Dubai World And Nakheel To Receive $9.2 Billion From The Dubai Government

Source:  www.softsailor.com

Dubai World has a big dept currently standing at $23.5 billion and the Dubai government is looking for a quick resolution to this big problem. The latter has now allocated $8 billion to Nakheel, the company owned by theDubai World conglomerate and the constructor of palm tree islands off Duabi’s coast.

If it weren’t for the Dubai Government , then Nakheel would have been in deeper trouble. Thanks to the $8 billion cash Nakheel will gather a total of $9.2 billion, an amount which allow the company to continue its work by paying the constructors.

The money will be allocated via the Dubai Financial Support Fund and the initial amount stands at $1.5 billion so that some projects would be completed in the near future. Of course we’re talking about almost completed projects. This is just the first step in clearing the debt asDubai World as well as the Dubai government are looking to renegotiate the debt with the conglomerate’s creditors. It won’t be an easy task as the debt is huge, but they’re not hurrying in any decisions as they have to approach the problems with calm.

Nakheel JPSC is well-known for building the Palm Islands, Dubai Waterfront, The World Islands, The Golden Mile, Discovery Gardens, The Universe Islands, Lost City, Jumeirah Islands, Jumeirah Heights, and the Nakheel International Hotel and Tower among others.