Bahrain's ABC says no debt deal with Kuwait's ILIC

Bahrain-based Arab Banking Corporation (ABC) said on Sunday that it did not reach an agreement with Kuwait's International Leasing and Investment Company (ILIC) to write off debt.

Last week, Kuwaiti newspaper al-Seyassah citied a source saying that ABC had agreed to write off 90 per cent of the $120 million in debts owed to it by ILIC.

"ABC acts as agent for a syndicate of banks that provided loans to ILIC totalling $120 million. The exposure of ABC to ILIC is only a small proportion of this amount. No agreement has been reached with ILIC to write off any of the debt," said the bank in a statement to the bourse.