Canada Financial Giant’s Investments in the Middle East Expected to Double

The regional head of Canada’s giant financial services group, Canaccord Genuity announced that it will be doubling its investments in its Middle East and India banking businesses over the coming five years.

The company was recently involved in sealing the C$Five billion deal between Dubai ports operator DP World and Caisse de Depot et placement du Quebec, Canada’s second biggest pension fund.

At the conclusion of the deal the managing director and head of Middle East, North Africa and South Asia Sachin Mahajan said,

“We think this could be the first of many,” such deals. “There are crown jewels in this region where the funds can find strategic alliances and partnerships.”

In 2015 Canaccord opened a new office in Dubai whose aim is to find investment opportunities in Saudi Arabia, UAE, Egypt and India. Currently MENA and South Asia makes up about 5 percent of their global business, which it expects will rise to between 10 and 15 percent in the next half-decade.

The Gulf States are better known for exporting capital than bringing in capital have been looking for regional inflows of money to help shore up budget deficits caused by the crash in oil prices.

Saudi Arabia would like to sell stock in Saudi Aramco in what could be the largest IPO in history. Mahajan said the IPO could create many chances for advisory work.

“Now, there’s a limited time window – the next five years maybe – as this region recalibrates itself to the new oil reality where there will be a requirement for capital,” Mahajan said.