Ratings downgrades in Kuwait, Oman add to growing GCC economic concerns

Ratings downgrades in Kuwait, Oman add to growing GCC economic concerns

**Written and disseminated to select contacts on April 1**

Ratings downgrades in Kuwait and Oman, prompted by plunging oil revenues, widening deficits and increased borrowing needs, will make accessing global funding more expensive and difficult, especially for regional economic laggard Oman. Although important, ratings do not always reflect the full picture, nor gauge investor appetite for Gulf risk once market conditions improve.

Rachna Uppal | Senior Analyst | r.uppal@castlereagh.net

Ratings downgrades in Kuwait, Oman add to growing GCC economic concerns

Government push essential to Oman’s diversification plan, but oil market rout will weigh

**Written and disseminated to select contacts on March 12, 2020**

The accession of Sultan Haitham bin Tariq al-Said in Jan injected new vigour into a much needed but potentially unpopular reform process. A top-down political and economic reform agenda will be implemented, with a view to spurring foreign investment in multiple sectors.

Rachna Uppal |Senior Analyst Business & Finance Gulf | r.uppal@castlereagh.net