Good morning, friends, and happy hump day. We have another raft of agreements from Make it in the Emirates forum, so today’s issue is heavy on news on the manufacturing, logistics, and supply chain fronts.

ALSO- We have fresh Dubai inflation figures for April, which showed signs of a sustained moderation of property price growth, and new corporate tax relief measures for foreign investors. Plus: Lunate and Brookfield are setting up a USD 1 bn real estate investment JV, focused on the UAE and KSA.

⛅WEATHER- Temperatures are once again on the rise along with humidity levels, with Dubai seeing highs of 41°C, before dropping to 29°C overnight. Meanwhile, Abu Dhabi will see a peak of 35°C and a low of 27°C.

WATCH THIS SPACE-

#1- UAE banks to raise minimum balance requirement from Sunday, 1 June: Several major banks in the UAE will increase the minimum balance for current accounts to AED 5k, up from AED 3k, starting Sunday, 1 June, under updated Central Bank regulations tied to personal loans, Emarat Al Youm reports. At least one bank has already applied the change, the local news outlet says, with others expected to follow.

What this means: Customers who do not meet the new threshold will be charged an AED 25 monthly fee — or up to AED 100-105, depending on the account type — unless they qualify for an exemption. Exemptions apply to those maintaining a total balance of AED 20k, earning a salary of at least AED 15k, or holding an active loan, overdraft, or credit card.

#2- JPMorgan to grow Middle East headcount by 100+: JPMorgan plans to add over 100 staff across its Middle East operations in the coming years, bringing its regional headcount to 500, up from 370 today, Bloomberg cites CEO of Asset and Wealth Management Mary Callahan Erdoes as saying at the Qatar Economic Forum. The bank has operated in the Middle East for over a century and currently has offices in Abu Dhabi, Dubai, Doha, and Riyadh. The expansion comes as Wall Street banks ramp up their presence in the Gulf to tap into large-scale economic diversification efforts.

#3- Dubai is getting a PropTech Hub aimed at supporting startups and doubling the emirate’s property technology market to AED 4.5 bn within five years, according to the Dubai Media Office. The hub is projected to draw AED 1 bn in investment, support more than 200 proptech firms, and bring in 20 investment funds by 2030. It will offer AI-focused infrastructure, startup incubators, and shared digital workspaces.

REMEMBER- The Dubai Land Department has been taking steps to deepen its involvement in the proptech ecosystem. In February, it teamed up with the Dubai Integrated Economic Zones Authority to support R&D and startup activity, focusing on proptech. Later in March, it partnered with Reach to launch Reach Middle East, aimed at backing early-stage proptech firms with funding, data analytics, and investor access.

#4- RTA to cut travel time by 83% between Al Ain Road and Nad Al Sheba: Dubai’s Roads and Transport Authority (RTA) is set to build a 700m dual-lane bridge in Nad Al Sheba to serve the nearly 30k residents living within the area, according to a statement. The bridge will have a capacity of 2.6k vehicles per hour, and will offer a direct link for inbound traffic coming from Dubai-Al Ain Road towards Al Ain that will aim to cap the journey time to Nad Al Sheba by 83%. Construction is expected to begin in 4Q of this year, with completion slated for 4Q 2026.

DATA POINTS-

#1- Mubadala Investment Company’s holdings of listed US companies fell 14.1% q-o-q to USD 17.6 bn in 1Q 2025, thanks largely to a USD 2.7 bn paper loss on its majority stake in semiconductor manufacturer GlobalFoundries — whose share price has dropped by nearly 50% since peaking in March 2022, according to a Securities and Exchange Commission filing picked up by Arabian Gulf Business Insight.

Mubadala was both an active buyer and seller of US equities during the quarter: The fund added stakes in 18 new companies like Bristol-Myers Squibb and Expedia, fully exited nine (including Pfizer, Citigroup, and Match Group), bumped up 13 existing positions (Gap, Western Union, Jones Lang Lasalle), and trimmed 14 others (Coca-Cola, Carnival Corp). Its Bitcoin ETF position also dipped to USD 408.5 mn from USD 437 mn at the end of 2024, even as Mubadala boosted its shares by 500k to 8.7 mn during the quarter, due to a slump in BTC prices during the quarter.

IN CONTEXT- Mubadala’s approach to US equities is notably conservative compared to Saudi Arabia’s Public Investment Fund (PIF), which maintains significant nine-figure stakes in 34 companies, including call options. In contrast, Mubadala tends to focus on smaller, straightforward equity positions outside of its GlobalFoundries investment. Of Mubadala’s 53 US-listed investments, only six exceed USD 10 mn in value. Excluding GlobalFoundries and its Bitcoin ETF holdings, the median value of the remaining investments is approximately USD 3.4 mn, according to AGBI’s calculations.

#2-The number of registered industrial facilities in Ajman rose by 7.5% y-o-y in 1Q 2025, state news agency Wam reports. The manufacturing sector now accounts for 18.8% of the emirate’s GDP, Ajman Chamber board member Maher Taresh Al Alili said.

PSAs-

#1- VFS Global just opened the world’s largest visa application center in Dubai’s Wafi City, according to a press release (pdf). The 150k sq ft hub has capacity to handle 10k applications daily and serves 37 client governments and has over 200 submission counters.

#2-Emiratization checks begin on 1 July: The Human Resources and Emiratization Ministry will begin verifying private sector companies’ compliance with mid-year Emiratization targets starting 1 July, it said in a statement. A digital inspection system will be used to flag fake Emiratization practices. Inspectors will also confirm that Emirati employees are registered with the social security fund and that firms are consistently paying required contributions.

REMEMBER- Companies with 50 or more employees must reach a 7% Emiratization rate — meaning 7% of their employees must be Emiratis — in skilled roles by 30 June, as part of the national mandate to hit 10% by the end of 2026.

There are carrots and sticks: Firms that fall short face monthly fines for each unfilled Emirati role, while those exceeding targets may receive up to 80% discounts on MoHRE service fees and priority access to government procurement.

HAPPENING TODAY-

#1- The Make it in the Emirates Forum is on its third day at the Adnec Center in Abu Dhabi. The three-day forum, which is organized by the Industry and Advanced Technology Ministry, brings together local and international decision-makers, government officials, private companies, investors, and financing institutions to support industrial growth and investment.

#2- The International Real Estate Investment Summit (IREIS 2025) is on its second and final day at Al Hamra International Exhibition and Conference Center in Ras Al Khaimah. The conference will feature keynote addresses, panel discussions, and networking sessions on market trends, capital flows, and the impact of major real estate projects in the emirate and the wider region.

#3- Seamless Middle East is on its second day, and runs through tomorrow at the Dubai World Trade Center. The event, targeting payment providers, merchants, and SMEs and focusing on the future of digital commerce, payments, and e-commerce, will feature discussions on fintech, digital transactions, and the evolution of the digital economy.

#4-Crypto Expo Dubai will be held today and tomorrow at the Dubai World Trade Center. The event will discuss topics including cryptocurrency regulations, blockchain advancements, digital assets, decentralized finance, and investment strategies.

#5-The AWS Summit is happening today at the Dubai World Trade Center. The event will feature tech showcases, workshops, and breakout sessions focused on AI and machine learning tools. Players such as Emirates Airlines, Dubai Health Authority, Rakbank, MBZUAI, and e& will be in attendance.

THE BIG STORY ABROAD-

In a rare public rebuke by Israel’s allies, the British government announced it will not move forward with discussions on free trade with Tel Aviv. The statement cited “egregious policies’ by PM Netanyahu, including the weeks-long blockade of aid and escalation of military offensive in the Gaza Strip, as well as the situation in the West Bank.

The EU followed with an announcement that it intends to review its trade agreement with Israel, a move supported by a majority of member states due to the “catastrophic” situation in Gaza. The looming famine has not yet been improved by Israel’s easing of the blockade, as the United Nations said yesterday no aid has been distributed yet despite some 100 trucks entering the enclave.

Israel agreed to let the UAE deliver humanitarian aid following a phone call between President Sheikh Mohamed bin Zayed Al Nahyan and Israeli Foreign Affairs Minister Gideon Sa'ar last night, state news agency Wam reports. The aid will come in the form of food and supplies to allow bakeries to operate in Gaza, aimed at addressing the needs of 15k civilians in the first phase.

Still, the global backlash is apparently not deterring Israel: US intelligence shows Tel Aviv is making preparations to strike Iranian nuclear facilities, unnamed US officials told CNN. The potential strike would be a huge break with US President Trump’s policy of negotiating an agreement with Tehran.

OVER IN THE US- Elon Musk — one of the biggest backers of the US Republican Party — signalled yesterday he will pull back from political spending and focus on Tesla. The EV maker saw a dip in sales amid a backlash to Musk’s close involvement in White House policymaking under President Trump.

Also worth reading this morning-

• Google is adding “AI mode” to its search engine and Chrome browser for all US users. The new feature will offer a conversational chatbot — similar to ChatGPT and Copilot — rather than a list of links.
• Turkey arrested 22 Istanbul municipality employees on corruption charges yesterday, the latest development after the arrest of mayor Ekrem İmamoğlu back in March.
• Qatar’s PM Sheikh Mohammed bin Abdulrahman al-Thani denied that Doha’s USD 400 mn jet offered to Trump is an attempt to curry favor, calling it “a ministry of defense to department of defense transaction.”

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