Dubai unveils fund to distribute $20 bln bond

Dubai unveiled a new fund on Wednesday to manage proceeds from its $20 billion government bond programme, aimed at supporting the emirate's economic growth plans.

The fund will provide loans on a commercial basis to government and government-related entities "deemed to be of strategic and development importance to the Emirate of Dubai", it said in a statement.

Dubai, which has been hit hard by the global crisis, launched the $20 billion sovereign bond programme last February to help state-linked firms. The first $10 billion tranche was sold to the UAE central bank.