Financial ties between China and the Gulf Arab states are witnessing remarkable growth, following years of diplomatic cooperation that have resulted in significant financial flows.
The value of loans provided by Chinese banks to countries in the region rose to a record $15.7 billion in 2025, three times the previous value, far exceeding the total loans provided by banks in the United States, Britain, and the Eurozone, which did not exceed $4.6 billion.
Saudi Arabia and the United Arab Emirates have accounted for the largest share of these loans, reflecting a shift in financial weight towards the East.
Chinese contribution is not limited to providing loans, but also includes managing international debt issuances. Major Chinese banks have participated in managing underwriting of Saudi dollar-denominated bonds, through which $11.5 billion was raised this year.
Relations have also been strengthened by frequent visits by senior officials from Chinese banks to Gulf capitals, with the aim of exploiting financing opportunities arising from the expansion of trade and investment. (Bloomberg)
