UAE pardons 329 prisoners, cancels their debt

The ruler of the United Arab Emirates has ordered the release of 329 prisoners in a pardon that includes writing off more than 3 million dirhams ($816,800) of their debts, media reported on Thursday.

The decree by President Khalifa bin Zayed, leader of the federation of seven Arab emirates on the Gulf Arab coast, said the prisoners would be released for good behaviour, al-Bayan daily newspaper said.

Most of the UAE's population of about 4.5 million are foreigners, mainly Asians, Arabs and Europeans, and the number of people facing investigation on debt-related charges has risen in the global financial crisis and a property market downturn.

Dozens of projects have been cancelled and thousands of people have lost their jobs.

Dubai, a member of the UAE federation, experienced a property boom that propelled it into the international spotlight with projects such as the world's tallest building.

Under UAE law, people can go to jail for bouncing cheques.

Gulf Arab rulers often issue amnesties for prisoners, usually on major religious or national occasions.