Dubai Gets $10 Billion Bailout to Ease Debt

[MaxShimba]

DUBAI -- The United Arab Emirates said Sunday it will spend $10 billion to bail out the once-highflying emirate of Dubai, whose huge construction and financial-sector expansion plans became a symbol of boom times, and now of a world-wide downturn.

Dubai financed much of its recent growth with international borrowing, and a big chunk of that debt comes due this year. The Dubai government said in a statement Sunday it would issue $20 billion in long-term bonds, and that the first installment of $10 billion was fully subscribed by the U.A.E.'s central bank.
Source and more news: Dubai Gets $10 Billion Bailout to Ease Debt - WSJ.com

 

[MaxShimba]

It is sad to hear this. Many people thought Arabs have all the money and they don't need bailout? lolz

 

[MaxShimba]

Poor Dubai

 

[SHERRIF ARPAIO]

It is sad to hear this. Many people thought Arabs have all the money and they don't need bailout? lolz

10 billion USD mbona hela kidogo sana ku-jumpstart the economy? Waarabu wawezakuwa na hela lakini ni malodi lofa.

 

[MaxShimba]

10 billion USD mbona hela kidogo sana ku-jumpstart the economy? Waarabu wawezakuwa na hela lakini ni malodi lofa.

They need to raise the debt ceiling

 

[SHERRIF ARPAIO]

They need to raise the debt ceiling

Raising the debt ceiling for only 10 billion usd?

 

[MaxShimba]

Raising the debt ceiling for only 10 billion usd?

It seems that they are broke. If 10B is a problem, then they need to raise the debt ceiling. They must be in a very bad shape.

 

[SHERRIF ARPAIO]

It seems that they are broke. If 10B is a problem, then they need to raise the debt ceiling. They must be in a very bad shape.

I thought you mean 10 Trillion usd

 

[Mr.Right]

It is sad to hear this. Many people thought Arabs have all the money and they don't need bailout? lolz

Dubai is a states part of UAE. Abu Dhabi has a lot of money, but it doesnt want to bailout its neighbor due to some of controversery issues between Dubai and Abu Dhabi. Is like Chicago ask for rescue from international countries.
Tatizo kubwa ambalo linaitosa Dubai, ni direction iliyoichukua ya kukaribisha wageni. Ndiyo maana imekuwa isolate from UAE, kwa muda mrefu sasa hivi.

 

[MaxShimba]

I thought you mean 10 Trillion usd

That is a good number for them. The problem is this, most of the real estate they have are western loans. HSBC is one of the financial institution loosing money from Dubai's real estate. Siemens is another company suffering from the same issues. Most of the engineers and electric equipment are/were from Germany. A lot is involved in Dubai, forget the train et al.

 

[MaxShimba]

So sad to hear that.