As predicted (read: guessed http://grandemotte.wordpress.com/2009/11/30/174/) Abu Dhabi has bailed out Dubai to the sum of US$10bn. It’s not clear what political concessions they have insisted upon.
http://news.bbc.co.uk/2/hi/business/8411215.stm
Dubai’s government has announced it has been given a $10bn (£6.13bn) handout from United Arab Emirates neighbour Abu Dhabi to help it pay off its debts. It will use $4.1bn (£2.5bn) of the money to bail out the government-owned investment company Dubai World. The company’s property development operation Nakheel needed the money to pay investors in an Islamic bond which was due to mature on Monday. News of the payment boosted share markets in the United Arab Emirates. Dubai’s main share index was 10% higher, while Abu Dhabi’s rose more than 7%.
