Dubai

Dubai World 2010 to China Evergrande Group 2021; Looking Beyond Leverage

From a bird’s eye view, the Evergrande debt crisis of 2021 and the Dubai world real estate crisis of 2010 would seem very close. In both the debacles, the supply outstripped the demand and leverage, being the double-edged sword, hampered the company finances with timely contractual obligations due in a period marked with high volatility and liquidity crunch. Evergrande group has debt worth USD 88.8 billion in 2021 relative to Dubai World’s debt of roughly USD 59 billion in 2010....

سوق دبي المالي: هل هذا مجرد تصحيح آخر؟

For over two decades, Dubai has prospered as one of the fastest developing international cities, attracting people and capital from all across the globe. In 2009, Dubai needed a $20 billion bailout from oil-rich Abu Dhabi to escape a debt crisis caused by collapsing property prices. Dubai’s economy roared back and has grown by a third since then, buoyed by foreign trade, tourism and its status as the main regional hub for business services. Now, however, Dubai has hit another...