Investment banking fees in the Middle East and North Africa (MENA) reached an estimated $218 million during the first quarter of 2021, up 5 percent from last year and a three-year high, according to global data provider Refinitiv. 

Advisory fees earned from completed M&A transactions generated $20.4 million, down 74 percent representing the second-lowest total in the last ten years. Equity capital markets underwriting fees fell by more than half compared to 2020, to $7 million, the lowest total since 2011.

“Syndicated lending fees increased 76 percent to $109.2 million, a three-year high in fees and the third highest total since our records began in 2000,” Refinitiv said in its report.

Bond underwriting fees also experienced an increase with $81.3 million in fees, a 64 percent increase from the same period in 2020.

Governments/agencies and financials accounted for 87 percent of total fees this quarter in MENA with 59 percent and 28 percent fees recorded, respectively.

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HSBC Holdings PLC earned the most investment banking fees in the region during the first quarter of 2021, a total of $22.7 million or a 10.4 percent share of the total fee pool, Refinitiv said in its report.

Global investment banking fees

Investment banking fees globally reached $39.4 billion during the first quarter of 2021, posting a 45 percent increase compared to the first quarter of 2020 and the strongest opening period for global IB fees since records began in 2000.

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The first quarter of 2021 also marks the strongest overall quarter for investment banking fees on record, besting the second quarter of 2020 which saw $35.7 billion in fees.

According to Refinitiv, the Americas contributed 59 percent of all fees generated globally with $23.2 billion, a 70 percent uptick compared to 2020 levels and the highest percentage since 2000.

Imputed fees in the EMEA region increased 27 percent to $8.1 billion during first quarter of 2021, driven by year-over-year gains in the UK and Ireland. powered by a 20 percent increase in North Asia. Total IB fees in Asia-Pacific and Japan hit $8.1 billion with a 15 percent uptick compared to 2020.

(reporting by Seban Scaria; editing by Daniel Luiz)

(seban.scaria@refinitiv.com)

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