Dubai Ruler Sheikh Mohammed Bin Rashid Al Maktoum termed the economies of Dubai and the United Arab Emirates (UAE) at large "fine," saying officials are dealing with the challenge presented by the global downturn, a local business journal reported Wednesday.
Sheikh Mohammed, who is also the UAE's vice president and prime minister, made the remarks during an interview with CNN to be broadcast next month, Dubai-based Arabian Business said in a report on its website.
"I think the recession is all over the world and I don't call it a recession, I call it challenge," he said.
On the issues relating to the restructuring of state-owned conglomerate Dubai World's debt, Sheikh Mohammed said: "The companies are restructuring because it's a new world. You have to stop and restructure."
"Without challenges, life would be boring. Dubai and Abu Dhabi and the rest of the Emirates are fine," he added.
According to a report by UAE daily Emirates Business 24/7, the ruler also told CNN that Emirates Group, the parent company of Emirates Airline, would place a large order at Britain's Farnborough Air Show in July, a month after announcing a deal to buy 32 additional A380 "superjumbo" aircraft from European manufacturer Airbus, in an order with a list price of 11.5 billion U.S. dollars.
The Dubai International Airport's continued expansion, in addition to large growth in passenger numbers and tourism, prompted the national airline to invest in more aircraft to keep pace with developments, Sheikh Mohammed said.
In November 2009, Dubai World sent shockwaves across financial markets when it said it would not be able to repay its debts on time and asked for a six-month freeze on debt payments.
The Dubai government said in March that it would offer 9.5 billion dollars in aid to the troubled conglomerate as part of a restructuring plan.
On May 20, Dubai World announced that "headline economic terms" have been agreed in principle with a committee, which represents the company's financial creditors, and the Dubai government on the restructuring of 23.5 billion dollars of total financial liabilities.
UAE Economy Minister Sultan bin Saeed al-Mansouri last month predicted economic growth of up to 3.2 percent in 2010, saying he saw no further major restructuring of Dubai debt being needed.
According to Arabian Business, however, the UAE economy is expected to lag its Gulf peers this yea as banks in the world's third-largest oil exporter remain reluctant to lend due to Dubai World's debt restructuring.