Dubai: Dubai World's restructuring of Dh24.8 billion worth of debt is moving in the right direction although there are a few areas that need more clarity, Stephen Hester, group chief executive officer of Royal Bank of Scotland Group, told Gulf News yesterday.
"As one of the lenders to the Dubai World we view the recent debt restructuring offer as a positive development," Hester said.
"In the overall context of Dubai's global credit standing, the move has sent out the right signals."
HSBC, another leading member of the lenders group, yesterday termed the Dubai World offer "very reasonable".
"HSBC holding is comfortable with it [the offer]," Stuart Gulliver, the bank's chief executive officer for global banking and markets, said in Abu Dhabi yesterday.
HSBC chairman Stephen Green said the restructuring exercise was "a good way forward, we do welcome it."
Abu Dhabi Commercial Bank (ADCB) said yesterday Dubai World's debt restructuring plan is "extremely positive"."The offer demonstrates the support of the Dubai government, it is extremely positive," chief executive Ala'a Eraiqat told reporters.
UAE asset sales
RBS plans to focus its business in areas such as investment banking, wealth management and trade finance.
As part of the global restructuring, the bank plans to sell its retail operations in the UAE. "We are negotiating with a few potential buyers and expect to complete the sale of the UAE retail banking network before the end of the year," Hester said.
Emirates NBD PJSC yesterday confirmed it was interested in acquiring RBS' retail banking network in the UAE. "We are planning to acquire the retail banking network of RBS in the UAE, including the British bank's branches and ATMs across the country," a bank official said yesterday.
In mid-2008 Emirates NBD expressed interest in buying the 40 per cent stake in Saudi Hollandi bank in Saudi Arabia from a group including RBS, Banco Santander SA and Fortis. However no deal was reached.
