The presidential gesture would settle all the personal loans of citizens, whose debts are less than one million dirham, be they in detention pending trial or convicted, or settling their debts through installment schedules set by the courts.
Those in prisons will be released and have their loans settled in accordance with the specific settlement mechanisms, including deduction of 25 per cent from their monthly salaries, with an undertaking from a beneficiary not to borrow again until his loan is settled.
Sheikh Khalifa’s gesture follows the recommendation submitted to him by the Supreme Committee of the Debts Settlement Fund for Citizens with limited income, chaired by Ahmed Jumaa Al Zaabi, Deputy Minister for Presidential Affairs.
The Dhs10billion fund was set up upon the decree issued by the UAE President to put an end to the phenomenon of personal loans, which poses a burden on the citizens with low income.
Earlier H. H. Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs, has issued the decision to set up the higher committee to implement the directives by the UAE President.