Union of Arab Banks chairman says Persian Gulf banks suffer bulk of loss, mainly due to decease in liquidity; predicts banks will recover by end of fiscal year

Doron Peskin, 09.25.09, Ynet

The Arab banks have lost nearly $4 billion since the global financial crisis' onset, Adnan Yusuf, chairman of the Union of Arab Banks, estimated Wednesday.
 
Persian Gulf Banks, he added, suffered about 80% of the losses.
 
Bigger losses were noted as a result of a decrease in liquid assets, amounting to about $15 billion.
 
Yusuf estimates that the Arab banks would be able to recover by the end of the current fiscal year, based on the 3-4% growth shown in the first half of 2009.
 
Another senior analyst of Gulf banking credited the local emirates' governing with the banks' seemingly quick recovery, adding that rising oil prices have also contributed to the public's faith in the local banking system.
 
Doron Peskin is head of research for Info-Prod Research (Middle East) Ltd.

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