World Economic Forum (WEF) 2024

UAE Minister of Economy Abdullah bin Touq Al Marri has doubled down on Abu Dhabi’s aim for economic growth of 7% of gross domestic product (GDP) in 2024, with a focus on boosting the country’s revenue.

“Non-oil GDP is actually over 5%, and the economy is diversifying,” he told CNBC in Davos, Switzerland. Traditionally dependent on the sale of crude oil and petroleum products, the UAE has embarked on an ambitious drive to expand its economy and reach a target GDP of 3 trillion dirhams ($817 billion) by 2030.

Mr Al Marri highlighted Abu Dhabi’s efforts over the past three years to deregulate company laws and give full 100% ownership to foreign stakeholders, as well as the country’s visa requirements to appeal to global investors. He mentioned that the system had been revamped.

— Luxandra Iordake

Valuations of some private companies are said to be ‘crazy again’ Ciscochief executive officer.

Chuck Robbins said valuations for companies focused on new technologies such as artificial intelligence (AI) have returned to their heydays seen during the low interest rate environment caused by the pandemic.

“When you enter [generative] We’re seeing some of the private valuations start to get derailed again by AI and other things,” he said during a panel moderated by CNBC at the World Economic Forum in Davos, Switzerland. .

“It’s ironic that we’re doing what we went through 48 months ago so quickly. It’s just incredible,” he said.

— Karen Gilchrist

Adena Friedman, Chairman and CEO Nasdaqsaid the initial public offering (IPO) market could “open up again” as investors gain confidence in the second half of this year.

“What’s happening in the market? — As a result of the belief that the cost of capital may fall throughout the year. — “It means investors can start thinking again about how they model corporate earnings,” he said during a panel moderated by CNBC.

Although market performance last year was “top-heavy,” Friedman added that the broader market, including small-cap stocks, is starting to see improvement in valuations.

“They know that the cost of capital is likely to continue to decline steadily, and I think that will drive interest from investors who want to put their risk capital to good use. . So an IPO. There could actually be an IPO market opening up. ‘Back again,’ she said.

Friedman added that about 85 companies seeking to go public have applied to list on Nasdaq, with activity concentrated in the second quarter.

— Lucy Handley

Speaking on CNBC’s “Reality of High Interest Rates” panel at Davos, IMF First Deputy Managing Director Gita Gopinath said it was “premature” to conclude that central banks would “aggressively” cut interest rates this year. Ta.

Although inflation is falling, labor markets in the U.S. and Europe are tight and “the job is not done,” he added. The IMF expects interest rates to fall in the second half of this year.

Gopinath said he expected interest rates to rise over the next three to four years compared to the period after the 2008 global financial crisis.

— Lucy Handley

Bank of France Governor François Villeroy de Galhau stressed that he could not say when the European Central Bank would cut interest rates this year.

“Why don’t I say anything about the season? I said it should be this year unless there’s a big surprise. But… we’re not calendar-driven, we’re data-driven.” said in a panel discussion moderated by CNBC. Event at the World Economic Forum in Davos, Switzerland.

As for the trajectory of inflation, “it’s too early to declare victory…the job is not done yet. That said, interest rate tightening has been fairly successful so far, and even at Davos a year ago we “It’s been more successful than I expected,” he added.

“What we’re seeing on both sides of the Atlantic is kind of a soft landing so far.”

Portugal’s central bank president Mario Centeno said on Tuesday that inflation in the euro zone is on a “very good” trajectory, despite a hawkish tone in recent days from his peers on the European Central Bank’s board. He said he was on board.

“We still rely on data and that’s how we frame our decisions…One of the ECB’s biggest successes in recent times was being able to peg medium-term inflation expectations at 2%. “This is because the ECB is trusted and we must continue to do so,” Centeno said.

Please read the full text.

— jenny reed

Join us on CNBC at 7:15am UK time. Anchor Steve Sedgwick moderates a panel discussion on “The Reality of High Interest Rates,” featuring guests Nasdaq CEO Adena Friedman, International Monetary Fund’s first deputy managing director Gita Gopinath, and Chuck. Masu. Robbins, Cisco’s chairman and CEO, and François Villeroy de Galhau, president of the Banque de France and director of the European Central Bank (ECB).

The European Central Bank could postpone the start of interest rate cuts in 2024, upending market expectations, with Governing Council member Robert Holzmann saying on Monday that those who had hoped for interest rate cuts to begin this spring have seen Davos as “a very He said he would be disappointed.

The panel will discuss whether high interest rates will become the “new normal” and what that means for the market.

The headline inflation rate in the euro area was 2.9% in December, up from 2.4% the previous month. The ECB has set an inflation target of 2%.

— lucy handley