Interesting article to revisit from late last year that has nothing to do with the UAE but makes one contemplate the mess created by the financial crisis here.
Dizard offers clues on what more to expect in 2009.
Extract:
“I suspect the next tsunami will come in the second quarter of next year (2009), which is when the private equity financed companies will feel the worst effects. Many of those companies bought insurance [against economic stress] with cov-lite loans [which do not impose strict financial ratio controls]. Even so, those loans had relatively short maturities, and nobody can refinance on those terms.”
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