Welcome to the April 2009 edition of PKF Update in which I am happy to announce that the firm here in the UAE has now changed its name from Pannell Kerr Forster to PKF. This more closely aligns our marketing with that of the international firm, who changed their name some time ago. I think a substantial number of clients and contacts have already been referring to us as PKF in any event. Needless to say the quality of service provided to clients remains at the customary high levels. No doubt many of you will have already seen the new sign-off in reports and letters.
The international and local press seem to be full of news on the global downturn, redundancies and lack of liquidity. Many companies are announcing reduced profitability and even those lucky to be able to announce increased profits for 2008 have experienced a fairly dismal last quarter. And if that last quarter is the trend for 2009, then those companies with uncomfortable leverage will have the toughest of years. The big question is how long will we have to ride out this economic “hurricane” we are experiencing?
On the “other side of the coin” we are seeing strong support from the UAE and local governments in the form of bond issues and injections into the banking sector – the trick will be getting those funds into the hands of the individuals and the balance sheets of the companies that require funds to operate. Government support with continuing infrastructural projects and the increasingly transparent regulation of the real estate sector are also essential.
Additionally we are continuing to receive enquiries from companies to establish new operations here, a sign that things in the UAE are not as bad as other parts of the world.
In this edition we are pleased to interview Mr. Lilaram Kewlani, Chairman of the Giant Group of Companies. We also have an article from our Management Consulting Division analysing the jewellery sector in the UAE. We also have our usual articles from the Offshore and Free Zone Department.
Please fee free to write to update@pkfuae.com if you would like to express an opinion on any matter inside.
GRAHAM MARTINS |
