Abu Dhabi: President His Highness Shaikh Khalifa Bin Zayed Al Nahyan has ordered the settling of the debts of 6,830 Emiratis amounting to Dh2 billion.
The order will cover citizens with limited income whose loans do not exceed Dh1 million. The debts will be settled through a Dh10 billion fund that was set up on Shaikh Khalifa's orders.
The mechanism will be implemented through the fund's coordination with banks. Beneficiaries will also have to sign an undertaking stipulating that they will not apply for another loan until their present debt is settled.
On examining statements from banks that provided the loans, the fund will settle a portion of the debt. The loan-takers will repay the outstanding amount by setting aside 25 per cent of their salary every month. Interest accumulated on the loans will be excluded from the repayment.
Relief for prisoners
The order will cover settled cases and those where a court ruling is pending. In cases in which rulings have already been issued, the debt will be settled as per the repayment schedule specified by the courts. Emiratis, who are in prison, will be released while their debts are being settled.
The order was made after a proposal was forwarded to Shaikh Khalifa by the Higher Committee of the fund, which is chaired by Ahmad Juma Al Za'abi, Deputy Minister of Presidential Affairs.
The committee includes members from the Ministry of Presidential Affairs, Abu Dhabi Ruler's Court, Abu Dhabi Department of Finance, UAE Central Bank, and Abu Dhabi's Department of Justice.
