Moody’s downgrades Gulf sovereigns again

Ratings agency Moody’s Investors Service has downgraded Saudi Arabia, Bahrain and Oman, and given a negative outlook to the ratings of Abu Dhabi, Kuwait, Qatar and the UAE, ending a review process which began in late February. Saudi Arabia’s rating was cut by one notch from Aa3 to A1, while Oman’s slumped three notches from A3 to Baa3 (only one step above junk status), both with a stable outlook. Oman was previously downgraded from A1 in February. Bahrain has been downgraded from Ba1 to Ba2 with a negative outlook.