Wednesday, July 25, 2007

Kuwait Revalues Dinar, Fuels Speculation Other Gulf Nations to Follow Suit

(Bloomberg) -- Kuwait revalued the dinar against
the dollar for a second time this month to curb inflation,
fueling speculation other Gulf countries will follow suit.

The central bank, which manages the dinar against a basket
of currencies, lifted its currency 1.7 percent. The dinar has
been dragged lower by a slump in the dollar, increasing the cost
of imports to Kuwait and accelerating gains in consumer prices.
The United Arab Emirates' dirham strengthened the most in almost
four months today and the Saudi riyal also advanced.


Read more at Bloomberg Currencies News

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