Construction companies in Dubai are threatening to walk out on unfinished projects unless they are paid, with many complaining of billions of dirhams in outstanding bills from government related entities, London-based Middle East Economic Digest reported.
Large contractors are complaining they are owed up to 1 billion dirhams ($272 million) each by Dubai government controlled clients, the weekly magazine reported Friday, citing a survey of builders in the emirate.
The report said contractors are complaining of little progress by Dubai government on paying outstanding bills since it announced its $10 billion emergency bond programme earlier this year.
The government last week denied reports that it was not honouring its financial obligations. Ratings agency Standard & Poor's added to concerns over Dubai's economy last week putting six government related entities on credit watch negative.