Middle East Loans

A pair of rare euro bonds from sovereign emerging markets borrowers hit the market this week, much to the approval of investors who said the deals provided “good value”.

Qatar may still be under a blockade set by its Gulf neighbours, but bankers are optimistic about its borrowers' prospects in the loan market just as Qatar National Bank (QNB) returns for its second deal this year, writes Mariam Meskin.

Qatar National Bank has returned to the loan market to refinance a €2.25bn facility, the bank's second stint in the market this year.

Commercial Bank of Qatar is refinancing a $1bn loan signed in 2015, in one of the country’s first syndicated loan transactions since the Saudi Arabia-led boycott, which started in June 2017.

Emerging market issuance is picking up steam once more, despite the weakening across the board in secondary levels.

BB Energy, a global energy trading company with a strong presence in the Mediterranean and the Middle East, has refinanced a $225m one-year revolver with a new $245m facility.

The loan market is weighing up the fate of billions of dollars worth of deals after the disappearance and possible murder of Jamal Khashoggi, a prominent Saudi journalist who had criticised the regime. Mariam Meskin and Mike Turner report.

Turkey made a successful return to international markets on Tuesday after six months away. The sovereign paid up for the privilege, but took an important step in returning financing conditions in the country to normal.

The loan market is weighing up the consequences of the disappearance and plausible murder of Jamal Khashoggi, a prominent Saudi journalist who had criticised the regime.

Despite a flurry of announcements by business leaders that they were abandoning their visits to a Saudi conference amid claims of the torture and murder of a journalist, IMF boss Christine Lagarde said she would go to Riyadh to “speak my mind”.

Investors’ eyes are on the Middle East this week as a slew of borrowers bring Sukuk trades to market, but while hopes are high for successful deals, a Turkish central bank rate decision looms large in investors’ minds.

Some banks in the Middle East are turning their backs on the syndicated lending model as a way to try to preserve larger allocations in deals, according to a number of bankers from the region. Mike Turner reports.