Dubai, September 21 Companies in six Gulf Arab states are under pressure as governments reduce spending in response to a slump in oil revenues, Standard and Poor’s (S&P) ratings services said today. “Corporate and infrastructure firms in the (Gulf Cooperation Council) GCC face a weaker operating environment at present on the back of lower oil prices,” S&P said in a report. Low oil income has slowed government expenditures on which these companies largely depend, it said. World oil prices have dropped by over 50 per cent since June 2014. International Monetary Fund forecasts that it will result in a $300 billion drop in revenues this year for six GCC states — Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and UAE. Some infrastructure projects have been scrapped as a result, S&P said. “We observe, however, that GCC governments continue to invest in large public sector infrastructure projects,” said Karim Nassif, S&P credit analyst. “Still, the longer the oil price remains near current low levels, the higher the likelihood of seeing more infrastructure projects postponed or dropped,” he said. S&P said Dubai real estate market is also suffering with residential prices projected to fall by 20 per cent this year. But it said it expected UAE property firms to withstand correction.