Tuesday, Sep 18, 2012
(This story was originally published Monday.)
DUBAI (Zawya Dow Jones)--Issuing bonds is one of several options that the Dubai government is considering to ensure it settles 6.5 billion U.A.E. dirhams ($1.77 billion) of sovereign debt that falls due in April next year, a senior Dubai official said on Monday.
The Government of Dubai's department of finance issued in 2008 a two-tranche bond worth AED6.5 billion U.A.E. dirhams ($1.77 billion), which is due to mature on April 23, 2013.
"It is too early to take a decision on the matter as it depends on Dubai's national budget and other obligations," Abdulrahman Al Saleh, director general at the emirate's department of finance, told Zawya Dow Jones via telephone. "All options are set on the table and issuing bonds is one of those options. We may issue bonds if needed."
Dubai last issued conventional bonds in June 2011. It sold $1.25 billion worth of sukuk in April.
An improving economy has helped a number of Dubai government-related entities wade through some chunky debt repayments this year. Trade and tourism, two pillars of Dubai's economy, have enjoyed a rebound over the past year partly because of the U.A.E.'s stability amid Arab Spring unrest elsewhere in the region.
Write to Leila Hatoum at leila.hatoum@dowjones.com
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(END) Dow Jones Newswires
18-09-12 0345GMT
