CDS spreads widen in Bahrain and Morocco

The cost of insuring against the default of several sovereigns in the Middle East and north Africa has risen once again today. While global attention has shifted to Libya, where Muammar al-Qaddafi's government has fought back against massive unrest in Tripoli over the past 24 hours, political and economic tensions continue to trouble other states.

Credit default swap (CDS) spreads in Bahrain have been on the rise for two full weeks and moved from 305 basis points at end of trading yesterday to 3