World Expo 2020 to boost UAE real estate and tourism sector



JEDDAH: ARAB NEWS

Published — Friday 29 November 2013

Last update 29 November 2013 2:08 am

| نسخة PDF Print News | A A

With Dubai winning the World Expo 2020 bid, the emirate requires around $43 billion (47 percent of the estimated 2013 GDP) to significantly upgrade its infrastructure according to a research report by Deutsche Bank.
This will boost employment, population and tourist growth.
A bulk of this investment will go into expanding the hotel and leisure industry, while around $10 billion will be spent to improve transportation infrastructure.
The biggest beneficiary should be the real estate sector, which has to cater to the increased demand for new hotel and infrastructure projects.
Deutsche Bank’s report continues to see positive momentum in the Dubai property market, triggered by attractive yields and property prices close to historical average.
With Dubai hosting World Expo 2020, the sector should continue to attract strong investor interest.
Dubai property prices are currently up around 50 percent since the 3rd quarter 2011 but still 45 percent below the peak of 2008 and close to the average price of the last 8 years. Compared with other major cities in the world, Dubai offers attractive property prices and rental yields and a low tax environment. Moreover, Dubai’s “safe-haven” status, strategic location and growing tourism sector continue to attract investor interest.
The Al-Maktoum International Airport, the newly developed airport near the Expo site, started passenger operations on 27 October.
When fully completed the airport will be able to handle 12 million tons of cargo and 160 million passengers annually, making it the largest international airport by some margin.
Besides this, Dubai has also initiated an expansion plan for its existing Dubai International Airport to increase its existing capacity from 60 million to 90 million passengers per year by 2018.
Winning the Expo can further facilitate the “Dubai Vision” target of handling 20 million tourist arrivals by 2020.
Increased tourist arrivals and an upbeat business climate are positives for the hotel and leisure industry as well as the retail sector.
About 25 million visitors are expected for the World Expo 2020 event, 71percent of which will be non-domestic visitors.
Dubai was voted as the host city to conduct the World Expo 2020 event in the Bureau of International Expositions’ 154th General Assembly.
This will be the first World Expo to be hosted in the MENASA region.
Dubai was able to outbid the competition from Sao Paulo (Brazil), Ekaterinburg (Russia) and Izmir (Turkey) with its theme of “Connecting minds, Creating the Future”.
The Expo Live support package of 150 million euros for developing countries to aid their participation and the 100 million euro Partnership Fund to spur innovations, ideas and entrepreneurship on sustainable development projects helped sway the votes in Dubai’s favor.

What's happening around Saudi Arabia

RIYADH: The Ministry of Education (MoE) has allocated over 180 clinics for schools in Riyadh and directed all its departments across the Kingdom to recruit health advisers at schools with more than 100 students.Work has already started on introducing...
RIYADH: The Moroccan experience in desert tourism is largely similar to that of Saudi Arabia, which boasts of a unique diversity in culture in its different regions, Prince Sultan bin Salman, president of the Saudi Commission for Tourism and National...
JAZAN: Deputy Crown Prince Mohammed bin Salman visited the advanced field hospital of the Armed Forces in Jazan on Tuesday.He was reassured about the injured in the ongoing battle. He conveyed the greetings of Custodian of the Two Holy Mosques King S...
JEDDAH: The planned “North Thunder” military exercise is a clear message to Iran and the countries in the region it supports that any hostile intentions and actions will be firmly dealt with, an expert has said.The military drill is scheduled to be h...
RIYADH: Syrian conjoined twins will be separated at the King Abdullah Specialist Children’s Hospital at the King Abdul Aziz Medical City (KAMC) in Riyadh on Sunday.According to a KAMC spokesman, the forthcoming surgery will be the fourth and final st...
JEDDAH: Education Minister Ahmed Al-Issa has issued an order to establish a department for school security. It will be be linked organizationally to the general supervisor of school safety and security at the ministry.According to the decision, schoo...
JEDDAH: From delivering mails for Saudi Aramco to captaining Saudi Arabian Airlines’ first flight to New York, Jazza Al-Shammari’s career story is unique.“I started my career as a postman with Saudi Aramco in 1959 and continued the primary studies at...
RIYADH: A team of the King Faisal Specialist Hospital & Research Center (KFSHRC) has identified a gene responsible for cardiomyopathy.Dr. Zuhair bin Nasser Al-Hasnan, KFSHRC medical genetics consultant, said the team conducted a study on a Saudi...
JEDDAH: The Pakistan Welfare Society (PWS) organized a free medical camp and discussion on health for women at the Pakistani Consulate recently.Doctors and specialists diagnosed patients and distributed free medicines to needy patients, and arranged...
JEDDAH: Yemen Vice President and Prime Minister Khaled Bahah has thanked Saudi Arabia for standing by his country during tough times.Speaking at the World Government Summit in Dubai on Tuesday, he said: “Our GCC brothers, particularly Saudi Arabia, s...
RIYADH: Saudi Arabia joined the rest of the world in intensifying public awareness on cancer with activities spread over the week supporting the global cause that aims to save millions of lives every year by raising awareness and education about the...
RIYADH: Chairman of ACWA Power International Mohammed Abu Nayyan thanked King Mohammed VI of Morocco for personally inaugurating Morocco’s first solar power plant, Noor1, built by an international consortium led by his company.“We were extremely priv...
RIYADH: The Ministry of Health is considering imposing an asset declaration as well as an absence of interest conflict testimony on its employees as a measure in fighting corruption.Health Minister Khalid Al-Falih made the announcement at a one-day f...
DAMMAM: Abdussalam Kanniyan, chairman of the International Indian School in Dammam (IISD), has been honored with the “Person of the Year 2015” award by Vatakara NRI Forum, a community group in the Eastern Province.The award was based on his outstandi...
RIYADH: Andrej Plenkovic, the leader of the European Parliament Foreign Affairs Committee delegation, on Tuesday hailed Saudi Arabia for its yeoman services in looking after the displaced Syrians in countries such as Lebanon, Jordan and Turkey.“We fu...

Stay Connected

Facebook