Interview:Talal Al Dhiyebi How are flexible payment plans helping boost the number of first-time buyers? TALAL AL DHIYEBI: Payment plans are one of the most effective ways to attract buyers, as they can make home ownership more affordable. By spreading out the cost of buying property over a number of years, a greater number of potential buyers has increased access to the market. For developers,…
Interview: Saleh Al Mazrouie Which sectors do you believe will create greater construction activity in the short to medium term? SALEH AL MAZROUIE: In recent years most investment and construction activity has been in the housing, health and education sectors. For example, a recent project constructed 5000 residences to provide affordable housing for Emiratis who meet the criteria. Furthermore, eight…
Investment in energy and infrastructure has resulted in the development of various mega-project opportunities for construction and engineering companies in Abu Dhabi. These include strategic projects such as the Midfield Terminal Building at Abu Dhabi International Airport (AUH) and the Barakah Nuclear Power Plant, both of which are due to become operational in 2020. Real estate, meanwhile,…
In recent years Abu Dhabi introduced a number of legal changes designed to make the real estate market more attractive for expatriates. It is hoped that, in turn, a more established foreign population will increase foreign direct investment and boost the economy further. In April 2019 Sheikh Khalifa bin Zayed Al Nahyan, president of the UAE and ruler of Abu Dhabi, issued an amendment to the…
Faced with challenging conditions in the real estate market, some property developers in the UAE have devised a number of incentives in order to attract buyers. Some are offering loan-repayment schemes to new buyers to facilitate purchases, such as rentto-buy options that enable people to make smaller down payments. Rent-to-buy schemes have a legal basis in Islamic finance jurisprudence and…
Following GDP growth of 1.5% in 2019, a shift to a more expansionary fiscal stance in response to the Covid-19 pandemic and associated global economic downturn in the first half of 2020 has helped Abu Dhabi establish a springboard for continued growth moving forwards. While public spending and investment remain important drivers of economic expansion, a major overhaul of the investment framework a
On supporting diversification through marine construction What role do you see for NMDC and the wider dredging industry in supporting Abu Dhabi’s economic development? YASSER NASR ZAGHLOUL: Dredging plays a central role in the vast majority of avenues for growth in Abu Dhabi’s economy. NMDC has been able to position itself as a key partner in Abu Dhabi’s efforts to grow the local…
Although it has become a strong contributor to economic diversification, Abu Dhabi’s real estate sector is being put under pressure by slower growth, brought on by low global oil prices that started in 2014. Spending cuts since 2015 have been reflected in capital value, with rental rates declining to their lowest levels since 2013. However, the slowdown has masked encouraging developments in the…
Despite lower external demand and a sharp drop in oil prices from mid-2014, Abu Dhabi’s economy has remained resilient, growing by 9.5% in 2017. The emirate is working to consolidate government spending and reshape the economy through a decreased reliance on oil and gas, investing in areas such as research and development, technologically advanced manufacturing and other high value-added industr
Interview:Falah Al Ahbabi In response to increasingly challenging market conditions, how is the DPM approaching the rationalisation of ongoing property development? FALAH AL AHBABI: Economic growth, record tourism numbers and a level of government support keep the property sector’s medium- to long-term prospects very strong. The DPM regulates and facilitates strategic investment by diversifying…
