Rents dropped in Abu Dhabi and Dubai, where housing supply continues to exceed demand. New construction continues, with thousands of new units expected to enter both markets in the near future.
The GCC and collective tax reforms: Gulf Cooperation Council (GCC) member countries first agreed to collective tax reforms in 2016, including directives to implement a VAT of 5%, as well as excise taxes, also known as selective taxes, and commonly referred to as “sin taxes.”
While on the roads in Abu Dhabi and Dubai, you’re as likely to pass delivery-laden motor scooters as you are Lamborghinis, and all enjoy the smooth, well organized road systems in the country. Much of the urban areas of the United Arab Emirates are new compared to other major cities in the world and have benefitted from superior construction technology and modern planning philosophies not available in past decades.
In my travels in the Middle East, ongoing construction has been a consistent sight, with plentiful cranes part of every skyline. While new skyscrapers and stadiums can be the most visible landmarks of expanding Gulf cities, the transportation infrastructure can’t be overlooked in its ability to transform daily life.
Over twenty countries have published double-digit annual inflation in the categories of alcohol and/or tobacco over the past three months.
The rental housing market in Abu Dhabi is coming steadily down due to the high number of quality new properties that have come on the market, as well as fewer expatriate arrivals.
The GCC isn’t alone in searching for new ways to raise revenue and curb behavior—similar excise taxes have been enacted worldwide