Middle East Economic Survey

VOL. XLVIII

No 47

21-November-2005

SAUDI ARABIA

Rabigh Financing Pushes Gulf Bank Margins Down To New Lows

The financing of Saudi Arabias Rabigh refining/petrochemicals project has pushed bank margins in the Gulf down to new lows, attracting cheaper funding not only than this years Qatari and Omani petrochemical projects, but also than the recent LNG financings. As the bank group for the $1.5bn commercial loan took shape last week, it emerged that pre-completion margins...