When countries like places like Dubai begin to fail financially, it becomes a disturbing fact. Generally, money and loans define the performance in world economies. The $80 billion debts of loans had become a major concern before their rich neighbor came into their aid. Alternatively, Abu Dhabi played a key role in safeguarding Dubai from financial meltdown. Well, they were there today (Abu Dhabi), but will they be there tomorrow? Dubai is one of the fastest developing cities in the world, and their skyline could say no less. While Britain plans to raise thrice the loans in the financial market this year, western banks still feel affected when it comes to money owed.
These days, countries have come very close into bankruptcy due to loans taken to cover development and feeding. While in some 3rd world countries it would be constrained to feeding, in others, setting up sky scrapers has become a trend. The crisis affecting Dubai is no less connected with money than it is connected with debts. The US, Germany and Britain have seen what it’s like to owe money to someone, and yet, that person still continues accumulating loans here and there. If you borrow Jack to pay Tom, then we cannot say that you have covered your debts as with the case of Abu Dhabi and Dubai.
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