Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / NewStats: 3,195,345 members, 7,957,918 topics. Date: Wednesday, 25 September 2024 at 01:31 AM |
Nairaland Forum / Nairaland / General / Politics / Foreign Affairs / Dubai In Serious Financial Crisis (4411 Views)
Tears! Deadly Financial Crisis Hs Forced Greek Women Begging For Sex 2 Get Money / The Ivory Coast Crisis - Another Perspective / The Global Financial Crisis Wasn't A Mistake – It Was A Con (2) (3) (4)
Dubai In Serious Financial Crisis by Sunnybobo3(m): 10:20am On Nov 26, 2009 |
All is not well in Dubai, once a gleaming advertisement for the global economic boom. Dubai World, the state-owned conglomerate that includes the property developer Nakheel (responsible for the Palm Jumeirah) and DP World (the buyer of P&O's ports business), wants creditors to give it a six-month standstill on its $4bn of debt. Yesterday's announcement of that request sent much of the Middle East into a panic, with the cost of insuring against Dubai defaulting on its debts rising by a third almost immediately. Dubai is sliding into financial meltdown even more quickly than its property boom took off, and is increasingly dependent on its wealthier neighbours in Abu Dhabi for support. It managed to sell $5bn of bonds to two state-controlled Abu Dhabi banks yesterday, but there seems to be little private sector appetite for Dubai debt, which the credit ratings agencies estimate adds up to at least $80bn. Indeed, yesterday's bond issue was part of a $20bn issuance programme. There has been little detail of what has happened to the proceeds of the first $10bn raised and no explanation of why yesterday's bond sale, which was originally supposed to raise $10bn, managed only half that. To make matters worse, a political struggle at the highest levels of Dubai's ruling elite has seen sackings of some of the emirate's key financial figures and growing uncertainty. Unlike Abu Dhabi and its other rival, Qatar, Dubai does not have massive oil reserves on which to fall back now that the property and financial cycles are in a downswing. Never mind the housing boom and bust seen in countries such as Britain, Dubai is rapidly turning into the perfect case study of what happens when a speculative asset price bubble suddenly pops http://www.independent.co.uk/news/business/comment/david-prosser-dubai-slides-further-into-financial-crisis-1827597.html |
Re: Dubai In Serious Financial Crisis by SEFAGO(m): 10:25am On Nov 26, 2009 |
Interesting, I read a similar article on the mirage of a economic growth in Dubai driven by property boom. Not surprised, but i think dubai would survive considering the fact that it is being bailed out by its richer neighbor Abu Dhabi. |
Re: Dubai In Serious Financial Crisis by otokx(m): 10:28am On Nov 26, 2009 |
Is this not the same dubai that SOLUDO said he wanted to emulate? |
Re: Dubai In Serious Financial Crisis by Ibime(m): 10:30am On Nov 26, 2009 |
I wonder whats the revenue allocation set-up in UAE, and why their fellow kwantrymen like Sharjar and Abu-Dhabi no fit bail them out. Abi na 100% resource control dem get for there? |
Re: Dubai In Serious Financial Crisis by back2back(f): 10:32am On Nov 26, 2009 |
otokx: Gbosa! Gbosa!!! |
Re: Dubai In Serious Financial Crisis by SEFAGO(m): 10:38am On Nov 26, 2009 |
I wonder whats the revenue allocation set-up in UAE, and why their fellow kwantrymen like Sharjar and [b]Abu-Dhab[/b]i no fit bail them out. Infact Abu Dhabi recently bailed out four of the major government owned companies by giving them 20 billion dollars with no strings attached (supposedly) |
Re: Dubai In Serious Financial Crisis by redsun(m): 10:43am On Nov 26, 2009 |
What we use to know as booming economy is changing,it's no more about ostentatious,opulence and unnecessary greed and acquisition but about redistribution and spreading out of wealth,resources and knowhow to meet the needs of suffering majority of the world population. Absolute capitalism has reached its natural end and the real state of equilibrium is applying now. |
Re: Dubai In Serious Financial Crisis by SEFAGO(m): 10:45am On Nov 26, 2009 |
Absolute capitalism has reached its natural end and the real state of equilibrium is applying now. absolute capitalism will never end mate. It will come back booming in 20 years, people have short memories, and hard lessons are easily forgotten in a day |
Re: Dubai In Serious Financial Crisis by paddylo1(m): 12:28pm On Nov 26, 2009 |
if the desert nation/kingdom does not diversiify its economy soon,it will be in a lot of trouble the buildings there cannot be sustained by the tiny population and its yearly takings from oil is too little to support a $80bln dollar debt load it is just simply unsustainable |
Re: Dubai In Serious Financial Crisis by thameamead(f): 2:12pm On Nov 26, 2009 |
i was in dubai 2 yrs ago and i bumped into these guys well dressed men in a shopping mall trying to talk me into buying a property, why would i want to buy over priced-properties. i knew there was going to be crash at some point, would you all believe half of the luxury and over- priced properties are now selling for half the original price, its a nice place to go on holiday, i ate in a nigerian restaurant and bumped into nigerians babes working as a prostitute. an ibo guy owns a 3 star in dubai but did not have time to visist his hotel. i hate the way they treat immigrants who work in the building and construction trade, d indians, pakistani's and sudanese, they build million pound houses and live in scanty towns, GOD y is their to many injustice in dis world. |
Re: Dubai In Serious Financial Crisis by citizenY(m): 2:17pm On Nov 26, 2009 |
Is this where Soludo is taking Anambra to? He should come up with another joker. |
Re: Dubai In Serious Financial Crisis by redsun(m): 10:12pm On Nov 26, 2009 |
SEFAGO: You must be joking,you must be out of sight of what is going on.You think anything is going to change in the west?it is going to get worst,people will have learn to curtail their excesses and live minimal.The time of psychoanalytic economy is gone,this is the time of realistic economy,where people will have to learn to be content with necessities not being fooled into wanting what they don't need just to make the rich richer and leave the consumers in an unending vicious circle of debt and agony at the expense of the depleting natural resources.We don't need to be taught these things,it is instinctive,it is glaring.It is a road to nowhere. The only glaring change will be in the developing world,where people will begin to meet up their basic needs through basic industrial and agricultural developments. |
Re: Dubai In Serious Financial Crisis by Fhemmmy: 10:15pm On Nov 26, 2009 |
Dubai will be aiight. |
Re: Dubai In Serious Financial Crisis by MrCrackles(m): 10:15pm On Nov 26, 2009 |
Dubai is a mess i swear. . . The company i work for recently announced we had to write off about 50million pounds worth of debt owed for services delivered by our Dubai offices! Public sector services, highways and utilities mainly There has also been staff redundancies in our offices outhere as a result. . . It is real crazy! |
Re: Dubai In Serious Financial Crisis by Fhemmmy: 10:17pm On Nov 26, 2009 |
MrCrackles: It is crazy and all that, but they will be back and stronger. That region will come together to make sure Dubai never fall |
Re: Dubai In Serious Financial Crisis by Fhemmmy: 10:18pm On Nov 26, 2009 |
They shd be happy that "sanusi" is not there to make more noise to send waves of fear down the spine of people there. |
Re: Dubai In Serious Financial Crisis by back2back(f): 11:13pm On Nov 26, 2009 |
A lesson for Nigeria: Foreign Investor(opportunist) will run away as they already did when Capital Market Collapsed For many expatriate workers in Dubai it was the ultimate symbol of their tax-free wealth: a luxurious car that few could have afforded on the money they earned at home. |
Re: Dubai In Serious Financial Crisis by Nobody: 11:15pm On Nov 26, 2009 |
redsun: i totally agree with you |
Re: Dubai In Serious Financial Crisis by naijatoday: 12:20am On Nov 27, 2009 |
SEFAGO: Not Really true. The UAE central bank based in Abu Dhabi and funded mainly by oil money from Abu Dhabi gave the government of Dubai $10 billion at the beginning of the year. Yesterday 2 banks based in Abu Dhabi, majority owned by the Abu Dhabi government gave the Dubai Government another $5 billion. For all the Nigeria Government shouting Dubai, Dubai, this is what happens when you go and over borrow. Contrary to what people think, Dubai does not have a lot of money it is Abu Dhabi (the smarter one) that has 90% of the countries oil money. At the end of the day Dubai will be fine because Adu Dhabi will never allow it go down because it will affect them too. The cost of insuring Adu Dhabi's debt has already increased becasue of Dubai's action to ask for a debt standstill which you can call a default if bondholders are forced to accept. |
Re: Dubai In Serious Financial Crisis by Nobody: 4:08am On Nov 27, 2009 |
redsun: You really are good at imagining things. was your post above analysis or assumption? World's economy is too wide for just one person to analyze it in the manner you just did and that of course is if you think your post above is an analysis. I pray developing nations rise high above but such sentiments doesn't solve anything. |
Re: Dubai In Serious Financial Crisis by redsun(m): 9:13am On Nov 27, 2009 |
9jaganja: Analysis,sentiments,assumptions are all english words named by english man,i see beyond that.Most of you constantly live in a subjective world but i live in a dynamic world that is constantly on the move,every second is different. |
Re: Dubai In Serious Financial Crisis by paddylo1(m): 9:27am On Nov 27, 2009 |
Is this not the same dubai that SOLUDO said he wanted to emulate? nigeria will swallow 5dubais and still have more demand for hotels,ports and infrastructure therefore,u cannot compare anambra and nigerias situation to dubai so there is no cause for alarm about soludos plans dubais problem is that there is no real local demand for all that capacity they built there a country where more than half the people living there are not from there it means they are not really fully commited and can flee at any time |
Re: Dubai In Serious Financial Crisis by paddylo1(m): 9:28am On Nov 27, 2009 |
A lesson for Nigeria: Foreign Investor(opportunist) will run away as they already did when Capital Market Collapsed @back2back. . .see my comments above ^^^^^ |
Re: Dubai In Serious Financial Crisis by redsun(m): 9:59am On Nov 27, 2009 |
Economy built fictitiously to impress the(foreign) high flyers like that of dubai is bound to fail but the one built on the common man,by the common man is solidified.The people will have to develop their world from the scratch,one step at a time,from the basics to the ostentatious. The development of the mind is the key to a stable economy and social wellbeing. |
Re: Dubai In Serious Financial Crisis by Jaybee2412(m): 10:15am On Nov 27, 2009 |
Our own Abuja will be better than Dubai in ten years, trust me. https://www.nairaland.com/nigeria/topic-356775.0.html |
Re: Dubai In Serious Financial Crisis by EmiGhana: 7:47pm On Nov 27, 2009 |
Greetings 2 al ma follow G-MEN. Bros, u wan face 2 face 4 AUSTRALIA, AUSTRIA, ARGENTINA, CANADA, BELGIUM, ECUADOR, NEW ZEALAND, NEW YORK, MEXICO, INDIA, TURKEY, UKRAINE N RUSSIA or 2 give loan to ur maga or any other contact 4 USA/LONDON wire me email now or add me [gntlmature@yahoo.com], mak we share doo. 1mind n 1Luv! |
Re: Dubai In Serious Financial Crisis by Nobody: 7:49pm On Nov 27, 2009 |
redsun: So your Dynamic, constantly, subjective are not English words names by English. You are on your own oooo go ahead!!! |
Re: Dubai In Serious Financial Crisis by MrCrackles(m): 7:50pm On Nov 27, 2009 |
Emi-Ghana:Bastard off you stupid thief! |
Re: Dubai In Serious Financial Crisis by Fhemmmy: 8:47pm On Nov 27, 2009 |
I think i downplay the effect of this problem on the world economy forgeting that most big banks in the world invested into the real estate boom in Dubai, so i am hoping that something will happen and change soon oh |
Re: Dubai In Serious Financial Crisis by haduwa(f): 10:36pm On Nov 27, 2009 |
Its all media, i live and work in dubai and i have been in the middle east for quite sometime now, yes qatar is about the best in the middle east for now, but the news about dubai in crisis is more of media, the recession really hit alot of people and there was lots of job losses but now things are really picking up, maybe not so fast but they are, by Dec 2009 (couple of days) banks would start issuing loans again, yea maybe of abit stiffer levels like more of the middle class income earner unlike before where anybdy and anyone can get a ln, and speculations are by March 2010 things would pick up much better, Am not saying Dubai isnt in debts dnt get me wrong, but what ay saying is that the worst is kinda over now, so its on its was to slow recovery, About people abadoning their cars and all that, that was late last year and ealry this year, for now not one single car has been found in the airport been abadoned, |
Re: Dubai In Serious Financial Crisis by haduwa(f): 10:45pm On Nov 27, 2009 |
HERE IS A LIL BIT OF INFO I GOT FROM THE INTERNET FEW MINS AGO, "Still, the crisis in Dubai pointed to the vulnerability of the global economy despite signs of recovery. Last year's credit debacle left major banks with billions in losses, forcing them to reduce lending to consumers and businesses. Access to credit has improved in recent months, but analysts said Dubai's woes could make some banks more cautious. That could further squeeze lending and weaken the recovery after the deepest recession in decades." |
Re: Dubai In Serious Financial Crisis by davidif: 2:55am On Nov 28, 2009 |
[size=28pt]HA HA HA HA FASHOLA SHOULD LEARN FROM THIS. BUILDING SKYSCRAPERS IS NOT DEVELOPMENT, ITS JUST A MIRAGE. [/size] |
Tel Aviv Holds One Of Largest Gay Pride Parades In The World / Dumb Mitt Romney Quotes (funny) / #10yearschallage: See Syria Before And After
(Go Up)
Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health religion celebs tv-movies music-radio literature webmasters programming techmarket Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 60 |