Dubai World in talks to extend term of $10.5bn loan - FT.com

Dubai World in talks to extend term of $10.5bn loan - FT.com:



"Dubai World is in talks with creditors to extend a $10.5bn debt maturity due in 2018, sparking divided reactions among lenders over whether to take such a deal when the emirate’s economy has recovered so strongly.



The government conglomerate was at the heart of Dubai’s debt crisis in 2009, agreeing a restructuring of $25bn of loans in 2010. Last week, it proposed an early repayment on the $4.1bn maturity due in September 2015 if creditors agreed to extend the 2018 maturity to 2022, people aware of the matter say.



Despite the Dubai stock market’s steep correction over the past few weeks, the underlying economy has rebounded on strong trade and tourism flows thanks to the emirate’s haven status."



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