Fitch Expects Gulf Country Banks To Lose Less in 2011

arab-bankSince the international credit crisis is winding down, Arab Banks located in the Persian Gulf area will probably lose less money in loans and investments.

“Lower impairment charges and cost control should lead to a gradual improvement in profitability, but revenue growth will be more difficult to achieve,” Fitch ratings agency maintained. “Loan growth has been generally low, as the banks remain cautious and there is limited demand, but Fitch expects revenue to increase as infrastructure projects come on stream, stimulating the local economies.”