Messenger
KUWAIT CITY, Feb 11: In a clear reflection of the “domino” theory, and as a continuation of the series of declining economic performance, the negative repercussions of the COVID-19 pandemic have cast their shadows on the Kuwait banking sector, which has always been described as financially robust.
This has happened after Fitch Ratings downgraded the credit rating of 11 local banks from “stable “ to “negative” about a week after the agency downgraded Kuwait’s financial condition from “stable” to “negative.” In a report issued yesterday, the agency said banks will face more challenges as the economy of Kuwait continues to fall under pressure in light of “a large proportion of financing in the banking sector linked to the government.”