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A miracle in the desert: Abu Dhabi bails out Dubai

Posted by GodSpeedDemon Monday, December 14, 2009

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Just as it looked like Dubai might go into a default on some of its debts and have to complete a $26 billion restructuring with bondholders, neighbor nation Abu Dhabi has provided billions in much-needed financing. The move has spurred stock market rallies around the world.

Abu Dhabi put $10 billion into state-owned Dubai World and its real estate arm. Dubai's property development firm, Nakheel, will use about $4 billion of the capital to pay off bonds due this week. The balance will be used to help Dubai World restructure its debt.

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A miracle in the desert: Abu Dhabi bails out Dubai originally appeared on DailyFinance on Mon, 14 Dec 2009 05:00:00 EST. Please see our terms for use of feeds.

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