Markets across Europe tumbled last night on news that Dubai World, the government owned company has asked for a six months extension on a repayment which is due. This development is causing a lot of jittery across banks in Europe who naturally worry about getting back their money. After six years of rapid and massive development built on foreign capital and giant constructions, the world is crashing down on Dubai. Property prices it seems has spiral down by 50%. Stories abound on expatriates leaving as projects stalled. Dubai is hard hit by the financial meltdown and is struggling to cope.
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