Dubai has achieved yet another economic milestone that proves the emirate’s solid fundamentals when the global economy is in turmoil.
Dubai , Dubai
02 July 2020, 12:00 AM
31 July 2020, 12:00 AM
Dubai World made the final payment of $8.2 billion to creditors on Tuesday, completing a debt restructuring that had weighed on the emirate since the 2008 financial crisis, which forced the company to restructure $23.5 billion.
The more significant is that the debt has been paid two years ahead of schedule; unquestionably remarkable at a time when the global economy has already plunged into steep recession because of the coronavirus pandemic.
Dubai World has repaid $18.9 billion to creditors since 2011. The final payment was due in September 2022.
“The full repayment represents an important milestone for both Dubai World and for Dubai,” Dubai World Chairman Sheikh Ahmed Bin Saeed Al Maktoum commented on Tuesday.
The significant news coincided with the release of the latest economic data the Dubai Statistics Centre. Due to the COVID-19 outbreak, which shut almost all sectors of the economy for a good part of the first quarter of 2020, Dubai’s GDP has recorded a meagre 3.5 percent dip, compared to the sharper declines registered by most world’s major economies.