Dubai economy to grow by 3.2%

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    DUBAI- Dubai’s economy will grow 3.2 percent in 2020, accelerating from expansion of 2.1 percent in 2019, the Department of Economic Development (DED) was cited as saying in a Twitter posting by the Dubai Media Office.

    The economy grew 1.94 percent in 2018, its slowest pace since a contraction in 2009, when it was hobbled by a debt crisis caused by a property crash.

    Dubai – with a diversified trade and tourism economy and one of the seven territories of the United Arab Emirates – has faced a slowing real estate market for most of the decade, barring a brief pickup more than five years ago.

    Housing oversupply has driven prices down at least a quarter since 2014.

    Dubai is banking on Expo 2020 to boost economic activity as the event could attract 11 million foreign visitors, organizers have said.

    But while this may give a boost to tourism and improve conditions for the retail sector, the emirate’s real estate market – crucial to Dubai’s economy – is unlikely to be affected, rating agency S&P said recently. – Reuters