Emirates Leaks

A government propaganda machine fails to promote an improvement in Dubai’s collapsing economy

12

Emirates Leaks learned that the Dubai authorities had intensified the infusion of propaganda to promote the improvement of the collapsing economy in the emirate, which is refuted by official statistics.

The Dubai authorities promoted the exit of the real estate market in the emirate from a six-year crisis at the hands of wealthy international investors.

Earlier, the Dubai authorities took measures to reduce measures to combat the Coronavirus outbreak and revitalize its economic situation.

Propaganda reports claimed that international investors fled the lockdown measures related to the Coronavirus in their countries to lead Dubai to purchase large sums of luxury housing units.

The real estate market in Dubai has witnessed a decline since 2014 and has hibernated with the spread of the Coronavirus last year and the closure of Dubai’s doors.

Propaganda reports claimed that Dubai had witnessed an increase in the volume of transactions after easing measures to combat the Corona outbreak.

It also claimed that travel and tourism companies recorded a remarkable recovery in performance, amid growing hopes for an increase in tourism later this year, supported by the rapid distribution of the vaccine.

However, Dubai has a long way to recover in a volatile market that made a lot of wealth and then lost it, given the reality of tension over the possibility of continuing the recent upsurge.

Passenger traffic at Dubai Airport decreased by 67.8% in the first quarter of this year.

Official statistics also showed that inbound tourism to the Emirate of Dubai declined during the first four months of this year by 56 percent on an annual basis.

According to the Department of Tourism and Commerce Marketing statistics in Dubai, the emirate received 1,670,000 tourists compared to about 3,840,000 thousand during the comparative period last year.

The tourism sector, which is so important to the emirate, was dealt a major blow due to the tight restrictions imposed by Dubai on the entry of foreigners, as the travel ban was permanently banned in April 2020, before it resumed receiving tourists from July 7, 2020, amid a slow recovery due to health concerns and the emergence of new strains of the virus.

According to the data, India came at the top of the largest export market for inbound tourism to Dubai during the period, with 390,000 visitors, followed by Russia with 144,000, France 62,000, and then the United States 54,000, and Pakistan 51,000.

Inbound tourism numbers to Dubai decreased by 64 per cent during 2020, to 5.51 million visitors, compared to 16.73 million in 2019.

Before the pandemic, Dubai (the most popular tourist destination in the Emirates) accounted for 67 per cent of the number of tourists. At the same time, the share of the capital, Abu Dhabi, is 18 per cent. The rest is distributed among the rest of the Emirates.

According to the expectations of the Standard & Poor’s Global Credit Ratings agency, the echo of the shocks of 2020 will continue to reverberate in the economy of the Emirate of Dubai. It will not return to pre-Corona pandemic levels before 2023.