Countries of the energy-rich Gulf are expected to accumulate $490 billion in deficits by 2023 due to the double hit of low oil prices and the coronavirus slowdown, Standard and Poors said in a report.

Bahrain's fiscal deficit is seen widening to 12% of GDP this year from 4.6% in 2019, largely due to lower oil prices, S&P Global Ratings said on Saturday.

Global ratings agency Standard and Poors (S&P) revised its outlook on Bahrain to positive from stable following the implementation of the government's budget-deficit-reducing measures and other reforms.

Bahrain and Qatar's credit ratings are the most vulnerable in the event an escalation of U.S.-Iran tensions causes blockages in the Strait of Hormuz, one of the world's main oil shipping arteries, S&P Global said on Thursday.

The government of Bahrain's slow fiscal response to past declines in oil prices has led to a large and growing stock of government debt, and gross international reserves are low and volatile, according to Standard & Poor's (S&P) report.

S&P Global Ratings on Friday lowered Bahrain�s long-term foreign and local currency sovereign credit ratings on Bahrain to �B+� from �BB-'.

Qatar's credit quality would decline if tensions with its Gulf neighbors continue for much longer, raising the country's debt ratio and hurting banks' liquidity, Moody's ratings agency said on Thursday.

Standard and Poor's (S&P) said Kingdom of Bahrain outlook revised to negative on weakening external & fiscal positions�​. It also affirmed its rating at "BB-/B".

Standards and Poor�s (S&P) retained its negative credit watch on the overseas bonds issued by ICICI Bank and HDFC Bank through their Bahrain branches citing the downgrade of the Gulf nation.

Bahrain Mirror (Reuters): Rating agency Standard & Poor's downgraded Saudi Arabia, Brazil, Kazakhstan, Bahrain and Oman's credit ratings on Wednesday, in its second mass cut of large oil producers in almost exactly a year.