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UAE: 13 banks exposed to Saad and Algosaibi fiascos, says central bank governor

The UAE central bank governor announced on Monday that 13 banks…


September 28, 2009 2:12 by

The UAE central bank governor announced on Monday that 13 banks in the Emirates are exposed to Saudi firms Saad Group and Algosaibi Groups debt troubles.

“We have four categories of exposure and will announce the degree of provisions the banks must take for each one,” Sultan bin Nasser al-Suwaidi told reporters at a meeting of Arab central bank governors in Abu Dhabi.

The governor will announce provisions banks must abide by in order to cope with their potential losses.

He also said that the banks’ annual earnings will be lower in 2009 due to their exposure to the Saudi conglomerates’ financial troubles.


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