11.12.2009 - Dubai crisis is a major test for Islamic banking
Islamic banks could be facing new pressures in the wake of the financial crisis that hit Dubai last month. The Islamic financial system expanded around the world during 2009 thanks to the relative immunity it appeared to enjoy as the conventional banking business was engulfed by the crisis triggered by a meltdown in the US housing market about 18 months ago. However, the image of the booming Islamic finance sector seemed to have been marred by the state-run Dubai World conglomerate move at the end of November to ask creditors of two of its flagship real estate firms-Nakheel World and Limitless World-for a standstill on debt worth 59 billion dollars....................................Full Press Release: Source