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June 2025: Data drives regional projects Administrator30 June 2025
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UAE-Turkiye financial links strengthen Administrator30 June 2025
This package on UAE-Turkiye relations also includes:> UAE-Turkiye trade gains momentum
> Turkiye’s Kalyon goes global
Turkish bank DenizBank is one of Turkiye’s leading private banks and, as a wholly owned subsidiary of Emirates NBD since 2019, it is playing a leading role in developing business links between the UAE and Turkiye.
Recep Bastug, who was appointed as DenizBank’s CEO in 2024, says there is great potential for trade between the two countries.
“Turkiye is a growing country,” he says. “We’ve had volatility over the past five years, but the Turkiye economy and the banking sector have been able to manage those periods successfully.”
Having spent years with international institutions such as BBVA, Bastug has vast experience in the banking sector. “Turkish banks, especially private ones like DenizBank, are very successful. In terms of capital, balance sheet structure and digital transformation, we are in a strong position,” he says.
Solid fundamentalsTurkiye’s fundamentals remain solid with a diversified export-oriented economy, a young and skilled population of 85 million, and relatively low debt levels. “We are not a highly leveraged country. Our household debt-to-GDP ratio is low. With the right policy mix, we offer high potential for foreign investors,” says Bastug.
That potential is increasingly being realised through growing engagement with the GCC and the UAE. “Turkiye’s connection with the Gulf is going up, and DenizBank is set to play a serious role in these relations. Day by day, Turkish companies are expanding their footprint in the region.”
GCC projects
Baştug says that many of these companies approach DenizBank to help facilitate their entry into Gulf markets. “Some of our clients are extremely well capitalised, but others need support for major projects. Just recently, one Turkish company announced a $3bn project in the region. We’re helping them connect with Emirates NBD and navigate the local financial landscape.”
DenizBank is actively supporting the creation of trilateral partnerships – particularly between Turkiye, the UAE and Saudi Arabia. “We see huge opportunity in forming financial strongholds across these markets, leveraging Turkiye’s contractor experience, the UAE’s capital and Saudi Arabia’s scale,” says Baştug.
DenizBank is already delivering results. “With Emirates NBD, we’ve identified 10 strategic cooperation areas, including trade finance, payments and capital markets. Thanks to this partnership, Emirates NBD has become the number one debt capital markets bank in Turkiye, even ahead of global players.”
One area of growing activity is initial public offering (IPO) participation. “We’ve launched a mutual fund that allows Turkish private banking clients to participate in IPOs from the region, including from the UAE and Saudi Arabia. It’s a diversification strategy and helps retain wealth within the group.”
Turkiye’s connection with the Gulf is going up, and DenizBank is set to play a serious role in these relations. Day by day, Turkish companies are expanding their footprint in the region
Recep Bastug, DenizBankInflation ends
Despite the current inflationary environment, Bastug says there is a clear inflection point ahead. “We expect 2027 to be a turning point. Once we exit the inflationary accounting regime [in Turkiye], DenizBank will become one of the biggest contributors to Emirates NBD’s global balance sheet. Last year, we contributed $1.2bn. In 2027, it will be significantly more.”
DenizBank is the fifth-largest private bank in Turkiye with about a 5% market share. “The largest private bank is at 13%. It’s not easy to close that gap – but we will do it. Our long-term goal, aligned with our shareholder, is to become the biggest and most successful private bank in the country.”
The bank is especially focused on agriculture, SMEs, and export financing – sectors that are deeply relevant to
Turkiye’s economic growth and to regional demand. “We are the leading agricultural bank in Turkiye, and we believe strongly in the sector’s future – both for local consumption and exports.”Regional opportunities
Bastug also sees potential for engagement beyond the GCC, including in post-conflict reconstruction. “In the past, Turkiye had strong trade volumes with Syria. Even during wartime, commercial links remained. Once a stable environment emerges, there will be opportunities – especially in infrastructure.”
While a physical branch presence is not currently being considered, DenizBank is prepared to support Turkish contractors operating in neighbouring countries. “We have the relationships and expertise to facilitate this growth. And culturally, we’re well aligned with the region – it helps make business smoother.”
As Turkiye re-establishes economic momentum and Gulf economies look to deliver on long-term visions, DenizBank is positioning itself for a more active role in the region in the future. “We are preparing the bank for the next stage, and with the backing of Emirates NBD, we’re confident in our ability to lead.”
READ MORE
> UAE-Turkiye trade gains momentum
> Turkiye’s Kalyon goes globalhttps://image.digitalinsightresearch.in/uploads/NewsArticle/14170372/main.gif -
Multiply agrees to sell Pal Cooling to Tabreed and CVC Administrator30 June 2025
Abu Dhabi-based investment company Multiply Group has agreed to sell all of its shares in its district cooling subsidiary Pal Cooling Holding (PCH) for AED3.8bn ($1bn) to a consortium comprising Engie-backed National Central Cooling Company (Tabreed) and CVC DIF.
The transaction is still subject to regulatory approvals.
MEED exclusively reported in May that a team comprising Tabreed and CVC was holding exclusive discussions to acquire PCH.
Multiply Group initially acquired a 100% stake in PCH and its subsidiaries in July 2021.
Multiply Group has been advised by Standard Chartered and Clifford Chance. Tabreed and CVC DIF have been advised by Citi, Synergy Consulting and White & Case.
The transaction brings together two of the UAE’s leading district cooling players. PCH was founded in 2006 and operates five active district cooling plants across the UAE. The company maintains eight long-term concessions and strategic partnerships with some of the UAE’s leading real estate developers, servicing key residential, commercial and mixed-use developments – most notably on Abu Dhabi’s Reem Island.
Tabreed owns and operates 92 plants, including 76 in the UAE, five in Saudi Arabia, eight in Oman, one in Bahrain, one in India and one in Egypt, in addition to other international projects and operations.
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Iraq approves Basra housing project Administrator30 June 2025
Iraq has approved plans to build a housing project in Basra that will offer about 5,000 homes in the first phase to tackle the country’s rising housing shortage.
The project, which is endorsed by Iraq’s National Investment Commission (NIC), will cover an area of about 3 square kilometres.
According to local media reports, Basra province governor Asaad Al-Idani said the project has already been awarded to a developer.
Iraq has been gradually recovering since the war. The government initially prioritised infrastructure and public housing to stimulate economic growth, improve living standards and attract foreign investment.
More recently, benefitting from higher oil prices and a period of relatively stable governance, Baghdad has expanded its focus to reconstructing and modernising the country’s deteriorating infrastructure.
The Iraqi construction market has also seen significant investments from private real estate developers from the region. In May, Egyptian real estate developer Ora Developers announced that it had started construction on the Al-Wardi residential city project, which consists of more than 100,000 residential units covering about 61 million square metres (sq m) on the southeastern side of Baghdad.
The move is the latest sign of international investors’ growing appetite for developing real estate in Iraq as part of the country’s post-war building initiatives.
Also in May, another Egyptian firm, Talaat Moustafa Group Holding, said it was in negotiations with the NIC to develop a mixed-use project. The project, which will cover an area of about 14 million sq m and will be located in the southwest of Baghdad, is expected to contain about 45,000 residential units.
The positive sentiment has been particularly buoyed by a robust 2024 budget, which allocated nearly $42bn to transport, social infrastructure and housing initiatives.
Looking ahead, Iraq’s construction industry is expected to register an annual average growth rate of 4.9% in 2025-28, supported by further investments in energy, infrastructure and housing projects, according to UK analytics firm GlobalData.
MEED’s June 2025 report on Iraq includes:
> COMMENT: Iraq maintains its pace, for now
> GOVERNMENT & ECONOMY: Iraq’s economy faces brewing storm
> OIL & GAS: Iraqi energy project value hits decade-high level
> PIPELINES: Revival of Syrian oil export route could benefit Iraq
> POWER: Iraq power sector turns a page
> CONSTRUCTION: Iraq pours billions into housing and infrastructure projects
> DATABANK: Iraq forecast dips on lower oil priceshttps://image.digitalinsightresearch.in/uploads/NewsArticle/14170011/main.png -
Meraas announces Dubai City Walk expansion Administrator30 June 2025
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Local real estate developer Meraas has announced the City Walk Crestlane project as it continues to expand its City Walk residential community in the Al-Wasl area of Dubai.
The City Walk Crestlane comprises two residential towers offering 198 one-, two-, three-, four- and five-bedroom units.
The project is expected to be completed and handed over by the third quarter of 2028.
Earlier this month, Meraas, which is part of Dubai Holding Real Estate, awarded a construction contract for another project at City Walk.
The local firm Naresco Contracting was awarded a AED450m ($123m) contract for the main construction works on its Central Park Plaza residential project at City Walk.
The project involves constructing two towers with 23 and 20 floors. Together, they will have 212 residential units.
In May, Meraas awarded another local firm, Al-Sahel Contracting Company, a AED300m contract for the main construction works on Elara, which is phase seven of the Madinat Jumeirah Living masterplan in Dubai.
The project involves building three residential towers with 234 apartments.
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Dubai RTA begins Al-Safa Street early works Administrator30 June 2025
Dubai’s Roads & Transport Authority (RTA) has started the survey and soil testing for the Al-Safa Street improvement project.
The early works are being undertaken by the local Al-Mawazeen Soil Testing & Surveying Company.
US-based engineering firm CDM Smith is the project consultant.
The RTA formally announced the Al-Safa Street improvement project last week. The project extends 1,500 metres from the junction of Al-Safa Street with Sheikh Zayed Road to the junction with Al-Wasl Street.
The RTA said that the project involves the construction of two bridges and two tunnels with a total length of 3.1 kilometres (km), the widening of surface roads, and upgrades to intersections and traffic signal systems.
The project will reduce the travel time on Al-Safa Street to just three minutes from 12 minutes, and double the street’s capacity from 6,000 to 12,000 vehicles an hour in both directions.
It will serve some of the key landmarks in Dubai, including City Walk and the Coca-Cola Arena.
Planning for growth
In March 2021, the government launched the Dubai 2040 Urban Master Plan. Its launch referenced studies indicating that the emirate’s population will reach 5.8 million by 2040, up from 3.3 million in 2020. The daytime population is set to increase from 4.5 million in 2020 to 7.8 million in 2040.
In December 2022, Sheikh Mohammed Bin Rashid Al-Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, approved the 20-Minute City Policy as part of the second phase of the Dubai 2040 Urban Master Plan.
In addition to the road projects, the RTA’s Dubai Metro Blue Line extension forms part of Dubai’s plans to improve residents’ quality of life by cutting journey times, as outlined in the policy.
The policy aims for residents to have 80% of their daily requirements within a 20-minute journey time, on foot or by bicycle. This goal will be achieved by developing integrated service centres with all the necessary facilities and increasing the population density around mass transit stations.
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Oil majors win Egypt gas exploration blocks Administrator30 June 2025
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State-owned Egyptian Natural Gas Holding Company (EGAS) has awarded six new exploration blocks as it tries to boost domestic production.
The licence awards are expected to lead to investments worth $245m and the drilling of 13 new exploration wells in the awarded blocks, according to a statement published by EGAS.
The awarded blocks include four offshore blocks in the Mediterranean, which were offered in the 2024 international bid round, and two onshore blocks in the Nile Delta and North Sinai.
Companies that have been awarded blocks include US-headquartered Chevron, London-headquartered Shell and Italy’s Eni.
The awarded blocks are:
- North Samian Offshore Block & Northwest Atoll Offshore Block – Awarded to a consortium of Chevron and Shell. There are plans to drill two exploratory wells in each block.
- North Ras El-Tin Offshore Block – Awarded to Eni. There are plans to drill three exploratory wells.
- East Alexandria Offshore Block – Awarded to Cairo-headquartered Cheiron. There are plans to drill three exploratory wells.
- North Tanta Onshore Block (Nile Delta) – Awarded to Texas-headquartered IPR Energy Group. There are plans to drill two exploratory wells.
- El-Fayrouz Onshore Block (North Sinai) – Awarded to the UK/French oil and gas company Perenco, which plans to conduct a 3D seismic survey and drill one exploratory well.
In its statement, EGAS highlighted that more gas assets are available for investment on Egypt’s online oil and gas portal, known as the Egypt Upstream Gateway.
The assets available for investment include several undeveloped offshore discoveries in the Mediterranean.
The bidding for these areas is scheduled to close on 2 July 2025, and the results are expected to be announced after bid submission closes.
In 2024, natural gas accounted for 47% of Egypt’s primary energy consumption and 81% of its power mix. The country restarted liquefied natural gas (LNG) imports in 2024 after a six-year hiatus.
In February, MEED reported that the total value of active Egyptian gas projects had fallen by 79%, despite a steep decline in domestic gas output that has ramped up the need for costly imports.
At the start of 2019, the total value of active gas projects in Egypt was $41.5bn. This has now sunk to $8.6bn, according to data from regional projects tracker MEED Projects.
Despite the billions of dollars of investment in upstream projects in Egypt’s gas sector in recent years, production has been dropping since it peaked in 2021, according to the Energy Institute’s Statistical Review of World Energy.
In 2021, Egypt produced 67.8 billion cubic metres (bcm) of gas. This fell to 64.5 bcm in 2022 and 57.1 bcm in 2023.
In May 2024, Egypt’s domestic gas output hit a six-year low, down by about 25% from its 2021 peak.
Declining domestic production has led to a severe energy shortage in Egypt.
Last year, the North African country had to resort to load-shedding to keep its grid functioning amid a lack of gas supply and rising demand. The deepening energy crisis, meanwhile, strained Cairo’s budget as it grappled with a heavy subsidies bill.
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World Bank and atomic agency formalise partnership Administrator26 June 2025
The World Bank Group and the International Atomic Energy Agency (IAEA) have formalised a partnership aimed at supporting the safe and responsible use of nuclear energy in developing countries.
The agreement, signed by World Bank Group president Ajay Banga and IAEA director-general Rafael Mariano Grossi, marks a significant reengagement with nuclear power for the World Bank after decades of limited involvement.
READ MORE: World Bank’s nuclear U-turn is an opportunity for Middle East projects
The partnership reflects a new approach by the World Bank Group to meet global demands for baseload power while managing emissions.
With electricity demand in developing nations expected to more than double by 2035, nuclear energy is recognised for its ability to provide continuous baseload power, which is crucial for sectors such as infrastructure, healthcare and manufacturing.
It not only enhances grid stability but also creates high-skilled jobs and stimulates broader economic investment. Additionally, nuclear power can adapt to fluctuations in electricity demand, facilitating the integration of renewable energy sources.
The memorandum outlines three key areas of collaboration: enhancing knowledge in nuclear safety and technology; extending the lifespan of existing nuclear plants; and advancing the development of small modular reactors.
Currently, 31 countries operate nuclear power plants, contributing approximately 9% of global electricity and nearly a quarter of low-carbon power.
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Turkiye’s Kalyon goes global Administrator26 June 2025
Construction firms in Turkiye have developed their resources and capabilities over the past two decades as they deliver major projects such as Istanbul Grand airport, which is one of the world’s largest and most technically advanced airports.
Contractors are now using that expertise to export their services to international markets, including the Middle East and GCC.
One of the companies leading the push is Kalyon Holding, which has interests operating in the construction, infrastructure, real estate and energy sectors. “We have put international growth at the top of our agenda,” says Kalyon Holding’s CEO Mustafa Kocar.
“It’s both a short-term and long-term strategy. We were a local company just a few years ago, but now we’re positioning ourselves as a global player.”
Kalyon, a diversified conglomerate with origins in contracting, has evolved over the past 15 years into a major investor in energy, transportation and infrastructure. Among its assets is a 55% stake in Istanbul airport, which is “the biggest airport in Europe and the region”, says Kocar.
This operational expertise, he says, is the foundation of Kalyon’s global expansion strategy.
“We tested our capabilities on megaprojects. Now, we want to leverage that know-how in other markets.”
Exploring expansion
While Turkiye remains the central hub, the group is scouting opportunities across the Middle East, North Africa, Eastern Europe and the US.
“We’ve already studied projects in Algeria, Libya, Morocco, Romania and Poland. In the US, many project opportunities have been offered to us.”
Despite this global outlook, Kocar emphasises Kalyon’s independence. “We don’t need anyone to deliver these projects,” he says. “We have the technical expertise, the equity, the financing network – everything in-house. But if a strategic partnership adds value, we’re open to that.”
In the GCC, Kalyon is eyeing opportunities in Saudi Arabia, where it is “getting prepared” for upcoming projects such as King Salman International airport, where the company hopes to leverage the experience it gained on the Istanbul airport scheme. Kocar adds that the firm is also forming consortiums for infrastructure projects.
“We’re selective. We don’t bid on everything. We focus on our core areas,” he says.
Kalyon is also watching the development of public-private partnership models in Saudi Arabia. “It’s a big market … and everyone can get a piece. But you have to differentiate yourself with technical expertise and execution capability.”
In the UAE, the company has prequalified for the high-speed rail project between Dubai and Abu Dhabi in partnership with a local and a Chinese firm.
Kalyon is also undertaking post-war reconstruction in Syria. The group is part of a consortium that signed a memorandum of understanding in May to invest $7bn in energy infrastructure, including a combined-cycle gas turbine (CCGT) plant and solar projects.
“The need [in Syria] is clear, and we believe the international commitment is there,” Kocar says. “Of course, it’s a challenge under current conditions, but we believe things will improve. We’re just at the beginning of the process.”
The solar project could be operational within two years, while the CCGT plant may be completed three years after financial closure.
We were a local company just a few years ago, but now we’re positioning ourselves as a global player
Diverse expertise
The work in Syria will lean on the group’s renewables experience. Kocar says Kalyon Energy is Turkiye’s biggest investor in renewables, with more than 2GW in operation and a target to more than double that to 5GW in the next five years.
“Turkiye has great potential, especially in solar and wind,” he says.
“Our projects are already receiving strong support from European governments and financial institutions. We’ve worked with UK Export Finance, and one of our solar plants received the largest green financing ever from them, globally.”
Kalyon Energy is a 50:50 joint venture with Abu Dhabi’s International Holding Company, through its subsidiaries. “It’s currently focused on renewables – solar and wind,” Kocar says. “There’s a view to go into other areas, but there’s no contractual arrangement yet.”
Vertical integration is another of Kalyon’s strengths. The group owns one of the world’s only fully integrated solar panel factories, producing everything from ingots to modules.
It also owns a floating storage regasification unit vessel – one of only two in Turkiye – and operates hydropower plants, as well as over 400 kilometres of toll roads under build, operate and transfer models.
Kalyon has also entered the real estate market with the country’s first luxury designer outlet near Istanbul airport, and runs a private university in Gaziantep, providing scholarships to 40% of its 10,000 students through the Kalyon Foundation.
While Kalyon has strong equity backing, it relies on project finance to optimise costs and competitiveness.
“The cost of equity is much higher than the cost of debt,” Kocar says. “The name of the game is leverage.”
The group has worked with at least eight European export credit agencies and international banks such as JP Morgan and Standard Chartered.
“Once you build that expertise and network, it carries you to other markets,” Kocar says. “But this was always a planned strategy, not opportunistic.”
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Firms conduct Dubai Metro Gold Line presentations Administrator26 June 2025
Consultants bidding for work on Dubai Metro’s upcoming Gold Line project have presented to the Roads & Transport Authority (RTA).
The RTA received offers from firms on 10 June. US-based Aecom submitted the lowest-priced offer at AED628m ($171m) for the five stages of the consultancy work available on the project.
Aecom’s price is about 18% lower than the second-lowest-priced offer of AED765m, which was submitted by UK-based Mott MacDonald.
The other offers are AED843m from US-based Parsons and AED1.16bn from Canada’s AtkinsRealis.
Lebanon’s Dar Al-Handasah submitted an offer of AED105m, which is understood to cover part of the consultancy work.
Stage one covers the concept design; stage two the preliminary design; and stage three the preparation of tender documents. Stage four encompasses construction supervision, and stage five covers the defects and liability period.
The Gold Line will start at Al-Ghubaiba in Bur Dubai. It will run parallel to – and alleviate pressure on – the existing Red Line, before heading inland to Business Bay, Meydan, Global Village and residential developments in Dubailand.
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UAE-Turkiye trade gains momentum