Asian Banks Return to Middle East Lending Despite Iran War Risks

M&A · PartnershipGeopolitics
โดย Money & Banking·ASIAGLOBAL·Read original
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Asian banks are cautiously resuming lending in the Gulf region after new deals in August attracted total demand of over $6.8 billion. Major borrowers include Qatar National Bank, Boubyan Bank, Kuwait's sovereign wealth fund, and Saudi Energy Co, which is in talks for a $300 million loan, with major Chinese banks expected to be the main financiers. However, total lending from Asian banks to the region since the start of the year stands at just $2.3 billion, down 72% from the same period last year. In 2025, Asian banks lent a record $17 billion to the region, triple the amount in 2024, before the Iran war halted lending. Now, banks are becoming more risk-tolerant as Asia's syndicated loan market is at its slowest in 16 years, and they seek ways to generate returns on liquidity. Still, they are selectively lending to certain clients and assessing deals on a case-by-case basis.

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Off-coverage companies 3

Boubyan Bank K.S.C.P.Private▲ Positive
Demandrelevance

Boubyan Bank is named as a major borrower in the August deals that attracted over $6.8 billion in total demand from Asian banks.

Qatar National BankPrivate▲ Positive
Demandrelevance

Qatar National Bank is named as a major borrower in the new August Gulf deals that drew over $6.8 billion in demand, indicating access to resumed Asian bank lending.

Saudi Electricity CompanyPrivate▲ Positive
Demandrelevance

Saudi Energy Co is in talks for a $300 million loan with major Chinese banks expected to finance it, showing renewed lending access for Saudi borrowers.