Dubai Statistic Centre’s Executive Director, Arif Al Muhairi said the economy declined by 10.8% in the first six months of 2020, but this was well within the expected range of economic contraction considering the huge global impact of the deadly virus. This 2021 however, Dubai – the financial and business hub of the UAE, is forecasted to grow economically by 4% in 2021.
Dubai Statistic Centre’s executive director Arif Al Muhairi said the economy declined by 10.8% in the first six months of 2020, but this was well within the expected range of economic contraction considering the huge global impact of the deadly virus. This 2021 however, Dubai – the financial and business hub of the UAE, is forecasted to grow economically by 4% in 2021.
With the strong vaccination drives across all the Emirates, in Dubai alone, tourism is picking up as well as the city’s different sectors.
How is Dubai not just recovering, but bouncing back and thriving from the onslaught of COVID-19?
Here are major factors as to why Dubai is picking-up speed with recovery:
1) Visionary leadership during pandemic. Mass testing, priority on patient-centric care, strong vaccination drive, strict health and safety rules across all establishments, lockdowns, clean-up drives all lead to an organized and swift recovery all thanks to visionary leadership. The people’s trust in the government shone through.
2) Key industries looking optimistic. While the tourism and hospitality sector took the entire beating, there is growing evidence that this sector will also gain in the steady rise of the city’s opening up. Events are now being allowed, thereby affecting lots of involved industries as well from production, construction, manufacturing, marketing, sales, etc. The digital and tech industry really saved all other industries by way of supporting remote work, cloud data sharing, digital advertising, etc.
3) Economic stimulus packages. The UAE provided strong economic response help to businesses one of which was the AED 256bn stimulus from the Central Bank. This helped keep the businesses wheel churning.
4) Postponing Expo2020. Expo 2020 Dubai is ready to “help shape a post-pandemic world and create a better future for all.” The name remains a brand to 2020 but their focus for 2021 has changed and this will shift the spotlight back to Dubai post pandemic, coming with a lot of necessary boost to the economy, opening up business to the rest of the world. The event is set to run from October 2021 until March 2022 and will be the first World Expo to be held in the Middle East, Africa and South Asia (MEASA) region.
5) Building relationships through humanitarian work. Since 1970, the UAE has been the largest aid donor in the Arab world. The UAE has sent medical aid to Tehran, Philippines, India, China, Greece, Italy, Pakistan and any more. This important goodwill collaborations with other countries will be key factors for the country as it emerges from the pandemic. This will open up purpose-built enduring relationships that will cover business and give a great global reputation to the country, thereby a positive domino effect to the economy.
6) The expats and its citizens’ strong unity. We cannot deny the fact that a country’s healing and recovery is well-built upon the shifted consciousness of its people. Communities emerged from the pandemic. Small ripples contributed to huge waves, charity drives, open communication lines such as FB groups regarding vaccination, food drives, etc. all these were from the simple hands of both expats and the UAE’s citizens. This created a silent surge in recovery of the people.
365 days of sunshine, tax-free salary, high standard of living, safety, a multicultural platform of opportunity – the UAE is a very attractive place to work and live in. However, everything comes with a cost. So how does one thrive and survive in this country money-wise?