In our continuing pro-active efforts to keep investors apprised of the most relevant and timely information on Alfa and its target markets, AGORACOM is pleased to present you with this latest Industry Report.

Alfa International Holdings Corp. conducts all its real-estate development business activities through its wholly owned subsidiary, Journey of Light, Inc. (JOL)

A Memorandum of Understanding (“MOU”) between JOL and the Sultanate of Oman was announced August 01, 2005 for the construction of a tourism and residential real-estate development project with a presently projected construction cost of approximately U.S. $1.2 billion.

Please find below an article which outlines the continuing expansion and diversification of economic activities in the Persian Gulf Region.

Regards,

AGORACOM Investor Relations

To read the entire article, please use the following link:

http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=75033&version=1&template_id=48&parent_id=28

Leading banks eye GCC region to finance projects

Publish Date: Thursday,2 March, 2006

Business Reporter

DOHA: International and leading local banks have their eyes set on the Middle East’s project finance landscape because of the growing need for funds in the region, speakers at the “Middle East project finance conference” here yesterday said.

Qatar is the major consumer of project finance in the entire Middle East, a paper presented by the Ministry of Economy and Commerce (MEC) indicates.

And in the whole world only China was ahead of Qatar in signing up project finance deals in 2005.

Qatar’s GDP is thought to have expanded by 27% in nominal terms last year, and private sector growth is being driven by the increased government investment in infrastructure projects.

A five-year energy programme that entails an investment of up to $80bn will fuel Qatar’s economic growth. Outside oil and gas, an investment of up to $10bn would be made on roads and sewerage besides the New Doha International Airport (NDIA) project.

Currently, Qatar is the GCC’s third largest construction market. The country has seen a wave of residential and commercial projects from investors who have recognised the potential economic surge coming from the country’s vast gas reserves, it said.

According to Qatar Financial Centre’s (QFC) head of marketing, Steve martin, project finance opportunities in Qatar were massive because of the government’s initiative towards development of energy facilities and the infrastructure upgrade.

“Currently, projects in excess of $130bn are on the table,” he said.

New projects in the GCC will continue to grow by up to 50% in 2006. The number of projects in the region has been growing significantly primarily due to the economic boom driven by very favourable energy prices and the increasing role of the private sector in infrastructure development in the GCC countries….

….In Oman, O’Sullivan said the value of projects currently on stream was estimated at $30bn.

Oman is really forging ahead in project finance and privatisation, largely funded by commercial loans, which represent 70% of the total commitments. Tenors have lengthened, there are more banks involved, and pricing is very competitive…..

The Middle East has the second largest share of project finance in the world with the region achieving critical mass, especially in the fields of power, water and oil and gas.

Commercialbank’s deputy general manager (Corporate Banking and Capital Markets) Ram Chandran said the project finance needs of the region would present enormous financing and capital market opportunities as well as challenges for the regional banks.

“They are already competing with global banks for market share, higher fee income at senior levels, and to strengthen strategic bank relationships with the project companies and their sponsors,” he said......