Dubai Luxury Apartment Rentals down 15%

In Dubai's prestigious Jumeirah Beach Residence, rents for luxury condominiums have dropped by about 15% over the previous year, which some fear as a sign that the rich economic recipe of the emirate is no longer valid.

Nine years ago, Dubai needed a $ 20 billion rescue package from the oil-rich emirate of Abu Dhabi to avoid a debt crisis caused by the Collapse in real estate prices. .

But the economy of Dubai has regained its strength and has increased by a third since then with the support of foreign trade and tourism and the emirate status as an important center for services to companies in the region.

But Dubai is going through a difficult period. Residential property prices have fallen by more than 15% since the end of 2014 and continue to fall. The stock market has fallen 13% since the beginning of the year, recording the worst performance in the region.

Dubai issued 4,722 new business licenses in the second quarter of 2018, down 26% from the same period in 2016

These declines may be temporary due to the economic slowdown in the region of the Gulf resulting from the decline in oil prices. But other figures suggest that some of the traditional engines of growth in Dubai are declining, which could mean a long-term decline.