(MENAFN) The UAE has made another move to ease debts on UAE nationals as the central bank has ordered banks working in the gulf state to extend dues on certain personal loans held by emiratis by more than four years, Reuters reported.
The central bank told lenders to reschedule citizens' loans by more than 48 months if the repayment exceeds 50 percent of gross salary and other income.
The loans can be rescheduled provided no fresh money is borrowed, the circular added.
Banks were also told to isolate personal loans used to buy real estate, with the borrower's consent, and set them up as separate loans. Payments on those should also not exceed 50 percent of the total salary.
In May, the central bank unveiled plans to settle defaulted loans owed by its citizens, up to USD1.36 million each, following a presidential decree.
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