DUBAI: Investment Corporation of Dubai (ICD), a sovereign wealth fund owned by the Dubai government, suffered a loss of $ 5.1 billion last year. The main reason for the loss was the impact of the corona virus epidemic on the company’s assets and the uncertainties surrounding Dubai’s financial recovery after the outbreak.
ICD, the holding company of Dubai’s major business ventures, reported revenue of $ 37 billion last year. Revenue was down 40 percent from the previous year. For the first time in years, ICD has reported losses on investments in ventures including Emirates, the largest airline in the Middle East, Dubai Duty Free and leading builder Emaar Properties. The company had a net profit of $ 4.9 billion in 2019.
The ICD said the corona virus outbreak had hit Dubai’s major industries, including travel, hospitality, retail and real estate. ICD, with over 40 significant investments, was considered to be the key determinant of the health of the services-based Dubai economy. If the company has made any kind of profit in the last year, it is from financial institutions like Emirates NBD, one of the largest banks in the UAE.