World

Dubai’s high cost of living drives out expats, brings in millionaires

As billionaires snapped up villas in Dubai and the city bulged with new bankers and executives, Ghida was evicted. The landlord had seen a way of doubling the roughly $3,000-a-month rent she and her husband were paying.

The couple were asked to leave their home after being told the owner wanted to move in with his family. He then advertised it for $6,000 a month. She’s now suing him for breaking rental rules.

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“I am hearing they have a staggering backlog of other tenants with similar situations to mine, said Ghida, who wanted to be identified by her first name as the dispute continues.

It’s a story similar to dozens of others in Facebook groups, cafes and workplaces, and reflects Dubai’s latest incarnation: an enduring land of opportunity, though with a barrier to entry that just got significantly higher.

Key to Dubai’s brand has been a largely tax-free lifestyle that many incomers would be unable to access in their home country. But an influx of crypto millionaires, bankers relocating from Asia and some wealthy Russians seeking to shield assets is driving up rental prices and making the metropolis of more than 3 million people feel more like a playground reserved for the super-rich.

Fees for the private schools that are mandatory for expatriate children have climbed, a weekly shop of groceries at upmarket British supermarket chain Waitrose is costing ever more and an Uber ride at rush hour in a city built primarily for cars can now set you back the same as a New York taxi.

The average annual rent for a villa — single-family houses — in the emirate jumped 26 percent in the year through to February to reach 295,436 dirhams ($80,436), according to real estate adviser CBRE Group Inc. Average apartment rents soared 28 percent to almost 100,000 dirhams.

“The nature of Dubai is changing,” said Metin Mitchell, founder of a C-suite executive recruitment firm working in the region for decades.

“This is becoming a super dynamic economy again, but it’s also becoming more of a Monaco, servicing the needs of affluent and high-net-worth people.”

The Dubai Media Office did not immediately respond to a request for comment.

In Dubai, about 90 percent of residents are foreign and residency mostly relies on employment.

The United Arab Emirates has started offering long-term visas to chosen few, but the vast majority of foreign workers have no clear route to attain permanent residency or citizenship.

Residents look for opportunities elsewhere

In 2018, many residents left amid a substantial increase in living and business costs. Two years later, thousands more departed in the wake of pandemic job losses.

Squeezed families are mainly downsizing or eying up opportunities in markets like neighbor Saudi Arabia, which is competing with Dubai for talent and business, and plans to lure tourism too.

The pandemic led to a dip in Dubai rental costs, meaning that some residents moved into areas that they previously couldn’t afford and are now struggling as prices shoot back not just to pre-COVID-19 levels but beyond.

Officials say price rises are more modest than elsewhere as high inflation dents spending power globally. They argue Dubai continues to offer the jobs and opportunities that are scarce in other emerging markets and developed cities in the West.

But being less worse was never meant to be Dubai’s sales pitch. Only a decade ago, Dubai ranked as the 90th most expensive place for expatriates, according to New York-based consultant Mercer. Last year, it was 31st, one slot ahead of Miami.

“It’s almost a given now that both parents need to be working, said James Mullen, co-founder of WhichSchoolAdvisor.com.

He says the average tuition is more than $10,000 per year, and some families opt to move home as fees climb higher the older their children get.

“Certainly, 10 years ago, it was a different situation because companies were still giving family allowances and school fee allowances. That sort of thing has practically disappeared.”

Dubai residents forced to move as soaring rents ‘far outstrip’ salary increases

Dubai records huge short-term rental boom in months leading up to Qatar World Cup

World

Crown Prince of Abu Dhabi meets with CEOs of leading Norwegian companies

H.H. Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, has met with a group of CEOs from leading Norwegian companies, as part of their participation in the UAE-Norway Investment Forum, held alongside his official visit to the Kingdom of Norway.

During the meeting, H.H. Sheikh Khaled bin Mohamed bin Zayed underscored the UAE leadership’s commitment to strengthening economic cooperation with its international partners.

He highlighted that investment in innovation and knowledge is a cornerstone for achieving sustainable development, noting that enhancing collaboration with Norwegian companies across key sectors will open new avenues for mutual economic growth between the two countries.

The UAE-Norway Investment Forum, taking place in Oslo, aimed to highlight available investment opportunities and strengthen trade relations between the UAE and Norway, fostering shared interests and supporting innovation and knowledge-based economic visions.

-wam

World

At the Indonesia International Book Fair 2024, TRENDS inaugurates 10th global office, releases four books

As part of its Asian research tour, partnership with Aletihad News Center, and
primary sponsorship of the Indonesia International Book Fair 2024, TRENDS
Research & Advisory inaugurated its office in Jakarta, marking its 10th location
worldwide. It also released four books in Indonesian.
The inauguration event was attended by ambassadors of the UAE, Bahrain, and
Jordan to Indonesia, chairpersons of the UAE and Indonesian Publishers’
Associations, the Director of TRENDS’ Jakarta office, and a group of researchers
and academics.
Speaking at the event, Dr. Mohammed Abdullah Al-Ali, CEO of TRENDS
Research & Advisory, stated that TRENDS’ international offices—set to reach 15
by the end of 2024—aim to enhance the Center’s research efforts and deepen its
role in disseminating knowledge, thus serving as a global knowledge bridge.
He emphasized, “At TRENDS, we believe in the importance of cooperation
between think tanks and prioritize this endeavor. We believe the TRENDS office in
Jakarta will enhance the exchange of knowledge and ideas between think tanks in
Asia and the Middle East, opening new horizons for collaboration in various
fields.”

Four books in Indonesian
As part of the Jakarta office’s inaugural activities, four books were released in
Indonesian, including the 11th and 12th books of the Muslim Brotherhood
Encyclopedia and Global Trends in AI and Automation and the Future of
Competition between Man and Machine: An Analytical Forward-looking Vision.

Hostility to Arab states
The 11th book of the Muslim Brotherhood Encyclopedia, The Concept of the State
According to the Muslim Brotherhood, highlights its hostile stance toward Arab
states since its inception. The group views them as an obstacle to its ascent to
power. It opposed the modern principles upon which these states were built,
considering them incompatible with the group’s unique interpretation of Islam,
which it claimed to embody exclusively.

Exclusion of nonconformists
The 12th book, The Muslim Brotherhood: Rejection of Tolerance and Exclusion of
Nonconformists, examines the Muslim Brotherhood’s stance towards
nonconformists, individuals, and entities. The book reveals the group’s binary view
of the world, categorizing others as allies or adversaries. It ties these relationships
to the Brotherhood’s internal power struggles and self-serving interests.

Global Trends in AI
The third book, Global Trends in AI, explores significant developments in AI and
its impact on various aspects of life, including the economy, society, and
governance. It also offers a comprehensive analysis of technological advancements
in AI, its applications across sectors, the ethical and social challenges it presents,
and its future trajectory.

Automation

The fourth book, Automation and the Future of Competition between Man and
Machine: An Analytical Forward-looking Vision, addresses the growing challenges
faced by the human workforce in the face of widespread automation and AI
applications. The book concludes that while automation presents a significant
challenge to the labor market, it simultaneously creates new opportunities. It
emphasizes the importance of preparing for this shift through skills development,
continuous education, and adopting economic and social policies that support the
workforce.

Prominent pavilion and active presence
The TRENDS’ pavilion at the Indonesia International Book Fair has attracted
numerous visitors, including academic researchers and officials, such as the
ambassadors of the UAE, Bahrain, Qatar, Jordan, and Turkey. Additionally,
chairpersons of Arab and Indonesian publishers’ associations, authors, publishers,
and students visited the pavilion. All were impressed with and praised TRENDS’ diverse, valuable publications. They also commended TRENDS’ active
international presence and ability to address global developments with rigorous
analytical research.
Dr. Mohammed Abdullah Al-Ali honored the esteemed guests, including
ambassadors of the UAE and Bahrain to Indonesia, Wedha Startesti Yudha,
Chairperson of the Indonesia International Book Fair Committee, Arys Hilman
Nugraha, Chairman of the Indonesian Publishers Association, and others,
presenting them with TRENDS’ publications and commemorative shields.
Additionally, he awarded TRENDS’ Research Medal to Ni Made Ayu Martini
Indonesian Deputy Minister of Marketing, Tourism and Creative Economy
It is worth noting that during its current Asian research tour, TRENDS announced
the launch of the TRENDS Research Medal, awarded to individuals who make
significant contributions to the development of scientific research and promote collaboration with TRENDS in strengthening a culture of research across various fields.

World

US determined to prevent full-scale war in Middle East, Joe Biden tells UNGA79

US President Joe Biden highlighted the US Administration’s determination to prevent a wider war that engulfs the entire Middle East region, noting that a diplomatic solution “remains the only path to lasting security to allow the residents from both countries to return to their homes on the border safely”.

In remarks he made today before the 79th Session of the United Nations General Assembly (UNGA79), the US President said, “Full-scale war is not in anyone’s interest,” adding that a diplomatic solution is still possible.

He also touched on “the rise of violence against innocent Palestinians on the West Bank”, and the need to “set the conditions for a better future”, which he said featured “a two-state solution, where the world — where Israel enjoys security and peace and full recognition and normalised relations with all its neighbours, where Palestinians live in security, dignity, and self-determination in a state of their own”.

President Biden underscored the ceasefire and hostage deal put forth by Qatar and Egypt, which the UN Security Council endorsed. He said, “Now is the time for the parties to finalise its terms, bring the hostages home,” adding that this would help ease the suffering in Gaza, and end the war.

-WAM