Dubai, the emirate that had debt maturing this year equivalent to a third of its economy, refinanced $20 billion at a quarter of the original cost, freeing cash to service liabilities and fund expansion plans.
Five years after the United Arab Emirates began its steepest economic slump in two decades, a rebound has left policy makers pondering ways to avert a recurrence of the overheating that turned boom into bust.
Political turmoil that started in Tunisia in 2011 and swept across the Arab world will cost the seven most-affected countries about $800 billion by the end of next year, according to HSBC Holdings Plc.
Egypt’s default risk soared to a record after a speech by President Mohamed Mursi failed to alleviate investor concerns ahead of planned nationwide rallies this weekend. Domestic debt yields climbed to a nine-month high.
Emerging-market stocks dropped to the lowest level in a month as OTP Bank Nyrt. dragged down Hungarian shares. The Czech koruna tumbled the most on record as the central bank approved the first currency sales in 11 years.