On the way to Dubai

A fishing village back in the18th Centaury, a tributary to the Bani Yas tribe of Abu Dhabi was transformed to the present day Dubai by the Maktoum Family. Obeid bin Saeed?and Maktoum bin Butti and their successors, members of the?Al Bu Falasah lead the city. In the last three decades, Dubai has transformed itself from a desert emirate to a luxury tourist destination. It holds the record of having the tallest building and biggest mall in the world. The hub of tourism and business activities. Millions of expats form all over the world earns their livelihood from this city. One of the safest and cleanest city on earth.

How did all these happen? Who did this? You might think all these are the magic of Oil. No, you are wrong. This is the magic of a magician named Rashid, who ruled the city for 32 years from 1958 to 1990. In 1961 after the devaluation of Indian rupee, Dubai and Qatar adopted Gulf Rupee as a common currency, while Abu Dhabi adopted the Bahraini Dinar. Oil was one of the factors that made Dubai so rich, but it is not the only one. Oil production in Dubai was started only in 1969, but the visionary construction of a 15-berth deep-water port, Port Rashid, was started in the same year, which resulted in Dubai's rising prominence as an?transshipment port. Many more achievements were made in his reign, like the Al Shindagha Tunnel?(opened in 1975),Jebel Ali Port?(opened in 1979),Dubai World Trade Centre?(built in 1978) and so.

Rashid bin Saeed Al Maktoum was succeeded by Maktoum bin Rashid Al Maktoum who ruled Dubai for the next 16 years(1990 to 2006) and Mu?ammad bin Rāshid, since 2006. Maktoum and Muhammed are considered as the key people in the growth of Dubai in to a global city. Dubai generates most of its income from Real Estate and Oil accounts to less than 1% of Dubai's GDP. Dubai attracts investors from all over, in setting up their business and investing in real estate properties. Dubai has no income tax, and in 2018, it imposed a VAT( Value-added tax ) tax of 5%, which is reasonable compared to western economies with 18%. and not compulsory up to certain amount of turnover. This played a crucial role in Dubai economy. One of the reasons why Dubai has so many big skyscrapers is that foreign direct investment flows into their economy because of no property taxes. It attracted many foreign real estate developers to come into the country and build luxurious skyscrapers to sell without paying taxes.

In 2002, Dubai allowed anyone regardless of their religion and race to buy real estate in Dubai. This encouraged foreigners in flooding in to Dubai and invest in real-estate in unprecedented amounts. Now, 85% of Dubai's inhabitants are non-citizens. Ease in setting up a business is also a reason for foreigners to invest in the city. Special Economic Zones were arranged apart from the mainland for business activities. 100% ownership in forming a business, both in the Free-zones and Mainland is also an attraction for the foreigners. Dubai has always welcomed expatriates whole heartedly.

Conclusion

Living in Dubai is one of the greatest experience for anyone and laws are equal for all irrespective of who you are where you come from.. Its safe and secure, potential and promising.

All the best and Welcome to Dubai

Jassim Karadan

J K Management Consultancies, Dubai

+971502914059