The recent decision of the Central Bank of Oman to reduce interest rate ceiling on personal loans to 7 per cent is seen to put pressure on the profit margin of the commercial banks in the Sultanate. The new rates will be applicable for fresh loan disbursements starting April 2012. The last revision in the personal lending interest rate was done in June 2008.
“The decline in lending rates is expected to put pressure on the margins of banks with the re-pricing of loans at lower rates in the coming quarters. Over the medium term, we expect the lending rates to remain soft along with the recent implication of fall in personal loan rates”, say analysts at Gulf Baader Capital Markets in a research report.
Saturday, 31 March 2012
STOCKS NEWS MIDEAST-Saudi shares close higher - Yahoo! News UK
Saudi shares close higher on Saturday led by gains in petrochemical and banking stocks.
Oil prices posted on Friday the biggest quarterly gain since the beginning of 2011.
The all-share closes 0.7 percent higher to 7835,2 points and the banking index adds 0.7 percent to 18,064.4 points. The petrochemical index closes up 0.9 percent at 7265.02 points.
Oil prices posted on Friday the biggest quarterly gain since the beginning of 2011.
The all-share closes 0.7 percent higher to 7835,2 points and the banking index adds 0.7 percent to 18,064.4 points. The petrochemical index closes up 0.9 percent at 7265.02 points.
Saudi Shares Climb to 3 1/2-High on Earnings Prospects - Bloomberg
Saudi Arabian shares advanced to the highest level in more than 3 1/2 years as a positive outlook for earnings and oil prices lifted banks and petrochemical companies.
The Tadawul All Share Index (SASEIDX) climbed 0.5 percent to 7,822.82 at 1:05 p.m. in Riyadh, and earlier today touched 7,846.58, the highest level since Sept. 13, 2008. The 152-member index has gained 22 percent this year.
Samba Financial Group (BSFR) rose to the highest level in almost a year. Saudi Basic Industries Corp. (SABIC), the world’s largest petrochemical company known as Sabic, advanced 0.7 percent, while Yanbu National Petrochemical Co., a Sabic unit, jumped 2.5 percent.
The Tadawul All Share Index (SASEIDX) climbed 0.5 percent to 7,822.82 at 1:05 p.m. in Riyadh, and earlier today touched 7,846.58, the highest level since Sept. 13, 2008. The 152-member index has gained 22 percent this year.
Samba Financial Group (BSFR) rose to the highest level in almost a year. Saudi Basic Industries Corp. (SABIC), the world’s largest petrochemical company known as Sabic, advanced 0.7 percent, while Yanbu National Petrochemical Co., a Sabic unit, jumped 2.5 percent.
Kuwait's Agility Q4 net profit rises 114 pct - Yahoo! News UK
Kuwait's Agility, the logistics firm facing U.S. fraud charges, posted a 114-percent rise in fourth-quarter net profit compared with the same period in 2010, the firm said in a statement on Saturday.
Net profit in the three months to Dec. 31 came in at 3.5 million Kuwaiti dinars ($12.60 million) compared with a loss of 23.7 million dinars in Q4 2010.
Fourth-quarter revenues were 5 percent lower at 368.6 million dinars due to the loss of government contracting
business, Agility said.
Net profit in the three months to Dec. 31 came in at 3.5 million Kuwaiti dinars ($12.60 million) compared with a loss of 23.7 million dinars in Q4 2010.
Fourth-quarter revenues were 5 percent lower at 368.6 million dinars due to the loss of government contracting
business, Agility said.
Dubai's Drydocks says most lenders agree on $2.2 bln debt deal - Yahoo! News UK
Dubai's ship building unit Drydocks World has secured the necessary level of support from its syndicated lenders to implement the restructuring of its $2.2 billion debt, the company said in a statement on Saturday.
The Dubai World unit said a "significant majority" of the Group's lenders had formally confirmed their support for the restructuring. However, a small minority is yet to confirm support, it added.
The company did not specify what percentage of lenders needed to agree for it to go ahead with the restructuring proposal.
The Dubai World unit said a "significant majority" of the Group's lenders had formally confirmed their support for the restructuring. However, a small minority is yet to confirm support, it added.
The company did not specify what percentage of lenders needed to agree for it to go ahead with the restructuring proposal.