Banks Frustrated as Iran’s Swift Return Delayed
1 February, 2016New Iran Funds Show Frontier Challenges
1 February, 2016Euromoney, February 2016
The list of emerging markets that are vulnerable in these uncertain times is a long one. But Kuwait is near the top of it and its banks should be worried.
A new report from BCA Research (which is owned by Euromoney Institutional Investor) argues that Kuwait is far more exposed to market downturns than most other countries, principally because 80% of the Kuwaiti bourse is made up of financials, and those financials are in poor shape. In particular, it is concerned about the level of real estate exposure among the banks at a time when that sector is expected to deteriorate badly alongside the broader Kuwait economy. It is a bleak outlook given that Kuwaiti stocks are already down 70% since 2007, and are at a lower level today than in 2009.
Full article: http://www.euromoney.com/Article/3527346/BackIssue/95465/Kuwaits-banks-brace-for-property-crash
