DUBAI, (Reuters) – The government of Dubai will ask creditors to its two flagship firms, Dubai World and property group Nakheel, to a debt standstill as it restructured the Dubai World group, the government said in a statement on Wednesday.

“Dubai World intends to ask all providers of financing to Dubai World and Nakheel to ‘standstill’ and extend maturities until at least 30 May 2010,” the statement said.

The restructuring will be designed to address financial obligations and improve business efficiency for the future, the statement said.