Dubai World, one of the emirate's big state-owned conglomerates, has signed a deal with its main creditors to extend the repayment of $10.3 billion debt, said a report.

The group, which owns the third-largest ports operator, agreed with the creditor committee to repay in 2022, four years later than previously agreed on, said The National report.

The conglomerate has also agreed to repay $4.4 billionn of loans due September next year early if creditors approve the deal, it said.

Its creditor committee is constituted by HSBC, Standard Chartered, Bank of Tokyo Mitsubishi, Emirates NBD and Abu Dhabi Commercial Bank.

It has agreed to increase the interest rate it pays on the loans from the average 2.4 per cent fixed agreed in 2011, so the banks will not need to take extra provisions on the debt, said the report.

It plans to present the new plan to other creditor next monthDubai World plans to present the new plan to other creditors next month, the people said. It needs the consent of at least 67 per cent of the creditors to complete the deal. - TradeArabia News Service