The era of jumbo Gulf bond deals is probably over -JPMorgan | Reuters

The era of jumbo Gulf bond deals is probably over -JPMorgan | Reuters

Gulf governments continue to issue debt in high volumes, but deficit cuts and improved liquidity have reduced the urgency to raise money through so-called “jumbo bonds”, a senior JPMorgan banker has said.

In 2016 Saudi Arabia issued $17.5 billion bonds, which marked the beginning of an era of jumbo transactions in the region, as governments urgently needed to fill coffers after the 2014-2015 oil price collapse.

Jumbo bonds are generally meant as over $5 billion.

The Gulf continues to supply very large transactions - this year state-owned Qatar Petroleum sold $12.5 billion bonds.