Tamweel cuts 57 jobs in restructuring move

Dubai’s second largest Islamic mortgage lender Tamweel said on Thursday it would cut 57 jobs as it restructures its business in the wake of the international financial turmoil.

In a statement on the city’s stock exchange, the Dubai Financial Market, the company said: “Tamweel has recently undertaken a review of its business plans and organisation structure, to enable the company to be in a stronger position to meet its objectives in the challenging environment that financial institutions face at present.”

"As part of this reorganisation process, it has unfortunately become necessary to make a reduction of 57 staff from the company's current employee numbers - this step is under implementation along with other initiatives,” the statement added.

In November a tie-up was announced between the troubled lender and the largest mortgage provider in the country, Amlak.

The merger, where the two lenders will become part of a new company, Emirates Development Bank, is due to be completed early this year. The Dubai government will be a major shareholder.

Trading in Amlak and Tamweel shares have been suspended since the announcement of the merger November.