Dubai: Dubai World made a final payment of $8.2 billion to creditors - two years ahead of schedule - and completing a debt restructuring that had weighed on the emirate for almost a decade.
The conglomerate made the payment - due in September 2022 - using funds from asset sales, dividend payments and the delisting of port operator DP World Ltd. The company has repaid $18.9 billion to creditors since 2011.
Dubai is tackling its debt pile as the emirate seeks to address the economic fallout of the coronavirus pandemic.
"The full repayment represents an important milestone for both Dubai World and for Dubai," Dubai World Chairman Sheikh Ahmed Bin Saeed Al Maktoum said in the statement. "Dubai World will focus on streamlining and strengthening its efforts to deliver long-term value for all stakeholders."
$18.9billionWhat Dubai World repaid creditors since 2011
The current economic downturn is a reminder of the 2009 financial crisis that forced Dubai World to restructure $23.5 billion of debt and saddled developer Nakheel with $10.5 billion of unpaid bills. Dubai and various government entities held combined outstanding debt of $123 billion, according to figures at the end of August 2018 cited in a report by the International Monetary Fund.