Monday, December 7, 2009

Dubai Stock Keep Tumbling

By Eric Gursky

TEL AVIV (MarketWatch) -- Shares traded in Dubai fell sharply on Monday, led by a 10% drop in shares of Emaar, the property developer behind Burj Dubai, the world's tallest tower, which is scheduled to open next month.

The DFM index, the benchmark for the Dubai Financial Market, closed 5.84% lower at 1,744.83.

Markets in the Arab states have been roiled in the past two weeks since Dubai World, the emirate-controlled conglomerate, said it was seeking a six-month standstill on payments under $60 billion of debt. The company is currently trying to restructure $26 billion of debt.

On Monday, Reuters reported that Dubai's finance chief told Al Jazeera television that Dubai World might sell some of its foreign assets to meet its obligations, but that the Dubai government won't sell any assets for that purpose.

Abdulrahman al-Saleh told the station that Dubai World has investments and real estate abroad as well as local assets available for sale to raise funds to cover its debt, Reuters reported. But he reiterated that the government does not guarantee Dubai World's debt, the news service reported.

Click Here to Read More

No comments:

Post a Comment