Al Saleh said the media has mixed up the relationship between Dubai World and the Government of Dubai. “(Dubai World) is a company set up with commercial basis and its transactions with creditors and investors were based on that respect.”
He added that the group used to get financing based on its commercial status and feasibility of its projects. “The gross mistake of the media is that they deem the company as part of the government. It is baseless,” he said.
Christian Science Monitor writes: some analysts say last week's stock market reaction was overblown. Dubai World's debts pale in comparison to the trillions of dollars American banks lost last year and these analysts argue that Dubai's problems are unlikely to spread to other highly indebted countries such as Greece or Spain.With Dubai's saga continues to attract major attention, it is expected that most investors will have to think more careful, or revise their plans and strategies on similar property development projects all over the world.
For now the economic fallout from Dubai World may be exacerbated by the emirate's continued lack of transparency about its financial health. Investors have expressed frustration that Dubai hid its debt problems – even from Abu Dhabi, which was caught off guard by last week's announcement. It refused to reveal its total debt, estimates for which range from $80 billion to $150 billion.
Officials continued to suppress information over the weekend, blocking distribution of the Sunday Times, a British paper, which offered a two-page spread about Dubai's debts.
Iskandar will not be immune to the crisis and perhaps the total investment $13 billion mentioned by Johor Chief Minister is real figure to be translated into real development.....