UBS Group AG has recently let go of four loan syndication bankers in Asia due to a decrease in deal flow caused by high funding costs.

The individuals affected by the layoffs include Terence Chia, who was the head of loan syndications based in Singapore, Irene Liao, an executive director on the team, and two junior bankers based in Hong Kong.

The Asian loan market has faced significant challenges this year, with loan volumes in the Asia Pacific region (excluding Japan) dropping by 19% to $456 billion year-to-date compared to the previous year.

This decrease in demand can be attributed to elevated dollar rates and sluggish growth in China, resulting in an oversupply of loans and increased competition among banks for leading deals.

Prior to the merger with Credit Suisse, Chia and Liao held prominent positions within the bank's debt syndication teams.