DUBAI, United Arab Emirates— The United Arab Emirates is
moving to set up a debt office with limits on public borrowing, laying the
groundwork to potentially issue the country’s first federal government bonds.
State news agency WAM said the Federal National Council
passed a bill Tuesday outlining the creation of a public debt office.
The legislation would cap government-held debt at 25
percent of the gross domestic product or 200 billion dirhams ($54.5 billion).
It also lays out plans for the issuance of sovereign bonds.
The FNC is a legislative advisory panel that makes
recommendations on draft laws, which must still be approved by the president of
the oil-rich federation.