Kotibhaskar: GCC Sovereigns Remain Cash Positive

The video discusses the Fed Chair's hawkish stance, potential future rate hikes, and their impact on Gulf economies. It covers the effects on yields, central bank policies, and investment strategies. The video also explores deleveraging trends, market stability, and the outlook for Sukuk and high yield markets in the GCC.

What was the Fed chair's stance on future rate hikes?

• He ruled out any more hikes this year.

• He was open to more hikes if necessary.

• He planned to decrease rates soon.

• He was undecided about future hikes.

How might the Fed's decisions affect Gulf central banks?

• They will ignore the Fed's decisions.

• They will increase rates independently.

• They will move in line with the Fed's actions.

• They will likely decrease their rates.

What has been a significant market trend over the last 12 months?

• Increased refinancing of maturities.

• Significant deleveraging, both voluntary and involuntary.

• A surge in new market entrants.

• A stable market with no major changes.

What is the expected action from sovereigns in the next quarter?

• To reduce market activity.

• To increase market activity and address debt overhang.

• To maintain current market levels.

• To exit the market entirely.

What is the outlook for Sukuk in the current market environment?

• Sukuk is expected to lose traction completely.

• Sukuk will remain unchanged in popularity.

• Sukuk will likely attract more Islamic liquidity.

• Sukuk will be replaced by traditional bonds.

What is a key challenge for high-yield issuances in the GCC?

• High competition from other regions.

• A lack of interest from investors.

• Few issuers and a shallow market.

• A deep and stable market.

What is the main goal for issuers using Sukuk structures?

• To reduce the complexity of their bonds.

• To focus solely on non-Islamic investors.

• To attract as much Islamic liquidity as possible.

• To avoid Islamic liquidity.