How GCC investor confidence has recovered after Q2 coronavirus hit

  • Date: 26-Nov-2020
  • Source: Arabian Business
  • Sector:Financial Services
  • Country:GCC
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How GCC investor confidence has recovered after Q2 coronavirus hit

Investor confidence across the GCC has recovered from the blow it took when the coronavirus pandemic hit the region in March.

According to new research, investor confidence measured during Q4 has recovered across all the Gulf countries with sentiment levels measured in Saudi Arabia and the UAE now comparable to those from the beginning of the year.

Sentiment in Saudi Arabia recovered the most, by 32 points, compared with a 24 point improvement in the UAE.

This comes after sentiment levels across the GCC were at the lowest, or near lowest, they had been over the past five years, during the second quarter of 2020.

Saudi Arabia was most impacted with a 34 point decline in sentiment, while other countries declined between 20 and 25 points.

Contrary to other GCC countries, sentiment in Kuwait only began to recover in Q3 earnings cycle - the period between September and November - with sentiment increasing by 10 points.

The research by Iridium Advisors, a management consulting firm and advisor on investor relations based in Dubai, also revealed that some sectors achieved a better recovery than others compared to the previous quarter.

Most notably, the real estate sector sentiment increased 38 points in Q3 earnings calls reaching an absolute Sentiment