Moody's: Bahrain Expected to Get Additional Financing from GCC Allies

Ratings agency Moody's said on Tuesday it expects Bahrain to receive additional financing from its GCC allies. The heavily indebted Bahrain was bailed out with a US$10 billion package in 2018 from wealthier Saudi Arabia, Kuwait, and the United Arab Emirates, but in September postponed by two years plans to balance its budget after the coronavirus crisis strained its finances.

"As for Bahrain ... the timing and size of an augmented financial package to mitigate liquidity risks remain uncertain; we continue to expect financing to eventually be forthcoming as the country's financial needs are dwarfed by the capacity of its partners to provide support," Moody's said in a report.