Fitch Ratings has revised the Outlooks on Bahrain's Long-term foreign and local currency Issuer Default Ratings (IDR) to Negative from Stable and affirmed the IDRs at 'BBB' and 'BBB+', respectively.
The issue ratings on Bahrain's senior unsecured foreign and local currency bonds have also been affirmed at 'BBB' and 'BBB+', respectively. The agency has simultaneously affirmed Bahrain's Country Ceiling at 'BBB+' and Short-term foreign currency IDR at 'F3'.
Fitch said it estimates Bahrain's fiscal breakeven oil price to be around $130/bl, compared with a forecast for Brent to average $83/bl in 2015. Fiscal flexibility is constrained by the very low share of non-oil revenue of just 14 per cent of total revenues. Wages and subsidies together account for 70% of total budget spending.
The issue ratings on Bahrain's senior unsecured foreign and local currency bonds have also been affirmed at 'BBB' and 'BBB+', respectively. The agency has simultaneously affirmed Bahrain's Country Ceiling at 'BBB+' and Short-term foreign currency IDR at 'F3'.
Fitch said it estimates Bahrain's fiscal breakeven oil price to be around $130/bl, compared with a forecast for Brent to average $83/bl in 2015. Fiscal flexibility is constrained by the very low share of non-oil revenue of just 14 per cent of total revenues. Wages and subsidies together account for 70% of total budget spending.
Source:
Mubasher
