As the UAE marks its 53rd National Day, the nation celebrates not only its unity but also its emergence as a global leader in innovation and economic resilience. Central to this story is the automotive industry, a key player in shaping the nation’s economic landscape and mobility solutions. From luxury vehicles adorning its bustling streets to cutting-edge advancements in electric and autonomous technology, the UAE has positioned itself as a hub for automotive innovation in the region.

By Srijith K N

The country’s focus on sustainability and smart mobility has catalyzed investments in infrastructure, including EV charging networks and green mobility corridors, further underscoring its status as a pioneer in future-ready transportation. These advancements also reflect the nation’s commitment to sustainability, a cornerstone of its vision for the future.

Within this thriving ecosystem, the car rental industry has emerged as a dynamic sector, mirroring the UAE’s strategic focus on mobility and economic diversification. Rahul Singh, Managing Director of AA AL Moosa Enterprises – Car Rental Division, highlights how this sector has become a key driver of growth. “The UAE’s economy thrives on its strategic focus on travel and tourism, which contributed 11.7% of GDP in 2023. This success is mirrored in the expanding demand for car rental services, with the market growing 10% year-on-year in 2023 to USD 1.77 billion and projected to reach USD 214.70 million annually by 2029.”

Singh attributes this growth to the UAE’s ability to attract millions of international visitors—17.15 million in Dubai alone in 2023—many of whom rely on rental vehicles to explore the nation’s iconic destinations. “This surge reflects a shift towards flexible and cost-effective mobility solutions, driving direct and indirect economic benefits for the country,” he adds.

The role of car rentals becomes even more significant during National Day, as they facilitate seamless mobility for residents and visitors alike to immerse themselves in the celebrations. Beyond offering convenience, rental services cater to diverse needs—from premium sports cars that embody luxury to family-friendly SUVs and eco-conscious electric vehicles.

Electric vehicles (EVs) are particularly transformative, aligning with the UAE’s ambitious green mobility goals. The car rental industry’s increasing integration of EVs reflects a growing consumer preference for sustainable travel solutions. This trend not only supports the nation’s net-zero aspirations but also positions the UAE as a leader in environmentally responsible tourism and transportation.

As the UAE celebrates its 53rd National Day, the car rental and broader automotive sectors stand as pillars of the country’s vision for growth, sustainability, and global leadership. Together, they drive the narrative of a nation that remains steadfast in its pursuit of innovation, inclusivity, and a brighter, greener future.

As the UAE marks its 53rd National Day, the occasion serves not only as a celebration of its remarkable achievements but also as a reflection on its vision for a prosperous future. For the financial industry, National Day is a time to appreciate the leadership, innovation, and resilience that have positioned the UAE as a global economic powerhouse.

By Srijith K N

A Visionary Leadership Driving Progress

“The UAE’s 53rd National Day is a celebration of its extraordinary achievements and a call to reflect on the values that drive this nation—unity, vision, and sustainability,” says Mufazzal Kajiji, CEO of Zurich International Life (Middle East). This vision has been the cornerstone of the nation’s journey, blending tradition with modernity to achieve its ambitious goals.

Over the past year, the UAE has reached significant economic milestones, including hosting landmark IPOs and advancing its diversification efforts. As Mohamed Hashad, Chief Market Strategist at Noor Capital, points out, “UAE companies going public reflect significant economic progress.” This demonstrates the UAE’s thriving business environment and its leadership in setting global benchmarks for development.

Innovation as the Key to Success

At the heart of the UAE’s progress lies an unwavering commitment to innovation. For financial leaders like Damian Hitchen, CEO of MENA & APAC at Saxo Bank, the UAE’s journey stands as a testament to visionary leadership. “The UAE’s commitment to innovation and digital transformation lies in fostering growth, resilience, and opportunity,” he states. The nation’s investments in fintech, blockchain, and AI are shaping a robust financial landscape that inspires both regional and global players.

This forward-thinking approach extends beyond technology. Sulochana Betwala, COO & Co-Founder of TOTL, emphasizes the UAE’s foundation of loyalty—to its people and its vision of progress. “Over the past 53 years, the UAE has shown that loyalty is not only about tradition but about an unwavering commitment to innovation, diversity, and inclusivity,” she notes.

Empowering People and Building Sustainability

As the UAE moves towards its Centennial 2071 goals, sustainability and empowerment remain at the forefront. “On the UAE’s 53rd National Day, we celebrate an economy driven by innovation, resilience, and empowerment,” says Bal Krishen, Chairman of Century Group. The nation’s initiatives in renewable energy, green finance, and ESG frameworks are setting the stage for a sustainable future.

The financial sector has a critical role to play in this vision, enabling businesses and individuals to access opportunities that contribute to the UAE’s global success. This is not just a reflection of past achievements but a call to shape the future, as Hitchen aptly notes, “The journey is far from over—there is so much to look forward to as the UAE builds on its legacy of progress.”

A Global Financial Hub Inspiring Confidence

National Day also highlights the UAE’s role as a global financial and economic hub. Its stability, strategic location, and innovative policies make it a preferred destination for investors worldwide. The UAE’s resilience in navigating global economic challenges, coupled with its emphasis on inclusivity, ensures it remains a beacon of opportunity.

Looking Ahead

As the UAE celebrates this milestone, its financial sector stands poised to further elevate its global position. Whether through fostering innovation, driving sustainability, or empowering individuals and businesses, the financial industry will remain a cornerstone of the UAE’s ongoing success.

For leaders like Mufazzal Kajiji, National Day is an opportunity to reflect on the nation’s journey and its values: “It’s a day to celebrate a nation that has turned dreams into reality, blending tradition with progress.”

On this National Day, the UAE stands united in honoring the past, celebrating the present, and looking toward a future where ambition knows no bounds.

By Srijith K N

With former President Donald Trump’s 2024 victory over Kamala Harris, markets globally have already begun to react to the anticipation of “Trump 2.0” policies. Trump’s expected return to familiar strategies—emphasizing tax cuts, deregulation, and protectionist trade—promises to reshape U.S. economic policies and spark complex reactions across Middle Eastern markets. The region, heavily influenced by U.S. financial and trade policies, now faces a mix of challenges and opportunities, especially in energy, defence, and investment landscapes.

Gold Drops as Dollar Rallies Post-Trump Victory

Gold prices (XAU/USD) have taken a hit following Donald Trump’s self-announced victory in the 2024 U.S. presidential race, largely due to the U.S. dollar’s rally. According to Mohamed Hashad, Chief Market Strategist, Noor Capital “the dollar index surged to 105.22 from 103.42,” as financial markets responded positively to Trump’s business-friendly policies, which include “increased tariffs and tax breaks.” These policies have traditionally bolstered the dollar, creating an inverse relationship with gold. Hashad explained that “a stronger dollar reduces demand for gold as a safe-haven asset,” which led to a decline in gold futures from $2,753 to $2,675 per ounce. The Republican victory in the Senate, alongside expectations of an investment-friendly economic approach, has only strengthened the dollar further, continuing to apply downward pressure on gold prices.

The “Trump Trade” and Sector-Specific Reactions

U.S. stock futures have rallied, reflecting investor confidence in Trump’s expected economic agenda. John Hardy, Chief Macro Strategist at Saxo Bank, explains, “The markets were already positioning for a ‘Trump trade,’ with U.S. equities, especially small-cap stocks, gaining in anticipation of tax cuts.” Hardy adds that small-cap stocks are particularly sensitive to fiscal stimulus, which investors expect to see more of if Trump enacts a robust pro-business platform.

The response in Treasury yields, however, signals concern over inflationary pressures tied to Trump’s anticipated fiscal spending. “Rising U.S. Treasury yields highlight worries about inflation, especially if Republicans gain legislative control,” Hardy says. “This could push yields even higher, which would have ripple effects on borrowing costs in emerging markets, including the Middle East.”

Oil Continues to Rise Following Trump’s Win

Oil prices continue their upward trajectory following Donald Trump’s 2024 victory, driven by shifts in the U.S. political landscape, tightening American oil inventories, and heightened risk appetite in global markets. According to Mohamed Hashad from Noor Capital, “a boost in risk appetite” and “a drop in U.S. crude and gasoline inventories” are contributing to oil’s strong rally, indicating a potential supply squeeze. U.S. government data shows oil inventories rose by just 515,000 barrels for the week ending October 25, significantly lower than forecasts, while the American Petroleum Institute reported crude stockpiles down by 573,000 barrels. Hashad adds that Trump’s economic policies, focusing on “increased tariffs and more tax breaks,” are pro-business, generating optimism that lifts demand for risk assets like oil.

 The U.S. economy’s positive indicators, including progress toward a “soft landing” and a stabilized inflation rate, have further boosted market confidence. Consequently, oil futures climbed to $72.20 per barrel, from the previous close of $71.81. This rally, amid Middle Eastern tensions and steady demand, underscores oil’s key position among risk assets in global financial markets.

Defense Spending and Regional Trade Impacts

Defense stocks have already risen, and Hardy notes that Middle Eastern countries may face increased pressure to bolster their own defense spending. “European defense firms are seeing strong gains, and any reassessment of U.S. commitments to NATO could result in Gulf countries ramping up defense investments,” he says. This trend would particularly favor U.S. defense contractors with established relationships in the region.

On trade, Hashad highlights that a new wave of tariffs, especially those targeting China, could have a significant effect on Middle Eastern economies with close ties to Asia. “The Trump administration’s trade policies, if as aggressive as before, could disrupt supply chains and impact prices for electronics, machinery, and other imports here in the Middle East,” he says.

Bond Market Repercussions and Financial Sector Outlook

As U.S. Treasury yields continue to rise, Hardy warns of the possible spillover effects for emerging markets. “Higher U.S. yields often lead to increased borrowing costs for developing economies, which could put fiscal strain on some Middle Eastern countries. However, this also creates investment opportunities for sovereign wealth funds from the Gulf looking to diversify,” he explains.

Hashad adds that inflation risks tied to Trump’s economic policies will be closely watched. “Middle Eastern governments with high exposure to dollar-denominated debt or significant fiscal vulnerabilities will need to brace for possible increases in inflation and borrowing costs,” he says.

Geopolitical Ramifications for the Region

The Middle East has long been influenced by U.S. foreign policy, and Trump’s anticipated alliances and stances, particularly toward Iran, may have direct consequences. Hashad observes, “If Trump’s policies reflect his previous hardline stance on Iran, regional stability could be impacted, which would, in turn, influence oil prices and investment in infrastructure.”

Hardy notes that the strategic relationships built during Trump’s first term might see renewed emphasis. “For Gulf allies, Trump’s return offers both reassurance and risk. Stronger ties may boost investment opportunities, but heightened geopolitical tensions would likely increase oil prices and further military commitments,” he explains.

What Lies Ahead

The Middle East’s economic response will depend largely on whether Republicans secure legislative control, allowing Trump to pursue his fiscal agenda. “If Trump can pass his planned policies, we’ll see intensified market shifts,” Hardy remarks. “In that case, inflationary concerns would push yields higher and lead to capital shifts affecting both U.S. and global markets.”

Hashad concludes that Middle Eastern markets should prepare for a landscape that balances growth with caution. “The Trump administration brings familiar yet unpredictable policy shifts. Regional economies will need to monitor U.S. trade, fiscal, and monetary policies closely to navigate potential volatility,” he advises.

With Trump’s second act on the world stage, Middle Eastern markets are bracing for both opportunities and challenges in a shifting geopolitical landscape. For now, the region watches as “Trump 2.0” prepares to make its mark.