Speaking at the MENA Economic Forum in Kuwait in November 2007, Ibrahim Dabdoub, CEO of the National Bank of Kuwait, declared that the “Arab banking landscape is being transformed” by the four horsemen of globalization, liberalization, technology and staggering regional growth. He noted that from now on, banks would have to prime themselves for competition and should seriously consider consolidation. “Success,” he said, would mean creating an ideal “economic, financial and institutional environment.” His words are as good a blueprint as any for the GCC banking sector in 2007. Historically slow growthHistorically, conditions have stifled growth for Arab banks, but this is no longer the case. At the turn of 2007, the Arab banking sector finds itself, at last, in an environment conducive to sustained investment and strong economic activity that should persist until 2010. What has prompted this about-face? Among other factors are strong growth fundamentals, high liquidity and
