- Bridgedworld - https://www.bridgedworld.com/en -

Dubai’s economy under scrutiny

Dubai’s population was basically foreigners. Around 90% of the people leaving here were immigrants. But this situation is changing rapidly.
Due to the world economic crisis, more and more people are being laid off and might have to leave this city.
The situation is creating a great deal of stress on foreign workers and executives who will have their visas expired and will be forced to leave the country within a month.
Real estate prices are down almost 30% by the end of 2008 and major construction projects have been put on stand-by.
In the meantime, the oil-based neighbor economy, Abu Dhabi, is taking control on many assets and reinforcing their bank subsidiaries in this area.
Since already many years ago, Dubai has tried to build its future on services. In search of becoming the top luxury resort in the world, an open-minded society where one could open up a bottle of wine while having dinner in a restaurant or stay in a 7-star hotel.
The situation may recover soon though. Most of the rich Middle East countries will not let Dubai down. The question is how and who will rule the emirate in the end.