Dubai / ex Dubai folks, your reasoning behind the change in Dubai
Jump to Page:
< Previous [ 1 ] [ 2 ] [ 3 ] [ 4 ] [ 5 ] [ 6 ] [ 7 ] Next >
Hello folks,
I see this forum a has lot of members from Dubai or members who migrated from Dubai.
Personally I never worked in Dubai but visited many times and in fact have lot of my relatives continue to work there. They all now have started complaining about the sudden surge in
1. Rent.
2. Schooling.
3. Cost of living.
For sure, Dubai is not growing like India or China but what is the reason behind this sudden (artificial) surge of prices. What is the reason behind the Government's initiative to jack-up the price.
- Is Dubai really growing or it is a big gamble the Govt. is involved ?
- If it is really growing, what really attributes to that and what is their measure to prevent their neighbors surpassing them esp., Oman ?
Love to hear from y'all.
-----------------------------------------------------------------
The cowards never started,
The weak died on the way,
Only the strong arrived.
http://www.youtube.com/watch?v=_yK1i9cLAMM
Location: God's own country
Posted on: 18-03-07 15:02:42
I donot belive that it is an artificial boom in Dubai. The reason for the recent hike in prices is due to the rapid expansion of Dubai. Dubai is in a building boom and more and more people keep on coming to Dubai while the pace of residential construction and public services has become low. That is the reasom for the sudden hike in prices. Rents are going up, things are becoming costly, schools are becoming crowded etc.. but it still remains (and will remain) once of the best places in the middle east to earn money and live. A lot of Indians , who have worked hard for 10-20 years in this place and have made a lot of money now think that Canada will be a better place to live since the population is low , medicals are free, Schools are free and B'cos Canada gives PR.
A lot of Dubai people that i know, have gone back to Dubai after seeing Canada, b'cos it is better money there. Recently I met a Banagaladeshi man from Dubai (who is an Engineer) and he was earning Us$ 10,000 a month in Dubai. His children are grown up and they are studying univ. in Hamilton and he is in a good job in Burlington (earning around 60K a year). His dubai employer is calling him back and he is contemplating on going back there.
Many other Malayalees have left their Wife and children in Canada and are still working in Dubai, since it is still a better choice for them than Canada.
IMHO, I donot think that Dubai's boom will ever go down. I have heard that 30 % of construction cranes in the world are in Dubai. Even my Italian employers sons are waiting to go and work or atleast visit Dubai (they are 18-19 years old and are attending U of T). Yes. The city is getting crowded, Roads are getting jammed, housing spaces are egtting costlier but still their economy is diversified and geared to get better. Also UAE (esp. Dubai) is the only place in the middle east , which is not totally dependant on oil for their economy (Sauid Arabia OTOH is fully dependant on Oil for its economy). By having a cosmoolitan place in the middle east, Many multi national companies operate from there thus being a cultural melting point in the middle east.
TK A
Sidnote : I have never been in Dubai and my article is based on my personal aquaintances and info. collected over the web and by daily reading the on line edition of "Gulf News" (The local newspaper of Dubai)
-----------------------------------------------------------------
I am a Gents and not a Ladies.
Quote:
Originally posted by tamilkuravan
I donot belive that it is an artificial boom in Dubai. The reason for the recent hike in prices is due to the rapid expansion of Dubai. Dubai is in a building boom and more and more people keep on coming to Dubai while the pace of residential construction and public services has become low.
What is fueling this economy spike ? Has the GDP increased ? From whom they keep on building new constructions. The irony is many buildings are purchased by just the the rich around the middle east expecting to double / triple the money, not really the average joes as in US / Canada.
Quote:
Originally posted by tamilkuravan
but it still remains (and will remain) once of the best places in the middle east to earn money and live. A lot of Indians , who have worked hard for 10-20 years in this place and have made a lot of money now think that Canada will be a better place to live since the population is low , medicals are free, Schools are free and B'cos Canada gives PR.
Before the internet age, not many people were aware of the channel to move to Canada and USA. Its not going to be difficult any more. People in Dubai and rest of the middle east will likely to use it as a launch pad.
Quote:
Originally posted by tamilkuravan
A lot of Dubai people that i know, have gone back to Dubai after seeing Canada, b'cos it is better money there. Recently I met a Banagaladeshi man from Dubai (who is an Engineer) and he was earning Us$ 10,000 a month in Dubai. His children are grown up and they are studying univ. in Hamilton and he is in a good job in Burlington (earning around 60K a year). His dubai employer is calling him back and he is contemplating on going back there.
Generally, it is a common tendency with new immigrants to remain nostalgic about the previous place. I am no exception. When in Saudi I thought of India, When in US, I though of Saudi and it goes on even in Canada. There isn't really any rationale behind this. Any how its really a hardship here in Canada, i can't dispute that any way.
Quote:
Originally posted by tamilkuravan
Many other Malayalees have left their Wife and children in Canada and are still working in Dubai, since it is still a better choice for them than Canada.
You know my friend, it is again the Passport that plays a major role. Not many people will go back to Dubai without CDN passport even if you offer good salary. FYI, the salaries aren't attractive any more as it used to be. Again, I don't compare Canadian salary with Dubai but I could compare yester-year's dubai salary with current.
Quote:
Originally posted by tamilkuravan
IMHO, I donot think that Dubai's boom will ever go down. I have heard that 30 % of construction cranes in the world are in Dubai. Even my Italian employers sons are waiting to go and work or atleast visit Dubai (they are 18-19 years old and are attending U of T). Yes. The city is getting crowded, Roads are getting jammed, housing spaces are egtting costlier but still their economy is diversified and geared to get better. Also UAE (esp. Dubai) is the only place in the middle east , which is not totally dependant on oil for their economy (Sauid Arabia OTOH is fully dependant on Oil for its economy). By having a cosmoolitan place in the middle east, Many multi national companies operate from there thus being a cultural melting point in the middle east.
TK A
Sidnote : I have never been in Dubai and my article is based on my personal aquaintances and info. collected over the web and by daily reading the on line edition of "Gulf News" (The local newspaper of Dubai)
Again back to the same question. What is fueling the boom ? Pls don't say real estate which is by far dubious. And I personally visited many MNCs in Dubai who have match box size office while I was with Oracle Corp just to infer that these guys have offices for the sake of establishing but with no real size operation out there. I've got a feeling that these Dubai Sheikhs have hidden agenda to promote weird sex business and compete against Bankok. You know well that one need to do all sort of HIV test to start working in Dubai but see the Sex workers from Russia and Armenia get few months visa to promote their business with out any HIV test. Do you think the Dubai govt. doesn't have a clue. I am sure it is intentional.
And Saudi Arabia is filthy rich, Man the money there Ah!uh! but the big Western oil rich families tied their hands with the fanatic wahabees and implemented tough measures, legislations to prevent any sort of independence that may jeopardize their business establishment.
-----------------------------------------------------------------
The cowards never started,
The weak died on the way,
Only the strong arrived.
http://www.youtube.com/watch?v=_yK1i9cLAMM
Location: God's own country
Posted on: 18-03-07 19:34:43
The Building boom is a by-product of a booming economy.
The economic boom of Dubai is fueled by the principles of Mohd. Makthoum to made Dubai a commercial hub of the middle east. The tax free or low tax corporate structure enables many to do profitable business while being stationed in Dubai.
Recently Sankaracharya posted an article that even Haliburton was moving its HQ from USA to Dubai to be more competitive. Dubai acts as a hub of oil services industry and there is tourism too. Duty free items and few visa restrictions makes it an important shopping area. As many know, Prostitution is another big thing in Dubai which bring many business visitors to Dubai.
As far as i know, these are the main factors which contribute to the economy of Dubai and is in now way going to crash as it is diversified.
Let us wait for some Dubai Guru's to give this board a more hand-on picture.
I was in Saudi when oil was $25-$35 a barrel and man I have seen many poor people/ rotton crumbling buildings there. YEs. The royal family is filthy rich but not the common man. Now with Oil at $60 a barrel for a year now, I heard that Saudi govt. is very rich now. Whether it will drip down to the hands of the common man is to be seen. Riyadh's highest building was being constructed -33 stories (in 2000) and the next tallest building was only 15 stories and the 3 rd. tallest building was 12 stories. This can give the contarst between Dubai and Saudi.
TK A
-----------------------------------------------------------------
I am a Gents and not a Ladies.
Few things that make a country really rich in current trend.
1. Weapon supremacy.
2. Natural resources or the sole control of natural resources of an oil rich country eg., Saudi, US, Canada.
3. Superior technology ( You know that the developed countries wouldn't sell technology to others till they are really superseded by another invention). US / Japan for eg.,
4. Service Industry ( as in India, China and Malaysia).
5. Natural port like Hong Kong / Singapore ( I think Muscat has an edge in this case compared to Dubai).
As said, let us see whether any dwellers or immigrants participate in this discussion.
-----------------------------------------------------------------
The cowards never started,
The weak died on the way,
Only the strong arrived.
http://www.youtube.com/watch?v=_yK1i9cLAMM
I have lived in Dubai from 89-2004 and I am still in touch with my Dad who is running business in Dubai.
I feel after experiencing initial uprise and after talking to my Dad that the growth in Dubai is due to primarily unstable conditions in the Middleeast. Sheikh Mohammad with his wisdom was able to leverage this situation and also by giving extra push to the economy.
If you look around surounding geography of UAEyou will find Saudi, Iran, Iraq, Lebnon ofcourse India and Pakistan.
Residential Demand
Every year 35000 (Approx) migrate from Iraq only to permanently settle in Dubai. Similarily, rich of Iran, Saudi, Lebnon, India, pakistan invest in Dubai. All these people increase demand for residential property either to live or invest. Why residential ? because this is the only sector opened by government for investment or freehold purchase (wont' go into limitations).
Tourism Push
Government of Dubai want to make Dubai a tourist place. Why? simple answer cause sheikh wants to. So what they do for this? Have a yearly shopping festival, build tallest tower, build best hotels, best beaches etc. Government of Dubai takes great pride in establishing everything and anything of worldclass. There is no shortage of money. Lot of projects were started not because the demand is there but they were started to create demand. Which is working.
Someone mentioned sex trade well its not same as before all russians are off the street. I am sure its on at high level and that's true for every country.
Real estate cause of Inflation.
Rents in Dubai has grown upto 200% in some cases. We had our workshop on yearly rent of Dh 75000. This year we have to settle for lesser space at Dh 150000. I am sure there are many examples of residential hike. Schools increased their fees this year by 80%. Why? same reason rents have gone up. So its a known grief and no one challenges it as everybody is going through the same experience.
Salaries based on Colour
Its much better for white people as of now than for people from south asia. It's bitter truth of Dubai.
This year supply is expected to increase than demand and I hope this will bring more stability in prices. This may lead to domino effec and there is a risk of realestate market crashing down.
I can go on but I guess i should cut it here.
-----------------------------------------------------------------
Manjeet Singh
Regardless of the growth.. one thing won't change in Dubai is treatment and salaries of the average southasian....As salaries are paid based on colour and religion. With a specialized trade or with a good business dubai would be a better place to be in.
For every growth story you see in dubai, there is a lot of cheap labour of asia and technology of west, with the open mind they have blended it well.The boom in real estate has many reasons.one being having lived 25 plus years with family and friends and money people don't want to go back to their country of origin.
As long as it remains tax free or with less tax and with other advantages dubai has an edge...and so it makes sense to move to west get the pr and get back to ME.
