Dubai Government Rescues Dubai Bank After Loan Losses Mount

Dubai Bank PJSC, an Islamic lender owned by Dubai Holding LLC and Emaar Properties PJSC, was rescued by the Dubai government after loan losses mounted as the emirate grappled with a debt crisis.

Dubai’s government will inject capital “to ensure that Dubai Bank’s business continues uninterrupted,” the government’s media office said in an e-mailed statement today. “Options for the bank’s future, whether to be run on a stand-alone basis or be potentially merged with another bank in which the government has ownership, are being assessed.”