Dubai World has eased its financial problems by signing a final agreement with creditors to restructure $24.9 billion of debt, moneycontrol.com reports.
The state-owned conglomerate said it had signed a final deal with 80 creditors to repay its obligations over five to eight years.
"The agreement will help in its final form to preserve the financial position of the emirate," remarked Mohammed al-Shaibani, deputy chief of Dubai's fiscal committee.
"It (creates) a good position to achieve the fullest possible use of financial resources without overwhelming the resources or influence them negatively."
According to Abdul Kadir Hussain, chief executive of Mashreq Capital, the market was waiting for signs that Dubai would reduce debt levels through asset sales or equity listings.
"We're looking for the next steps now," he said.
Dubai World, which was founded in 2006, is an investment company that manages and supervises a portfolio of businesses and projects for the Dubai government.