U.S.-Arab Chamber leads another 'investment awareness' road show to the Middle East

At a time when Arab nations are flush with cash and looking for investment opportunities in the United States, U.S. companies are also on the lookout for prospective partners throughout the Arab world. NUSACC is on the cutting edge of this trend, leading two such delegations to the Middle East in the past month.

"At no time in memory has the Arab world had such a profound impact on global investments," says David Hamod, President & CEO of NUSACC. "High oil prices are having ripple effects in the international marketplace, sovereign wealth funds are providing timely cash infusions to companies that have been hit hard by the credit crunch, and recent talk about de-pegging Arab currencies from the U.S. Dollar is creating some uncertainty."

The most recent NUSACC "road show" is giving U.S. and Arab investors a chance to meet face-to-face to gain a better understanding of "win-win" opportunities, including discussions about transparency, corporate governance, and best practices. Dr. Nasser Saidi, Executive Director of a regional institution ("Hawkamah") dedicated to corporate governance, suggests that such governance "holds the key to the region's economic growth prospects and sustainability and strengthens competitiveness in the global marketplace."

The NUSACC delegation just participated in a high-level conference on investment funds sponsored by Qatar's Ministry of Economy & Commerce, the Qatar Central Bank, the Qatari Business Association, and other entities in the gas-rich emirate. The delegation is also being hosted by the Dubai International Financial Centre (DIFC), the Abu Dhabi Securities Market, and the Kuwait Chamber of Commerce and Industry.

The visit comes at a time when the region is still buzzing about the decision by Citigroup to sell $7.5bn worth of equity units to the Abu Dhabi Investment Authority (ADIA) - the most recent example of a "win-win" opportunity for U.S. and Arab business partners.

Win Bischoff, Acting CEO of Citigroup, noted, "This investment, from one of the world's leading and most sophisticated equity investors enables us to access capital in an efficient manner and is consistent with our strategy of maintaining a balance sheet that benefits from highly diverse sources of funding in terms of both geography and type of security."

For his part, the Managing Director of ADIA, Ahmed Bin Zayed Al Nahayan, described Citi as a "highly respected company with a premier brand and with tremendous opportunities for growth. This investment reflects our confidence in Citi's potential to build shareholder value."

Most of the companies that NUSACC has been bringing to the area are new-to-the-region firms that have come to see the sweeping changes taking place in the Arab economies.

"My first trip to the 'new' Middle East was definitely worthwhile," says Jurrien Timmer, Director of Market Research for Fidelity Investments - America's largest mutual fund company, the nation's top provider of workplace retirement savings plans, and a leading online brokerage firm. "In Qatar, I was impressed by the thoughtfulness with which the Government is planning its rapid economic development. In Dubai, the level of planning and development at the Dubai International Financial Centre is equally impressive. And of course, all the construction is quite a sight to behold."