Sharjah brings Middle East syndications back despite liquidity drought

Bank of Sharjah signed a $150m one year refinancing this week, the first deal from a financial institution in the Gulf since 2008. However, with confidence throughout the Middle East loan market dispiritingly low, bankers in the region do not believe that the deal signals a widespread revival in FI loan activity in the region. Instead, banks are likely to continue to use bilateral loans and bonds when they need to raise finance.