Abraaj Capital Middle East, North Africa & South Asia (MENASA) - Taking Stock in a Global Downturn International Insurance Society, Amman, June 2009 Strictly

Abraaj CapitalMiddle East, North Africa & South Asia (MENASA) - Taking Stock in a Global Downturn

International Insurance Society, Amman, June 2009

Strictly Private & Confidential

Abraaj Capital

Abraaj Capital

Abraaj Capital (“Abraaj”) is a leading private equity firm in the rapidly growing economies of the Middle East, North Africa, South Asia (“MENASA”) region

Abraaj was founded in 2002 and is headquartered in the Dubai International Financial Centre, where Abraaj Capital Limited is incorporated and regulated and licensed by the Dubai Financial Services Authority

Abraaj’s network of shareholders, investors and intermediaries has exceptional influence in the financial and business communities across the region

US$ 5.9 bn funds under management as at 31st December 2008US$ 6.9 bn cumulative funds raisedUS$ 2.9 bn cumulative distributions

35+ Investments | 11 countries | 20 exits to date

US$ 1.6 bn of total distributions to investors in 2008

The Numbers

28 different nationalities

Note: Exits include those undertaken by Abraaj senior management during their time at Cupola

Regional presence

Egypt

Saudi ArabiaTurkey

Jordan

India

Pakistan

Note: Distribution of companies across different countries is based on the location of their headquarters. Many of the above companies have pan-regional operations.

Lebanon

Oman

Qatar UAE

Denotes:5 Abraaj offices located in Dubai, Cairo, Istanbul, Karachi, and Riyadh

Egypt

Turkey

Saudi Arabia

UAE

Pakistan

4

Where Are We & Where Are We Going?

Financial Institutions

Total losses estimated at US$ 4.1 trillion(1), with nearly 3 million jobs lost in the US

Real Economy Impact

(1) Source: IMF

From sub-prime through the financial sector to real economy

6

7

Socio-Political Impact

Unprecedented circumstances pose a test of global leadership whose actions will determine the outcome of the current crisis

…are they good enough? Is there a Churchill, FDR, Mandela in the making?

8

Norms and Values

Redefinition of Norms

The Next Crisis

Consumers

Climate Change

Regulation Corporate Social

Responsibility

Employees

9

10

The economic crisis is leading to a rethinking of the traditional risk paradigm

Emerging markets vs. developed markets

Emerging Markets Risks Developed Markets Risks

Political instability

Currency (F/X)

Market fundamentals

Counterparty

Market fundamentals

Structural issues

Legal / Regulatory

Low Risk

Low Growth

High risk

High growth

High Risk

Low Growth

High Risk

High growth

Pre-Crisis ThinkingD

eve

lop

ed

Ma

rketsE

me

rgin

g M

ark

ets

Post-Crisis Thinking

Legal / Regulatory

Environmental

‘Black Swan’ moment; risk came from where traditionally it was least expected; the model needs to be re-thought

11

Diminishing Sine WaveParadigm Shift

Recession is upon us but how long will it last?

Long and Contracted

12

Sharp and ShallowSharp and Staggered

MENASA

1,821

510

1,335

Middle East North Africa South Asia

122 159

1,314

Middle East North Africa South Asia

14

Saudi Arabia

Bahrain

MENASA has a combined GDP of US$ 3.7 trillion growing at 4.8% p.a., and a population of 1.6 billion

Significant cultural, political, and economic synergies have led to strong intra-regional trade links, labor mobility and

investment opportunities

Source: Economist Intelligence Unit (May 2009)Note: Middle East includes GCC states, Jordan, Lebanon and Turkey. North Africa includes Egypt, Libya, Algeria, Morocco, and Tunisia. South Asia includes India and Pakistan.

Introduction to MENASA

The MENASA Region 2008 Population (million)

2008 Nominal GDP (US$ billion)

Qatar

Egypt

Turkey

LibyaAlgeria

Tunisia

JordanLebanon

Oman

UAEIndia

Pakistan

Kuwait

Morocco

Hydrocarbon Based Liquidity

The GCC nations will receive c.$5 trillion of revenue even if oil stays at an average of $50 per barrel over the next ten years

700

3,800

6,400

8,800

2007 2012 2016 2020

Oil P rice $100

Oil P rice $70

Oil P rice $50

Oil P rice $30

GCC Oil Revenues (US$ billion)

3,200

1,500

1,500

2,600

Leading to Continued Growth

7.7%

4.8%

2.1% 2.0%0.6% 0.2% -0.1%

Chi

na

ME

NA

SA

LAT

AM

EM

*

Nor

thA

mer

ica

OE

CD

EU

-15

15

Government Reforms & Diversification

The ‘real’ economies within the MENASA region will continue to grow

Three main factors will continue to drive growth in the MENASA region

Reform agenda is being used to establish sustainable growth

Thirteen MENASA countries are now part of the WTO

Governments across the region have emphasized non-oil sector diversification within their economies

Governments are looking to encourage greater private sector participation

The privatization pipeline in the region is expected to exceed US$ 900 billion in the next ten years

Favorable Demographics

121million

127million

Nominal GDP / Cap

$2,715

MENASA Population

$976 $2,051

2008-2013 Real GDP CAGR

Source: Economist Intelligence Unit (May 2009), McKinsey *Excluding MENASA countries & China

Creates wealth, facilitates economic growth, and infrastructure expenditure

Facilitates economic growth, and creates investor / business

friendly environments

Creates demand, facilitates production growth, encourages reform

1,448

1,569

1,696

2002 2007 2012

$1.9$1.8

$1.9$2.2

$2.4$2.7

2008 2009 2010 2011 2012 2013

South Asia GCC North Africa Other Middle East

1616

7.2%

Favorable demographics

The demographic shift in population … has unleashed consumption-led growth

...matched by a growth in working population

Almost 175 million people expected to join the workforce in MENASA over the next decade

Mobile low cost workforce

Young and Growing Population

– More than 50% of the region’s population is under the age of 25

Immense Wealth Creation

– GCC GDP per capita to increase to over $28,000 by 2013

Burgeoning Middle-Class

– c. 31 million households are expected to join the middle class between 2006 and 2010 in India alone

Urbanization

– Rapidly growing urban populations across the region

Main sectors: Energy Food Infrastructure Healthcare Education Housing

Nominal Private consumption growth

(trillions)

Private consumption to

grow by US$ 0.8 trillion by 2013

Young and growing population increasingly focused on realizing their full economic potential

Source: Economist Intelligence Unit (May 2009), McKinsey, Morgan Stanley (September 2008), Abraaj analysis, United Nations

Males Females

16%

9%

8%

6%

4%

3%

3%

17%

10%

8%

6%

5%

3%

2%

14%

9%

8%

6%

5%

4%

3%

15%

10%

9%

6%

5%

4%

3%

2005 2015Est. total population: 1,562 million Est. total population: 1,800 million

65+

55-64

45-54

35-44

25-34

15-24

0-14

Wo

rkin

g

Po

pu

lati

on

43% W

orkin

g

Po

pu

lation

47%

45%

6%

12%9%

28%

16%

22%

9%

MENASA North America Europe South America

Oil Reserves Oil Production

Hydrocarbon-based liquidity will support growth (1/4)

Source: McKinsey, BP Statistical Review of World Energy 2008

Highest reserves to production ratio in the world…

Reserves / Production Ratio

1.6x 0.3x 0.5x 1.1x

Reserves and production as a % of global total

17

0

20

40

60

80

Qatar United ArabEmirates

Saudi Arabia Oman Bahrain Kuwait

B/E Oil Price Budgeted Oil Price


…with budgets balancing at US$60 per barrel or less…

GCC breakeven budget* oil price

*based on official 2009 budget targetsSource: Merrill Lynch (April 2008) 18

51.0

61.4

83.0

90.0

2009 2010 2011 2012


…and consensus oil price forecasts above US$ 60 per barrel…

Consensus Oil (Brent) Price Forecast (US$ per barrel)

Source: Bloomberg consensus of analysts (May 2009) 19

0.61.1 1.5 1.9

2.4 2.8 3.2

0.90.9

1.31.5

0.8

1.0

1.3

1.5

1.5

2.1

2.2

2.6

0.61.1

2.4

3.8

5.1

6.4

7.6

8.8

2007 2008 2010 2012 2014 2016 2018 2020

Oil Price US$100

Oil Price US$70

Oil Price US$50

Oil Price US$30

Cumulative GCC Oil Revenues (US$ trillions)


Source: McKinsey

…resulting in continuing hydrocarbon driven liquidity at several price points

20

Significant governmental investment and reform efforts

High levels of infrastructure investment and government spending in attempt to diversify economies and facilitate job creation

– More than US$ 2.6 trillion worth of projects planned in the GCC alone

– King Abdullah Economic City in Saudi Arabia to create 800,000 jobs with seaport, light industries, tourism and financial services

Move to knowledge-based economies Monetary and structural support for knowledge economy sectors (healthcare, information technology, media,

telecommunications etc.)

– Set up of specialized infrastructure: Dubai’s Knowledge City, Jordan’s Education initiative, and over 400 SEZs in India primarily catering to IT and related sectors

– High level of investment in primary and secondary education (e.g. 25% of UAE budget allocated to education spending)

Reform agenda has spurred continued regional growth

A generational change in the leadership of GCC countries has set the stage for the modernization of local economies

– Significant liberalization and privatization efforts in the banking, telecom and real-estate sectors have taken place

– Independent capital market regulators have been established and formal partnerships with leading global exchanges have been developed

The Jordanian government plans to implement the ‘National Investment Strategy’ to ease bureaucratic restrictions and overhaul the tax system

The Egyptian government has launched a series of reforms including a new taxation law lowering corporate taxes and the establishment of numerous economic free-zones, causing FDI flows to grow 20x between 2002 and 2007

Government action has played an important role in supporting regional growth

Government reform & diversification

Source: McKinsey, MEED Projects 21

29%

45%

15%

28%

MENASA Oil Production

MENASA Oil Reserves

MENASA Gas Production

MENASAGas Reserves

Oil & Gas (Global Production % vs. Global Reserve %)

Gap16%

Gap13%

5.4%

7.4%

10.0%

17.0%

1996 2001 2005 2010F

26%24%

9%

4%

USA Europe Asia-Pacific MENA

158

4475

142

50

60

India / Pakistan North Africa GCC

Installed Gigawatt Capacity Required

Low Cost Carrier Market Share of Short-haul Market

Power Generation Capacity (Gigawatts) Petrochemicals (MENA % of world Ethylene Capacity)

Source: McKinsey, Economist Intelligence Unit, Citi Research, Abraaj Capital Analysis

Gap22%

(by 2017)

(by 2030)

(by 2015)

Investment requirement

US$ 50bn

Investment requirement

US$ 90bn

2005-2010 CAGR – 14%

MENASA has experienced historic under-development in key sectors creating pent up demand and high growth potential

Structural demand-driven opportunities – Infrastructure

22

1.31.1

0.4 0.4 0.3 0.3 0.2 0.2 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0

4.6 4.4

Leba

non

Mor

occo

Bahra

in

Egypt

Jord

anUAE

Oman

Tunisi

aIra

n

Kuwait

Saudi

Arabia

Qatar

Syria

Yemen

Algeria

Libya

Asia

World

9.4%

7.4%

4.8%

2.5%1.8%

1.3%0.8% 0.7% 0.6%

G7 World India Jordan UAE Turkey Egypt Pakistan SaudiArabia

Insurance Penetration: Total Premiums % of GDP (2007)

Gap5.7%

13,827 15,834

37,374

MENASA 2007 MENASA 2017

At OECD Levels of Beds / 1,000 of Population

MENASA Level of Beds / 1,000 of Population

3

6

16

22

Egypt Saudi Arabia Europe US

Structural demand-driven opportunities – Healthcare & Insurance

Medical Labs (Lab Tests per Capita)

MENA Life Insurance Penetration 2007 (% of Population)

Source: World Bank, World Health Organization, McKinsey, Swiss Re Sigma Note: Hospital calculation based on 1.2 & 4.1 beds / 1000 population in MENASA and OECD, respectively, as well as current MENASA beds / hospital ratio

The healthcare and insurance industries in the region have suffered from similar underinvestment, lagging behind western counterparts

Healthcare (Total Hospitals Required)

Gap39,000

Hospitals

Gap1.5 BTests

Gap400 MTests

23

Gap3.7%

26%

22%

18%

12%

6%

6%

4%4% 2%

Finance, Insurance & Real Estate

Manufacturing

Transport, Storage & Comm.

Trade, Hotels & Restaurants

Community & Social Services

Construction

Mining

Agrigulture

Electricity & Water

24

Outlook on Jordan

Macro Economic Data Outlook

% GDP Contribution*

Despite a recent slowdown due to decreased tourism and trade, Jordan’s long-term growth prospects remain strong

Source: Economist Intelligence Unit, Department of Statistics *2007 data

2006 2007 2008 2009F

GDP (US$ billion) $14.8 $16.5 $20.0 $21.3

Real GDP Growth (% pa) 6.3% 6.0% 5.6% 2.6%

GDP / Capita (US$) $2,590 $2,793 $3,291 $3,430

Population (m) 5.7 5.9 6.1 6.2

Population Growth (% pa) 3.4% 3.3% 2.9% 2.1%

Foreign Direct Investment (US$ billion) $3.2 $1.8 $1.9 $1.3

Inflation (% pa) 6.2% 5.4% 14.9% 3.8%

Economy has recently achieved strong real GDP growth rates hovering around 6%

According to EIU, 2009 real GDP is forecast to grow at 2.6% as the prospects for the services sector, including tourism, continue to worsen

5 year growth however projected at 3.7%, well above western countries, driven partly by successful reform agenda

Foreign direct investment is also expected to decline in the short term given the lack of oil wealth being generated in the Gulf states

The sharp falls in commodity prices as well as the country’s expansionary fiscal policy should support consumer demand

Recent strengthening of the dollar, coupled with fall in commodity prices will also lessen inflation, with 2009 inflation expected to be 4% compared to 15% in 2008

The Central Bank is committed to maintaining the Dinar / USD peg as it has instilled monetary confidence and has not harmed competitiveness (mostly due to US’ role as largest export partner)

Current account deficit expected to decrease sharply as commodity prices decrease and re-export trade in Iraq grows

Expected to decrease from US$9 billion in 2008 to ~US$2.5 billion in 2009/10

Long term recovery depends heavily on recovery in the US given that it is Jordan’s largest export partner

4

11

26

32

7

18

37

36

Egypt Population Breakdown by Age (millions)

0-19

45-64

65+

20252005 % of Total

38%

18%

8%

36%

15%

5%

20-44

44% 36%

Outlook on Egypt


Egypt has witnessed significant growth in the past and is expected to continue growing at an accelerated pace given favorable demographics and increased government reform

Source: Economist Intelligence Unit (May 2009), EFG Hermes (Jan 2009), United Nations

GDP/capita of US$ 2,093 grown at 18% pa over past 3 years

The banking sector remains strong in the face of the global credit crisis

- The economy is underleveraged, with private sector credit at 41% of GDP

Egypt has built up significant net foreign assets since 2003 that will be drawn down as the current account deteriorates

Recent reform initiatives have allowed government policy to be much more liberal than in the past

Egypt is a consumer led economy, stimulated by investments, with its long term prospects assured by demographics and strategic location

- c.75% of economic growth driven by local demand

- The domestic consumer is largely un-levered with low penetration rates of consumer finance products, credit cards and mortgages (1% of GDP)

- Declining inflation will enhance purchasing power and drive up domestic demand

- Favorable factors of production will allow Egypt to attract FDI in the long-term

Revised GDP growth of ’08-’13 CAGR 6% still well above global and regional average

Demographics as a key growth driver

2006 2007 2008 2009F

GDP (US$ billion) $107.9 $129.8 $161.4 $177.1


GDP / Capita (US$) $1,454 $1,719 $2,093 $2,253

Population (m) 74.2 75.5 77.1 78.6



Inflation (% pa) 7.6% 9.5% 18.3% 9.1%

25

26

Outlook on Algeria & Morocco

Algeria Macro Economic Data

Algeria Outlook

Outlook dependent on global recovery although natural resources will provide a strong buffer, particularly for Algeria

Source: Economist Intelligence Unit (May 2009)

Morocco Macro Economic Data

Morocco Outlook

2006 2007 2008 2009F

GDP (US$ billion) $117.3 $134.3 $155.6 $139.7


GDP / Capita (US$) $3,559 $4,026 $4,609 $4,089

Population (m) 33.0 33.4 33.8 34.2



Inflation (% pa) 2.6% 3.5% 4.5% 3.9%

2006 2007 2008 2009F

GDP (US$ billion) $65.6 $75.1 $86.6 $82.2


GDP / Capita (US$) $2,128 $2,406 $2,743 $2,574

Population (m) 30.9 31.2 31.6 31.9



Inflation (% pa) 3.4% 2.0% 3.8% 2.1%

Morocco will record 2% growth this year officially, with risks on the downside given its dependence on the global economy.

The poor outlook for European growth poses significant risks to Morocco’s economy, since the euro zone is its main export market and employs some 2.5m Moroccan expatriates.

A number of factors are pushing the market down including: lower FDI, lower remittances (9% of GDP), lower tourism inflows and lower exports.

Further to this the economy will continue to face risks associated with its dependence on rain-fed agriculture, which typically accounts for some 14% of GDP but employs 42% of the workforce

Over the longer term the non-agricultural sector's role will gradually increase as manufacturing develops and construction expands on the back of government housing and infrastructure projects, partly offsetting contraction in private-sector tourism developments.

Algeria’s growth will slow down to just over 2% in 2009

Fundamentals however remain strong with close to $140bn in reserves, keeping domestic demand afloat even as hydrocarbon income shrinks due to OPEC cuts and lower prices.

Expect continued expansion of public works and construction.

The business environment has deteriorated further on both investment and sales fronts. New restrictions are making a protectionist market even more complicated to manage.

Economic growth is expected to accelerate in 2010, to 4.5%, on the back of a modest recovery in export markets and stronger hydrocarbons output as many large-scale projects begin to come on stream, including a gas pipeline to Spain

26.6%

17.3%

10.7%9.7%

8.2%

7.2%

6.1%

4.8%

3.8%

2.7%

2.8%

Crude Oil & Natural Gas

Government Services' Producers

Finance, Insurance, Real Estate andBusiness servicesOther minning and manufacturing

Wholesale & Retail Trade & Restaurants& HotelsConstruction

Transport & Storage & Communication

Agriculture Forestry & Fishing

Community & Social & Personal services

Oil Refining

Other

Outlook on Saudi Arabia


% GDP Contribution

Reform led growth continues to drive the largest GCC economy

Saudi is the largest economy in the GCC, both in terms of GDP and population

- Rapidly growing population of c. 25 million, growing at 2.5% pa (median age 22)

- GDP base of US$ 469 billion with real GDP growth of 4% in 2008

Saudi is well positioned to weather the current financial crisis

- Has saved 76% of the oil windfall between 2002 and 2008

- Low public debt at 13.5% of GDP

- Strong and growing domestic market accounting for a large portion of GDP

Saudi has initiated a significant reform campaign to attract foreign investment and increase the country’s global competitiveness

- 2008 “World Investment Report” highlighted Saudi as the region’s most attractive destination for investment

- Increase in net FDI inflows from US$ 2 billion in 2004 to estimated at US$ 16 billion in 2008

Despite potential slowdown, Saudi still seen as attractive market

- Revised GDP growth of ’08-’13 CAGR 2.8% still well above global average

Source: Economist Intelligence Unit (May 2009), CIA Factbook, Saudi Arabian Monetary Agency, Merrill Lynch (Feb 2009)

2006 2007 2008 2009F

GDP (US$ billion) $356.6 $381.7 $468.9 $346.9

Real GDP Growth (% pa) 3.2% 3.4% 4.2% (1.0%)

GDP / Capita (US$) $15,061 $15,746 $18,796 $13,581

Population (m) 23.7 24.2 24.9 25.5



Inflation (% pa) 2.3% 4.1% 9.9% 2.7%

27

2.5%

22.9%

0.3%

15.5%

2.2%9.9%

46.6%

Agriculture

Crude Oil Production

Mining & Quarrying

Manufacturing

Electricity & Water

Construction

Services

Outlook on the UAE


% GDP Contribution

A push towards diversification has resulted in the UAE’s growth increasingly being driven by the services sector with the non-oil sector accounting for over 65% of GDP

The UAE has emerged as the 2nd largest economy in the GCC and one of the most important in the region- Diversified economic base with non-oil sector contributing

greater than 75% of total GDP, with growth driven by services sector

- The UAE has become a regional hub for finance, tourism and logistics

The UAE is positioned to weather the current crisis, however the main risk continues to be weakness in oil price- Current account surplus of 5% of GDP is projected if oil

averages $50 / bbl, while a deficit of 14% projected if oil averages $35 / bbl

- However, the UAE sovereign wealth funds had accumulated c. US$ 600-900 billion in assets before the credit crisis

Banking sector vulnerable in the short term given lack of liquidity, real estate exposure and capital markets decline- Rebound is possible given continued government intervention,

correction in real estate market and rebound in capital markets

Historically, high inflation was driven by increases in the prices of food and commodities and most importantly sharp rises in real estate prices. It is estimated that in 2007 housing expenditures contributed to 65% of inflation

Impact of correction in real-estate prices and strengthening US$ expected to ease inflationary pressure- Inflation expected to decrease from 20% in 2008 to 5% in

2009 Revised GDP growth of ’08-’13 CAGR 4% still well above global

averageSource: Economist Intelligence Unit (May 2009), HSBC, Merrill Lynch (Feb 2009), Global Research (November 2008), HC Brokerage (March 2009)

2006 2007 2008 2009F

GDP (US$ billion) $170.1 $198.7 $244.6 $211.8


GDP / Capita (US$) $34,548 $37,690 $43,446 $38,387

Population (m) 4.9 5.3 5.6 5.5

Population Growth (% pa) 6.8% 7.1% 6.8% (2.0%)


Inflation (% pa) 13.5% 13.3% 20.0% 4.5%

28

11%

25%

13%5%

46%

Real Estate Hotels Construction Oil Other

Primary Growth Drivers

Source: TRI Consulting1 Latest available data

Dubai is considered the region’s commercial, financial services and tourism hub as it continues to build landmark developments such as the Burj Dubai and Dubai Metro

Dubai Overview & Highlights

Infrastructure development Dubai International Airport – 10th busiest in the world Light Rail Line - Phase 1 to begin operation in 2009

Special Economic Zones Allows foreign companies to establish operations in

Dubai, less regulations and reduced bureaucracy The most important being Jebel Ali Free Zone, one of

the largest container ports in the world Hydrocarbon Revenues

Indirect beneficiary of increased oil prices as GCC investors continue to bring oil revenues to the city

Real-Estate Free-hold concept allowing foreign equity ownership

in Dubai, drives increased liquidity

GDP Breakdown by Sector (20061)

Jebel Ali Port

Downtown Burj Dubai 29

Turkey expected to emerge as the ninth-largest economy in the world by 2050

Underlying fundamentals ensure a strong long term outlook for Turkey, which is on track to become the 9th largest economy in the world by 2050

Outlook on Turkey

GDP In 2050 (US$ trillions at 2007 prices)

Short Term Outlook: Turkey’s high current account deficit gives it a high beta to global economic downturns. Accordingly, the currency has substantially depreciated since September of last year but somewhat recovered in the past 2 months

However, relative to 2001 the fundamentals are stronger with a healthy banking system and manageable public debt position

Demographics: Turkey benefits from one of the youngest populations of any emerging market

Productivity: 25% of Turkey’s labor force is still employed in the agricultural sector; however, a period of increasing urbanization (from 25% in mid-1900s to 70% today) will lead to further increases in productivity and employment

Reform: Turkey’s economy is well positioned long-term due to a range of successful economic policies enacted after the 2001 crisis and political reforms executed in pursuit of EU membership

Source: Goldman Sachs (October 2008), Economist Intelligence Unit (May 2009)

OutlookMacro Economic Data

01020304050607080

Chi

na US

Indi

a

Bra

zil

Rus

sia

Indo

nesi

a

Mex

ico

UK

Tur

key

Japa

n

Fra

nce

Ger

man

y

Nig

eria

Phi

lippi

nes

Can

ada

Ital

y

Kor

ea Iran

Sau

di

S.

Afr

ica

Vie

tnam

Tha

iland

Ven

ezue

la

Egy

pt

Spa

in

2006 2007 2008 2009F

GDP (US$ billion) $530.9 $647.1 $730.0 $571.5


Current Account / GDP (6.0%) (5.8%) (5.7%) (1.3%)

GDP / Capita (US$) $7,540 $9,094 $10,155 $7,870

Population (m) 70.4 71.2 71.9 72.6



Inflation (% pa) 9.6% 8.8% 10.4% 6.8%

30

Concluding Thoughts

0%

20%

40%

60%

80%

100%

0 1000 1500 1600 1700 1820 1870 1913 1950 1973 1998 2025 2050

Europe Western* L. Am/Africa Asia

Paradigm shifts continue to alter the global economic landscape and have resulted in Asia regaining its position as the world’s dominant growth engine

Part of a pattern?

Distribution of Global GDP

*Includes: USA, Canada, Australia and New ZealandSource: Sir Paul Judge

Agricultural Productivity

Industrial Productivity

Information Age

Human Resources

32

2.0%

0.6%0.2%

-0.1%

2.1%

7.7%

3.4%

4.8%

China MENA[SA] LATAM EM* NorthAmerica

OECD EU-15

33

The outlook

MENASA will be the 2nd fastest growing region in the world over the next 5 years

Source: Economist Intelligence Unit (May 2009) *Excluding MENASA countries & China

2008-2013 Real GDP CAGR

MENA

MENASA

0

20

40

60

80

China MENASA* US EU 15 LatinAmerica*

SoutheastAsia

Japan

0

3

6

9

12

15

18

EU 15 US Japan China LatinAmerica*

MENASA* SoutheastAsia

The MENASA region is projected to overtake the US as the world’s 2nd largest economy by 2050…

Source: Goldman Sachs (November 2008)* MENASA excludes Jordan, Lebanon, Libya, Algeria & Tunisia. Latin America includes Argentina, Brazil, Chile, Colombia, Mexico, Peru, Paraguay, Uruguay & Venezuela

MENASA in the long term

The world in 2050

The world in 2007

GDP (US$ trillions)

GDP (US$ trillions at 2007 prices)

…however, challenges lie ahead

Demographics – a double edged sword

Continuing reform – balance between political, economic & social

Conflict and geo-political instability

Oil dependence / economic diversification

Climate change

34

35

The information contained in this presentation is given without any liability whatsoever to Abraaj Capital Limited, any of its affiliates or related entities or their respective members, directors, officers or employees (collectively "Abraaj") for any loss whatsoever arising from any use of this presentation or its contents or otherwise.

No representation or warranty, express or implied, is made or given by Abraaj as to the accuracy, completeness or fairness of the information or opinions contained in this presentation. In particular, no representation or warranty is made that any projection, forecast, calculation, forward-looking statement, assumption or estimate contained in this presentation should or will be achieved. There is a substantial likelihood that at least some, if not all, of the forward-looking statements included in this presentation will prove to be inaccurate, possibly to a significant degree.

The information contained in this presentation does not constitute investment, legal, tax or accounting advice. Recipients of this presentation should conduct their own due diligence and other enquiries in relation to such information and consult with their own professional advisors as to the accuracy and application of the information contained in this presentation and for advice relating to any legal, tax or accounting issues relating to a potential investment in the MENASA region, including in respect of a fund managed or sponsored by Abraaj. This presentation does not constitute a recommendation to invest in the MENASA region, or in any such fund.

Certain information contained in this presentation concerning economic trends and performance are based on or derived from information provided by independent third party sources. Abraaj cannot guarantee the accuracy of such information and has not independently verified the assumptions on which such information is based. Abraaj disclaims any responsibility for any errors or omissions in such information, including the financial calculations, projection, and forecasts in this presentation.

This presentation does not constitute or form part of, and should not be construed as, or relied upon in respect of, any offer for sale or subscription of, or solicitation of any offer to purchase or subscribe for, any interests in any of the funds managed or sponsored by Abraaj. Any such offer, subscription or solicitation will be made by means of an offering document to be issued by Abraaj in connection with any such offering and any decision to purchase or subscribe for such funds should be made solely on the basis of the information contained in such offering document.

This presentation is being made on a confidential basis and is intended for discussion purposes only and is solely for your information and may not be reproduced or further distributed to any other person or published, in whole or in part, for any purpose. If you were provided with a copy of this presentation by a person other than Abraaj, then it is not intended to be read by you and you should destroy the copy.

By viewing this presentation you agree to be bound by the foregoing limitations and restrictions and, in particular, will be taken to have represented, warranted and undertaken that: (i) you have read and agree to comply with the contents of this notice including, without limitation, the obligation to keep this presentation and its contents confidential; and (ii) you will not subscribe for or purchase any interests in any fund managed or sponsored by Abraaj except on the basis of information in the private placement memorandum for such fund.

Disclaimer

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Investing in Foresight

Documents

Abraaj Capital Middle East, North Africa & South Asia (MENASA) - Taking Stock in a Global Downturn International Insurance Society, Amman, June 2009 Strictly