Are the Emirates really a worthable country for investment?

May 4, 2023

Most investors still prefer stocks of Western companies, especially American ones. Other opportunities abroad are not considered credible. Yet the UAE is a country that any good investor should consider. Read on to find out what it has to offer and how you can tell if a location is thriving.

 

Are investments in the Emirates trustworthy?

The credibility of each country was assessed by the company Kearney. It regularly ranks among the most prestigious consulting firms in the world. In its latest study, the UAE ranked 15th in the world and 1st in the Middle East region. The strongest argument in this case is the investor-friendly legislation. The country has established 20 duty-free zones. The Emirates grant a residence visa to anyone who owns at least part of a property here. In practice, it is enough to invest, for example, in a single hotel apartment.

Read more about how the Emirates and its legislation caters to investors.

The United Arab Emirates also offers tremendous stability, which has been tested by the events of recent months. The economy is sufficiently diversified not to be affected too much by any sudden situation. Thanks to strong international relations, the country is able to benefit not only from services and industry, but also from international trade.

The country's economic advantages include a high GDP per person, good creditworthiness of the federal government and an industry spread over many sectors. Its largest components are manufacturing, financial services and construction.

Invest in the future of tourism with a 9% annual return.

 

Where to invest in the Emirates

Země se snaží diverzifikovat své příjmy tak, aby nebyla závislá na těžbě ropy. Tamní úřady si dobře uvědomují, že její zásoby nejsou bezedné. Ropný průmysl je v dnešní době tedy spíše ohlédnutí za minulostí než realita. Nabízí se ale lepší investiční příležitost - kombinace investice do nemovitostí, cestovního ruchu a hotelnictví - koupě investičního apartmánu. Ten poskytuje veškeré výhody spjaté s investicí v Emirátech a nabízí i možnost vlastního užití.

The country is trying to diversify its income so that it is not dependent on oil production. The authorities there are well aware that its reserves are not bottomless. The oil industry today is therefore more a look back than a reality. But there is a better investment opportunity - a combination of real estate, tourism and hotel investment - buying an investment apartment. This provides all the benefits associated with investing in the Emirates and also offers the opportunity to own your own.

Tourism already represents 16.5% of the country's GDP. Thanks to its excellent geographical location between three continents, beautiful nature and favourable economic climate, the sector can be expected to continue to gain momentum rapidly. For this reason, an investment apartment or other property is the right choice for anyone looking to diversify their portfolio into different parts of the world.

 

 

How to know if a location is prospering

A good indicator of whether a country will continue to benefit from tourism is the amount of money invested in the construction of new hotels and tourism-related buildings. Each such project has well-mapped risks, opportunities and calculated returns.

New construction is growing every day in the Emirates, with some US$350 billion worth of projects under construction nationwide.

Invest with a 9% annual return. In the same place as developers.

Emirates offers returns you can't get anywhere else

If you are interested in investing in real estate, consider the United Arab Emirates. They will offer you better conditions than Western countries. They lead the world in rental yields, which are up to 10% per annum. They also hold the top spot in average occupancy rates for hotels and apartments. Hotels in the Emirates are 73.5% occupied year-round on average, and almost 80% in Dubai itself. In the Czech Republic, the average annual hotel occupancy rate is only 29.7%.

Would you like to invest in the Emirates but don't know how to do it? Arrange a non-binding meeting with us.