Tue 16 Mar 2010
Unity among Emirates
Posted by Dill under Business, economy
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Some good financial analysis on the shifting economic power arrangements of the UAE since the devastating crash of last year:
Abu Dhabi has pumped $15 billion into Dubai since last year, providing proof of the strength of the federation but also evidence of a power shift within the union. The Dubai Financial Market may have lost 25% of its value since November and Dubai World has yet to agree to a deal with banks on its remaining $22 billion debt pile, but the principles of the union have passed a stern test. However, the outcome is likely to be that Abu Dhabi takes a more dominant role in the U.A.E. while Dubai takes a back seat. While Dubai has sold assets overseas to help pay its bills, Abu Dhabi has continued to invest by building stakes in household names like Daimler and Barclays.
http://online.wsj.com/article/SB10001424052748703862704575099750771561886.html?mod=WSJ_latestheadlines
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