Kuwait gets first Moody's downgrade over govt's 'liquidity risks'

The government has been unable to borrow since a debut Eurobond in 2017, forcing it to rely on the General Reserve Fund instead.

Kuwait was downgraded for the first time by Moody’s Investors Service, a decision the ratings agency said reflects the increase in the government’s “liquidity risks.”
 
The sovereign credit rating was cut two levels to A1, the fifth-highest investment-grade level and on par with China and Saudi Arabia, according to a statement on Tuesday. Moody’s now ranks Kuwait two steps lower than Fitch Ratings and one below S&P Global Ratings, which lowered its own assessment of the country in March for the first time ever.
 
Moody’s projects net sovereign issuance of up to 27.6 billion dinars ($90 billion) would