May 21, 2010

Hey, Dubai, how's that shariah compliant finance going? Dubai World restructures $23.5 billion in debt

The shell game that is shariah compliant finance is coming to an end, "Dubai World reaches $23.5b debt deal with banks":

Government-owned conglomerate Dubai World said on Thursday “headline economic terms” have been agreed in principle with its financial creditors on the restructuring of $23.5 billion of liabilities.

The agreement was reached between the Coordinating Committee (CoCom) representing 60 per cent of Dubai World’s creditors and the Government of Dubai.

Since Dubai World presented its restructuring proposal on March 24, the company has refined the proposal to “modestly enhance” one component of the repayment package, it said in a statement.

Dubai World is the group that tried to take over six US ports in 2006 and is the developer of the Palm Islands project.

By Barbarossa at 02:36 PM | Comments |