Downgraded Bahrain expected to re-tap DCM as investors stay hungry for HY
Struggling Gulf state Bahrain has fallen further into junk territory, with its budget deficit expected to balloon as a result of an oil price slump and the Covid-19 pandemic. But it is not all gloom, experts said, as bond markets remain wide open for high yield issuance.
Fitch downgraded Bahrain from BB- to B+ last Friday. It is now rated B2 by Moody’s and B+ by S&P.
Fitch attributed the decision to the impacts of the oil price slump and the Covid-19 pandemic on Bahrain’s budget deficit and government debt.Bahrain has been firmly in junk territory ...