GCC

EA Partners II, the structured high yield bonds backed by loans to several airlines which are partners of Etihad, announced a note event of default on Friday, thanks to the low bids it received for loans to Air Berlin and Alitalia, both of which collapsed last year.

The Kingdom of Bahrain’s five year CDS spread has plummeted as investors’ fears of the country’s inability to meet the repayment of its $750m November 2018 sukuk began to recede after a statement of support from Saudi Arabia, Kuwait and the United Arab Emirates.

The Islamic Development Bank has been meeting investors and banks in Europe to explore the possibility of launching its first public sukuk issue in euros. A labelled green sukuk might follow.

The decision by MSCI to reclassify Saudi Arabia as an emerging market and the country's inclusion in its emerging market indices is a game changing moment for the kingdom in its attempts up to foreign investors. With the IPO of Saudi Aramco looming, investors are excited by the prospects these changes promise, writes Sam Kerr.

The FCA’s decision to modify rules in order to allow sovereign owned companies — such as Saudi Aramco — to achieve a premium listing should be seen as just another chapter in the UK’s cosiness with the House of Saud.

The Financial Conduct Authority is going through with its plan to create a new premium listing category for sovereign controlled companies, despite fears among investors and lawmakers that the move will weaken corporate governance standards in the UK.

Kuwait Integrated Petroleum Industries Company (Kipic) has secured a multi-billion dollar export credit agency backed loan to finance construction of a $3.6bn integrated refining complex in its home country.

Turkish assets have performed this week after a long period of weakness with two emerging markets portfolio managers saying that the worst of the volatility in the lira exchange rate may have passed.

Dubai Aerospace Enterprise (DAE) has signed a conventional and Shariah compliant $480m four year revolving credit facility, as the Middle East continues to be the main bright spot in a dour CEEMEA loans market.

Two Qatari banks raised new debt in different formats on Thursday, proving that Qatari banks have a multitude of funding options available to them.

Commercial Bank of Qatar has become the first Qatari bank to mandate for a bond following the successful sovereign return in April, and much is riding on its success.

The strengthening dollar is wreaking havoc for emerging market bond investors as assets in local currencies and dollars alike take a hammering.