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FINANCIAL NEWS
Dubai tram inauguration maybe delayed again
04 Jan 2012
(MENAFN) Dubai’s Al Sufouh tram project may see another delay in its launch as the Regulatory and Transport Authority is facing hurdles securing funds to continue the construction works, Arabian Business reported.
Last April, the emirate’s TRA chief Mattar Al Tayer pushed for the acceleration in the construction of the 14km tram line, however the project was stalled over cash concerns.
The tram is set to be the world’s first to run with ground power feeding the entire line, eliminating the need for overhead wires.
The tram was originally scheduled for completion in 2011, however Dubai’s RTA faced difficulties securing payments in the wake of the financial crisis.
RTA also saw work slow on Dubai Metro’s Green Line as it struggled to pay trade creditors.
The RTA said in January 2011 it would seek funding for nearly a third of its infrastructure schemes over the next five years in a bid to spread the risk and cost of large projects.
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