Dubai-Mubasher: Emirates NBD and Commercial Bank of Dubai (CBD) are both holding talks with banks to raise loans worth of $1.7 billion, Reuters reported.

The funds would refinance an existing $800 million loan that matures in December, sources told Reuters. 

The two banks are keen to raise funds before a possible rise in borrowing costs later this year if the US Federal Reserve increased interest rates again. 

Gulf banks are striving to raise funds from the market as liquidity is pressured by lower oil prices.