TAXPAYER'S BAILOUT $$ WENT TO DUBAI VIA CITIBANK IN MARCH, 2009

US outrage over Citi loan to Dubai

Wednesday 11 Mar, 2009

The US public will be “outraged” by Citibank’s $8 billion loan to Dubai just six weeks after the bank was bailed out, US House of Representatives domestic policy subcommittee chair-man has said. Dennis Kucinich commented on the Dubai loan and other US banking investments as a congressional panel released a report that strongly questioned Citibank’s actions. The report, shown to 7DAYS, cites the Dubai loan as the largest of the “questionable transactions” by banks after the US government bailed them out. It notes that the loan to Dubai’s public sector came on December 14, just six weeks after the US government gave Citibank a $25 billion bail-out.

The report quotes Win Bischoof, then chairman of Citi, as saying the bank agreed to the Dubai loan because “we continue to place the Gulf region among our globally most significant markets”. The report also questions JP Morgan’s $1 billion investment in India and Bank of America’s $7 billion investment in China. “When the American people find that their tax dollars, which were supposed to be used to get us out of this financial crisis, are instead being used to ship jobs and investments overseas, there will be outrage,” Kucinich said. The report notes the loans were not illegal and that it is not known if they were directly funded by bail-out funds. A Citibank official was quoted at the time as saying the $8 billion came from the bank’s own funds and third party sources. The report was released as the committee prepares to question banking chiefs about their use of bail-out funds.

Source:
http://www.7days.ae/storydetails.php?id=75035&title=US+outrage+over+Citi+loan


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The collapse of the Dubai economy continues

FinancialAdvice.co.uk

November 27, 2009 - While it may only have started a couple of days ago, the situation in Dubai is worse than ever with the ruling family now looking at selling a number of prized assets to try and pay down the rumoured $80 billion in debt which is dragging the economy down. What started as a request for a suspension of debt repayments has quickly developed into the possible default by a government in what is one of the investment hot spots of the world.

While the $80 billion at stake is a significant amount of money it is more the confidence factor which is starting to weigh down on worldwide stock markets which were initially down again today for the second day running. Investors, credit rating agencies and other financial related groups are now looking more closely at the finances and the trading of an array of companies around the world. If this can happen to one of the richest families in the world, are there any other countries around the world which are at risk?

Even though Dubai is slightly different from most developed countries, it is the significant amount of money which has been ploughed into the economy by the ruling family and overseas investors which is causing concern. Is this the start of a domino effect which could bring in to play an array of different governments and countries around the world?

Source:

http://financialadvice.co.uk/news/12/ukeconomy/12879/The-collapse-of-the-Dubai-economy-continues.html

Independent.co.uk | The collapse of an economy that was built on sand - The spectre of default in Dubai has serious implications for us all

Friday, 27 November 2009

In the years of the boom, Dubai set about building with an ambition that would have made even Ozymandias blush. Artificial islands full of luxury villas, the world's tallest tower, an underwater hotel, even a stone-by-stone recreation of the French city of Lyon – no project was too extravagant, some would say vulgar, for the construction magnates of the emirate.

But this was a project built on the shifting sands of credit. Foreign capital poured into Dubai as its ruler, Sheikh Mohammed Bin Rashid Al Maktoum, set about turning his nation into the financial, tourist and sporting hub of the Gulf. In less than a decade, Dubai managed to accumulate foreign liabilities of $80bn. Some estimates put it still higher. Full Article

Source:

http://www.independent.co.uk/opinion/leading-articles/leading-article-the-collapse-of-an-economy-that-was-built-on-sand-1828409.html

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InfoWars.com | Dubai Balks at Debt Payment, Rattles Global Markets

Telegraph
November 26, 2009

Stock markets in Germany, France, Spain and Italy were all down about 2pc in early afternoon trading as investors retreated from riskier assets. Investors spent the morning digesting the news that Dubai World, the government investment company with $59bn of liabilities, is seeking to delay repayment on much of its debt. Price for European government bonds rose as investors moved money into safer assets.

“Dubai isn’t doing risk appetite any favours at all and the markets remain in a vulnerable state of mind,” Russell Jones, head of fixed-income and currency research at RBC Capital Markets, told Bloomberg. “We’re still in an environment where we’re vulnerable to financial shocks of any sort and this is one of those.”

The credit default swaps, instruments investors use to protect themselves against a borrower defaulting, linked to Dubai’s debt jumped more than 100 basis points to 571. Fears over Dubai’s finances rippled out to a host of other emerging-market assets, including Russia’s Micex stock index and Vietnam’s currency

Read entire article

Source:

http://www.infowars.com/dubai-balks-at-debt-payment-rattles-global-markets/

Bloomberg.com | Dubai World to Delay Debt, Owes $59 Billion; Default Swaps Soar

Nov. 25 (Bloomberg) -- Dubai World, with $59 billion of liabilities, will seek to delay debt payments, sending contracts to protect the emirate against default surging by the most since they began trading in January.

The state-controlled company will ask all creditors for a “standstill” agreement as it negotiates to extend maturities, including $3.52 billion of Islamic bonds due on Dec. 14 from its property unit Nakheel PJSC, the builder of palm tree-shaped islands, Dubai’s Department of Finance said in an e-mailed statement. Moody’s Investors Service said it would consider the plan a default should bondholders be forced to accept the terms...FULL ARTICLE

Source: http://www.bloomberg.com/apps/news?pid=20601087&sid=aGfMX1gn3CEk&pos=1

GreenBeat | Click here to find out more! Dubai’s Technosphere to simulate future climates

November 2, 2009 - Having mastered indoor ski slopes and mass desalination, Dubai just unveiled its massive Technosphere, a biological bubble oddly similar to Disney’s Epcot Center (or the Death Star), meant to simulate future climates and test sustainable technology.

Powered by the sun and carbon neutral, the sphere is similar to Biosphere 2 in representing the world’s various natural habitats. Except (unsurprisingly), it has a commercial bent — including room for office buildings, a hotel, and even full time residences. Dubai may be out of money, but it hasn’t scaled its ambitions.

In addition to observing how environments respond to climate change, the Technosphere may also be used to prove the feasibility of recreations of earth in space, with water recycling and air-purifying (or “self-breathing”) gardens highlighted as major components. It’s also supposed to draw in significant tourist dollars.

The building is anticipated to be the crown jewel of Dubai’s much-hyped Technopark. Building it in a desert community will really put artificial constructions of nature to the test, says contracted architect James Law, of James Law Cybertecture International.

The Technopark, currently under construction, is designed to jumpstart commercial technology design in Dubai. Covering about eight square miles, it’s expected to attract lucrative foreign investment and major corporations to the region.

Wall Street Journal | Dubai Considers Raising $6.5 Billion of Bonds

DUBAI -October 25, 2009 - Dubai's highly indebted government is considering raising $6.5 billion of conventional and Islamic bonds, according to preliminary prospectus documents reviewed by Zawya Dow Jones.....

Interactive Investor | Dubai Islamic Bank Q3 profit falls 31%

DUBAI, Oct 24 (Reuters) - Dubai Islamic Bank's (DIB) third-quarter net profit fell 30.9 percent to 296.75 million dirhams ($80.78 million) compared to a year earlier......

FTD.de | Dubai World strains to grapple with $80bn debt - Restructuring the Arab state's government-linked loans remains a top priority

Dubai World, the state owner of troubled developer Nakheel, is trying to persuade bank creditors to restructure up to $12bn of its loans, an indication that the emirate is starting to grapple with the challenge of unravelling its $80bn-plus debt pile....

Maktoob.com | Dubai merges all state-owned media

Dubai government-owned companies are under pressure to restructure as the emirate struggles to revive an economy that's been hit hard by the global financial crisis.

Wall Street Journal | Dubai has insufficient capital to prop up its struggling government related companies needs to raise another $10 billion

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Maktoob Business

By Rajiv Sekhri DUBAI - The most likely buyers for Dubai's second $10 billion bond will be the UAE's central bank again or the government of Abu Dhabi as ...

BritainNews.net | Dubai media boosted by Bloomberg expansion

Saturday 3rd October, 2009 - Dubai's status as a regional hub for media was boosted this week NY news from Bloomberg that it would establish its Middle East and African headquarters in the city.

Bloomberg Chairman and President of Peter T. Grauer visited the emirate this week and met with the ruler of Dubai, and UAE Vice President, Shaikh Mohammad Bin Rashid Al Maktoum for talks on the company's expansion.

Grauer said the Bloomberg operations in Dubai would focus on India in addition to the Gulf, Middle East, and Africa.

The news network's head said he spends about 30% of his time touring the world and speaking with governments and customers. Dubai's Financial Centre is a major user of Bloomberg's markets and financial news and information.

DUBAI, United Arab Emirates (AP) — World's tallest tower moves closer to completion

(AP) – October 1, 2009 - 56 minutes ago

DUBAI, United Arab Emirates — The developer building the world's tallest skyscraper in Dubai says cladding work on the shiny silver-colored tower's outside is complete.

Completion of the aluminum and glass facade marks a key milestone for Emaar Properties, which is racing to meet a self-imposed deadline to have the Burj Dubai complete by the end of the year.

By way of comparison, the builder says the amount of aluminum used on the building's face weighs as much as five double-decker Airbus A380 jetliners, while the more than 1 million square feet (103,000 square meters) of glass panels could cover 14 soccer fields.

The Burj Dubai, Arabic for "Dubai Tower," stands more than 2,600 feet (800 meters) tall, though Emaar has yet to confirm is final height.

Related:

http://www.xpress4me.com/news/uae/dubai/20015110.html

Reuters | Rothschild in the past year has doubled the number bankers working from Dubai to around 20, a strategy that is paying off

AMEinfo.com | Dubai set to become world's fourth biggest aviation hub

United Arab Emirates: September 27, 2009 - As per the latest projections by Airbus, Dubai is expected to become the world's fourth biggest aviation hub after Hong Kong, London Heathrow and Beijing. According to the Airports Council International (ACI), Dubai has already become the world's sixth biggest aviation hub, overtaking Singapore's Changi last year. Combined aircraft orders by UAE-based carriers have already crossed the 400 mark with a book value exceeding $128bn including $72bn placed by Emirates and $43bn announced by Etihad in recent years. UAE authorities are pumping in about $20bn to expand aviation infrastructure. (Mac Capital Advisors)

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AMEinfo.com | Services begin into Gulf Air's second destination in Iraq, Najaf

The arrival of the maiden flight into the Holy City of Najaf takes the number of cities Gulf Air flies to in Iraq to two and the airline's total route network to 44 destinations in 29 countries.

The packed Gulf Air flight, operated by an Airbus 320 aircraft, carried a delegation of senior officials from Gulf Air as well as government, business, religious, diplomatic and media representatives and a number of guests.

FULL STORY

Zawya.com | New US Consul General to Dubai explored the forthcoming cooperation roads & infrastructure projects in Dubai

The meeting discussed ways and means of cementing the existing cooperation and exchanging expertise between the Roads and Transport Authority and the American companies specialize in rail, roads & transport industry. They also explored the forthcoming cooperation roads & infrastructure projects in Dubai, particularly given the rising numbers of American companies currently undertaking roads and mass transit projects in Dubai....

Huffington Post | Unconventional Wisdom on Dubai

Most progressives view the Dubai Ports World uproar as one of the only times the Bush administration bent to the will of the people, backing down from allowing the Emirate-owned business to take over management of several major ports along the U.S. eastern seaboard

Read more at: http://www.huffingtonpost.com/jennifer-nix/unconventional-wisdom-on_b_288635.html

...

Cave Editor's Note: Where is the thank you to Michael Savage for his efforts to stop this US port take-over? Where is the support for his being banned from Britain along with murderers? Where is the support for FREE SPEECH? Even if you don't agree with him, agree with the fact he has the right to free speech ... and support it before we totally lose it here in the United States!

Dubai World sues French man who made luxury subs

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Zawya.com | Dubai in bilateral gold rush with China

Dubai Multi Commodities Centre's (DMCC) gold trade through Dubai topped $14.69 billion in the first half of 2009, a 12% increase on 2008. ...

ScienceStage.com | - Dubai and moscow Wind powered dynamic skyscraper..Amazing architecture

TheWashingtonNote.com | Guest Post by Jim Krane: Dubai, Not Obama, is the Mideast's Best Peace Hope

Tuesday, Sep 01 2009, 3:11PM

This is a guest note by Jim Krane, a former AP Persian Gulf correspondent. His new book on Dubai, City of Gold: Dubai and the Dream of Capitalism, is available here.

As Americans, Israelis and Palestinians continue their endless peace-jockeying, a more hopeful solution has emerged. It is a fresh Arab initiative that depends neither on America nor Israel.

It is Dubai.

Dubai, you must know, is the flashy Gulf city-state that is one of the seven United Arab Emirates. In my book, I argue that Dubaians, descended from illiterate Bedouin who faced starvation in the 1940s, have authored the most exciting Arab accomplishment in 700 years.

Read more.......