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Abu Dhabi Delivers the Funds: What Next?

Just before local markets opened on Monday,  the government of Dubai announced a loan from Abu Dhabi of US$10 billion, more than enough to pay off the immediate debts of Nakheel, a state-owned property developer, and to provide other funds to settle bills with contractors. This announcement and provision of funds responds to the uncertainty that developed after state-owned Dubai World asked creditors for a standstill on November 25. Although the debt in question was not sovereign and the property development company[...]

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