Dubai business community praise 2009 budget
Dubai’s government budget for 2009 will boost the Dubai economy, economists and executives predict. The Dubai government’s 2009 budget which increased the government public sector spending by 42 per cent to Dh37.7 billion was widely welcomed by Dubai’s business community on Sunday.
Almost half of the budget is earmarked for infrastructure spending. “The increase in infrastructure spending is very positive,” said Dr Nasser Saidi, Chief Economist at the Dubai International Finance Exchange. Saidi believes the surge in infrastructure and public works spending will support the Dubai construction and contracting sectors, which are both of critical importance to Dubai’s economy.
Other business leaders have offered similar praise with a cross-section of businessmen, bankers, economists and senior bureaucrats hailing the budget as growth oriented and investors also appear to be more confident, with the Dubai Financial Market General Index closing up 0.4 per cent.
Dr Ahmad Al Bana, a UAE economist, said the 2009 budget increase underlines the long-sightedness of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai. This will restore confidence in all sectors, especially development and infrastructure projects, Al Bana claimed.
Aref Obaid Al Muhairi, Director General of the Dubai Statistics Centre, claimed the increase in government expenditure would restore investor confidence, increase growth rate and motivate the private sector to play its anticipated development role.
