Global markets are in panic mode on concerns about Dubai's debt rescheduling. The Government of Dubai confirmed that DP World and its debt are not included in the restructuring process for Dubai World announced earlier today.
Dubai panic
-Dubai World with USD 60 billion liabilities will seek a six-month "standstill" on its debts with all lenders.
-Dubai accumulated USD 80 billion of debt by expanding in banking, real estate and transportation.
-Dubai's sovereign CDS surged 111bps to 429bps.
-S&P had placed the ratings of four Dubai-based banks on negative outlook due to their exposure to Dubai World.
-Dubai markets were closed yesterday, which will reopen on Monday.
Source: MoneyControl.com
