Middle East

Saudi growth at 14-year low as oil prices tumble

Saudi Arabia’s economy is set to grow this year at the slowest pace since 2002 as the oil-price plunge drains the kingdom’s finances, according to projections released by the International Monetary Fund and HSBC.

Oil & Gas

HSBC pitches Petrobras-tainted oil rig bonds nobody wants

In the months since Brazil’s largest bribery scandal broke, bond investors have fled companies tied to the alleged kickbacks. They’ve been far too hasty, according to HSBC Holdings Plc and Mizuho Securities USA. Odebrecht Offshore Drilling and Queiroz Galvao Oil & Gas Constellation are a case in point. Their securities have plunged at least 27% since November 13, when federal police said they found “strong evidence” that at least seven builders, including the parent companies of the two oil-rig providers, formed a cartel to win public contracts. To Mizuho’s John Haugh, the bonds are now a buy because the terms that govern them will likely shield the issuers from any punishment the parent companies may face if they’re found guilty of bribing Petroleos Brasileiro SA, the state oil company.