Kuwait Papers Rap British Order to Cut BP Holdings

Associated Press

Pro-government Kuwaiti newspapers today denounced British Prime Minister Margaret Thatcher’s government for its “short-sighted decision” to slash Kuwait’s holdings in British Petroleum and warned that the move will damage relations.

The newspapers urged Kuwait’s government to take retaliatory measures against Britain’s order Tuesday that the Kuwait Investment Office reduce its holding in BP from 21.68% to 9.9% over the next year.

Oil-rich Kuwait stands to lose nearly $680 million at current market prices if it cuts its BP holdings to the level the British are seeking.