Dubai and its state owned companies carry at least $129.3bn of debt, of which $50.2bn is owed by Dubai World, the company that completed a loan restructuring in September, Credit Suisse Group said.
The second largest debt, $28.9bn, is owed by the government itself, the bank said in a research report emailed on Thursday. Investment Corporation of Dubai and Dubai Holding, two other holding companies, as well as other government related firms, account for the remaining $50.2bn, it said.
The number “comprises publicly disclosed debt of $111.1bn and debt on which disclosure is limited,” London-based analysts Mohamad Hawa and Anton Rozanov said in the research report. “The debt burden could be much higher than our final numbers owing to the lack of full disclosure.”
Dubai, the second biggest of the seven states in the UAE, had to seek a bailout from neighbouring Abu Dhabi after the global financial crisis pushed property prices down by more than half, and frozen credit markets forced some state owned companies to delay loan payments. Dubai World agreed with creditors in October to restructure $24.9bn of debt.
The emirate and its state owned companies have $17.5bn of debt falling due this year, $17bn in 2012, $9.7bn in 2013 and $26bn in 2014, according to the report. Another $12.8bn matures in 2015.
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