Friday 27 November 2009

Abu Dhabi ascendant as debt spoils Dubai's "model"

Dubai's debt troubles have exposed the fallacy of its once much-vaunted "model" of raising shining cities in the desert with foreign residents, finance and labor.

They have also set in train a power shift toward Abu Dhabi.

On Wednesday, Dubai's government said it will ask creditors of two of its flagship firms, Dubai World and property group Nakheel, for a debt standstill as it restructures the Dubai World group.

4 comments:

  1. Hi Rupert,

    I will be leaving to Abu Dhabi for long term IT project of Abu Dhabi Goverment. I am not sure whether the opportunity coming to me will still hold good or not. Please highlight on that aspect.

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  2. I have no doubt that your contract will be executed.

    What makes you think otherwise?

    Abu Dhabi is a rock solid city.

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  3. Well I guess the recession is still not over yet. I think more problem will start to surface

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  4. Just my speculation that Abu Dhabi Govt may put their long term Projects on hold to save Dubai from crisis. But, upto what extent it will have an impact.
    Another reason was because lenders in Abu Dhabi also holds billions of dollars of Dubai World debt.

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