Aldar, Sorouh and TDIC to be boosted by state-backed mortgage lender
Some of the largest developers in Abu Dhabi have been given a boost after the government set up a mortgage lender to help sell their properties.
Abu Dhabi Finance will underwrite mortgages for the emirate's largest developers, including Aldar, Sorouh and TDIC. It has been set up with the help of Mubadala, the state-run investment giant.
In a statement, Abu Dhabi Finance said: “The company aims to play a major role in helping Abu Dhabi meet its long-term goals of sustainable economic growth by financing the growing demand for real estate.”
Many of the emirates' banks have cut off mortgage lending as liquidity has dried up. In Dubai, the UAE central bank was forced to set up a similar lending body, the Emirates Development Bank.
It is thought that Abu Dhabi Finance will provide lending to the large developers first, before extending to smaller property firms in the emirate