Moody’s downgrades six Dubai firms

Credit ratings agency Moody’s downgraded six Dubai-based companies on Tuesday including DP World, Dubai Electricity and Water Authority, Emaar Properties, Jebel Ali Free Zone, Dubai Holding Commercial Operations Group, and DIFC Investments.

“In recent statements the government has highlighted that it sees no legal obligation to support non-guaranteed debt of its GRI’s (government-related issuers),” said Philipp Lotter, senior vice president for Gulf corporates at Moody’s. “Taking into account the government’s most recent position, Moody’s no longer believes it appropriate to assume timely support,” he said.