38°C
February 18, 2025
Business Gulf News

US dollar issuance is expected to fall for GCC banks, with a 2025 prediction of Dh110 billion

  • January 23, 2025
  • 2 min read
US dollar issuance is expected to fall for GCC banks, with a 2025 prediction of Dh110 billion

According to Fitch Ratings, the Gulf Cooperation Council (GCC) banks are projected to issue more than $30 billion (Dh110 billion) in US dollars in 2025, a 28.5 percent decrease from $42 billion in 2024.

The global ratings agency stated that the GCC banks have approximately $23 billion in US currency debt that is due in 2025, with roughly a third of the debt coming from Qatari banks and roughly a quarter from UAE and Saudi banks. Additional Tier 1 (AT1) instruments held by banks in the area total roughly $2.2 billion, with first call dates in 2025 and $3.1 billion in 2026.

Fitch Ratings stated last month that it anticipates the debt capital markets of the GCC countries to continue to expand and will rank among the biggest emerging-market dollar debt issuers in 2025 and 2026, excluding China, as well as the biggest sukuk issuers and investors worldwide.

After the first 11 months of last year, the debt capital markets had grown by 11% year over year to a milestone of roughly $1 trillion in outstanding debt. In terms of US dollar debt issuances, the GCC banks had their best year ever last year.

Also Read:

Trump Declared his Intention to cancel Birthright Citizenship

The Morld’s most Affluent Shopping avenue is no Longer Fifth Avenue in New York, but Rather Milan’s Via Monte Napoleone

Leave a Reply

Your email address will not be published. Required fields are marked *