Gulf Research Center (GRC) and The Institute for the Transregional Study of the Contemporary Middle East, North Africa, and Central Asia at Princeton University present:

The Global Financial Crisis and the Gulf: Dubai"s Debt and the Future of Islamic Banking

Roundtable discussion at Princeton University

February 24, 2010

2pm-6pm, Jones Hall 202

After initial hopes of decoupling, the Global Financial Crisis has hurt countries in the Gulf considerably. Oil prices declined from record highs and budget surpluses turned into deficits. Financing conditions for domestic companies deteriorated, while the sovereign wealth funds of the region suffered tremendous losses. Furthermore, the eruption of Dubai’s debt crisis in December 2009 has cast a light on shortcomings in the business environment and raised questions about the viability of Islamic banking securities such as the Nakheel sukuk, which became a bone of contention.

The roundtable will gather distinguished academics and practitioners to take stock of the current situation in the Gulf and discuss future scenarios. After assessing the impact of the global financial crisis on the Gulf, a particular focus will be on implications for Islamic banking whose growth prospects have dimmed while a possible global leadership role of the Gulf in this niche industry has been compromised.