Bahrain Mirror: The oil discovery announced by Bahrain , if verified by an international oil consortium as being technically and economically recoverable, could stimulate private investment in the country's energy sector in the near term, according to Moody's.

Moody's added that the discovery on the medium term could increase government oil- and gas-related revenue and reduce the country's fiscal and current account deficit.

Moody's didn't comment whether the oil discovery would change Bahrain's ratings that it decreased to (B1 -) last year.

The Central Bank of Bahrain (CBB) said it had approached credit rating agencies to improve Bahrain's credit status in light of the country's biggest oil discovery.

"The central bank is now monitoring the reaction from these agencies," CBB Governor Rasheed Al-Maraj said in a statement. "This discovery is likely to positively contribute to Bahrain's financial situation."

"It is logical that this oil discovery would reinforce Bahrain's status in the international debt market and reduce the costs of these debts," Al-Maraj said. "The Central Bank of Bahrain also contacted the International Monetary Fund and important investment parties from around the world in this regard."

Arabic Version