VOL. XLII

No. 03

18-January-1999

SAUDI ARABIA

And Assigns Ba1 Rating To Saudi Domestic Bonds

Moodys announced on 12 January that it had assigned a Ba1 rating to the domestic bonds issued by Saudi Arabia. The below investment grade rating, according to Moodys, reflects concerns over the size of the governments outstanding debt, the growth thereof and indications of further accumulation in the near-term. Although the government has not yet defaulted on its debt obligations to banks, it has...