A Comparative Analysis Of The Emirates Of Abu Dhabi And Dubai
So is Abu Dhabi the next Dubai? We think so. Except Abu Dhabi is much smarter, more patient and richer! They have carefully studied the mistakes Dubai made on its way up. The mistakes which became a catalyst as the global economic slowdown came upon the world in 2008. Abu Dhabi might make new mistakes of its own, however it certainly will not repeat Dubai’s.
Along with that, Abu Dhabi has a much stronger monetary foundation than Dubai. Dubai relied heavily on trade at its ports, tourism (hotel industry) and real estate appreciation due to the expatriate revolution when jobs were on the rise. Less than 7% of Dubai’s annual GDP came from oil. Abu Dhabi however was sitting on over 50 years of oil reserves as of 2008. They’re just naturally more gifted.
Abu Dhabi is also more fiscally conservative. For example, we do not think that it would gamble away futuristic oil revenue and securitize it to borrow money to rapidly develop real estate projects like Dubai.
Apart from the core fundamentals, the main problem of Dubai is that it didn’t make use of enough forethought in predicting the future economic scenario. We would not say that the administrators of Dubai failed to see what was coming, rather it did not care to even think about it. If you have looked at the 60 Minute interview with Sheikh Mohammed you know what we are talking about (a must watch video).
We have decided to dedicate some of our time developing this small sub section of our web-site. We intend on covering some of the same topics we covered for Dubai. As we continue to visit and get to know more about Abu Dhabi city, we will keep adding to it. As the development of the city of Abu Dhabi takes place, we will constantly try our level best to provide adequate information in order to act as a guide to promote the emirate.
More jobs will be generated as Abu Dhabi develops and more expatriates will move resulting in the real estate infrastructure development as well as various industries to support a growing Emirate. Think about the development of Dubai. This will be no different on the surface, however much stronger in its foundation, fundamentals and future plans. At least that’s what we believe, and that is what Abu Dhabi has promised us all.
The Dubai City Information portal is filled with quality information about Dubai that comes from the authors’ own experiences in Dubai. Learn about what to do in Dubai, the best hotels and restaurants in Dubai, where to sightsee, how to get a job in Dubai, Abu Dhabi city and much more.Visit Dubai Information Site to learn more about Dubai.
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