According to Bloomberg, Standard and Poor’s has announced that there will be a rise in non-performing loans for regional banks as a result of Dubai World’s restructuring and defaults by two Saudi Arabian conglomerates. The rating company notified that ‘The cleanup of Gulf banks’ has not yet completed. Beginning from the 2nd half of 2010 and taking into account expected economic recovery, the asset quality of Gulf banks will decrease before gradually improving.
Paul Holdsworth, Staff Writer, Gulf Jobs Market News