Once a premium destination for overseas investors, Turkey’s power sector has recently been struggling with the impact of lower-than-expected growth rates, partial market liberalisation and fixed, long-term natural gas contracts. Power generation firms face further stress as the economic impact of the pandemic bites. Efforts to arrange a new debt restructuring deal have been delayed by the virus and wider economic woes, casting uncertainty over future demand. However, the sector retains some high-grade assets, however, which may attract future investor interest.
Electric vehicle (EV) uptake will gain momentum in the MENA region over the coming years, particularly in the UAE, Saudi Arabia, Qatar, Jordan and Morocco, as governments continue to push for technology adoption and green energy initiatives. While there is limited potential for the region’s main automotive manufacturing countries to capitalise, increased EV demand will spur investment opportunities in charging infrastructure and vehicle-to-grid (V2G) services. The lower oil price environment and ongoing uncertainty with regard to the COVID-19 pandemic present the largest risk to uptake.