New Delhi, May 14 -- Banks across the Gulf Cooperation Council (GCC) are likely to shift their focus toward private placements and syndicated loans if the conflict involving Iran continues, according to a recent report from Fitch Ratings.

"GCC banks are likely to make greater use of private placements and syndicated loans if the Iran conflict persists," it noted. "Even if conditions stabilise and public markets reopen, we expect 2026 issuance to remain below 2025's record level because of weaker credit growth and wider credit spreads."

The credit rating agency stated that liquidity conditions for GCC banks face potential deterioration if the current conflict proves more severe or prolonged than initially projected. Despite these pressur...