Kuwaiti shares nosedive on cash drain

Standing left to right – Mr. Dinesh Jebamani (Chief Manager Liability Product Management and New Age Media – Seylan Bank), Mr.Sudesh Peiris (Senior Manager – Digital Banking Channels – Seylan Bank), Ms. S.Senevirathne (Representative of the Revenue Department – Western Province), Mr. Tilan Wijeyesekera (Deputy General Manager – Retail Banking – Seylan Bank) and Mr. Malik Wickremanayaka (Deputy General Manager – Operations – Seylan Bank)

KUWAIT CITY, September 11, 2008 (AFP) – Kuwaiti stocks ended the week through Thursday down six percent on lack of cashflow drained by huge IPOs and a strict monetary policy to combat inflation, analysts said.

The Kuwait Stock Exchange (KSE) Index finished the week at 13,123.90 points, the lowest level in eight months.

The index is now just 4.5 percent higher than its 2007 close of 12,558.90, but down 16.2 percent on its all-time peak of 15,654.80 points set on June 24.

Since then, the market has been on a downturn. Jassem al-Saadun, head of Al-Shall Economic Consultants, said the fall was due to a lack of liquidity.