The UAE begins marketing the first federal dollar bonds

The UAE begins marketing the first federal dollar bonds
The UAE begins marketing the first federal dollar bonds

For the first time, the state issues federal bonds (AFP)

Four well-informed sources told Reuters that the UAE government is expected to start marketing its first dollar-denominated federal bond soon, perhaps this week.
The UAE government has never issued bonds before, but some of its seven emirates have taken this step, including the capital Abu Dhabi and the financial center Dubai.
Two of the sources said that Citi, HSBC, First Abu Dhabi, JP Morgan, Standard Chartered and Bank of America were among the banks advising the government on the bond issuance. Securities”.

And Moody’s, the credit rating agency, expected last May that the UAE would issue its first local currency bonds this year.
Last January, the UAE Cabinet approved a public debt strategy aimed at developing the local bond market. Officials said last year that such a release was imminent.
Two sources told Reuters last month that Abu Dhabi is likely to raise about $3 billion, and the emirate sold $2 billion in seven-year bonds in May, after raising $15 billion in bond issues last year.
By the end of June 2021, the value of Abu Dhabi’s outstanding bonds amounted to 39.5 billion, with 3.7 billion loans to local banks, and 2.4 billion secured obligations, while government-owned entities borrowed 59.2 billion dollars, until the end of June of last year, but the emirate did not It guarantees the debt of its wholly owned entities.
The Dubai government also began marketing bonds in two tranches, last month, in its first sale in the public debt market in six years.
The bond offering prospectus showed that Dubai’s budget will record a deficit of $3.2 billion this year.

It also showed that while the government’s direct debt amounted to about $34 billion at the end of June, Dubai did not put together an aggregate estimate of the total outstanding debt of government entities.
In July, Standard & Poor’s said Dubai’s economy could shrink 11 percent this year.
On the other hand, the UAE Central Bank issued new directives on combating money laundering and terrorist financing for licensed financial institutions that provide their services to “cash-intensive businesses.”
The bank said, in a statement today, Sunday, that under the new guidelines, “licensed financial institutions must demonstrate compliance with the requirements of the Central Bank within one month of the entry into force of these guidelines, which started as of September 28, 2021.”
(Reuters)

Source

UAE begins marketing federal dollar bonds

 
For Latest Updates Follow us on Google News
 

PREV A new mutation from “Delta” may be the reason for the high injuries in Britain
NEXT Millions of “Android”, “Windows” and “iPhone” users may lose access to the Internet