Happy Friday everyone!

Dubai’s Emirates Airline reported a record first-half profit of AED11.4 billion, fueled by booming premium travel. Meanwhile, Qatar is transferring $3.5 billion to Egypt this year to kick off a multibillion-dollar Mediterranean tourism project that could unlock more IMF funding for Cairo. In Dubai, billionaire Sunny Varkey’s family firm is in talks to raise $400 million in debt, signaling renewed appetite for private credit. Together, the moves underline the Gulf’s growing role in driving regional growth, investment, and post-pandemic financial resilience.

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Markets

Dubai Education Billionaire’s Varkey Group In Talks To Raise $400 Million In Debt Financing

What It’s About?

Dubai-based Varkey Group, the family holding company behind global education giant GEMS Education, is in discussions to raise around $400 million in debt financing. The talks involve major lenders including First Abu Dhabi Bank, Dubai Islamic Bank, and Synergy Capital, with potential for additional participants that could lift the total amount. The funds are expected to be used primarily for capital refinancing.

Why It Matters?

The move underscores renewed financing activity among UAE-based family conglomerates amid robust investor appetite for regional credit. For Varkey Group, the deal could strengthen its balance sheet and provide financial flexibility as the education sector expands post-pandemic. It also reflects growing confidence in the region’s private education market, long seen as a key pillar of Dubai’s economy.

What’s Next?

Negotiations remain ongoing, and final terms have yet to be agreed. If completed, the transaction would mark one of the larger private credit deals by a UAE-based education firm this year. Market observers will be watching to see whether the financing supports new growth initiatives or broader restructuring within the Varkey Group’s portfolio.

MWC25 Doha – Innovation. Impact. Legacy.  

MWC25 Doha arrives 25 - 26 November at the Doha Exhibition and Convention Center – the first global MWC conference and exhibition for tech and telco thought leaders in MENA.

Join our stellar speaker lineup on a journey of discovery into the most talked-about technologies lifting off in the MENA region. Hundreds of chief executives, investors and founders from around the world are ready to lead high-impact conversations on the AI Nexus, Connected Industries and Intelligent Economies. Hear powerful insights from the podium as senior government policy makers and industry experts share real-world stories. Keynote speakers include H.E. Mr. Mohammed bin Ali Al Mannai, Minister of Communications and Information Technology, H.E Deemah Al Yahya, Secretary General of the Digital Cooperation Organization and Aziz Aluthman Fakhroo, Group CEO of Ooredoo.

MWC Doha is the gold-standard event to forge your next partnerships in transformative technology with networking events, a dedicated startup-investor platform, roundtables, digital leader programmes and our switched-on showfloor.

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Qatar To Transfer $3.5 Billion To Egypt For Mediterranean Tourism Megaproject This Year

What It’s About?

Qatar is set to transfer $3.5 billion to Egypt by year-end as part of a major Mediterranean tourism development led by Qatari Diar, the real estate arm of the Gulf nation’s sovereign wealth fund. The investment, totaling nearly $30 billion over seven years, will fund the creation of luxury hotels, golf courses, and resorts along Egypt’s northern coast at Alam Al-Roum.

Why It Matters?

The deal provides a crucial hard-currency boost for Egypt, helping the government meet IMF requirements and potentially unlocking billions in additional funding from the lender. It also underscores renewed Gulf confidence in Egypt’s economy following earlier $35 billion investments from the UAE. For Cairo, the agreement marks a milestone in its effort to attract large-scale FDI and stabilize its fiscal position.

What’s Next?

The Qatari investment could accelerate Egypt’s pending IMF review and pave the way for a $2.5 billion disbursement. Officials say the project will expand Egypt’s Mediterranean tourism potential as part of plans to reach 30 million visitors by 2031. An IMF mission is expected to visit Cairo before year-end to finalize progress on Egypt’s $8 billion loan program.

Emirates’ Record First-Half Profit Soars As Premium Demand Lifts Earnings

What It’s About?

Emirates Airline reported a record first-half profit for 2025–26, rising 17% year on year to AED11.4 billion ($3.1 billion), cementing its position as the world’s most profitable carrier. Revenue climbed 6% to AED65.6 billion, supported by strong travel demand and booming premium-class sales. Passenger numbers reached 27.8 million, while the fleet expanded to 265 aircraft.

Why It Matters?

The results highlight Emirates’ resilience and strategic advantage as global air travel demand remains strong despite geopolitical and economic headwinds. The carrier’s expanding Premium Economy offering and efficient hub model continue to deliver robust yields. For Dubai, Emirates’ performance reinforces its role as a key driver of tourism, trade, and aviation sector growth across the region.

What’s Next?

Emirates expects continued demand strength through the rest of 2025–26, aided by upcoming Airbus A350 and Boeing aircraft deliveries. The group also plans to expand its Dnata services and SkyCargo operations. Analysts predict profitability will rise further as new capacity comes online and cost efficiencies improve, extending the airline’s streak of record-breaking performance.

🦄 World of Startups

• WTDCare, a Saudi healthtech platform offering non-emergency and special needs medical transportation, raised an undisclosed pre-seed round led by Riyadh Angel Investors.

• Syd Life AI, a UAE-based preventive health platform using its proprietary LQM and LQI models, expanded to the US through a $1 billion exclusive partnership with Altius.

• MidLyr, a US-Egypt AI infrastructure startup building compliant automation tools for financial institutions, raised $2.5 million in pre-seed funding led by Silicon Badia.

• rmz.ai, a Saudi generative AI platform developing AI agents for content creation and campaign management, raised $100,000 in a pre-seed round from Beyond.xyz.

👨‍💻From Smashi Business’ Desk

• Replit founder Amjad Masad congratulates Zohran Mamdani after historic win.

• All aboard Saudi Arabia’s “Dream of the Desert” — the Kingdom’s first ultra-luxury train unveiled at the Future Investment Initiative in Riyadh.

• Saudi delivery app Shgardi has shut down after five years in operation — a sign of how fierce the Kingdom’s delivery wars have become.

🔍In other news…

• PIF to expand tech and business ties with US

• IHC earnings given lift by hospitality and real estate

• Adnoc’s Covestro deal set for EU nod ‘soon’

• Reuters Exclusive: US military to establish presence at Damascus airbase, sources say

• Dutch appeals court rejects bid to stop arms exports to Israel

• Abu Dhabi's AIQ set to export AI products to global markets, CEO says

• Aramex resumes deliveries to Syria after ten-year pause

🏦 Crypto Corner

• We have launched our Smashi Crypto newsletter. Subscribe to it here to get the bi-weekly updates from the world of digital assets.

• The weekly Smashi Crypto Show is also live. Expect it every Friday. Listen to it here.

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