Ruler pays off Emiratis’ debt

The ruler of the United Arab Emirates, Khalifa bin Zayed Al Nahyan, is to spend $545 million (£350m) to clear the debts of thousands of citizens.

By The Newsroom

Published 26th Jan 2012, 00:00 BST

A state news agency said the roughly 2 billion dirhams would cover the debts of 6,830 Emiratis who owe up to a million dirhams (£175,000) each. Some debtors have been jailed and will be released once their debts are cleared. Those in work will have their pay cut by a quarter.

UAE leaders occasionally cancel debts. The oil-rich nation in November set up a £1.7bn fund to provide loans to poorer citizens, one of the perks introduced in response to the Arab spring.