- Support comes through Dubai Financial Support Fund
- Support ensures that Dubai World and Nakheel key contributors to economic future of Dubai, UAE
- Funding includes $5.7 bln remaining from previous loan made by government of Abu Dhabi, internal Dubai resources
- Govt offering to recapitalise Dubai World through the equitisation of the government’s $8.9 bln claim and a commitment to fund up to $1.5 bln in new funds
- Trade creditors will be offered a significant cash payment shortly and a tradable security
- Government to recapitalise Nakheel
- Government offering to inject approxiametely $8 bln in new funds to Nakheel. Nakheel 2010, 2011 sukuk to be paid in full as they fall due. Payout depends on getting sufficient support for proposal.
- Restructuring process is expected to take several months to implement
- After restructuring no more money for Dubai World in the future
- Nakheel projects will have “new direction” with phased implementation