Fitch sees more GCC privatisation plans

Fitch sees more GCC privatisation plans:

Fitch, an international credit rating agency, expects more privatisation plans in the Gulf Co-operation Council (GCC) in 2019, starting with the utilities sector, without compromising the links with the sovereigns.

The rating agency also said in a report the GCC corporates – particularly industrials, property and real estate, natural resources and utilities – have “stable” outlook, reflecting stronger fundamentals, high oil prices and favourable macroeconomics.

“While the majority of the GCC corporates are on a stable outlook, increasing macro-economic challenges and new government reforms will put pressure on cash flows at a time when we expect increasing debt capital market activity in 2019,” said Samer Haydar, associate director, EMEA Corporates.