The UAE Government has announced a $20 billion bond program to fund a number of its financial commitments. The bond is an unsecured fixed rate paper yielding 4% per annum with a five-year maturity. The first tranche of $10 billion of the issue was entirely subscribed by the UAE central bank. Many think that this step gives a smooth breeze on the economic development of the country.

In a statement UAE administration said “This issuance will provide Dubai Government with the necessary liquidity to substitute the liquidity that has dried up globally in the last 12 months and accordingly meet all upcoming financial obligations. This program will secure the necessary funding for Dubai to meet its financial obligations and continue its development program.”

Be Sociable, Share!

•