Bankers Count on M&A, China to Spur Asia Loan Growth in 2017

Loan bankers in Asia are relying on companies’ merger and acquisition activities and China’s ‘One Belt, One Road’ initiative to fuel loan growth next year after volumes in the region stagnated in 2016.

Asia-Pacific ex-Japan loan volume amounts to $451.5 billion year to date, just shy of the $452.3 billion syndicated and clubbed deals completed in 2015, due to slower deal flow as some companies have suspended investment plans amidst a global economic slowdown and political uncertainties brought on by elections in the U.S. and Europe. The market was sustained by acquisition financing, which rose to $95.6 billion, more than double 2015’s $46.6 billion.