Global outcry to Dubai World restructuring an "exaggeration"

Global outcry over the restructuring of Dubai World -- an investment company that manages and supervises a portfolio of businesses and projects for the Dubai government -- is an "exaggeration", a leading daily in Dubai has said.

"The global knee-jerk reaction to Dubai's announcement that it is restructuring Dubai World — the UAE's largest holding company — has to a large extent overshadowed the main message: the government is taking a closer look 'to ensure its commercial success'," the Gulf News said.

"The impact of the announcement appears to have been felt more outside the UAE or the Gulf Cooperation Council than in Dubai," the daily said.

Those who tried to convey the impression that this is the end of the world for Dubai have forgotten the strength and resilience of Dubai's, and for that matter the UAE's, economy, the report added.

On November 25, the Dubai government announced restructuring of Dubai World, and asked all providers of financing for the company and Nakheel to "stand still" and extend maturities until at least May 30, 2010. Markets across the world went into a tailspin after the report.