Too good to be true? Expo 2020 expected to raise cost of living, generate minimal returns
Around 91 per cent of UAE residents strongly believe that the upcoming Expo 2020 in Dubai will push up the cost of living across the country, according to a new survey by Insight Discovery.
Out of 1000 residents polled, around 16 per cent of the respondents said they doubted if the event would deliver any benefits once it is over.
Despite such a perception, the survey found that the majority of residents felt that Expo 2020 would positively impact their lives and fuel more jobs into the economy.
Almost 57 per cent of residents said that the event would lead to job creation while around 52 per cent agreed that it will have a positive impact on their lives.
A large number of respondents also said that they would like to know more about the Expo.
Media and communications, financial services, real estate, retail, telecoms and tourism were some of the sectors that were thought to benefit the most from Expo 2020, according to residents.
Around 60 per cent of the respondents said that tourism would benefit more in 2018 to 2020 in comparison to the early period where tourism is estimated to grow by almost 40 per cent, the survey said.
“They now face the challenge of managing the expectations and perceptions of residents and other stakeholders over the next six years,” said Nigel Sillitoe, CEO of Insight Discovery.
“The years leading up to this event will be demanding on infrastructure and services, but nevertheless we are confident that Dubai will deliver like it has always done.”
Dubai’s successful bid to host the Expo is expected to add around 4.5 percentage points to the UAE’s GDP, according to a Qatar National Bank report.
A survey by CFA society last year found that almost half of the investment professionals polled are concerned that the Expo will create another economic bubble in the emirate.
The mega event is estimated to trigger investments worth billions of dollars into Dubai during the next few years, evoking fears of a boom-bust cycle, which hit the emirate in 2008.
However, experts have dismissed reports of a possible bubble in the economy due to Expo 2020 and have assured that the growth is sustainable.
- Tunisian, Moroccan Chambers of Commerce meet to discuss economic partnership
- Winter wonderland: Dubai debuts Aspen Chalets with view of Ski Dubai
- Egyptian economic experts predict inflation rate will continue to climb
- Shoura Council: Expats cannot buy property in Mecca, Medina, Riyadh
- Tensions increase between Egypt, Italy over renewable energy projects
- OPINION: Is it simply too costly to live in the UAE?
- Too good to be true? Dubai residents feeling underpaid
- Business tourism in Dubai expected to grow in line with Expo 2020
- VAT in the UAE expected to generate up to $3.2B in 2018
- 8-year-old Yemeni child dies at hands of 40-year-old husband on wedding night