But the recent reports from Dubai about their financial stability have made many people anxious. The Asian share market has dipped drastically when the first report from Dubai has reached the external world about the debt of one of the prominent governmental companies in Dubai. The Dubai World. The announcement of the Dubai government is also not positive for the investors of the Dubai World. This paper summarizes the reports from Dubai about the current financial crisis based on the article “The Global Consequences of Dubai’s Debt Problems” published on The Economist on Nov 30th, 2009.
Last week, the Dubai government has announced that it would delay repayment of the debts of Dubai World, a vast government-owned conglomerate, which put the investors in anxiety, not only in Dubai but even in other Asian countries as well (The Global Consequences of Dubai’s Debt Problems). Apart from the Dubai World, Nakheel Properties, Limitless World like companies also under severe financial crisis as per the reports from Dubai. Dubai World, the billion-dollar company is one of the biggest organizations in the world. Nakheel properties named the Palm Island in Dubai, DP World, Economic Zones World, Dubai Maritime City, Dry docks World, Limitless LLC, etc are some of the business groups under Dubai World. It has undertaken many projects not only in Dubai but in India like Asian countries as well. They have recently constructed some of the biggest skyscrapers in the world, in Dubai. Moreover, they have undertaken many projects in Asian countries. In India, they are at present developing a harbor and a container terminal along with many other projects. Standard Charted, HSBC, National Bank of Dubai (NBD), Abu Dhabi Commercial Bank, Lloyds and Royal Bank of Scotland, etc are some of the financial institutions which have provided financial support to the Dubai companies under financial crisis at .present.