Kuwait’s rating under threat

The government of Kuwait could face a credit rating downgrade as a result of continuing political turmoil, a major agency said Tuesday.

In the past few months, conflicts between Kuwait’s ruling family and its parliament have hindered the government’s ability to address the local effects of the financial crisis and threatened its stability, analysts have said.

In March, Moody’s placed the government’s credit rating on review for a possible downgrade as a result of the strife. Since then, it has decided not to lower Kuwait’s ratings, although it noted that a downgrade was still possible if political conditions worsened.