adminDubai Financial Support Fund
Dubai Financial Support Fund was established by virtue of the Emirates of Dubai Law number 24 of 2009 in 2009.
It was established as public corporation. In addition it has legal independence with affiliation to the department of finance foe Dubai government
A board of directors who are appointed by Ruler of Dubai help in managing the fund. They directly report to the Supreme Fiscal Committee of the Emirate of Dubai (the “SFC”). An Executive Director manages the day to day operations of DFSF. He is appointed by the chairman of Executive Council for the Emirates of Dubai.
Objectives of Dubai Financial Support Fund
- Financially supports strategic and development projects in Dubai
Keeps on behalf of Dubai government the proceedings of government bills and invest and manage them. - Collects the revenues from revenue bonds and reinvest them
Ensures liquid money availability for strategic projects in Dubai
What can Dubai Financial Support Fund Do?
- Dubai Financial Support Fund provides loans and credit facilities to government and government related entities undertaking projects.
- They can issue bills, bonds and sukuk or any other financial instruments on behalf of government in or outside Dubai in order to make availability of liquid financial support for projects.
- The company offers debt management and loan repayment collection services.
- It provides government bond program management services.
They can invest by them self or by others in commercial projects to establish investment funds. Hence manage corporate and commercial companies. - DFSF can establish and own the whole or some of the shares or just parts of corporations and commercial companies which are related to the competence of DFSF in or outside Dubai.
- The fund is authorized to be invested in commercial projects, establish investment funds and manage institutions and corporations to achieve its objectives.
- It may also acquire whole relevant commercial firms or part of their stakes or shares
Creditors Note
You can expect Dubai to convene a meeting of all or at least a substantial group of its financial creditors. It will explain its position and ask creditors to agree to a standstill period. A Standstill period is a contractual arrangement between the debtor company and its participating creditors.
When the meeting is held the Dubai World, the CRO and potentially other advisers, will put forward initial proposals outlining how they intend to formulate and, if agreed, implement the restructuring plan.