Money World economy
Dubai World says it will restructure part of the group, including property arm Nakheel.
A recent announcement by the company that it wants to freeze debt repayments for at least six months has sent shockwaves through world economic markets.
"Following a detailed review of the Group's liquidity and capital structure, Dubai World has concluded that it should immediately consider alternatives in respect of the debt obligations of certain entities within the Group," it said.
"The proposed restructuring process will only relate to Dubai World and certain of its subsidiaries including; Nakheel World and Limitless World."
Wednesday's debt freeze announcement sent investors scurrying for cover on fears of a possible default
by Dubai and its state-owned businesses, which together owe an estimated 80 billion dollars.
Fears have eased a bit over the past two days, with the oil price gaining and markets also recovering some of last week’s losses.
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