Moody’s Investors Service downgraded Bahrain’s government bond rating by one notch to Baa1 from A3 on 26 May, and assigned a negative outlook to the rating. The rating action concludes the review for possible downgrade that Moody’s initiated on 23 February. “The main driver underlying Moody’s decision to downgrade is the significant deterioration in Bahrain’s political environment since February,” said the agency.