In the last two decades, Dubai has embarked on an ambitious plan to diversify the economy from oil. The emirate, which was heavily reliant on the oil industry, discovered that its oil reserves were going to dry up in a couple of decades. That would be disastrous since the region depended heavily on oil revenue. The news forced the Dubai government to embark on a plan to significantly reduce dependence on oil. The plan was to develop other industries like finance, tourism, real estate and commerce. Two decades later, Dubai has become a first class tourism destination as well as a regional hub for finance and commerce. The following are some of the things that are pushing the economy of Dubai to greater heights.
A Wonderful Climate
Every business owner in the West knows just how bad cold weather is for business. Fortunately, Dubai is sunny throughout the year. The sun and sand coupled with wonderful beaches make Dubai the ideal holiday destination. In addition to that, Dubai also has dozens of hotels. They range from one-star and five-star hotels to the only seven-star hotel in the world – the Burj Al Arab.
World Class Tourist Attractions
Dubai may not have much to brag about when it comes to natural tourist attractions, but as far as man-made wonders go, Dubai has a lot to offer. For instance, the Burj Al Arab was built away from shore on a man-made island. The hotel was built on the island 280 meters away from shore and has 28 double-story floors. It also has the most expensive suite in the world. The view from any of the 202 suites in the Burj Al Arab cannot be compared to any other in the world. Another world-class tourist attraction is the Burj Khalifa. Standing at 829.8 meters, the Burj Khalifa is the tallest man-made structure in the world. Many people travel to Dubai just to see the engineering masterpiece. The tower is built in a new development known as Downtown Dubai. The new development has residential apartments, a shopping mall, several five-star hotels and an artificial lake among other types of mind-boggling attractions.
Dubai is a progressive emirate thanks to its forward-thinking leaders. While it may be primarily a Muslim city, Dubai has laws that are favorable to people from all religions. For instance, when you book your Dubai holidays, you do not need to worry about being subjected to the strict Sharia Law if you are not a Muslim. You can go on vacation in Dubai and have a great time without worrying about being on the wrong side of the law unnecessarily. This is because there is a separate justice system for Muslims and non-Muslims. Another example of how good leadership has led to economic growth in Dubai relates to tax. For instance, there is no tax on capital gains or income made from real estate. This is perhaps the main reason why the Dubai real estate market has been growing by double digits year after year. These tax rules have been an incentive for developers to invest in sky-scrapers, artificial islands and other architectural works of art that make Dubai what it is today.
While the Dubai leadership has embraced modernity and all it offers, the city is still a cultural and religious center. Dubai hosts the Souk. This is a traditional market where tourists and visitors can buy souvenirs, while locals can buy whatever they need. Before the discovery of oil in the United Arab Emirates, the Souks were the lifeblood of the local population. While things might have changed significantly, the souks are still important. Artwork from the Emirates as well as other parts of the world are usually on sale for people at the souks. It is very difficult for non-Muslims to get into a mosque anywhere in the world, but in Dubai, visitors can sign-up for a guided tour of Jumeirah Mosque.
The location of Dubai makes it suitable for international trade. The city basically links businesses from the East with those from the West. The Dubai International Airport was recently christened the Second Busiest International Airport in the world. It handled over 57 million passengers. It is appealing to businesses that want to export from Asia or import from the East because of its cargo and passenger handling capacity.
The efforts of the government to minimize dependence on oil revenue through diversification of the economy have been greatly successful. The city now has a well balanced economy with revenue streaming in from different sectors of the economy.