Omantribune
Oman Tribune
Omantribune
Omantribune Search News
Web Oman
    Google Search Button
      Tribune
- Oman
- Soccer World Cup
- Other Top Stories
- Middle East
- Business
- Sports
- India
- Pakistan
- Asia
- Europe
- Americas
- Columnists
- Editorial
- Oman Mirror
- Special Features
- Cinema
- PDF Pages
- Weather
- Travel
- Currency Rate
- Hospitals
- Pharmacies
- Services
- Flight Timings
- Museum Timings
Omantribune Home Omantribune About Us Omantribune Advertising Information Omantribune Archives Omantribune Subscribe-Form Omantribune Jobs Omantribune Contact Us
Friday, July 25, 2014  

Political unrest may not hurt Kuwait credit ratings: Moody’s
KUWAIT CITY Political unrest in Kuwait is unlikely to affect its strong credit fundamentals, ratings agency Moody’s said on Wednesday, maintaining the Gulf state’s Aa2 rating with a stable outlook.

“The recent escalation in political protests in Kuwait is not, in our view, likely to affect the government’s very strong credit fundamentals,” Moody’s Investors Services said in a report. “We consider that Kuwait’s Aa2 rating can tolerate a degree of political event risk,” it said.

The protests so far are not Arab Spring-type events, given that they are not calling for the overthrow of Kuwait’s ruling Al Sabah family, in power for over 250 years, but just the repeal of an amended electoral law, Moody’s said.  

“In our view, a credit-negative situation could only develop if there were a severe turn for the worse in Kuwait’s political and social stability that would paralyse government fiscal operations or undermine domestic financial system stability,” it said. “At this juncture, we consider such an outcome unlikely.”

More than 150 protesters and 24 policemen were hurt in three major opposition demonstrations over the past two weeks after the ruler unilaterally changed the electoral constituency law. The opposition claims the change is aimed at influencing the outcome of December 1 snap elections in the government’s favour. The opposition has decided to boycott the polls.

Moody’s said that Kuwait’s Al-Sabah ruling family is facing its “greatest political challenge yet,” but said social upheaval such as occurred in Egypt, Syria, Yemen or Libya remained very low. “However, despite the political gridlock, the country’s fiscal situation remains very robust. Kuwait, along with dynamic Qatar, have the lowest fiscal break-even oil prices in the Middle East, in the mid-$40/barrel range,” it said.

Moody’s estimated assets managed by Kuwait Investment Authority, the country’s sovereign wealth fund, at $350 billion and per capita income at close to $50,000.

Agencies
NEWS UPDATES
Oman
Omani students explore BAE Systems facility
Bait Al Zubair hosts iftar for employees
UAE Exchange ties up with Unicef to support children
SQU student chosen for DSS apprenticeship
Ahlibank holds iftar gathering
Other Top Stories
Air Algerie plane with 110 on board crashes over Mali
75 killed in separate Iraq attacks
Boeing inks deal to provide plane parts to Iran
Ukraine PM quits after collapse of ruling coalition
Two-hour-long execution sparks outrage in US, lawyers seek probe
India
19 school children die as train rams into bus
Human Development Index ranking unchanged at 135
Venkaiah to give statement in Parliament on force-feeding
Easy access to antibiotics kills resistance, raises fears of deadly diseases
Patients have right to ‘get medical records’
I’ll remain an Indian until death, says Sania
Pakistan
Pakistan to restart work on improving trade with India
N. Waziristan needs Rs2.6b for helping displaced persons
Middle East
Troops try to oust rebels holed up in Benghazi, 9 killed
Sudanese woman in apostasy case arrives in Italy, meets Pope Francis
Egypt blames foreign intelligence for border attack
Kuwait opposition says revoking of citizenship illegal
Violence, displacement mar joy of Eid in Darfur
Asia
China inspects 600 food outlets over safety scare
Bad weather did not cause crash of TransAsia flight, says Taiwan
Afghan bike blast kills 6; 2 aid workers shot dead
Business
Ukraine, ME crises take toll on global growth outlook
Saudi Arabia move to open up $550b stock market expedites reform drive
British regulator, banks in talks to settle forex-rigging case this year
Nokia jumps back into profit
Taqa pulls out of $1.6b India deal
Japan H1 trade deficit surges to record on weak exports
Wipro profit up 30% on firm spending
Sports
Jayawardene ton propels Sri Lanka
Cricket to stay out of 2018 Games as ICC rejects offer
Lampard joins New York City
Afghanistan crush Zimbabwe to draw four-match series
Nibali on verge of Tour triumph
England grab triathlon double, Farah pulls out
Youzhny begins Gstaad title defence with victory
Saints thrash Bolivar 5-0

Sports


International

© 2013 Oman Tribune. All rights reserved. Best viewed in 800 X 600 resolution