Happy Friday: Dubai State Corporation defaults on interest payments, Barbados borrows another couple of hundred million US$

Fire Sale on Dubai Condos!

Real estate developments are collapsing and the markets are shivering as Dubai World announced yesterday that it is unable to meet interest payments. British Banks immediately lost almost 14 billion pounds in value on fears they are exposed by their Dubai investments. (Times Online article Dubai in deep water)

“No worries, quite manageable” said the unnamed Brit government officials.

Sure. No problem at all.

That’s why all that construction equipment is sitting silent on Dubai’s famous palm-shaped artificial islands.

Meanwhile in Barbados it’s considered good news when the International Development Bank decides to let us go into even more debt – which may not be such a bad thing because it means that the big boys still believe we’re good for it. Somehow I don’t think that Dubai will receive the instant loan approvals like they used to. (Nation News: Barbados gets US$200 million IDB loan)

This will pass folks. All we have to do is work hard, be frugal and help friends and family when necessary.

But ya know? I’m trying to remember all the fun and benefits we had when we blew hundreds of millions on Mia and Arthur’s Cricket World Cup.

I can’t remember much about Cricket World Cup now, but I’m sure it was worth every penny.

Wasn’t it?

11 Comments

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11 responses to “Happy Friday: Dubai State Corporation defaults on interest payments, Barbados borrows another couple of hundred million US$

  1. Hants

    BFP “All we have to do is work hard, be frugal and help friends and family when necessary.”

    Well said.

    We keep hearing that we are getting out of the recession but every week there is bad news.
    “OTTAWA — One of Canada’s top cellphone and cable service providers Rogers Communications announced Thursday it would lay off 900 staff nationwide”.

  2. huh?

    Please explain this to me….

    On Wednesday…..

    BRIDGETOWN, Barbados, November 26, 2009 – Barbados’ new Central Bank Governor says there’s no need to worry about the recent downgrade in the country’s economic outlook by rating firm, Standard & Poor’s (S&P). In fact, Dr DeLisle Worrell says it doesn’t mean much considering Barbados is not seeking a loan on the international market.

    On Thursday (printed today Friday)….

    BARBADOS will receive US$200 million from the Inter-American Development Bank (IDB) to be used on four of the country’s most important development priorities. Prime Minister David Thompson announced at a Press conference at Government Headquarters yesterday that the sovereign-guaranteed loan would be distributed over a five-year period…

    Are these guys talking to one another?

  3. 1234

    BLP HUH? Bajans still have not forgotten the millions that you have in your offshore accounts.
    If the BLP wants to help then its crooked members should bring back home all their ill gotten gains and find ways of putting it back into the economy.
    Bunch of BLP crooks.
    You are not fooling anybody.

  4. huh?

    I have just stated two facts

    fact 1. The governor of the central bank says “don’t worry we not borrowing anything”

    fact 2. The NEXT DAY the Prime Minister says “We are borrowing USD200 Million”

    One or both of these men don’t know what the hell they are doing.

    The DLP and its supporters should stop trying to distract people from their own catastrophic failure to mange the economy by innuendo and vague smears. If you are so certain about millions in offshore accounts then lay charges or shut the puck up.

  5. 1234

    BLP HUH? The “brilliant”Blp when in office rack up nearly a billion dollars in cost overuns. Every project deliberately overextended in order to funnel taxpayers money into BLP politicians pockets. You think that we forget already. It has only been two years and some months. Bloody criminals.
    Rev. Atherly told me these fellas(BLP)creating all sorts of projects to skimm off a lot of the funds for their own use.
    You all have a long wait. You miss the gravy train?

  6. 1234

    BLP HUH?There is a nice thread over at Barbados Underground about Mia’s corrupt grandfather, take a read.
    All of you are stink.

  7. artificially made bubble

    To a degree, Dubai has been a great place for Muslims,Persians and others surrounding the region to get away from strict fundamentalism, but this whole development was a bubble waiting to burst.

    Dubai should recover but like the sub prime loans in the US and the GEMS project in Barbados, investors will need to take a huge write down of assets.

  8. huh?

    more innuendo….

    doesn’t change the facts PM and CBB can’t seem to get their stories straight.

    deal with the facts that address everyday bajans not more smears and innuendo. Mia’s granddad is dead and gone…. tell me how this affects the price of food in Barbados for the average Bajan.

    At some point you have to govern and stop blaming people who have been dead for half a century or governments that have been out of power for two years.

  9. 77

    My worry is that the central bank is solving the balance of payments/foreign reserve problem. The economy will be allowed to contract, unemployment will increase and Dr. Worrell’s foreign reserve problems are solved.

    Mr Dottin, Mr Sinclear and Dr Byer’s problems will increase as more people are put on the breadline.

    We might save the economy but the society will be distressed.

  10. foolishness

    Huh in your haste to be critical you show your stupidity. The Governor said Barbados would not be seeking loans on the Internatinal market. The IADB is a developmental organisation and as such is not part of the International Market. To get an IADB loan it has to be for a strict set of criteria in keeping with your country strategy. A loan on the international market is usually more costly and can be for anything. So the two stances are not in conflict.

  11. West Side Davie

    I remember Cricket World Cup. It was a disaster on many levels. How much of our money did they spend? We’ll never hear the answer to that question.