The reputation of the United Arab Emirates’ banking sector has undoubtedly been tarnished in recent years by the bursting of the local real estate bubble and the notorious $25bn restructuring of the Dubai government-owned global holding company, Dubai World.
Banks have been confronted with a weakened operating environment, record levels of non-performing loans (NPLs) and subdued investor appetite. However, sentiment among industry professionals is changing, with many believing that the country, and more specifically Dubai, has turned a corner in 2011.
