Eureka! Not really

Eureka! Not really

The Minister of Economy says that mergers is the way forward, and that the government has figured out 90 percent of the problems that led the financial crisis

March 3, 2009 3:34 by Dana El Baltaji

Mergers between real estate and financial institutions may help boost the nation’s economy, and safeguard the UAE’s property sector from further harm, Sultan Bin Saeed Al Mansouri, UAE Minister of Economy said at the Abu Dhabi Economic Forum on Monday, reports Gulf News.

“We are looking favorably to the merger of real estate and financial companies within the UAE as it would create better synergies,” he said.

In 2008, Amlak and Tamweel, the nation’s biggest mortgage lenders, and Emirates Bank and National Bank of Dubai announced mergers; the former have not completed the merger.

According to Al Mansouri, more mergers are likely to be announced in the near future.

“This creates a positive impact in the market,” he said.

The minister added that the government has been able to figure out 90 percent of the reasons behind the world’s economic meltdown.

Which leads Kipp to ask: what about the remaining 10 percent? And how did the minister quantify the government’s understanding of the financial crisis?