Banks are seeking higher pricing on a USD3bn loan that Dubai is raising to help fund the airport expansion as it prepares for World Expo 2020. The banks are asking for a margin of 200-220bps over the benchmark rate for the seven year facility compared to Dubai’s proposal of 180bps plus 14bps in fees. The loan, which includes a USD2 billion conventional tranche and an AED3.67bn (USD1bn) Islamic facility, is being raised by a special-purpose company that will help pay for the expansion of Dubai World Central -- home to the city’s new Al Maktoum  International Airport -- and associated facilities in the south of the city. The emirate is developing Al Maktoum close to the Expo 2020 site with an annual capacity of about 220 million passengers and plans to move flagship carrier Emirates by 2025. (Bloomberg)