From the Independent: Default by Kuwaiti investment house hits Gulf's reputation as financial hub.
The reputation of the Arabian Gulf as a financial hub was dealt a blow yesterday as Global Investment House (GIH), one of the region's biggest institutional investors, confirmed that it was unable to repay a $200m loan, and had appointed HSBC to renegotiate the deal, and its other debts, with international creditors.
Analysts had expected the Kuwaiti government to meet the obligation in order to save face in the international debt markets.
The credit ratings agency Standard & Poor's cut the group's rating to "speculative default" last week after previously judging the group's debt to be investment grade, or a solid investment choice.
Oil yah? We hardly knew ye.
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