MIRA INFORM REPORT

 

 

Report Date :

29.06.2012

 

IDENTIFICATION DETAILS

 

Correct Name :

BASEL FAYOUMI

 

 

Registered Office :

Al-Jora Street, Gaza, Gaza Strip, Palestinian Authority

 

 

Country :

Palestine

 

 

Year of Establishment :

2007

 

 

Legal Form :

Foreign Sole Proprietorship

 

 

Line of Business :

Importers and marketers of foodstuff, such as coffee, tea, rice, corn, canned food, etc.

 

 

No. of Employees :

100

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

Clear

 

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Palestine

D

D

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 


Company name & address

 

BASEL FAYOUMI

Telephone                  972 8 281 65 37

Fax                            972 8 281 65 37

Al-Jora Street

GAZA                        GAZA STRIP                          PALESTINIAN AUTHORITY

 

 

HISTORY & LEGAL FORMATION

 

A foreign sole proprietorship, established in 2007 in the Palestinian Authority.

 

Operating under Dealer License No. 802192013.

 

 

OWNER

 

Basel Fayoumi.

 

 

GENERAL MANAGER

 

Basel Fayoumi.

 

 

BUSINESS

 

Importers and marketers of foodstuff, such as coffee, tea, rice, corn, canned food, etc.

 

Operating from owned premises, on an area of 10,000 sq. meters, in Al-Jora Street, Gaza, Gaza Strip, Palestinian Authority.

 

Having 100 employees.

 

 

MEANS

 

Current stock is highly valued.

 

Financial data not forthcoming.

 

 

REVENUES

 

2010/ 2011 annual sales claimed to be between US$ 5 million – US$ 10 million.

 

 

OTHER COMPANIES

 

Basel Fayoumi is a partner (jointly with additional 3 partners) in:

 

·         GOLDEN SUN GROUP DOMESTIC ELECTRICAL APPLIANCES, importers and marketers of domestic electrical appliances (small and large).

 

 

BANKERS

 

Bank of Palestine Plc., Remal (Jundi) Branch (Omar aL Mukhtar Street), Gaza, Gaza Strip, Palestinian Authority.

 

 

CHARACTER AND REPUTATION

 

Nothing unfavorable learned.

 

Subject's official refused to disclose financial data, besides general sales scale figures.

 

According to World Bank and Palestinian Investment Promotion Agency, total GDP of the Palestinian Economy in 2008 was US$ 4.6 billion, and GDP per capita is US$ 1,290 (was US$1,272 in 2006). These figures include the West Bank and Gaza Strip, whose economy has been in different condition. GDP per capita (or average annual income per capita) in the West bank has climbed to US$ 2,800 by 2009 and around US$ 3,000 in 2010/11, while remains low in Gaza – around US$ 1,000 per capita.

 

In terms of foreign trade, a growth tendency is noticed: Total Import in 2007 summed up to US$ 3,141 million (up from US$ 2,760 million in 2006), while Total Export reached US$ 513 million (up from US$ 367 million in 2006). 80% of imported goods to the Palestinian Territories are carried out via Israel.

 

Yet, other current indicators are still alarming, mainly in the Gaza Strip, such as high unemployment rates (24% in the West Bank, 36% in Gaza, as of 2011 1st Quarter) and poverty (70% in Gaza).

 

 

The Palestinian economy suffered a set-back in recent years, following the rising of the Hamas government in Gaza Strip in 2007, which led to internal conflict and clashes between the Hamas supporters and those of the Phatah movement.

 

While the political situation has been stable in the West Bank (controlled by Phatah) leading to economic growth in recent years, the condition in the Gaza Strip deteriorated drastically (including the blockage on goods movement in and out the Strip for long period), mainly after the fighting of Hamas militias with Israeli Forces. With the end of fighting in Gaza Strip in early 2009, the recovery efforts are ongoing with donation received from overseas, as well as the partial lifting of goods blockage in 2010, resulting in some improvement in Gaza economy as well – Gaza Strip economy grew by 16% in 2010 (1% in 2009) according to the International Monitory Fund (IMF), though situation is still critical.

 

The Palestinian economy in the West Bank grew in 2009 by 8.5% and by 9.4% in 2010. Palestinian economy grew as a whole by 9% in 2010, after 3% growth in 2008 and nearly zero in 2007. Much of the growth is attributed to the foreign aid they receive (although as of mid 2011 only less than half of the US$ 1 billion donation scheduled was received), and the relative calm in the political environment, mainly in the West Bank. The Palestinian Authority reports on growth in taxes collection (which has always been a major problem due to the lack of enforcement capabilities), with expected over US$ 2 billion in 2010 (was US$ 1.688 billion in 2009), while the deficit (dropped from US$ 1.8 billion in 2008 to US$ 1.2 billion in 2010) to be covered by the donating countries.

 

 

SUMMARY

 

Good for trade engagements.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.56.92

UK Pound

1

Rs.88.91

Euro

1

Rs.71.25

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.