Nov. 23 (Bloomberg) -- Persian Gulf shares fell as crude oil below $50 a barrel undermined investor confidence that regional governments, dependent on income from oil exports, will be able to offer financial help to ailing companies.

Emaar Properties PJSC, the region’s biggest real-estate developer, closed at the lowest level in more than four years. Aabar Investments PJSC dropped to the lowest since February 2007 after saying its board will meet to discuss investments. Samba Financial Group, Saudi Arabia’s second-largest bank by market value, declined a second day.

The Dubai Financial Market General Index retreated 4.7 percent to 1,917.15, the weakest close since November 2004. The Abu Dhabi Securities Exchange General Index lost 1.3 percent. Saudi Arabia’s Tadawul dropped 3.8 percent to 4,264.52, bringing the four-day slump to 17.6 percent.

“With oil below $50 a barrel, governments will think twice about funding struggling sectors as less money coming in means less money going out,” Vyas Jayabhanu, head of Al Dhafra Financial Brokerage LLC, said in an interview today. “There will be less money available to the market on call, so those companies looking for additional help may not get it.”

Governments in the region have intervened to support local stock markets. Oman started a 150 million-rial ($390 million) fund to invest in local shares and Kuwait’s cabinet agreed to form an investment fund to shore up the local stock market, KUNA reported Nov. 18. The Qatar Investment Authority said last month it would contribute between 10 percent and 20 percent of Qatari banks’ capital to guarantee financing for development projects in the country.

OPEC Revenue

Crude oil settled at $49.93 a barrel on the New York Mercantile Exchange on Nov. 21. Oil has dropped 66 percent since reaching a record $147.27 a barrel on July 11 as growth slows in consuming countries, dampening demand for the fuel.

The tumbling oil price has cut revenues of the Organization of Petroleum Exporting Countries’ Gulf members, who produce almost a fifth of the world’s oil. The states have used the six- year oil boom to develop tourism and infrastructure as foreigners descended on the region to benefit from its petrodollar wealth.

Oman’s Muscat Securities Market 30 Index fell 2.6 percent and the Kuwait Stock Exchange Index lost 0.8 percent. Qatar’s DSM 20 Index dropped 4 percent, while the Bahrain All Share Index retreated 0.9 percent.

Emaar slid 7.8 percent to 2.73 dirhams, the lowest close since August 2004. Aabar lost 7.4 percent to 1.99 dirhams. The investment company’s board will meet to consider and review its investments.

Samba dropped 7 percent to 47.9 riyals, bringing the two- day slump to 16 percent.

To contact the reporter on this story: Ayesha Daya in Dubai adaya1@bloomberg.net

Last Updated: November 23, 2008 08:20 EST