You certainly seem to have forthright views on the Dubai economy. Thanks for sharing them. I'm not clear. Do you live and work in Dubai at the moment?
Other expats don't seem to share your very pessimistic view of the Dubai economy.
I will also be grateful to read Arnie's response.......and even your work experience if you would share it with those of us who are in the dark.
I don't know if you are overstating the remarks about near bankruptcy.
It seems to me , mind, that Dubai has gone WAY overboard with the AMOUNT of development that Nakheel and Emaar , in particular , are carrying out.
Whatever problems they have now, they are going to FLOOD the market with apartments, flats , villas etc between 2010 and 2015. The sheer scale of development that I have noted on that www.visit-dubai.co.uk
site is unbelievable. Dubai Marina and Waterfront are huge. Add on Palm Deira, Palm Jebelali , The World , Jumeirah Gardens etc and all the rest and they have a LOT of property to shift.
Of course, they have to finish building it first, which is very costly.
This recession is going to be the WORST SINCE THE WAR. Even the UK was said to be almost bankrupt. The Govt here has had to bail out the banks ....plus industries.
The banks....GLOBALLY.....got into trouble through OVERPRICED ,INFLATED PROPERTY VALUES.
People were BORROWING 6 and 7 times salary , instead of the normal 3 times salary, to buy homes. Now if a million extra lose jobs in the UK and every body else SPENDS LESS, property prices should drop another 20 per cent in the UK. America is worse!!
This property bubble has caused the mess. If an average house is valued at £250,000 instead of £150,000 , how much of the BANK'S MONEY does not truly EXIST??
Devalue the houses and you devalue bank assets big time. Of course car workers , TV makers etc etc are all caught up in it.
So who in the WEST is going to flood 8 hours on a plane to go to Dubailand on holiday , when they can take the kids to Eurodisney or a theme park in Spain, for a BETTER CLIMATE , LESS COST, LESS HASSLE, SHORTER FLIGHTS FOR KIDS etc etc?
The main thing in Dubai's favour is that Abu Dhabi is very wealthy.......but it has a spendthrift brother in the family !!!??
Even Abu Dhabi, with Al Reem Island , Lulu Island and Saadiyat Island , which I read about on www.visit-dubai.co.uk
, is expanding greatly , population-wise, so the UAE needs about 5 MILLION extra people to buy up everything.......or 5 million extra holidaymakers who will BUY PROPERTY. Somebody has to buy it all.
Piers Morgan has his BULLISH Dubai programme on ITV tonight. You all need to see it....but is it true? What if he'd interviewed Arnie ?