Kuwait: Soft touch

Kuwait’s bailout is ill-conceived. Already the only Gulf state to halt trading on its stock exchange this year – following a court ruling on behalf of local investors – the central bank is now launching a fund to buy overpriced assets from troubled investment firms. Like many of its Gulf neighbours, Kuwait has already guaranteed all local bank deposits. That move came after the rescue of Gulf Bank, the country’s fourth largest lender. And because the Kuwaiti Dinar is de-pegged from the dollar, ...