Arab Bank Group enters $5b loan agreement for Dubai World
Arab Bank Group has recently signed a $5 billion loan agreement, as part of a consortium of international and regional banks, for the benefit of Dubai World Corporation. The Arab Bank plays the top role in the deal as the Mandated Lead Arranger.
The loan will be used to fund general commercial activities including acquisitions and global investments for Dubai World Corporation.
Arab Bank's Chairman/CEO Abdel Hamid Shoman said the bank is always keen on diversifying its investments and meeting the growing needs in the region amid an exceptional boom witnessed by the various sectors and economic enterprises that always attract major regional and international banks.
He also said that Arab Bank constantly seeks to be a key player by responding to the needs of investment sectors, adopting for that end a crystal clear strategy and a unique approach. He added that the bank's participation in this loan is meant to support the huge potential for growth characterizing Dubai World.
Shoman also stressed that Arab Bank provides versatile and diverse packages of products and services to keep up with the high level of competition within the banking sector. He also reiterated that the Bank which was established 77 years ago has succeeded in the past decades in implementing professional banking practices based on mutual trust between the Bank and its customers whereas it safeguards their savings and increases them.
Dubai World Corporation is a holding company which manages and supervises a diversified conglomerate of businesses, investments and projects for the government of Dubai. It seeks to ensure the Emirate of Dubai a top notch center in the business and trade exchange realm. The investments portfolio it manages spans over 100 different cities around the world, including Palm islands, implemented by Nakheel Development, and Dubai Ports, one of the top three port operators in the world, in addition to investments in various sectors like tourism and financial services.
Dubai World's assets stand at $65 billion and the company employs 50,000 people around the world. Its fully-owned subsidiaries include leading regional and international companies in the fields of transport, real estate, ports and financial services.
Arab Bank is based in Amman, Jordan. It is considered the biggest private sector financial institution in the Arab world with a shareholder equity base of US$ 6.6 billion at the end of September 2007, and the largest Arab banking network in the world. The Group's balance sheet at end of September 2007 totaled US $52.6 billion, assets US$37.2 billion, and revenues stood at US$753.4 million.
© 2007 Al Bawaba (www.albawaba.com)
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