Middle-east Arab News Opinion | Asharq Al-awsat

Oman's Bank Muscat in Talks to Raise Loan Worth up to $300 Mln - ASHARQ AL-AWSAT English Archive
Select Page
Oman's Foreign Minister Yusuf bin Alawi is seen during an interview with Reuters in Muscat April 2, 2015. REUTERS/Sultan Al Hasani

Oman’s Foreign Minister Yusuf bin Alawi is seen during an interview with Reuters in Muscat April 2, 2015. REUTERS/Sultan Al Hasani

Bank Muscat is negotiating the possibility of raising a loan a small group of lenders, Reuters cited sources with knowledge of the matter saying, as Oman’s largest lender becomes the latest Gulf bank to hunt for fresh funds to combat a liquidity squeeze in markets.

In recent months, financial institutions in the Gulf have been progressively approaching the loan and bond markets for funds, as the lower oil prices environment compels governments to withdraw cash placed on deposit to meet budget shortfalls.

Bank Muscat is speaking to around 4-5 lenders about raising a loan, according to three sources who spoke on condition of anonymity as the information isn’t public.

While details including the size, tenor and pricing of the loan are still to be determined, it was expected to be in the range of $250 million and $300 million and would last for between two and three years.

Bank Muscat declined to comment.

Other lenders currently in the market for finance include Sharjah Islamic Bank, which is seeking a $200 million sharia-compliant loan, and Dubai Islamic Bank, which began meeting fixed income investors on Monday ahead of a potential dollar-denominated sukuk issue.

Asharq Al-Awsat English

Asharq Al-Awsat English

Asharq Al-Awsat is the world’s premier pan-Arab daily newspaper, printed simultaneously each day on four continents in 14 cities. Launched in London in 1978, Asharq Al-Awsat has established itself as the decisive publication on pan-Arab and international affairs, offering its readers in-depth analysis and exclusive editorials, as well as the most comprehensive coverage of the entire Arab world.

More Posts

Follow Me:
FacebookGoogle PlusYouTube