Syndicated borrowing surges 52.8% last year
dubai — Total borrower loans in syndicated category in the Middle East and North Africa region jumped by 52.8 per cent to $127.2 billion last year — the highest on record, surpassing the previous high set in 2007.
According to Bloomberg EMEA Capital Markets Tables, First Abu Dhabi Bank (FAB) ranked as the top Mena borrower loans bookrunner for 2018 with 8.85 per cent of credited market share.
HSBC and Standard Chartered ranked second and third with 7.16 per cent and 6.91 per cent of credited market share, respectively. Saudi Arabian-based borrower’s leads the rankings with 35.54 per cent market share, followed by the UAE and Oman-based borrowers with 27.61 per cent and 9.9 per cent respectively. The report by EMEA Capital Markets Tables said in bonds and sukuk, total Mena credited volume decreased by 12.8 per cent to $86.5 billion, compared to 2017.
“This is the second highest amount on record, with the highest recorded in 2017,” it said.
Standard Chartered Bank ranked as the top Mena bonds and sukuk underwriter for 2018 with a market share of 16.46 per cent. HSBC and Citi ranked second and third, respectively, with a market share of 9.84 per cent and 8.27 per cent.
The UAE-based issuers led with 25.34 per cent market share, followed by Qatar and Saudi Arabiabased issuers with 23.35 per cent and 19.87 per cent, respectively.
In the first nine months of 2018, the value of announced transactions with any Mena involvement reached $45.1 billion during the first nine months of 2018, 65 per cent more than the value recorded during the same period in 2017 and an 8-year high. Deals with a Middle Eastern and North African target reached an all-time high rising to $27.1 billion, up 89 per cent from the same period in 2017 while inter-Mena or domestic deals also up 106 per cent from last year.
Global Islamic financing increased by 14.6 per cent to $32.95 billion compared to 2017. The report said Dubai Islamic Bank is the top bookrunner with 9.55 per cent of credited market share. International sukuk credited volumes decreased by 14.2 per cent to $25.06 billion compared to 2017. HSBC held the top underwriter spot with 13.54 per cent of market share.