'Abu Dhabi, Dubai lead real estate boom'
The booming real estate industry in the United Arab Emirates (UAE) grew at 1,200-1,500 percent between 2000 and 2007, new figures reveal.world Updated: Aug 26, 2008 14:59 IST
The booming real estate industry in the United Arab Emirates (UAE) grew at 1,200-1,500 percent between 2000 and 2007, new figures reveal.
According to figures released by Dubai's Real Estate Regulatory Authority (RERA) and Dubai Land Department (DLD), this west Asian metropolis and the UAE capital of Abu Dhabi led this boom with 4,047 real estate and related companies between them.
This includes 1,588 companies and contracting offices in Dubai, and 1,588 management, investment and real estate development companies in Abu Dhabi.
"As one of the country's most profitable investment sources, the real estate sector is attracting the attention of investors from all over the globe, due in large part to the composed projects and environment that the market provides for investment," Ali Fakhruddin, Director of leading UAE real estate company Fakhruddin Properties, commented following the release of these figures.
"As a result, bank funding for the real estate market alone in 2007 amounted to 45 billion dirhams ($12.25 billion), of a total of 75 billion dirhams ($20.4 billion) allocated for the construction sector," he said.
A global survey conducted by recruitment company Manpower Middle East rated the UAE as the sixth most popular work destination in the world and the number one destination for workers already based in the Middle East.
"Part of the reason behind this is that, due to the high level of growth in the region, the demand for workers is at an all-time high, and because of this, there is no shortage of jobs in the country, and packages are generous so as to attract and keep workers within the UAE-based companies," Fakhruddin said.
The UAE economy was ranked 63rd, with an overall score of 62.8 percent on the 2008 Index of Economic Freedom, which examined the economic activities of 162 countries, focusing on 10 specific factors.
The UAE recorded an above-global average in monetary freedom (70.9 percent), trade freedom (80.4 percent), government size (80.2 percent) and fiscal freedom (99.9 percent).