SWF Radar QIA

The Wall Street Journal reports that, “The Qatar Investment Authority and Indonesian government are setting up a $1 billion investment holding company for projects in Indonesia, which the country’s vice president said will include a power plant and tourism facilities.”

Reuters reports that, “Qatar’s $60 billion sovereign wealth fund plans to spend at least $850 million in Indonesia, its biggest commitment to the country so far as it uses record oil and gas wealth to invest more in Asia.”

Keith Fitz-Gerald at Money Morning writes that, “My sources tell me [Dubai is] prepared to pony up as much as another $100 billion in the next 24 months for more top tier companies. It's a situation that's driving [its] Persian Gulf neighbor Qatar nuts, and with good reason.”

The Times writes that, “‘They indicated they were ready to come in,’ Sir David [Walker] said yesterday, adding that those conversations were cut short by the collapse this month of the QIA's bid for J Sainsbury, the supermarket group. Sir David said that he had also had ‘light conversations with Dubai’, but could not have detailed discussions until his review had been formally announced today.”

The Financial Times reports that, “‘The weak dollar is a significant threat and makes the US less attractive from a return point of view,’ Kenneth Shen, the Qatar Investment Authority’s head of strategy and private equity, told [a] conference [in Hong Kong last week] - voicing views widely echoed by other participants.”

Reuters writes that, “Qatar’s $60 billion sovereign wealth fund is still in talks to invest in EADS, more than seven months after saying it could buy as much 10 percent of Airbus’ parent, Dubai’s Emirates Today reported on Tuesday.”

The Times writes that, “Companies targeted by Qatar in future could use the Sainsbury's saga as a reason not to open their books.”

Forbes writes that, “The sovereign wealth funds of the Middle East may be awash with petrodollars, but that does not mean they will have a free ride through the credit crunch.”

The Times reports that, “Sources in Qatar said it was ‘highly unlikely’ that the QIA would press ahead with its bid, given the need for an additional £500 million to keep the offer alive.”

The FT Alphaville blog writes that, “Whether or nor the government of Qatar will finally own J Sainsbury, its reputation as a credible financial investor has been badly damaged.”