Dubai Incorporated - Part 2

Re: # 10 GF please to do not join Indians criticizing Gulf rulers. That is their country and they can not just allow all foreigners to become citizens then there will be Arab minority and big crowd of Indian Pakistanies.They never promise citizenship to even whites except if arab native marries white./ woman or even dark indian women as woman is wealth in Arab countries and he owns her. But if Arab woman marries white man he can go to white country but white man can not become Arab citizen. If this started all white poor will come to their and usurp local women to obtain citizenship and then ump her and bring real white woman from west. In gulf there are more foreigners working than locals. Everybody is doing that , can we allow all bangladeshis come to karachi or Indian muslims to karachi , we do not want them as they will be burden. Please see arab mans precarous number , they are alread out numbered by indians and paistanis. It is their house and just some body sweeps their home does not give licence to live there just like back home in Karachi. We do not want NWFP and tribal i Karachi so demographic circus is not in trouble.

Re: # 7

I've heard that people bought expensive apartments there because they were promised permanent residencies with it, however when their time for renewal of their visas came up, they were refused. I reckon this whimsical nature of state policies and unhelpful attitude of locals towards foreigners (particularly towards the darkies) will really create further disillusionment in the expat community. I've also heard that a sort of aparthied exists there, in the pecking order of which the local is tops, closely followed by westerners...and the rest are garbage. Is that really so?

Prof. Haq and mr.Writer this problems in gulf will help pakistan as alternate investment place for double digit returns ?
Thanks

Re: # 7
Clearly, you and Ibrahim know a lot more about the place than I do, particularly about the life and treatment of foreigners living in UAE. My observations are that of a tourist and an observer, not based on a great deal of personal experience.

But, looking at it from my perspective, I think Dubai will eventually recover, just as I expect the West to recover from the current crisis. But I think it is much harder to put a time-frame on it.
Riaz Haq, PakAlumni Worldwide

yes ... but you are not aware of the problem that we "with jobs" are facing now, first of all most banks have revised thier terms and conditions for "pakistanis" and then most bank refuse to provide any services like loan or credit cards for anyone who is even 1% linked to construction, wather they are consultant or the client. the ugly line has been drawn over this word.

my company is an american company and we are airport specialists with project all over the world, but since we are working on the new etihad terminal in abu dhabi, the banks tell me, well yes you are not construction company but you ARE helping out with a terminal !!! sorry !! can't do !!

I will be more than happy when I leave this job in september and going to go work for nasa at ksc.

Re: # 5
I was there recently, and yes, I did see many projects abandoned, and the rents plummeting with growing vacancy rates. Even Emaar Cresecent project in Karachi, which I also saw, and the $ 43 billion Bundal and Buddu Island project, are moving very slowly.

http://www.riazhaq.com/2009/08/eleven-days-in-karachi-pakistan.html

It's a big real estate bubble burst, and it'll take a few years to recover, but I think it will recover, especially if UAE Central Bank and Abu Dhabi money continues to help bail it out. The oil prices are already recovering significantly, and it should refill the coffers of Abu Dhabi.

http://www.riazhaq.com/2009/08/july-in-dubai.html
Riaz Haq, PakAlumni Worldwide

Riaz sb. have you seen discontinued projects in dubai? buildings and machinery all standing still? most buildings are over 30 stories complete but the work has stopped.

if you are here somewhere, would like you to visit knowledge village area and see for yourself the scale of damage.

Dubai's recovery will be slow, very slow, liquidation of Blboom Holdings is a recent chapter, many other realestate companies are in the grip of court. No recovery possible in couple of years atleast.

Their pockets are getting empty, they are trying anything to get the money out of the expats, like "fines" thru traffic department, last week they revised the fine list and have doubled up all the fines.

Very informative piece.

Dubai attracted investments by promising permenant residence to investors, and now has backed off. This is going to cost it heavily in terms of lost investments.

Though I have discussed dubai in earlier article, however, to come back on top dubai has to do certain things

1. Dubai needs to realize that its earlier model of real estate ponzi scheming is dead. Some reflection and introspection needs to be done which is lacking sadly
2. Having a good infrastructure is an asset but one should study costs as well as benefit of it. Building the tallest, largest, fastest will not be of much benefit if it is not needed and will be a drag on resources in terms of maintenance and operating costs.
3. Ppl are really afraid of recently changing laws in Dubai and unless investors are given legal protection, a lot of individual investors won't come or expand

There is a lot of work that needs to be done in Dubai if it wants to achieve its earlier heights. However, the denial mentality of the rulers and lack of transparency are a big hinderance

The issues of debt and falling property prices will continue to be a drag on Dubai’s recovery. However, as the crisis unfolds, Dubai does have an advantage: no other city in the Middle East has the vision or the infrastructure to act as a services hub for the rest of the oil-rich region, which is expected to rebound from this global recession faster than other areas. With $600 billion of foreign exchange reserves and sovereign investments, the United Arab Emirates, of which Dubai is a part, has considerable resources to support Dubai's recovery.
Riaz Haq, PakAlumni Worldwide

The issues of debt and falling property prices will continue to be a drag on Dubai’s recovery. However, as the crisis unfolds, Dubai does have an advantage: no other city in the Middle East has the vision or the infrastructure to act as a services hub for the rest of the oil-rich region, which is expected to rebound from this global recession faster than other areas. With $600 billion of foreign exchange reserves and sovereign investments, the United Arab Emirates, of which Dubai is a part, has considerable resources to support Dubai's recovery.
Riaz Haq, PakAlumni Worldwide