Dubai delays $4bn notes issue over credit crunch
Dubai, January 10, 2009
Dubai, the Gulf's trade hub, has suspended a tranche of a Dh15 billion ($4.08 billion) notes programme intended to fund development projects due to the credit crisis, a senior policy-maker said on Saturday.
While the first Dh6.5 billion tranche of the medium-term-note (MTN) programme has been issued, a second tranche had been put on hold, said Nasser Al-Sheikh, director-general of Dubai's finance department.
'We chose to suspend the second tranche because of market conditions,' Sheikh said, adding that the programme would resume once the situation improves.
Dubai, one of seven members of the United Arab Emirates federation, launched in April the 5-year notes to fund infrastructure projects.-Reuters