GCC bank consolidation may accelerate due to lower oil prices

Fitch says falling oil prices ‘may’ accelerate Gulf banks mergers - Times Kuwait

Fitch Ratings has stated that declining oil prices and weak global demand may accelerate the pace of mergers and acquisitions (M&As) among Gulf banks. The challenging operating environment is pressuring profitability, especially for smaller banks with weak operations, high financing costs, and limited capital reserves, making them likely targets for consolidation as larger institutions seek to diversify income sources and grow their market share…

GCC bank consolidation may accelerate due to lower oil prices

Sustained lower oil prices and weaker global demand may put pressure on GCC bank operating environments