Qatar is the country at the highest risk of having its ratings outlook downgraded, as it continues to feel the impact of a boycott by Arab nations, including the UAE and Saudi Arabia, according to S&P Global Ratings.
“Global downgrade risk remains muted, but Qatar leads with an elevated negative bias of 75 per cent,” the ratings agency said in a report. This compares to 16 per cent for the US, which is “relatively low”, the report said.
The high negative bias owes to S&P’s negative outlook on the sovereign (currently rated AA-), after Saudi Arabia, the UAE, Bahrain, Egypt, Libya and Yemen cut diplomatic ties, as well as trade and transport links, with Qatar on June 5 last year, S&P added.
“These ongoing diplomatic tensions should continue to pressure Qatar’s economic, fiscal and external metrics, especially if the boycott is tightened or prolonged,” the rating agency said.
The boycott has disrupted Qatar’s imports and led to the withdrawal of billions of dollars from Qatari banks by depositors from the four states. The damaging impact on the economy prompted the country to dip into its estimated $300 billion-plus sovereign wealth fund to protect its banks.
S&P’s negative outlook on Qatar has created a knock-on effect too and issuers with ratings tied to the sovereign have a negative outlook as well, “leading to the inflated negative bias”.
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Read more:
GCC Sukuk issuance drops 15% in 2018 on rising cost of borrowings, S&P says
S&P Dow Jones Indices upgrades Saudi Arabia classification to EM
Moody’s and S&P downgrade Turkey on weak response to fiscal distress
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Qatar in April issued a $12 billion conventional bond. However, the total volume of islamic bonds, or sukuk, issued by the state in both local and foreign currency has plummeted 50 per cent to $2.6bn so far this year, from $5.5bn in 2016, according to a report by S&P Global Ratings earlier this week.
The boycott means Qatari issuers can no longer rely on demand from regional Islamic investors, banks and other institutions in need of high-grade sharia-compliant bonds to meet liquidity standards, the report said.
Overall, the issuance of Sharia-compliant bonds in the Arabian Gulf has slowed by around 15 per cent in the first three quarters of this year and is likely to remain lower than $95.9bn in 2017 on the back of tightening international liquidity and rising borrowing costs as the US Federal Reserve hikes interest rates, the S&P report said this week.
Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
Round 3: February 7-9, Dubai Autodrome – Dubai
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia
Meydan card
6.30pm: Al Maktoum Challenge Round-1 (PA) Group 1 US$65,000 (Dirt) 1,600m
7.05pm: Conditions (TB) $100,000 (Turf) 1,400m
7.40pm: UAE 2000 Guineas Trial (TB) $100,000 (D) 1,600m
8.15pm: Handicap (TB) $175,000 (T) 1,200m
8.50pm: Al Maktoum Challenge Round-1 (TB) Group 2 $350,000 (D) 1,600m
9.25pm: Handicap (TB) $175,000 (D) 1,900m
10pm: Handicap (TB) $135,000 (T) 1,600m
Specs
Engine: Electric motor generating 54.2kWh (Cooper SE and Aceman SE), 64.6kW (Countryman All4 SE)
Power: 218hp (Cooper and Aceman), 313hp (Countryman)
Torque: 330Nm (Cooper and Aceman), 494Nm (Countryman)
On sale: Now
Price: From Dh158,000 (Cooper), Dh168,000 (Aceman), Dh190,000 (Countryman)
Specs
Engine: Dual-motor all-wheel-drive electric
Range: Up to 610km
Power: 905hp
Torque: 985Nm
Price: From Dh439,000
Available: Now
Mumbai Indians 213/6 (20 ov)
Royal Challengers Bangalore 167/8 (20 ov)
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
NO OTHER LAND
Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal
Stars: Basel Adra, Yuval Abraham
Rating: 3.5/5
In numbers: PKK’s money network in Europe
Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010
Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille
Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm
Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year
Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”
Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners
TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013
The biog
Fast facts on Neil Armstrong’s personal life:
- Armstrong was born on August 5, 1930, in Wapakoneta, Ohio
- He earned his private pilot’s license when he was 16 – he could fly before he could drive
- There was tragedy in his married life: Neil and Janet Armstrong’s daughter Karen died at the age of two in 1962 after suffering a brain tumour. She was the couple’s only daughter. Their two sons, Rick and Mark, consulted on the film
- After Armstrong departed Nasa, he bought a farm in the town of Lebanon, Ohio, in 1971 – its airstrip allowed him to tap back into his love of flying
- In 1994, Janet divorced Neil after 38 years of marriage. Two years earlier, Neil met Carol Knight, who became his second wife in 1994
More from Neighbourhood Watch:
Biog
Mr Kandhari is legally authorised to conduct marriages in the gurdwara
He has officiated weddings of Sikhs and people of different faiths from Malaysia, Sri Lanka, Russia, the US and Canada
Father of two sons, grandfather of six
Plays golf once a week
Enjoys trying new holiday destinations with his wife and family
Walks for an hour every morning
Completed a Bachelor of Commerce degree in Loyola College, Chennai, India
2019 is a milestone because he completes 50 years in business
The biog
Favourite colour: Brown
Favourite Movie: Resident Evil
Hobbies: Painting, Cooking, Imitating Voices
Favourite food: Pizza
Trivia: Was the voice of three characters in the Emirati animation, Shaabiyat Al Cartoon
