Dubai government repays $500mln bond certificates

Upon maturity, all the notes have been redeemed in full by making the required payment through the paying agent to the holders of the notes, along with accrued interest

  
High-rise buildings along Sheikh Zayed Road at sunrise. Image used for illustrative purpose.

High-rise buildings along Sheikh Zayed Road at sunrise. Image used for illustrative purpose.

Getty Images

The government of Dubai has repaid its $500 million Euro bond maturing on 22 June 2021.

Upon maturity, all the notes have been redeemed in full by making the required payment through the paying agent to the holders of the notes, along with accrued interest, the government media office said on Twitter.

"The Government of Dubai’s ability to fulfill its financial obligations reflects its deep fiscal stability amidst the circumstances imposed by the current global crisis. The government's solvency has allowed it to fulfill its past and current obligations and will continue to enable it to meet all future obligations on time," Abdulrahman Saleh Al Saleh, Director General of Department of Finance was quoted as saying.

"We have been successful in overcoming the most challenging repercussions of the global pandemic, and have now entered a solid phase of recovery, thanks to the measures taken by the government to ensure rational prioritised spending, under the directives of our leadership," he said.

The UAE’s financial system is stable and economic data points to a post-pandemic recovery. However, banks should support the recovery by ensuring flow of credit to the economy, UAE Central Bank Governor Khaled Mohamed Balama said on Tuesday during a meeting with bankers. 

(Reporting by Seban Scaria ; editing by Daniel Luiz)

 seban.scaria@refinitiv.com

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