Banking and Capital Market

The Saudi Arabian market in particular and GCC in general are one of the world\’s fastest growing markets in the banking and capital markets sector. The region\’s financial services sector is in the midst of a massive overhaul. With populations getting younger, better educated and more demanding; increasing diversity in financial products and services; and growing regulatory requirements for better monitoring of processes and developing secure financial systems, banks and financial institutions across the region are investing heavily to match or outstrip their international peers.The banking sector captures the development of commercial bank markets and the ease of access to bank credit. The choice of variables also reflects the assumption that commercial banks that operate in competitive environments (with less direct government intervention, low market concentration, and where foreign banks are allowed entry) are likely to be more efficient. In many of the GCC countries, the banking sector is well developed, profitable, and efficient.While the role of the financial sector in promoting growth may have been contested in the past, it is now widely recognized. The evidence is that a large and competitive banking sector, and liquid and active equity and debt markets, operating according to market principles and intermediating savings (domestic and foreign) for market-based investment, are strongly associated with higher growth rates. In addition, developed financial markets tend to promote efficiency in allocating investments, and hence contributing to the productivity growth by:

• Identifying productive projects and efficient firms
• Promoting corporate governance
• Improving the management of risk
• Mobilizing savings, and
• Mitigating the adverse effects of financial shocks.

This trend is being helped by the readiness of most GCC over-the-counter markets with formal exchanges, which are independently and more rigorously regulated. A further boost has come from a new generation of investment bankers, who have opened a series of funds specializing in GCC markets.

How ABK-CPA can help you?

We provide audit, technical accounting, management consulting, Zakat and Tax, compliance, risk management, performance improvement, outsourcing (e.g. Corporate Finance), securities processing (e.g. Investment Funds back office accounting and operations), information risk and security, data quality, M&A and other services. In a nutshell, we offer a range of services and specific solutions to meet the most challenging issues banking and capital markets organizations face.

Education

With over 30 percent of the ME population between the ages of 15 and 29, representing over 100 million youth, this is the highest proportion of youth to adults in the region’s history . Meanwhile, youth unemployment in the Middle East stands at 25 percent – the highest in any region.According to the World Economic Forum, the region needs to create 75 million jobs by 2020 – a jump of more than 40% over the number of jobs in 2011 – just to keep employment close to current levels. Amidst all of this, a recent survey shown that 60% of CEOs believe the education systems in the Middle East are failing at providing students with the right skills for employment.

Public Sector

All over the world, the public sector is transforming, downsizing, revamping and being overhauled. The pace and dimensions of this change are unprecedented – driven by performance improvement, e-Government and new delivery via public/private partnerships.The aspirations of citizens place new demands on governments to meet the growing expectations.At ABK-CPA, we believe that the success of governments will be measured by the true advantages they create for their citizens, communities and industries.Our team serves the publicly-owned companies, as well as various government departments, ministries, sectors and agencies.

ABK-CPA is a trusted business advisor to our public sector clients and a source of best practices for government and commercial organizations. Every day ABK-CPA works with public organizations to build trusted relationships with the people and businesses of their countries. We provide services in the areas of tax, assurance and advisory, risk management, management consulting, corporate finance, corporate reorganization, forensic services, growth solutions, actuarial services and IT consulting solutions.

Health Industries

MB&Co. takes a highly holistic approach to the health industries sector. We believe that health issues impact on a wide range of economic and functional aspects of any economy which go way beyond the traditional view that health means hospitals.The key players in this view of the world are:

• Governments: which set policy, and national health planning frameworks, often fund, usually regulate and frequently provide at least some health services;
• Payers: whether they be national funds or private insurers;
• Providers including the full range of direct providers such as hospitals, primary and community based clinicians as well as the new generation of health delivery support business in industries ranging from telecoms to food manufacturers;
• Suppliers: those essential stakeholders in the health industries continuum which support health goals through the development of products ranging from pharmaceuticals to imaging equipment; and
• Users: often forgotten as the most important component part of a sustainable health system engagement with, education of and incentivisation for the users of any health system is key to the success of all the above mentioned stakeholders.

Key issues

There are many issues facing all stakeholders across the health industries spectrum which mean that an increased focus on promoting innovation in service delivery, funding and the use of technology together with better resource allocation and a continuous drive to process improvement are no longer options. They are essential for the survival of health systems in the region and the individual public and private sectors players within them.

The growing burden of chronic diseases amongst ever greater sections of the population combines with major life style issues to exacerbate an already overwhelming demand for health services and attendant resource. In the Middle East this is manifesting itself in a number of challenging ways, not least of which is the growing prevalence of lifestyle related diseases in the young, of which type 2 diabetes is but one.

These challenges are increasingly seen as beyond the control of health systems which were built to solve a different set of problems. Harnessing the power of technology and empowering users with information to manage their own care better and make informed decisions in partnership with health care providers are all issues currently facing health care policy makers, payers and providers.

Manufacturing

The GCC continues to experience an unprecedented demand on its manufacturing supply base. Through our broad range of services ABK-CPA assists manufacturing organizations throughout the region to:

• Review their own supplier base throughout the value chain including Original Equipment Manufacturers (OEM)
• Explore opportunities to grow through acquisition (both in and out of the ME region)
• Capitalize on opportunities in new and emerging regional markets
• In response to the growing social and regulatory pressures, operate sustainably

A key area, that is crucial to manufacturing companies is Supply Chain Management. By working with customers and suppliers to plan supply and demand, identify and qualify improvement opportunities and implement process improvements, organizations can significantly reduce costs and improve reliability of materials supply, stock holding and distribution, while improving customer service and cash flow.

Real Estate

Real estate (RE) today is a hard market to read. Investors are looking to property to deliver the high returns they once achieved from equities – but widespread economic uncertainty means tenant demand for office space is spasmodic and residential development uneven.In this market, expert advice can help you avoid the dangers and identify new and rewarding opportunities, whether you are an investment fund, a property company or a business with substantial property assets.ABK-CPA has experience in RE industry with an in-depth understanding of local and regional markets that help creating value for clients across various real estate, hospitality and leisure industry segments. These include.

• Real estate research
• Operational and internal control review
• Feasibility studies
• Portfolio restructuring and management
• Commercial due diligence
• Company restructuring
• Management Consulting
• Financial modeling
• Asset acquisition and disposition
• Valuation services
• Operator search and selection
• Real estate zakat and tax

Transportation & Logistics

ABK-CPA has sufficient understanding of key industry matters, current issues, and best quality practices. This scale of coverage and range of skills, coupled with the unrivalled number of assignments in which we have played a part, means that ABK-CPA is positioned to provide professional services to those in the transportation, aviation, and logistics industries.Within our Advisory practice, we have completed major valuation transactions for one of the major mergers in the region. Some of our airport advisory services include financial and economic analysis, evaluation of debt capacity, business and financial risk assessment, transaction management, process advice and implementation planning, balance sheet optimization, and economic impact estimates.ABK-CPA can also help this sector organizations in areas of audit, technical accounting, Zakat and Tax, risk management, management consulting, performance improvement, outsourcing, information risk and security, data quality, M&A and other services. In a nutshell, we offer a range of services and specific solutions to meet the most challenging issues Transportation & Logistics organizations face.

Technology, Media & Telecommunications (TM&T)

ABK-CPA provides audit, zakat and tax services and management consulting to number of TM&T operational and infrastructure companies operating in KSA and the region.At the level of consulting, we are also helping all our clients to better understand the global changes caused by the liberalization of telecommunication markets, and guiding them through these changes so they are ready to face increasing competition and customers’ new demands.We have substantial skills and understanding of operational, management, strategic and regulatory aspects of telecommunications, including government policy, competition regulation of network services and user applications, acquisition strategy, finance-raising, operations, restructuring and systems development.