favourable Cabinet response, it would become the nation’s fourth pan-emirate highway joining three existing major federal routes – the E11 (Al Ittihad), E311 (Sheikh Mohammed bin Zayed) and E611 (Emirates Road) – that together serve more than 850k vehicles in their daily commute commuting between Dubai and the Northern Emirates.
The new highway will sit alongside major upgrades to those three federal highways, which are being widened to ease congestion and support the UAE’s population and economic growth. Al Mazrouei said the federal road network’s efficiency is targeted to rise by 73% over the next five years, with lanes increasing from ninetten to thirty-thee in each direction under the comprehensive expansion plan which will see:
- Etihad Road six extra lanes increasing capacity by 60%.
- Emirates Road ten extra lanes raising capacity by 65% reducing travel time by 45%
- Sheikh Mohammed bin Zayed Rd ten extra lanes raising capacity 45%
Interestingly, last year a study carried out by Federal National Council Member, Dr Adnan Hamad Al Hammadi Traffic, noted that pressure on federal routes connecting Dubai with the Northern Emirates had long been a concern. It found that these highways face “severe traffic jams, especially during peak hours,” saying they “drain twenty hours per week, eighty hours per month, and 1k hours annually from employees’ time”. It is patently evident that the addition of more roads will ease commuter bottlenecks.
The UAE government has conducted its first national transaction using the Digital Dirham, with the transaction performed by the Ministry of Finance and the Dubai Department of Finance, working closely with the Central Bank of the UAE. It is the first step on the road to embed next-generation financial technology across the public and private sectors. The first pilot transaction was executed via the mBridge platform, the multi-central bank digital currency settlement system developed by the central bank. The Digital Dirham project was launched to speed up the adoption of digital payments and to bolster Dubai’s reputation as a global financial innovation hub. The bank’s chairman, Sheikh Mansour bin Zayed, said the Digital Dirham is a “strategic pillar” in the country’s aim to establish an integrated digital economy.
Despite all the troubling global economic news, with many G20 counties hampered by sticky inflation, UAE has gone against the trend. According to the International Monetary Fund’s latest Regional Economic Outlook, the UAE’s inflation is projected to average 1.6% this year, slightly down 0.1% on the year; it is expected to move higher to 2.0% in 2026. According to Kamco Invest’s latest GCC Inflation Update, Dubai’s September consumer price index rose 0.1%, on the month, to 2.9%, year-on-year, up from 2.4% in August. The Housing, Water, Electricity, and Gas category – Dubai’s most heavily weighted CPI component – was the primary driver, surging 5.8% year-on-year, with other sectors driving inflation north including Recreation and Culture, which rebounded sharply, and modest increases in Education and Food & Beverages. However, the Transport group continued its downward trend, helping to moderate overall inflation. There could be further reductions in the inflation rate assisted by lower energy prices and tighter fiscal policies but all could be derailed if there were to be a major global economic crisis.
YTD to September, Dubai’s digital economy has seen five hundred and eighty-two start-ups – an indicator that the emirate is fast becoming a global hub for tech-driven entrepreneurship. Dubai Chamber of Digital Economy posts that international companies now dominate the Dubai startup scene, accounting for 70% of the new ventures. Omar Sultan Al Olama, Minister of State for Artificial Intelligence, Digital Economy, and Remote Work Applications, stated “we are building an advanced business environment defined by agility, readiness, and innovation to keep pace with rapid technological change, while enabling digital companies to grow and expand from Dubai into global markets”. AI companies made up 21% of all new digital ventures, ahead of HealthTech, Software-as-a-Service (SaaS), and FinTech, which collectively represented 17%. Dubai further benefits from its connectivity, market access, and pro-business environment.
Under new international tax transparency rules, the UAE will begin sharing financial information on digital assets and central bank digital currencies with other countries from 2028. The Ministry of Finance confirmed the move and that it aligns with global efforts led by the Organisation for Economic Co-operation and Development to strengthen oversight of digital finance and expand tax transparency to new asset classes. Taking effect on 01 January 2027, the Common Reporting Standard 2.0 will result in an upgrade of the global framework for the Automatic Exchange of Information to cover electronic money, central bank digital currencies, and certain crypto asset activities. The Ministry added that the adoption of CRS 2.0 is a demonstration of its ongoing commitment to international cooperation and transparency. Under the revised framework, financial institutions and service providers handling crypto assets will be required to apply enhanced due diligence, auditing, and reporting standards. This ensures that the growth of the digital asset sector and financial innovation does not affect global tax transparency.
The importance of family businesses has been brought home with data from the Ministry of Economy and Tourism affirming that family businesses contribute around 60% of the UAE’s GDP, more than 80% of employment, and represent nearly 90% of all private-sector companies in the country. With figures like that, it is obvious that they will be a huge contributor to supporting the ‘We the UAE 2031’ vision, to double the national GDP to US$ 817.4 billion, (AED3 trillion). There is no doubt that the government has played its part by introducing proactive legislation to support the growth and long-term prosperity of family businesses. Indeed, Federal Decree-Law No. 37 of 2022 on Family Businesses became the world’s first comprehensive legislation dedicated to this vital sector. The Ministry has also issued four ministerial resolutions that established the Unified Family Business Register, introduced the Family Charter framework, set out procedures for share buybacks by family-owned companies, and enabled the issuance of multiple share categories.
In its nine-month financial figures, reflecting strong demand and project momentum, Emaar Properties returned impressive results – all positive, with revenue, up 39% to US$ 9.0 billion, EBITDA, 32.0% higher at US$ 4.5 billion and net profit before tax, 35% higher at US$ 4.5 billion. The developer witnessed property sales, 22% to the good, at US$ 16.6 billion and had a company revenue backlog of US$ 41.0 billion – almost 50% higher, compared to the same nine-month figure in 2024; its UAE development back log stood at US$ 35.4 billion, with country property sales being 10% higher at US$ 14.4 billion. Its country-wide projects portfolio includes Dubai Hills Estate, The Oasis, Rashid Yachts & Marina, Dubai Creek Harbour, and The Valley. It also announced plans for a US$ 27.8 billion ultra-luxury community adjacent to Dubai Hills Estate, featuring “Dubai Mansions” for high-end buyers. (Further details can be found in last week’s blog ‘One Step Too Far’, 07 November 2025).
There were revenue increases noted in its two subsidiaries. Shopping malls and retail posted US$ 1.3 billion, in revenue, up 12%, and hospitality and leisure, US$ 0.8 billion, up 15%, with hotel occupancy averaging 72%. Recurring revenue portfolio, totalling US$ 2.1 billion, contributed 35% of total EBITDA. Emaar continues to maintain a robust land bank of 660 million sq ft globally, including 370 million sq ft in the UAE, which will generate future revenue streams. During the period, it saw improved credit ratings – BBB+ (S&P Global) and Baa1 (Moody’s) – both with stable outlooks.
There was positive news all over the Dubai Investments’ financials, including a 59% surge in profit before tax, for the nine months to 30 September and profit before tax of US$ 297 million; Q3 profit more than doubled in the year to US$ 150 million, driven by rising rental income across the Group’s property portfolio and continued momentum in the manufacturing segment. Total assets rose 7.1% to US$ 6.42 billion, with equity attributable to shareholders climbing to US$ 3.92 billion.
One of its main units remains real estate, with ongoing construction on Violet Tower in Jumeirah Village Circle, the residential tower and hotel at Danah Bay on Al Marjan Island and Asayel Avenue at Mirdif Hills. When it comes to manufacturing, Emirates Float Glass has begun work on its second float line at KEZAD, that will double production capacity and will introduce Ultra Clear low-iron glass. Al Mal Capital REIT has added a new healthcare investment through the acquisition of Dubai’s NMC Royal Hospital. Away from Dubai, the Group has completed works for Phase 1 of DIP Angola.
The release of Salik Company PJSC’s financial figures, for the nine months to 30 September, was full of impressive and positive returns, with total revenue 38.6% higher at US$ 619 million, pre-tax profit surging 39.0% to US$ 341 million, net profit up 38.7% to US$ 322 million, and EBITDA rising 42.0% to US$ 431 million, (with a 69.6% margin). Dubai’s exclusive toll gate operator attributed its strong results to the introduction of two new toll gates in November 2024, the successful rollout of variable pricing earlier this year, and the continued positive macroeconomic environment in Dubai. Over the nine months, total chargeable trips reached 470.5 million, of which 152.2 million were recorded in Q3 2025. Salik’s chairman, Mattar Al Tayer, noted that “Salik’s performance over the first nine months of 2025 reflects the strong economic momentum in Dubai and the emirate’s attractive investment environment, which has positioned it as a global model for business sustainability and the competitiveness of key sectors”. He emphasised that Salik continues to benefit from Dubai’s solid economic fundamentals, including steady population growth, a strong tourism sector, buoyant real estate activity, and significant, well-planned infrastructure investment. He reaffirmed Salik’s commitment to advancing its digital infrastructure and investing in smart mobility solutions, in line with Dubai’s ambition to become a global leader in smart and sustainable transport.
Dubai Taxi Company posted a 28% Q3 increase in net profit at US$ 21 million, attributable to higher trip volumes, expanding fleet capacity, improved operational efficiency and steady demand across its mobility segments. Quarterly revenue and EBITDA were 15% higher at US$ 159 million and up 23% to US$ 41 million, with its margin 2% higher at 26%. DTC ended the quarter with US$ 19 million in cash and a net-debt-to-EBITDA ratio of 1.5 times. It distributed a US$ 44 million H1 dividend in August, equal to US$ 0.0175 per share, in line with its policy of returning at least 85% of annual net profit. An analysis of the different revenue streams sees:
- taxis up 12% to US$ 138 million
- limousines up1% to US$ 8 million
- buses up 90% to US$ 8 million
- delivery bikes up 62% to US$ 5 million
Over the period, DTC completed 13.1 million trips – up 7% driven by fleet additions and stronger visitor inflows; its total operational fleet, rising 19% on the year, stood at 10.5k vehicles, with the operational taxi fleet topping 6.22k, including four hundred and one fully EVs. The company employs approximately 17k taxi drivers and maintains a ratio of 2.5 drivers per vehicle. Its ongoing partnership with Bolt continues to grow, with more than 652k downloads and over 27k registered cars been recorded since its launch. During the quarter, DTC entered a strategic alliance with Kabi, bringing together 6.22k DTC taxis and 3.68k Kabi vehicles into the Bolt and Zed e-hailing platforms. The combined fleet represents 72% of Dubai’s taxi market and supports the city’s target of shifting 80% of taxi trips to e-hailing.
The DFM opened the week, on Monday 10 November, on 6,025 points, and having gained one hundred and thirty points (2.9%), the previous week, shed seventy-five points (1.2%), to close the week on 5,950 points, by 14 November 2025. Emaar Properties, US$ 0.07 higher the previous week, gained US$ 0.05 to close on US$ 3.76 by the end of the week. DEWA, Emirates NBD, DIB and DFM started the previous week on US$ 0.76 US$ 7.57, US$ 2.58 and US$ 0.43 and closed on US$ 0.75, US$ 6.98, US$ 2.58 and US$ 0.43. On 14 November, trading was at five hundred and sixty-seven million shares, with a value of US$ one hundred and eighty-three million dollars, compared to three hundred and fifty-one million shares, with a value of US$ two hundred and thirty-two million dollars on 14 November.
By mid-afternoon, 14 November 2025, Brent, US$ 1.02 (1.6%) lower the previous week, had gained US$ 0.17, (0.1%), to close on US$ 63.85. Gold, US$ 7 (0.1%) lower the previous week, gained US$ 115 (2.9%), to end the week’s trading at US$ 4,119 on 14 November. Silver was trading at US$ 51.65 – US$ 3.67 (7.5%) higher on the week.
Sportico’s latest team valuations place Ferrari in pole position of the ten franchises, (with a total cumulative balance of US$ 34.2 billion) in Formula 1, with US$ 6.4 billion. The latest figures show that the average F1 franchise value, (US$ 3.42 billion) is now higher than the average value of a Major League Baseball club’s US$ 2.82 billion but is still behind the NFL and NBA in average franchise value. After Ferrari, Mercedes came in second with a US$ 5.88 billion valuation, followed by McLaren (US$ 4.73 billion) and Red Bull Racing (US$ 4.32 billion). The least valuable team, Haas, was still worth US$ 1.68 billion, more than Sportico‘s valuation of the Milwaukee Brewers ($1.63 billion).
A Chinese woman Zhimin Qian, was in a London court this week to face charges that she had orchestrated a Ponzi scheme which defrauded around 128k people in China between 2014 and 2017, raising billions of dollars, much of which was converted to Bitcoin. Known as the “goddess of wealth”, she was arrested after UK authorities seized 61k Bitcoins, worth over US$ 6 billion at current rates, believed to be a record in cryptocurrency-related crime. She has pleaded guilty to acquiring and possessing criminal property in September, even though she had evaded UK authorities for the previous six years, having had arouse suspicions in 2018 when trying to buy a London home with Bitcoin. She has been sentenced to over eleven years.
Following launching ‘Five Guys Europe, in the UK, twelve years ago, reports show that Sir Charles Dunstone is considering acquiring a big stake in the casual dining brand. His investment vehicle, Freston Ventures has retained investment bankers at Goldman Sachs to proceed further, and at a time when sources indicated that a stake of up to 50% in Five Guys Europe was likely to be made available to bidders. It is estimated that the entire burger chain, with a payroll of some 6k and one hundred and eighty stores in the UK, could be valued at US$ 790 million. It is understood that the English knight has already done a deal, to pay a royalty fee to the US brand-owner for its future use, with the 1986 original founders, the Murrell family. ‘Five Guys’ employs 9k people in Europe and has over two thousand stores in twenty-six countries. In the current economic climate, the hospitality and retail industries is under the cosh after the increase in employers’ national insurance payments and the lifting of the minimum wage took effect last April, with probable more bad news in the upcoming Reeves’ budget – and the possibility of mass job cuts and business collapses So far this year, Cote and TGI Fridays have had new owners this year, with a string of casual dining businesses have fallen into administration, including, most recently, ‘Pizza Hut’.
Japan’s NSK is considering leaving the UK – and its factories in County Durham – because it is facing union opposition for plans to close two of its unprofitable units. The factories, which produce bearings for the automotive industry, employ up to four hundred.
Latest data from Yonhap News Agency indicates that the Republic of Korea has shown signs of slight improvement, driven by a rebound in consumer spending; although the contraction in construction investment and a slowdown in export growth, the economy appears to be improving slightly, led by consumption. Last month, its exports, on the year, were 3.6% higher at US$ 59.57 billion – the fifth successive month of growth. The report highlighted that semiconductor exports, a key driver of the nation’s outbound shipments, remained strong, with a caveat that it could weaken due to the impact of US tariff measures. Although semiconductor exports surged 25.4% to $15.73 billion – the highest figure ever recorded for October – exports of most other goods declined, attributable to fewer working days caused by the extended Chuseok holiday.
Although lower the previous month, China’s October’s consumer price index rose by 0.2% year-on-year in October, compared to 0.1% a month earlier. The National Bureau of Statistics reported that the core CPI, which excludes food and energy prices, continued to rise last month – its sixth consecutive monthly increase, and reaching its highest level since March 2024. The main rebound factors were the government’s package of fiscal and monetary stimulus to boost domestic consumption, as well as the seasonal holiday effect during the National Day and Mid-Autumn Festival holidays in October. Urban prices climbed by 0.3%, year-on-year, while rural prices fell by 0.2%. China’s total goods imports and exports in yuan-denominated terms rose to US$ 5.24 trillion YTD – a 3.6% rise, but 0.4% lower than the September return. In October alone, China’s goods imports and exports edged up 0.1% on the year.
News out later in the week meant more bad reading for the embattled Chancellor, with Q3 growth of just 0.1% – its worst performance over the past two years, and well below market estimates; month on month, growth fell by 0.1% in September. The economy had expanded 0.7% and 0.3% in Q1 and Q2 respectively but has hit the buffers in Q3. There were marginally dominant positive results seen in the service sector, (0.2%) and construction (0.1%); on the flip side, the stand-out was output in production, which includes manufacturing, contracting by 0.5%, not helped by a marked decline in MV production, (made worse by the JLR cyber-attack which cost the carmaker some US$ 2.50 billion in September), and a further decline in the pharmaceutical industry. In the services sector, business rental/leasing, live events and retail performed well, but these positives were offset by falls in R&D and hair and beauty salons. Labour figures showed that unemployment had hit 5.0% for the first time since January 2021 and that measures of employment growth were contracting. – up from 4.8% reported last month. When Labour entered the highest office in July 2024, the rate was 4.1%. More recent figures show that there had been a 32k decline in payrolled employment during October.
Another week, another U-turn for the Starmer administration, having spent weeks laying the groundwork to break their manifesto pledge and raise income tax rates in the 26 November budget. Now it seems that fears that it would further anger disgruntled Labour MPs and voters have made the embattled Prime Minister pull the pin. Earlier in the month, Rachel Reeves had spoken of difficult choices, insisting at the time that she could neither increase borrowing nor cut public spending and warning the electorate that “everyone has to play their part”. The Chancellor will now have to fill an estimated US$ 40 billion black hole with a series of narrower tax-raising measures and is also expected to freeze income tax thresholds for another two years beyond 2028, which should raise about US$ 10.53 billion. It does seem that the Chancellor lacks the political nouse, experience and expertise to carry out the job and has run the Exchequership onto the rocks. Captain Of A Shipwreck!
howesdubai.com 