Dubai Land Department (DLD) has signed a Memorandum of Understanding (MoU) with Dubai Economic Council (DEC), during a recent meeting held at DLD’s headquarters. The MoU outlines the parties’ agreement to collaboratively prepare a detailed annual report entitled ‘The Prospects for the Real Estate Sector in the Emirate of Dubai.’
The MoU was signed by His Excellency Sultan Bin Mejren, Director General of DLD, and His Excellency Hani Rashid Al Hamli, Secretary General of DEC, at a ceremony attended by Dr. Abdulrazak Al Faris, Deputy Secretary General for Economic Affairs at Dubai Economic Council; His Excellency Majida Ali Rashid, Assistant Director General and Head of Investment Management and Promotion Center, the investment arm of DLD; in addition to members from the technical teams of both parties.
His Excellency Sultan Bin Mejren expressed his delight for the agreement signed between the two institutions to prepare a report on Dubai’s real estate sector. "This project is a progression of our long-standing and ongoing strategic partnership with Dubai Economic Council, which has involved collaborating on several projects such as reports and studies on the real estate sector in Dubai, and launching joint initiatives that aim to strengthen the role of the sector in Dubai’s economy”, Sultan said.
"We applaud the great achievements made by Dubai Economic Council in terms of its role as a strategic partner to the Government of Dubai in economic decision-making. We are pleased to be opening up new opportunities for cooperation with the Council, which will enhance transparency in the real estate sector and help investors to make right decisions based on accurate data. This will allow us to maintain the attractiveness of Dubai’s real estate sector and remain leaders in the competitive global market”, Bin Mejren added.
His Excellency Hani Rashid Al Hamli praised the vital role played by DLD in the organisation and development of the real estate sector. “DLD plays crucial role in enhancing the stability of the sector to reach the highest international standards, in addition to its efforts in encouraging new investments through proving attractive investment climate in the direction that consolidate the contribution of real estate sector to Dubai’s economy”, Al Hamli said.
Stability of real estate sector
Al Hamli stated that the real estate sector is of exceptional importance for Dubai’s economy, as it has made major contributions to the position of the Emirate as a global destination for business and living. "The government of Dubai has paid great attention to the real estate sector, due to its vital role in promoting social stability and its positive involvement with a number of other influential sectors, most notably tourism and retail”. “Today, the real estate sector’s contribution to Dubai’s GDP exceeds 13%", Al Hamli said.
Showing his full support to DLD’s initiative to launch a report on Dubai’s real estate sector jointly with the DEC, Al Hamli stated that the accuracy of the report’s data will be one if its key qualities. The data will be taken mainly from DLD’s rigorous database, and used as a basis for further analyses related to the sustainability of the real estate market in Dubai and approaches to enhance its competitiveness in the regional and global arenas.
" We are witnessing today a stability and growth in Dubai’s real estate sector… the Emirate becomes a region’s leading destination for foreign investors who are eager to work and live in a stable and thriving environment”, Al Hamli added. “This is due to the influx of critical initiatives launched by the government of Dubai to sustain economic growth, in addition to the legislations and rules launched by the DLD over the past few years, all have contributed significantly to the reliance of the sector", Al Hamli stressed.
Drivers of real estate growth
Al Hamli explained that Dubai’s economy is set apart from others in the region by two key characteristics: diversity and flexibility. “Despite the uncertainty surrounding the global economy and the perceived slow down in many regions; Dubai has experienced ongoing economic growth from 3.5% in 2010, to 4.6% in 2013, and then to 4.1% in 2015. Economic growth reached 4% at the end of 2016, which is higher than the global rate. Al Hamli stressed that the increase in Dubai development projects, in line with Dubai Plan 2021 and preparations for Expo Dubai 2020, will be drivers for further growth in Dubai’s real estate sector.
Al Hamli concluded by expressing his pleasure with the ongoing combination of DLD and DEC’s synergy and vision, which will allow for the implementation of several future projects that would significantly benefit the local economy.
Her Excellency Majida Ali Rashid, Assistant Director General and Head of Investment Management and Promotion Center, the investment arm of DLD said: "We are proud of our relationship with the DEC, which is part of a wider framework of coordination and cooperation that allows various government departments to work collaboratively, and together move towards achieving the vision of Dubai’s leadership and the Dubai Plan 2021. We are certain that this fruitful cooperation will be beneficial to all parties and support the Emirate’s promising prospects for economic growth."
“The report’s detailed data, indicators and analyses will make it the first of its kind. It will also offer new insights into the latest developments in Dubai’s real estate, and forecast future trends based on many variables that affect the sector. The report will be an important frame of reference for decision-makers, investors and citizens”, Rashid concluded.