The pace of growth of Dubai in recent years has been great. The investments in infrastructure have paid off: The economy is thriving. Nevertheless, the Dubai stock exchange has lost 2006 (the UAE index fell in 2006 to over 40%). The city has become the hub for international trade developed. From here, the markets in the Middle East, the CIS countries, Africa and the Indian subcontinent served – a market with nearly two billion people. Unlike in Abu Dhabi will be Dubai’s oil wells run dry in ten years. Thanks to the farsighted projects the city is supposedly well-hedged: Since the’80s, the share of oil and gas in the gross national product from 54 to 7%.
The gross national product (GNI) per capita of $ 24,000 is significantly smaller than that of Germany ($ 35,000), Austria ($ 37,000) or Switzerland ($ 55,000 Source: World Bank). This is also on the road to the cars: It does not go all the Rolls Royce or Mercedes …
85% of Dubai’s population are foreigners, mostly Asians (Indian, Pakistani, Bangladeshi, Filipino, Chinese, Thai, Vietnamese), but also Europeans. The wages are increased sharply in 2006, but because the prices are more sharply, losing attractiveness for Dubai European immigrant because of declining purchasing power. One of the main problems are the strong rising rents (2005 around 20% and 2006 approximately 10%), the difficulty of finding housing and the ever larger and more frequent traffic jams. Despite intense housing and Hotel Design is the offer apparently still too scarce, so the hotel prices in the last 24 months have doubled.
