Dubai five-year credit default swaps have jumped to almost 470 basis points on Thursday, a jump of 30 bps on the previous session's close, CDS monitor CMA Datavision said.

The cost of insuring the emirate's debt has been surging after the government said on Wednesday it was seeking to restructure the debt of state-owned conglomerate Dubai World and its real estate subsidiary Nakheel.

Some traders in Dubai and London said the five year CDS was being quoted as high as 500-550 bps. This means it would cost around $500,000 a year to insure $10 million of the emirate's debt.

CMA said Qatari 5-year CDS had also widened around 10 bps to 114.8 bps though Abu Dhabi CDS which surged on Wednesday was stable around 134.5 bps.

Bahrain's five-year credit default swaps jumped 37 basis points to 231.5 bps on Thursday as regional sovereigns suffered the fallout from Dubai's move to restructure the debt of a major conglomerate, CMA said.-Reuters