Wednesday, March 04, 2009

Banking: UAE - "bad bank" needed to boost lending

The UAE needs to create an agency that would buy loans from the country's banks to help boost lending, according to speakers at the Abu Dhabi Economic Forum.

Gurjit Singh, the chief property development officer at Sorouh, called for the creation of a so-called 'bad bank', which would buy distressed debt from local banks.

He said falling property prices are leading to a rise in non-performing loans, which is putting stress on local banks.

Source: AME Info
Published by Mike Hitchen, Mike Hitchen Consulting
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