Dubai receives funding from next door neighbour

Trouble hit Dubai has a saviour in the form of their close neighbours, the country of Abu Dhabi. The Arab state has given Dubai the sum of $10 billion to help keep things running until April 2010. More than $4 billion is expected to be used to pay off a debt that has matured this week and is for Dubai World Islamic. The remainder will be used to keep the country ticking over until they can come to a deal with creditors.

The world went a little into shock when there was talk that Dubai could have financial issues. Many countries around the world have been lunged into debt as the recession has taken hold and the Arab state was one of the last places people expected to be hit with the same problems. Currencies have fluctuated all over the world which has had an adverse effect on everything from living to travel. A late rally in 2008 of the British pound against the US dollar saw scores of trips being booked to America, but that has since faded.

Greece is another country that has been doubly hit in the economic market as they are now struggling with the euro and there is talk of them ditching it and returning back to their old drachma and weathering the storm. Whatever the situation in the world, when it comes to a recession, there are always winners and losers and lucky escapes for others. Dubai will sort out its economy and be back among the big boys very soon.