16 years of nurturing a community of choice for health and wellness in the UAE 2002
2014
2004
2015
Launched by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE, and Ruler of Dubai
Set up the independent regulatory body of the free-zone
2005
First clinic opened its doors to the public
2009
Received ISQua accreditation for outpatient clinical standards
2010
Launched the Patients’ Rights Charter and crossed a milestone of 800,000 patient visits
Established the Mohammed Bin Rashid University of Medicine and Health Sciences (MBRU)
Launched the DHCC Phase 2 ‘Expansion into Wellness’ and welcomed the first business partner
2017
Launched MASAAR - the online regulatory service platform
Visit dhcc.ae to learn more
The definitive destination for performing arts in Dubai, bringing arts and music to life like never before. Dubai Opera is a truly unique venue and the city’s first purpose built multi-format performing arts theatre, situated in the heart of Downtown Dubai. With an iconic dhow-shaped design rooted in Emirati heritage, Dubai Opera offers the ultimate flexibility of a proscenium arch theatre, an acoustic concert hall and a 2000m2 flat floor event space, and is the definitive destination for quality
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entertainment productions and performances. Dubai Opera’s stage hosts an incredible array of world-class talent, with opera, ballet and classical music concerts and productions at the core, Dubai Opera also stages musical theatre, fashion shows, jazz, comedy, family shows and a full range of live entertainment.
In Theatre mode, the space is suitable for large-scale drama productions, musicals, ballets, lectures, and conferences, seating up to 2,000 people, depending on configuration. When transformed into a concert hall, a series of towers and reflectors on stage and overhead are designed to create an acoustic shell around the orchestra, enabling an
impeccable acoustic environment for a perfect sound quality. The building’s unique architecture allows to also host a variety of events such as weddings, trade shows, art galleries and exhibitions, receptions and parties, using its “flat floor” mode.
dubaiopera.com
CONTENTS
CHAPTER 1 | THE UAE PAST & PRESENT
12 14 18 22 24 26 06
1.1 Year of Zayed
Reflecting the groundbreaking work of Sheikh Zayed, the UAE’s founding father
1.2 The Centennial Plan
Examining the UAE’s roadmap to becoming the best country in the world by 2071
IN FOCUS: Dubai Chamber of Commerce and Industry
1.3 Sustaining tomorrow
The UAE’s strategic approach to driving sustainable living to preserve the environment
1.4 Sustainable innovation
The UAE’s sustainable construction and agriculture achievements
1.5 Science
The story behind the National Advanced Science Agenda 2031
UAE 2019 — ACCELERATING THE FUTURE
CHAPTER 2 | ECONOMIC DRIVERS
30 32 34 36 38 40 42 46
2.1 The Islamic economy The key sectors driving the UAE’s Islamic exports, finance and trade
2.2 Economic snapshot
Key economic highlights of the last 24 months, and forecasts for the coming years
IN FOCUS: Ras Al Khaimah Economic Zone 2.3 Media in the UAE
How the UAE forged a leading role in the world’s second-fastest growing media industry
IN FOCUS: Seven Tides real estate & hospitality
2.4 The fintech future
The sandboxes and initiatives pioneered by DIFC to drive fintech development
IN FOCUS: Dubai Healthcare City Authority
2.5 Advancing humanity The leading work underway at Area 2071, that is set to transform tomorrow
CHAPTER 3 | ROAD TO TOMORROW
49 50 52 54 57 58
3.1 Connecting the world The next-generation transport technology being developed in the UAE
3.2 Aviation
Following a future vision for aviation that will bring 3D-printed aircraft parts and unmanned aerial systems
3.3 The Emirates experience
The story behind the world’s largest international airline, as told by Sheikh Ahmed bin Saeed Al Maktoum
3.4 Tomorrow’s transport How a Hyperloop network, due to begin construction in 2019, will transform the UAE
3.5 XLab
The Area 2071 lab where aviation is being re-engineered for tomorrow
3.6 Driverless transport
The smart, autonomous vehicles that will ferry residents and visitors, as soon as 2020
CHAPTER 4 | POSTCARDS FROM THE UAE
60 62 64 68 72 74 78 81 82 85
4.1 Tourism and culture
Tourism will contribute 12.4% to GDP by 2027 as millions of visitors arrive in the UAE
4.2 Around the emirates A snapshot of the seven emirates and the unique attractions of each
4.3 Ras Al Khaimah
The UAE’s home of adventure will boast 12,000 hotel rooms by 2022
4.4 Sharjah
Thanks to its rich culture and heritage, Sharjah plans to welcome 10 million guests by 2021
4.5 Eco-tourism
The projects supporting attainment of the UN’s Sustainable Development Goals
4.6 Abu Dhabi
The capital emirate offers a diverse experience taking in both the old and new UAE
4.7 Leisure and entertainment
The theatres, arenas and theme parks keeping the UAE entertained
4.8 Ajman
With heritage, nature and retail, Ajman expects to welcome 800,000 visitors in 2021
4.9 Dubai
How the UAE’s most popular emirate will reach its 20 million visitor target
4.10 Dubai Opera
The opera house’s CEO explains the wider context of the iconic venue
UAE 2019 — ACCELERATING THE FUTURE
07
CHAPTER 6 | BUSINESS IN THE UAE
96 98 100 CONTENTS 101 102 86 104 88 90 94 CHAPTER 5 | EXPO2020
5.1 The Dubai Expo
An overview of the event that will redefine the UAE’s role as a pioneer of the future
5.2 The Expo executives
The senior leaders directing the work of thousands of people, across multiple locations and teams
6.1 Business landscape The pro-business environment driving SMEs, entrepreneurs and start ups to succeed
6.2 Business set up
Saeed Khalifa Mohammed Al Fuqaei, chair of Shuraa, explains company formation structures
6.3 Blockchain
Behind the IT revolution that will change how governments operate and communicate
6.4 UAE securities exchange
A roundup of the international trade opportunties on offer
6.5 Post-Brexit trade
The British Chamber of Busines outlines the UAE’s primary opportunities
6.6 UAE Investments
How, where and when to invest in the UAE, as explained by Khaled Talhouni, Wamda Capital
5.3 The masterplan
The full details of the Expo site, construction progress and major pavilions
5.4 Sustainable Expo
How and why the UAE’s Expo will be the greenest in the event’s history
Published by GT MEDIA ME Publisher: Khaled Algaay Editor: Melanie Mingas Art Director: Steven Castelluccia Business Development: Tom Kennedy
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UAE 2019 — ACCELERATING THE FUTURE
An official publication of the Embassy of the United Arab Emirates in London
Published by 20-22 Wenlock Road, London N1 7GU, United Kingdom Telephone: +44 207 608 5137 www.gtmediame.com
Copyright 2017. The entire contents of this publication are protected by copyright. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means: electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher. The views and opinions expressed by independent authors and contributors in this publication are provided in the writers’ personal capacities and are their sole responsibility. Their publication does not imply that they represent the views or opinions of the Government of the United Arab Emirates or GT Media ME and must not be regarded as constituting advice on any matter whatsoever, nor be interpreted as such. The reproduction of advertisements in this publication does not in any way imply endorsement by the Government of the United Arab Emirates or GT Media ME of products and services referred to therein.
LETTER FROM THE AMBASSDOR
A UNIFIED VISION
T
he UAE is a country built on ambition, opportunity and, above all, excellence. In this spirit, preparations are already underway to celebrate the 100-year anniversary of the country’s unification, in 2071.
Ahead of this momentous occasion, our wise and dedicated leaders have created a roadmap to secure the UAE’s place as the best country in the world. Among other things, the Centennial Plan 2071 outlines the development of advanced technology, new ways to communicate and travel, and the creation of a knowledge-based economy. However, above all, it addresses some of the most challenging problems facing humanity today — from feeding a growing global population, to creating sustainable built environments and sending the first manned mission to Mars. In the UAE, even the sky provides no limit. Work on the Centennial Plan commences as the country prepares for Expo2020; itself designed to be a showcase of human ingenuity. Expo will set the scene for the coming decades, inspiring the next generation of idea makers and rule breakers, and placing the UAE at the forefront of global development in a number of key sectors. In doing this, it is imperative that we take the opportunity to collaborate across borders, languages and beliefs, to secure the best future we
can for all of humanity and I am proud that the UAE has taken on this duty. UAE 2019: Accelerating the Future, outlines the UAE’s exciting work to develop Hyperloop transit systems, a space agency and new, AI-powered technologies. It also provides exclusive insight and commentary from key personalities across government, the public and private sectors, who are already leading the changes of tomorrow. As the UK carves a new and independent place on the world stage, bonds must be forged with countries that can provide true opportunity overseas. As the UAE’s ambassador to this vibrant and progressive nation, it gives me immense pride to present some of these opportunities in UAE 2019: Accelerating the Future. In the words of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the United Arab Emirates, and Ruler of Dubai, “Preparing for our future is a necessity, not a luxury,” and I invite all those who share the UAE’s vision for a progressive and cohesive global society, to join our vision.
HE Sulaiman Hamid Almazroui Ambassador of the United Arab Emirates to the United Kingdom
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UAE 2019 — ACCELERATING THE FUTURE
UAE 2019 — ACCELERATING THE FUTURE
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Explore
the essence of Culture, Art, and Adventure
Experience gracious welcomes and captivating adventures; discover the hidden gems in Sharjah
1.1 | YEAR OF ZAYED
CELEBRATING THE UAE’S FOUNDING FATHER Celebrating 100 years since the birth of its founding father, the UAE declared 2018 the Year of Zayed and marked the occasion with dozens of high-profile commemorations across the seven emirates
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UAE 2019 — ACCELERATING THE FUTURE
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he Year of Zayed commemorates the life, vision and achievements of the UAE’s founding father, the late Sheikh Zayed bin Sultan Al Nahyan, 100 years after his birth. Sheikh Zayed established the UAE Federation on 2nd December 1971, giving the country international political legitimacy and uniting its people through the promotion of harmony, cohesion and solidarity. Instilling the values of wisdom, respect, sustainability and human development in the Emirati people, to this day Sheikh Zayed’s philosophies remain central to the UAE’s international foreign policy, as well as its position as a leading soft power on the global stage.
YEAR OF ZAYED | 1.1
Elected leader of the UAE by the rulers of the federation’s emirates, Sheikh Zayed served as the country’s first president, from February 1972 until his death in 2004. Announcing the Year of Zayed in 2017, His Highness Sheikh Khalifa bin Zayed Al Nahyan, President of the United Arab Emirates and Ruler of Abu Dhabi, said: “The Year of Zayed is a great national occasion when we will proudly share memories of the life of the founding father, Sheikh Zayed bin Sultan Al Nahyan, and his gift to us of deeply-rooted values, principles and traditions that have become part of our Emirati identity. “The Year of Zayed will be a year in which the nation preserves the legacy of Zayed, and our people will live the values of Zayed, and work together to fulfil the vision of Zayed,” he added. Beyond the official celebrations, the people of the UAE were keen to host their own events and the Founder’s Office received more than 600 proposals for such celebrations between January and the start of May 2018. Consistent with the values of the late Sheikh, celebrations were intended to involve people of all ages, nationalities, faiths and backgrounds in the UAE and internationally. The hundreds of events that took place included a special aerial display at the Mother of the Nation festival on Abu Dhabi Corniche, with 500 drones lighting the sky; special audio and video shows at the National Archives; and on UAE National Sports Day, 1,000 students participated in a 15 kilometre torch relay. April saw the unveiling of the Founder’s Memorial in Abu Dhabi, created by artist Ralph Helmick; a constellation of 1,327
geometric shapes, suspend from 1,110 cables to form a 3D profile of Sheikh Zayed. On his official birthday, on 6th May, six special livery Emirates aircraft landed on six continents and the Burj Khalifa was illuminated with Zayed’s image.
A GLOBAL MESSAGE Sheikh Zayed dedicated his life to promoting peace and progress across the Middle East, and believed that countries can achieve greater prosperity when they collaborate for the good of the people. In line with this, in 2017 the Organisation for Economic Cooperation and Development (OECD) named the UAE the world’s largest official development aid donor for the fifth consecutive year. In 12 months, the UAE donated AED19.32 billion to 147 countries, an increase of 23.72% on the previous year. Asia received almost 43% the UAE’s aid, with around 28% donated across Africa and 23% to Europe. Further, Yemen received AED2.97 billion. Commenting on the achievement, His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, said: “The good of the UAE is for all humanity that is how Sheikh Zayed founded the country.” The year also provided an opportunity to remind the world of Sheikh Zayed’s legacy and, helping to spread that message, Etihad Airways also marked the Year of Zayed with branded livery and educational initiatives, followed by a bespoke branded freighter aircraft launched to conduct humanitarian flights for charitable organisations throughout the year.
ESTABLISHING THE UAE On 16 January 1968, after the announcement of British withdrawal from east Suez and the Gulf, Sheikh Zayed established closer ties with the leaders of the other emirates and, together with the then Ruler of Dubai, the late Sheikh Rashid bin Saeed Al Maktoum, they discussed how they could shape a collaborative roadmap for the future. After three years of planning between the two rulers, the sheikhs of Sharjah, Ajman, Fujairah and Umm Al Quwain, in collaboration with the rulers of the other Trucial States, started to determine the essential nature of a unified Emirati nation. Then, on 2 December 1971, the six-emirate UAE emerged on the international stage, with Ras Al Khaimah joining on 10 February 1972. Sheikh Zayed was selected president by the other rulers and acceded to the new federation the same day. As well as the UAE, Sheikh Zayed was a leading force in the foundation of the GCC, under his vision to unite Gulf countries with similar economies and common tribal social structures. The Charter of the Council was signed on 24 May 1981 in Abu Dhabi by the heads of its member states: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.
YEAR OF ZAYED COMMEMORATIONS THE FOUNDER’S MEMORIAL: A park where visitors can learn about Sheikh Zayed through art, nature, words, stories and multimedia experiences. NATIONAL ARCHIVES: The story of Sheikh Zayed, narrated in 100 minutes and through 100 films by the National Archives, to honour the Sheikh’s values and achievements. FLYING HIGH: Emirates landed six special Year of Zayed livery aircraft on six continents for the May 6 centennial celebrations and Etihad Airways launched a youth programme to inspire children to become pilots. The airline also operated a branded freighter aircraft to carry out humanitarian missions and unveiled a Year of Zayed-themed plane. DRONE DISPLAY: Lighting up the sky along Abu Dhabi Corniche, the display saw 500 drones fly above the Mother of the Nation festival. Hot air balloon: a balloon carrying the Year of Zayed message travelled across Jordan, flying over key cities including Petra, Al Karak and Disah in Wadi Ram.
The celebrations even extended to UAE Immigration, with commemorative immigration stamps issued.
THE NEXT CENTURY While the Year of Zayed commemorates the vision and achievements of the UAE’s founding father, the country is also engaged in a series of economic diversification and development initiatives. These include Vision 2021, which will place the UAE at the centre of global trade, tourism and Islamic finance; UAE Energy Strategy 2050, which sets out the blueprint for the UAE’s sustainable energy infrastructure; Abu Dhabi Economic Vision 2030; and the Centennial Plan 2071. While the Year of Zayed promoted celebration and reflection on the last 100 years, attention now turns to the next 100 years. Paving the way for the UAE to become the best country in the world by 2071, this roadmap for the future positions the UAE at the forefront of global work in innovation, advanced technology, science, space travel and sustainability.
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1.2 | CENTENNIAL PLAN 2071
ACCELERATING Always looking to the future, the UAE has announced strategic plans for the coming five decades that will see it become the best country in the world by the 100-year anniversary of its unification
THE
FUTURE
>> KEY MILESTONES TO 2071
014
ABU DHABI POLICE CENTENNIAL VISION 2057
UAE ENERGY STRATEGY 2050
FUJAIRAH 2040 PLAN
UAE WATER SECURITY STRATEGY 2036
NATIONAL ADVANCED SCIENCES AGENDA 2031
Includes more than 50 strategic initiatives harnessed by AI and proactive thinking in future security work, as well as plans to design a police station for the UAE Mars colony by 2117.
The first unified energy strategy in the country based on supply and demand. Clean energy will account for 50% of production by 2050, reducing the carbon footprint of power generation by 70%.
Focusing on the improvement of housing and transport infrastructure, as well as ports, residential complexes and new healthcare facilities.
The objectives of the strategy includes reducing total demand for water resources by 21%.
Outlining the UAE’s high priority for scientific objectives under eight priority areas. The Agenda aims to utilise advanced sciences in the development and creation of solutions for the future.
UAE 2019 — ACCELERATING THE FUTURE
CENTENNIAL PLAN 2071 | 1.2
“Rapid changes require us to prepare future generations with new tools, knowledge and different skills, to enable them to succeed in a world that will be very different from the times we live in today” HH Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the United Arab Emirates, and Ruler of Dubai
U
nveiled in March 2017, the UAE’s Centennial Plan 2071 is the definitive roadmap for a nation that is no stranger to big ambitions. Covering the five decades after the attainment of Vision 2021, it is described as a long-term, full vision plan designed to invest in the knowledge and skills of future generations in order to meet the challenges and changes of a rapidly advancing world. Ultimately, in accelerating the key drivers of tomorrow’s innovations and investing in the country’s youth, the UAE aims to become the best country in the world by its 2071 centennial. The Centennial Plan itself is a comprehensive, government-driven national strategy to strengthen the UAE’s reputation as a soft power; ensure government revenue is diversified, relying less on oil; invest in research and development; introduce education programs focused on advanced IT and engineering; and consistently build Emirati values and ethics for future generations. The strategy is inspired by a lecture delivered by Sheikh Mohammad Bin Zayed Al Nahyan, Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces, in which he set out the future vision of the UAE. Developed under four key pillars, the Centennial Plan covers education, economy, development of the government, and cohesion in society. There are a series of milestones to achieve on the journey to 2071 (see timeline), incorporating energy production,
economic diversification, landmark projects and advancements in emerging technology. The government is investing heavily in such areas as renewable energy development — AED50 billion will be invested in the Mohammed Bin Rashid Al Maktoum Solar Park to 2030 — and urbanisation and development projects. Under the Fujairah 2040 Plan, the emirate will receive AED1.5 billion for social and transport infrastructure projects. Other developments include the Mars Scientific City, an interactive simulation experience and museum valued at AED500 million and covering 1.9 million square feet. Supporting societal goals, a consultative youth council will be established to engage the Emirati and resident youth, and gauge their opinions on key issues and ideas. In the first cabinet meeting to discuss the Centennial Plan, 120 initiatives were launched by 450 senior officials, over two days of meetings. In line with the Plan’s central pillars, the projects cover 30 local and federal sectors and will support such existing innovation hubs as Area 2071, currently located in Emirates Towers. Designed as a “flexible, enriching environment for residents and visitors”, Area 2071 mimics the ecosystem of a garden to nurture untapped potential in all its inhabitants. Intended to unite the world’s greatest minds, work will focus on global
UAE STRATEGY FOR ARTIFICIAL INTELLIGENCE 2031
DUBAI AUTONOMOUS TRANSPORTATION STRATEGY 2030
ABU DHABI ECONOMIC VISION 2030
DUBAI 3D PRINTING STRATEGY 2030
By 2031, the UAE will be fully reliant on AI for government services and data analysis.
Expected to generate AED22bn in annual revenue, 25% of total transportation in Dubai will be autonomous by 2030.
The completion of seven economic strategies to transform the emirate’s economy, including a reduced reliance on oil and a greater focus on knowledge-based industries.
Under three key sectors and five pillars, work will focus on boosting the agility and cost effectiveness of such sectors as medicine, architecture and construction.
VISION 2021
>>
The long-term plan that aims to make the UAE one of the best countries in the world by year of its Golden Jubilee.
EMIRATES BLOCKCHAIN STRATEGY 2021
Aims to capitalise on blockchain technology to transition at least 50% of all government transactions to new, secure and efficient platforms.
UAE 2019 — ACCELERATING THE FUTURE
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1.2 | CENTENNIAL PLAN 2071
warming, artificial intelligence (AI), medical advances, world hunger and improving global literacy. Announcing the Centennial Plan, Sheikh Mohammed tweeted: “Rapid changes require us to prepare future generations with new tools, knowledge and different skills, to enable them to succeed in a world that will be very different from the times we live in today.”
STEP BY STEP While the UAE is on track to achieve its economic diversification targets long before 2071, the next objective is to establish an economy based on innovation, leadership and advanced industries. Each of the Centennial Plan’s four objectives clearly define the future direction of the UAE’s
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driving forces: its youth, innovation and ability to adapt to and drive change. Government objectives include establishing the UAE’s leadership as the best government in the world, with a long-term vision and inspirational direction that “anticipates and prepares for the future”. Other objectives include achieving happiness in society and spreading positive messages, in addition to developing mechanisms to monitor long-term variables in multiple sectors and measure their impact on future generations. It starts with the education system, which will play a key role in the development of national talent. The Centennial Plan’s heavy focus on future skills is reflected in a new national curriculum
“With these targets on track for attainment at the start of the next decade, the UAE is already engaged in projects that will define the next 100 years of its story”
NATIONAL INNOVATION STRATEGY
DUBAI PLAN 2021
SHARJAH TOURISM VISION 2021
AJMAN 2021
THE HOPE PROBE MISSION, 2021
Launched by Sheikh Mohammed in 2014, the strategy places focus on sectors where innovation is key to excellence: renewable energy, transport, education, health, technology, water and space.
Addressing the urban environment including both natural and built assets, Dubai Plan 2021 looks at the living experience of the emirate’s residents and visitors.
Aims to attract more than 10 million tourists a year to the emirate by 2021, when the UAE celebrates its 50th anniversary.
Focuses on building a happy society that will contribute to building a green economy backed by a distinguished government, in harmony with the UAE Vision 2021.
The UAE will execute the Arab world’s first mission to Mars when it sends an unmanned spacecraft to the Red Planet under its probe, Hope.
UAE 2019 — ACCELERATING THE FUTURE
CENTENNIAL PLAN 2071 | 1.2
CENTENNIAL PLAN 2071
The foundations for the Centennial Plan
were laid in Vision 2021; the development roadmap launched in 2014, with a National Agenda that prioritises economic diversification, sustainability, education, healthcare, society, and the Knowledge Economy. With these targets on track for attainment at the start of the next decade, the UAE is already engaged in projects that will define the next 100 years of its story. Not only are succession plans in place until 2071, further targets have been outlined for 2117 — a century since the launch of the Centennial Plan itself. The UAE is one of the top nine nations globally for investment in space sciences and the headline target for 2117 is to establish the first inhabitable human settlement on Mars. The Mars 2117 project, pioneered by the Mohammad Bin Rashid Space Centre, focuses on preparing specialised national cadres and developing their capabilities in the fields of space science, research, AI, robotics and advanced space technologies. Interim targets will see the launch of Hope in 2021, a non-manned probe to Mars and the Arab world’s first mission to the red planet. Even before reaching Mars, the UAE’s plans for the next 100 years can seem truly out of this world and for those beyond the country’s borders it can be difficult to imagine how the coming decades will play out. Momentum is already building, currently driven by the final preparations for Expo2020. The pace is set to continue as a re-energised Emirati economy emerges in 2021, fuelled by continued demand from a generation of new infrastructure, tourism attractions and business accelerators that lay the foundations for a prosperous future.
EXPO 2020
THE TOWER, 2020
EDUCATION 2020
THE FIRST NUCLEAR REACTOR, 2018
The unveiling of the world’s next record breaking sky scraper, The Tower at Dubai Creek Harbour will be the world’s tallest tower when completed in 2020.
Developed by the UAE Ministry of Education, Education 2020 will see the introduction of smart learning programs, new teachers’ codes, licensing and evaluations systems, as well as curriculum revisions.
The UAE’s nuclear power project is the world’s largest single nuclear project and its first reactor opens in 2018 at the Barakah plant at Al Dhafra, Abu Dhabi.
with options to study advanced science and technology, space science, engineering, innovation and health sciences. Dovetailing these subjects, soft skills in cultural understanding and tolerance will also be included. Teachers will focus on creating an ethos of openness by teaching history, culture, the civilisations of other countries and new languages such as Japanese, Chinese and Korean. Supporting personal development, students will be nurtured to discover and pursue their talents from an early age. On the institutional level, educational establishments will be encouraged to innovate and evolve into international research centres, strengthening the overall education system. With this in place, the Centennial Plan next seeks to establish a diversified economy through increased productivity, derived from both the public and private sectors. Incentivising business and economic growth, national companies will be supported to compete on the global stage through investment in research and development across key sectors. Once in place, these elements will nurture a generation of Emirati inventors and scientists, whose breakthroughs will create a new export industry in advanced national products and services. Socially, community development will focus on the continued growth of a secure, tolerant, cohesive and ethical society that embraces happiness in lifestyle and provides a high quality of life. Programs will be introduced to prepare future generations to serve as UAE ambassadors and role models, as well as promoting women’s participation across all sectors.
THE CENTENARY AND BEYOND
Between October 2020 and April 2021, Dubai will host Expo 2020, welcoming more than 180 exhibiting nations and a global audience of 25 million visitors.
MOHAMMED BIN RASHID AL MAKTOUM SOLAR PARK, 2020 The largest single-site solar park in the world will begin operations by the final quarter of 2020, with a capacity of 5,000Mw. The project will also have the world’s tallest solar tower, reaching 260 metres.
HH Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the United Arab Emirates, and Ruler of Dubai, announces the Centennial Plan 2071 “Brothers and sisters, today we launched the UAE Centennial 2071 project to put in place a vision that extends to five decades and to prepare the nation for future generations. “The vision is based on the lecture of His Highness Sheikh Mohammad Bin Zayed Al Nahyan, Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces, for future generations, and the goal is for future generations to live a happier life in a better environment, with bigger opportunities and stronger communication with the world. “UAE Centennial Plan 2071 is based on four aspects: Education, economy, government development and community cohesion. The goal is for the UAE to be the best country in the world by 2071. The vision’s objectives also include the development of education, with a focus on advanced technology and engineering, and instilling our Emirati moral values system in future generations. “We have plans up to 2021, and with UAE Centennial Plan 2071 we will have a vision for the next five decades. It sets a clear map for long-term government work: future generations will need foundations and pre-set tools that we are introducing today; there needs to be an environment for growth, and this is something that we should think about from now. “Rapid changes requires us to prepare future generations with new tools and knowledge and different skills that enable them to succeed in a world that we will be very different from the times we live in today.”
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IN FOCUS
BUSINESS BEYOND BORDERS 018
UAE 2019 — ACCELERATING THE FUTURE
H.E. Hamad Buamim, CEO, Dubai Chamber of Commerce and Industry
IN FOCUS
HE Hamad Buamim, President and CEO of Dubai Chamber of Commerce and Industry, reflects on the achievements of 2018 and discusses the new opportunities on the horizon
What is Dubai Chamber’s role in the development and success of the emirate’s business eco-system? Since its inception, Dubai Chamber has strived to facilitate a favourable and stimulating business environment in Dubai by way of a four-pillar strategy. As a representative of the private sector, we protect the interests of the business community in Dubai and provide companies with the support, services, knowledge and tools they need to thrive and grow. Through trade missions, seminars, forums, presentations and networking events organised throughout the year, Dubai Chamber provides its members and the business community in Dubai with access to new growth opportunities. The Chamber’s 2017-2021 customer-oriented strategy places a major focus on the key areas where Dubai is investing, such as innovation, entrepreneurship and smart services. Approximately US$27 million is currently being invested by the Chamber on innovation-focused projects and initiatives, with next-generation businesses being supported by initiatives that include the Dubai Smartpreneur Competition, Dubai Startup Hub, the Mohammed Bin Rashid Al Maktoum Business Innovation Award, the Dubai Innovation Index, and the Dubai Innovation Portal, which aim to foster a culture of innovation within Dubai’s business community.
What were the key highlights for Dubai Chamber in 2018? I would say that 2018 was a very productive year for us as we boosted our international presence in Latin America and Asia, and established new relationships with public and private sector stakeholders in those regions. The opening of Dubai Chamber’s offices in Panama and India were important developments, which complemented our efforts to explore promising markets around the world and identify business opportunities that offer the most potential for our members. We hope to expand our reach to Argentina in the near future as trade links between UAE and Latin American companies broaden and grow. Dubai Chamber recorded a 106% year-on-year increase in the number of international delegations hosted during the first half of 2018, with 721 visiting delegations received. During the same period, the Chamber promoted Dubai at 41 outdoor events in 32 cities across 24 countries around the world, including China, Latvia, Lithuania, Estonia, Spain, Kenya, Russia, Belarus and Colombia. In addition, the Chamber’s international offices held 482 meetings with companies and
investors interested in establishing businesses in the emirate. As part of its efforts to stimulate economic partnerships, attract leading foreign companies to the emirate and introduce investment opportunities, Dubai Chamber organised 14 business forums and events in the first six months of 2018, with more than 2,694 participants attending. Most notable were the Global Business Forum on Latin America, the UAE-Greece Business Forum, the UAE-Korea Business Forum, the UAE-Tanzania Business and Investment Forum, and the UAE-Moldova Business Forum. These activities reflect the Chamber’s strong commitment to promoting Dubai as a global business hub and attracting foreign companies that are keen to set up in Dubai or leverage the emirate to access surrounding markets. Our network of 10 representative offices across Africa, Asia, Latin America and the CIS region played a major role in assisting companies that want to learn more about the Dubai market and explore bilateral business opportunities. Another major highlight was Dubai’s winning bid to host the 12th World Chambers Congress in 2021. Having played an instrumental role in preparing the successful bid, Dubai Chamber is now working with the ICC-World Chambers Federation to organise and a World Chambers Congress in Dubai like no other. The Congress is expected to attract the participation of around 14,000 chambers of commerce from 100 countries, while it will also coincide with Expo 2020 Dubai, enabling fertile cross-pollination of business and innovation.
What have been the most significant break� throughs in Dubai’s business and commerce environment over the last year? In 2018, His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and
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IN FOCUS
Prime Minsister of the UAE and Ruler of Dubai, announced a series of measures to stimulate economic growth in Dubai. Some of these include waiving fines and reducing business costs, supporting local production and procurement, reducing operational costs in the retail sector, and the decision to allow 100% foreign ownership for mainland companies. Such efforts reflect the government’s proactive approach to ensuring a favourable business environment in Dubai. At the same time, these efforts give the emirate a competitive advantage in creating an innovative and knowledge-based economy. Dubai Chamber is supporting these efforts by implementing a number of its own initiatives, which include plans to coordinate with other government entities to review services and fees with the aim of reducing the cost of doing business in the emirate. In addition, an advisory board has been established by the Chamber to boost the contribution of global companies in shaping the regulatory landscape.
What are the main benefits of doing business in Dubai? As the leading trade and investment hub for the Middle East and North Africa, Dubai offers a wealth of advantages for commercial organisations and business enterprises wishing to establish operations in the region. These include its world-class infrastructure, state-of-the-art logistics facilities, attractive free zones, a business-friendly environment and ease of access to other markets. The city is a hub for the Middle East, Africa, South-East Asia and the world. Dubai’s logistics infrastructure and services have been instrumental in placing the UAE as first in the Middle East in terms of market accessibility, ease of doing business, and connectivity, according to the Agility Emerging Markets Logistics Index 2018. Complementing its top ranking for quality of infrastructure, Dubai has played a major role in the UAE becoming a leading investment destination for the logistics industry, according to the same report. It is these strengths that have made Dubai a
“Trade, tourism, logistics, retail and real estate remain key contributors to Dubai’s economy that create plenty of business opportunities for companies and investors alike” 020
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preferred destination for businesses and investors from around the world.
Dubai plans to top the ease of doing business index by 2021. How is the emirate working towards this goal? New technologies are being adopted by public and private sector players in Dubai, which are expected to drastically improve efficiency and position the emirate as one of the world’s smartest cities. A major part of this vision is the adoption of smart systems and services that improve ease of doing business and enhance the competitiveness of the private sector. A great example of these efforts is DubaiPay; a government payment portal using blockchain technology for real-time reconciliation and settlement of transactions. This is just one example of many initiatives Dubai is implementing to reach its goal of becoming the world’s first blockchain-powered government by 2020. Strategic partnerships and close cooperation between Dubai’s public and private sectors are key to driving progress on this front. Dubai Chamber has remained ahead of the curve with regards to the adoption of technology as it achieved 100% smart transformation of the core services that it provides to its members and the local business community. These services cover membership, online payments, ATA Carnets, Certificates of Origin and letters of recommendation, as well as legal, mediation, research, licensing and credit reporting. It has also strongly supported the government’s drive towards innovation. The above mentioned efforts are reflected in Dubai’s strong performance on global indices analysing and measuring economic competitiveness and ease of doing business. In the latest World Competitiveness Report 2018, the UAE’s macro-economic stability was labelled as the best in the world, thanks to sustainable public finances. Meanwhile the country achieved the top position across other indicators such as mobile broadband subscription, future orientation of government, ease of hiring foreign labour and ICT adoption, among others.
Tell us more about Dubai’s winning bid to host the World Chambers Congress in 2021. Why do you believe Dubai would be a great host city for this international event? Dubai’s successful bid to host the 12th World Chambers Congress is a testament to its tireless efforts to advance its economy and become an international hub for future industries. As one of the world’s largest membership-based chambers of commerce, Dubai Chamber is committed to ensuring that it delivers an unforgettable
IN FOCUS
World Chambers Congress in 2021 by showcasing the tremendous potential that Dubai has to offer. Dubai is the perfect city to demonstrate what can be achieved when a commitment is made to business, trade and commerce and the emirate’s stunning mega projects and record-breaking accomplishments are a testament to its sky-high ambitions. With Dubai’s position as one of the fastest-growing cities in the world, there are always new growth opportunities and projects on the horizon. Dubai’s history of world-class development, its numerous iconic landmarks and its status as a dynamic and cosmopolitan metropolis connecting crossroads and cultures, are just some of the reasons that make it the ideal venue for hosting the World Chambers Congress in 2021.
DUBAI CHAMBER’S 4 PILLAR STRATEGY ≠≠ ≠≠ ≠≠ ≠≠
To promote Dubai as a global business hub Work to ensure a favourable business eco-system in the emirate Support the development of the city’s commercial enterprises Aims to deliver unrivalled excellence in its array of practices and services
Where do the main business and commerce opportunities lie? Trade, tourism, logistics, retail and real estate remain key contributors to Dubai’s economy that create plenty of business opportunities for companies and investors alike. Dubai’s economic diversification push has only added to momentum and interest in non-oil sectors, while it has also led to investment and development of emerging industries such as Artificial Intelligence, fintech, and 3D printing. The Dubai Industrial Strategy 2030, unveiled in 2016 by His Highness Sheikh Mohammed bin Rashid Al Maktoum, is creating new investment opportunities as the emirate transforms into a global platform for knowledge-based, innovation-focused and sustainable businesses. The strategy has identified 75 initiatives to transform Dubai into a global platform for industries based on knowledge, innovation and sustainability and is projected to help generate an additional $45 billion by 2030. Dubai has already begun to experience the economic benefits tied to Expo 2020, especially in the construction sector, as mega projects surface, while the number of international visitors to Dubai increases year after year. Around $9 billion has been earmarked for development and infra-
106%
year-on-year increase in the number of international delegations hosted in H1 2018
721 41 2,694
visiting delegations received over the period
outdoor events promoted
participants hosted across 14 business forums and events
structure projects in Dubai in the lead up to Expo 2020 that will accommodate the 25 million visitors who are expected to attend the mega event. Meanwhile more than 200,000 jobs are being created to support these efforts. Looking ahead, there is huge potential for Dubai’s tourism, hospitality, leisure and retail sectors to benefit from Expo2020, as well as companies that use the event to boost their global profile. There are plenty of business opportunities surfacing in the technology sector as Dubai embraces disruptive technologies and achieves headway in its innovation strategy. Forward-looking strategies have been put into place to put Dubai at the forefront of the Fourth Industrial Revolution. A quarter of all new buildings in Dubai are expected to be built using 3D printing technology by 2030. Similarly, travel around the city is set to be transformed by the Dubai Autonomous Transportation Strategy, which plans to have 25% of the city’s means of transportation autonomous by 2030. The Dubai Blockchain and Internet of Things (IoT) strategies seek to transition Dubai to the world’s smartest city, improve residents’ lives and achieve the objectives of the Smart Dubai Plan 2021, which aims for a 100% paperless government.
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1.3 | SUSTAINING TOMORROW
Bright ideas for a sustainable economy Encompassing renewable energy, water security and the built environment, the UAE’s sustainable development goals are a blue print for a green future
S
ustainable development is a key pillar of the Centennial Plan 2071; after all, no country can become the world’s best without safeguarding its environment for future generations. Environment plays a leading role within the Plan’s economic leadership pillar, which states the UAE will “adopt advanced science and technology solutions, innovating consistently and investing in entrepreneurship and environmental sustainability”.
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Going above and beyond — at a time when the world’s largest powers are turning their backs on such frameworks as the Paris Agreement — the UAE’s plan for a sustainable environment is built on a green economy. This includes devising a global model for green partnerships and financing, tackling energy efficiency and security, and investing in renewables. In short, the UAE’s ambition is to mitigate the impact of climate change while enhancing urban development and liveability
across the country. As Sheikh Zayed bin Sultan Al Nahyan once said: “Future generations will be living in a world that is very different from that to which we are accustomed. It is essential that we prepare ourselves and our children for that new world.” As a result, a series of strategies are set for implementation between 2021 and 2071, encompassing sustainability in resource use, energy generation, urban infrastructure and other key areas.
STRATEGIC APPROACH The UAE’s first unified policy, Energy Strategy 2050, is based on supply and demand and aims to increase the contribution of clean power in the total energy mix from 25 to 50% by 2050. This will reduce the carbon footprint of power generation by 70% and save AED700 billion by mid-century. The strategy also seeks to boost the “consumption efficiency” of both individuals and corporations by 40%. Between 2030 and 2071, the targets set out in the Dubai Clean Energy Strategy are set for achievement, under which 75% of Dubai’s energy will be generated from clean sources; a goal made possible through the continued development of Mohammed Bin Rashid Solar Park, among other projects. Operational since 2013, when completed it will reduce
His Excellency Dr Thani bin Ahmed Al Zeyoudi
SUSTAINING TOMORROW | 1.3
annual carbon emissions by more than 6.5 million tons. The UAE Water Security Strategy 2036 will reduce total demand for water resources by 21%; reduce the water scarcity index by three degrees; increase the reuse of treated water to 95%; and increase national water storage capacity by as much as two days. The Water Security Strategy will achieve savings of AED74 billion and will reduce CO2 emissions from water desalination process by 100 million metric tons. All the UAE’s efforts have been carefully architected to support the 2030 Agenda of the United Nations General Assembly, as set out in the Sustainable Development Goals, or SDGs. The rates of consumption for food, water and natural resources in the UAE are some of the highest in the world and their reduction is prioritised across all strategies. With 17 specific targets set out in the SDGs (see box), they have so far supported 1,400 global initiatives with an estimated 54 million beneficiaries. The 17 goals also form the backbone of the UAE’s policy on foreign aid, which aims to empower people to live better lives and enhance their local communities and economies.
“Future generations will be living in a world that is very different from that to which we are accustomed. It is essential that we prepare ourselves and our children for that new world” — Sheikh Zayed bin Sultan Al Nahyan
two key milestones in 2017: a breakeven point at Mohammed Bin Rashid Al Maktoum Solar Park and a new collaboration with National Bonds to launch the Green Fund with an aggregate of AED2.4 billion. Al Tayer says: “This vision is to promote
MEASURING SUCCESS Launched in January 2018 by Saeed Mohammed Al Tayer, VC of Dubai Supreme Council of Energy, the State of the Green Economy Report 2018 outlines how the UAE can, and already is, leveraging sustainability to revolutionise its economic systems. The report highlights the unique ideological approach the country brings to sustainable development; removing burdens on the individual and instead placing focus on revolutionising key systems and projects across the country’s economy and physical landscape, in order to place sustainability at the heart of everything. Compiled in collaboration with in the United Nations Development Program (UNDP) and the Dubai Carbon Centre of Excellence, the Green Economy Report 2018 highlights the UAE’s recent achievements and summarises the results of the annual World Green Economy Summit. According to Al Tayer, the UAE achieved
AT A GLANCE: UAE Sustainable Development Goals • • • • • • • • • • • • • • • •
No poverty Zero hunger Good health and wellbeing Quality education Gender equality Clean water and sanitation Affordable clean energy Decent work and economic growth Industry, innovation and infrastructure Reduced inequalities Sustainable cities and communities Responsible consumption and production Climate action Preservation of life below water and on land Peace, justice and strong institutions Partnerships for the goals
sustainable development and the green economy in the UAE while planning for the future and achieving the objectives of the UAE Centennial Plan 2071 to ensure a happy future and a better life for future generations, and to raise the status of the UAE to be the best nation in the world. “The UAE believes that sustainability is a global priority. Under the guidance of our wise leadership, the government of the UAE aims to ensure sustainable development, while preserving the environment and balancing economic and social development,” he adds. The UAE’s commitment to environmental conservation is celebrated every year on 4th February, when initiatives and events are held to raise awareness about the importance of preserving natural resources and shifting towards a sustainable lifestyle. The year 2018 marked the 21st annual UAE National Environment Day, celebrated with the unveiling of a new, three year initiative themed Sustainable Consumption and Production (SCP). This initiative is closely tied to attainment of the objectives set out under Vision 2021; itself a springboard for the Centennial Plan 2071 and the first step in a decades long journey into the future of sustainability in the Arab world.
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1.4 | SUSTAINABLE INNOVATION
SUSTAINING THE FUTURE
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he year 2018 marked a decade since Abu Dhabi launched the Arab world’s first sustainable building codes, specifically developed to address the challenges posed by the region’s unique environment. The Pearl Rating System (PRS) followed two years later. The Arab world’s first sustainable rating system, it was created to assess the sustainable performance of communities, buildings and villas from design and construction, through to the operational stages. As the framework that supports Estidama, PRS is tailored to the hot climate of the region and traditions embedded within local culture. Further, Estidama PRS ensures resources are used efficiently via sustainable construction practices to reduce energy and water consumption, carbon emissions, construction and landfill waste. The system was developed by Abu Dhabi Urban Planning Council (UPC), the policy making body for urban planning for the Emirate of Abu Dhabi. Since 2008, Estidama and the PRS have inspired developers, design teams and even homeowners to think differently about how they approached the planning, design, construction and operation of the built environment. In its first seven years, Estidama achieved a reduction in energy consumption of 55% across new building developments, while there was a 45% saving in water reduction and a notable improvement in workplace productivity, indoor air quality and the creation of safe, healthy and secure developments. Abu Dhabi is now home to even more of the world’s most iconic architecture and many recent additions also meet
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Marking 10 years since the launch of the MENA region’s first sustainable building code, Estidama, H.E. Falah Al Ahbabi, director general, Abu Dhabi Urban Planning Council, highlights the emirate’s achievements and the path to a green future
PRS guidelines, including the 3 Pearl-rated Louvre Abu Dhabi, the 4 Pearl IRENA Headquarters, and the emirate’s Midfield Terminal Building, the largest sustainable building in the Estidama program to achieve a 3 Pearl rating. In addition to supporting the protection and development of the local environment, Estidama represents Abu Dhabi’s contribution towards the global sustainability agenda. Due to its relevance to desert climates, Estidama has even been transferred to other emirates and Arab nations with similar climatic conditions, energy and water limitations, as well as cultural considerations.
OLD AND NEW For Abu Dhabi to achieve its sustainability targets it must also engage in a first of its kind project to retrofit existing building stock with new, intelligent systems installed to measure and reduce consumption. Authorities will begin tendering projects to help reduce energy and water consumption in up to 3,000 non-residential buildings throughout the emirate over the next five years. Buildings will be tendered in clusters, starting with government buildings and advancing to include private buildings in the second quarter of 2019. Under the Tarsheed programme of the Abu Dhabi Water and Electricity Authority (ADWEA), the Department of Economic Development (DED) and the Ministry of Economy has started registering Energy Services Companies (ESCOs) to retrofit buildings with more efficient cooling, lighting and pump technology. The initiative, covering government, commercial and institutional buildings, could save 445,000 megawatt hours per year, the equivalent of the output of a medium-sized power plant, contributing to Abu Dhabi’s target to reduce water and electricity consumption by 20% by 2030. The projects will be tendered on a performance contract basis, H.E. Falah Al Ahbabi meaning that building owners will pay nothing upfront for the engineering and construction costs of the upgrade. The Estidama ESCOs are responsible for the design and Launched in 2008, the word Estidama means ‘susconstruction work, and providing the tainability’, in Arabic. The program represents the vicapital required for the improvements. sion to create a sustainable Abu Dhabi by preserving This investment will be recovered over and enriching its physical and cultural identity, while the lifetime of the performance contract, improving the quality of life for its residents. typically four or five years, through the difference in utility costs.
SUSTAINABLE INNOVATION | 1.4
LIVING GREENER LIVES
I
Supporting Dubai’s highly successful green building code Safat, the emirate is also working to green its existing building stock and food production
Green eats: The region’s first vertical farm As the established home of global innovation, Dubai is also pioneering sustainable agriculture, using hydroponic technology and vertical farming, to produce nutritious and pesticide-free leafy greens without the need for sunlight, soil, chemicals or, crucially, imports. Located at Badia Farms and inaugurated in 2018, the concept is aligned with Vision 2021 and the UAE’s future focus on sustainability. The farm’s CEO, Omar Al Jundi, says: “Growing crops in the region has always been a challenge due to the hostile climate, and this is where Badia Farms offers a viable solution. Not only can we grow the freshest greens, with no pesticides or chemicals but we actually do this in the most eco-friendly way possible, using minimal recycled water. This is our way to give back to the UAE and start the new wave of farming in Dubai, the home of innovation.” Badia Farms uses 90% less water than open field farming and recycles the water it uses. Ali Al-Jassim, CEO of Etihad ESCO
ntroduced in 2016, Safat — the Arabic word for date palm frond — is Dubai Municipality’s sustainable building code, created to reduce electricity consumption by 20%; water by 15%; waste by 50%; and CO2 emissions by 20% in all new buildings. Now, the Dubai Supreme Council of Energy has turned its attention to the emirate’s existing building stock, setting the goal of reducing energy demand by 30% by 2030. To achieve this, a minimum of 30,000 of the buildings that make up Dubai’s world famous skyline will be adapted to meet the demands of the modern environment and the lifestyles of Dubai’s residents. Supporting the goals, Dubai’s Etihad Energy Services Company (Etihad ESCO), implemented projects valued at US$43.56 million in 2018, diversifying into industrial retrofits and solar power projects and outlining plans to increase the share of central cooling in the emirate to 40% by 2030. Calling on building owners and operators to support the goal’s attainment, Ali Al-Jassim, CEO of Etihad ESCO, says: “Dubai’s outstanding effort in retrofitting buildings in the past years has helped generate energy and water savings across the Emirate. We look forward to continuing and accelerating the progress of this to help us achieve our target of retrofitting 30,000 buildings by 2030.” Since 2011, retrofits have helped to save 15 billion kilowatts of energy, enough to power 200,000 Dubai homes for a full year Under the new targets, 5.6 billion imperial gallons of water will be saved by 2030 and more than one million tons of carbon dioxide will also be abated. Dubai Electricity and Water Authority (DEWA) has become part of the drive, with its own retrofit project valued at $8.17 billion and projected to achieve financial savings of $22.33 billion. It isn’t just residential buildings. Looking ahead over the coming decade, the retrofitting of Dubai’s more than 700 hotels is likely to become a requirement, following announcements this year from the Department of Tourism and Commerce Marketing (DTCM). Further, the healthcare and education sectors are undergoing their own green make-over. Hospitals including Sharjah Teaching Hospital and Issat Omran, and universities like American University in Dubai and Zayed University have already embarked on retrofit projects in order to improve the results of their existing energy efficiency programs.
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1.5 | SCIENCE
Science is the cornerstone of the UAE’s Centennial Plan and, with the National Advanced Science Agenda 2031 and the UAE Space Agency now active, the world’s greatest minds are collaborating with Emirati scientists to push the boundaries of human achievement
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SCIENCE | 1.5
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n March 2018, His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, launched the UAE’s National Advanced Science Agenda 2031, which will form the foundations for attaining both the UAE National Agenda 2021 and the UAE Centennial Plan 2071. The National Advanced Science Agenda is intended to nurture a “homogenous scientific environment by backing science and related sectors”. As such, it promotes the optimised use of natural resources; urban food science and systems; solutions for cleaner water; logistics analytics; and the evolution to adaptive manufacturing. It is formulated through a series of phases, with the first running from 2018 to 2021. During this time, scientific methods will be leveraged to address 30 specific challenges, with a further eight receiving focus to 2031. Under the plan, 3,000 scientists will be supported in their research into space science and technology. “The empowerment of Emirati scientists and creative minds entails providing appropriate tools and resources to attract and help them transform their scientific knowledge into a practical reality that strengthens the UAE’s march to the future through adopting modern technologies and advanced sciences,” says Sheikh Mohammed. His Highness further said that the National Advanced Science Agenda reflects the UAE’s philosophy towards future-planning, proactive thinking and innovating the best practices and solutions. “We want to make the UAE a hub for advanced science and a top destination for scientists and innovators, and we welcome their contributions and partnership with us in creating a better future for the people,” he continues. Attainment of the objectives will be directed by 10 entities and overseen by specially created councils. Further, Minister of State Sarah bint Yousef Al Amiri, has been appointed to oversee the agenda and coordinate the efforts of 100 experts from 50 private and public entities in cooperation with 55 supportive bodies. Marwan Abdulaziz Janahi, executive director of Dubai Science Park, says: “The UAE has many advantages that allow the science sector to flourish and develop. World-class infrastructure that supports research, development, and manufacturing activities, availability of capital, efficiency of the government, and a capable human capital are all factors that create opportunities. “Science needs to tie back to, and provide solutions for, relevant and current issues that impact everyday lives. When science is connected to the way we live, the way we operate businesses, and the technologies we use on a daily basis, it instantly becomes relevant and gains the attention of the public and the support of governments,” he continues.
IN DETAIL The agenda aims to develop four enablers: economic information services; establishing a coherent scientific community; developing supportive technology; and promoting entrepre-
“The empowerment of Emirati scientists and creative minds entails providing appropriate tools and resources to attract and help them transform their scientific knowledge into a practical reality”
neurship in science and tech. The eight scientific priorities are designed to maximise all strategic natural resources in the country through national capacity-building, promotion of the sustainable energy sector, enhancement of water security using advanced and clean technology, and development of an advanced scientific food security system. The priorities also aim to address health challenges in the UAE through a national scientific system and the development of an advanced industries sector with strategic direction, in addition to building a system of logistical support based on scientific studies and data. The launch follows the unveiling of the UAE Strategy for the Fourth Industrial Revolution, which occurred in 2017. This strategy outlines how technologies and tools can serve society and achieve happiness and wellbeing for community members. The supporting hub, the Arab Network for the Fourth Industrial Revolution, will enable multiple stakeholders to foster closer cooperation with Arab governments to codevelop policy frameworks and advance collaboration in Fourth Industrial Revolution technologies. Speaking at the National Science, Technology and Innovation Festival, UAE Minister of Education, H.E. Hussain Al-Hammadi, stressed that innovation and the promotion of technology is a necessary requirement as a means for development and the achievement of prosperity and happiness for society. He added that the UAE Ministry of Education has planned to introduce lessons in design and technology from grade three, in order “to create generations well prepared from childhood and able to deal adeptly with innovation and technology in order to be equipped with the necessary 21st century skills”.
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1.5 | SCIENCE
THE UAE SPACE AGENCY Perhaps the most famous ambition of the Centennial Plan 2071 is the vision to build a city on Mars by 2117. The project launched in 2017 following an announcement at the World Government Summit, and phased deadlines will see work focus on multiple areas over the coming century. Priorities will include exploration of transportation means, energy and food on Mars and work will be executed by teams of Emirati and international scientists. The first spacecraft is scheduled to arrive on the red planet in 2021, coinciding with the 50th anniversary of the UAE’s unification. Its launch will be scheduled to coincide with the alignment of Mars and Earth’s orbits, an event that happens only once every two years. The narrow launch window means there is no room for error. “Already the Emirates Mars Mission is playing a critical role in the development of the UAE’s native space industry,” says the UAE Space Agency’s director general, H.E. Dr. Eng. Mohammed Nasser Al Ahbabi. “The mission is encouraging domestic innovation in advanced technologies, boosting cooperation and collaboration between the UAE and its international partners, and inspiring a generation of youth to study and enter the fields of science, technology, engineering and mathematics (STEM). Even beyond the UAE, we have always felt that an initiative on such a large-scale was sorely needed, as it inspires the region’s youth and serves humanity,” he adds.
Preceding the manned mission, the Hope Probe is currently being developed by the Space Agency at Mohammed Bin Rashid Space Centre (MBRSC) in Dubai and will launch in 2021. Completely unmanned, Hope will travel more than 60 million kilometres in nine months. “Aside from our ambitious Mars 2117 project, one of the most significant projects that we have been working on is the Emirates Mars Mission’s Hope Probe,” Al Ahbabi adds. “Both the Emirates Mars Mission and Mars 2117 Program are galvanising projects for us, focusing our efforts and inspiring generations of Arab youth. We aim to be among the top countries worldwide in space technology by 2021 and the Hope Probe’s journey as the first Arab, Islamic probe to reach Mars is a perfect embodiment of this goal,” he continues. The same size and weight as a small car, the hexagonal craft is made from aluminium with a composite face-sheet. It will weigh approximately 1,500kg including fuel, and measure 2.37 metres wide by 2.90 metres tall. “Thanks to the overwhelming support and foresight of our leaders, the sciences, education, and research and development sectors are growing rapidly within the UAE. “As a part of the nationwide emphasis on developing a knowledge based economy and culture of R&D, the UAE Space Agency is collaborating, cooperating, and engaging with key stakeholders and education partners at all levels in both the public and private spheres,” Al Ahbabi concludes.
“Both the Emirates Mars Mission and Mars 2117 Program are galvanising projects for us, focusing our efforts and inspiring generations of Arab youth. We aim to be among the top countries worldwide in space technology by 2021”
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THE ISLAMIC ECONOMY Islamic finance assets are expected to reach values of $3.8tr by 2022 as the global Muslim economy continues its upward growth trajectory. As a leading contributor to the figure, the UAE’s Islamic economy is on track for a boom
G Abdulla Al Awar CEO of DIEDC
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lobally, the Islamic finance sector accrued US$2.2 trillion in total assets in 2016, with the global Islamic finance industry valued at $2.293 trillion. Spending is on the rise across pharma, fashion, lifestyle and food and today, even Islamic fintech is on the cusp of a boom. The increased development, manufacture and distribution of halal goods, services and foods, has raised awareness of halal and Sharia-compliant trade across the world, further boosting performance of the Islamic economy in such areas as food and beverages (F&B) fashion, travel and even design. Current projections value Islamic finance sector assets at $3.8 trillion by 2022 and Muslim spending on F&B is projected to reach $1.9 trillion over the same period. In the UAE, a series of government initiatives support the continued growth of the Islamic economy. As a result, the UAE is now second in the Global Islamic Economy Indicator, compiled by Salaam Gateway, and third in the Global Islamic Finance Development Indicator, compiled by Zawya. The trends are due to the growth of key Sharia-compliant sectors, such as modest fashion, halal media and recreation, and halal pharmaceuticals and cosmetics — categories in which the UAE posted the strongest performance globally, in 2017 to 18. Mohammed Al Awar, CEO of the Dubai Islamic Economy
UAE 2019 — ACCELERATING THE FUTURE
The Year of Zayed is marked at DIFC
Development Centre (DIEDC), says: “Year-on-year, we are witnessing a surge in demand for products that are manufactured in compliance with stringent environmental sustainability, safety and health standards. The meticulous adherence of Islamic economy products to such standards across the production, distribution and supply value chain explains their increased attractiveness and uptake among larger segments of the world population today.” He continues: “The decline in oil prices has led to a fundamental shift in the nature of the economies of the GCC region and led to a greater focus in developing non-oil productive sectors. This trend has positioned the halal industry and trade in a prime position as growth drivers of the economy for the coming years.” In Dubai, the Islamic economy generates 8.3% of the emirate’s GDP and halal industries account for a 94.5% share of domestic trade. The stage has been set for a new era of economic and social development since 2013, when His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE
THE ISLAMIC ECONOMY | 2.1
and Ruler of Dubai, announced his vision to establish the emirate as the capital of the global Islamic economy. While the emirate was already home to the world’s first Sharia compliant stock exchange, the Dubai Financial Market, plans are now in place to boost performance in pharmaceuticals, tourism, the digital economy and Islamic fashion, art and design, to name a few. Supporting the ambition, a series of initiatives have launched, including the opening of halal industry clusters at Dubai Industrial City and Jebel Ali Freezone, and the launch of an Executive Master’s in Business Administration (EMBA) in Islamic banking and finance. Al Awar says: “In a few short years, Dubai and the UAE have helped revolutionise the Islamic finance sector. As mentioned earlier, we’ve been working with relevant parties to ensure increased transparency and accuracy of the Islamic banking and finance transactions through a unified Sharia framework that will assist in defining the priorities in accordance with people’s basic needs and protect wealth from risk. “At the same time, it will help the sector to overcome challenges not only where investments and wealth utilisation are concerned, but also when it comes to Islamic financial services, such as takaful, and projects based on partnerships between society and institutions.”
LEADING THE GLOBAL ISLAMIC ECONOMY The annual State of the Global Islamic Economy Report is compiled by DIEDC and Thomson Reuters and, in the 2017/8 edition, the UAE achieved first place among 10 countries in three sector indicators: modest fashion, halal media and recreation, and halal pharmaceuticals and cosmetics. The report estimates Muslim spending across F&B and lifestyle sectors at $2 trillion in 2016, accounting for 11.9% of global expenditure. By category, F&B leads Muslim spending at $1.24 trillion; followed by clothing and apparel at $254 billion; media and entertainment at $198 billion; travel at $169 billion; and spending on pharmaceuticals and cosmetics at $83 billion and $57.4 billion, respectively. His Excellency Sultan bin Saeed Al Mansouri, UAE Minister of Economy and chairman of DIEDC, says: “This year’s Global Islamic Economy Indicator testifies to the success of the UAE in pioneering an appropriate Islamic economy ecosystem within a short period, when compared with other nations that have been active in fostering this niche economic system — especially in the halal industries space. Sharia-compliant sectors are central to the Islamic economic system and attract the most investment, thereby facilitating an Islamic economy-friendly environment.”
KEY SECTORS Global spend 2016
Forecast 2022
Fast Fact
Fashion
$254b
$373b
Models wearing hijabs have appeared at New York Fashion week
Travel
$169b
$283b
The number of Muslims travelling is at an all-time high
Media & Entertianment
$198b
$281b
Buzzfeed, Amazon and streaming-service Alchemiya all offer films and documentaries about Muslim culture and life
Pharma
$83b
$132b
The sector is quickly moving out of its niche status
Cosmetics
$57.4b
$82b
In 2018, Orly teamed up with Muslimgirl.com to create and launch six Halal nail polishes for Ramadan
Models walk for Anniesa Hasibuan during New York Fashion Week 2017
INNOVATING FOR THE FUTURE As part of its work to continue fostering the Islamic economy in the UAE, this year the DIEDC hosted the inaugural Islamic Economy Week, running from 25th October to 1st November. A directive of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of The Executive Council of Dubai, the event featured: the fourth edition of the Global Islamic Economy Summit (GIES 2018); the sixth Islamic Economy Award ceremony; the Islamic Creative Economy Competition; and the Global Islamic Business Award. Al Awar says: “We are keen to celebrate the increased uptake of the Islamic economy culture and the strengthening of Dubai’s position as a global capital of Islamic economy. The week attracted many strategic partners that seek more sustainability for economies and will encourage others to move towards a better alternative. The Islamic economy, which represents the most sustainable economic system, has become an urgent need to ensure socio-economic stability. This makes our commitment at DIEDC even stronger in our continued efforts to expand the socio-economic impact of its culture through innovative activities.”
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2.2 | UAE ECONOMIC SNAPSHOT
THE UAE ECONOMY
UAE Population
Inflation
2.9%
10,430,000
2018
11,770,000
The UAE’s robust and increasingly diversified economy is on track for strong growth over the coming years, driven by new industries
2022
UAE GDP
Consumer spending
+11.7%
Non-oil GDP growth
Historic performance 3.8%
2018
PRIVATE CONSUMPTION EXPENDITURE 2015 – 2016
3.3%
3.9%
3%
VAT
3.9%
5%
1.5%
VAT INTRODUCED JANUARY 1, 2018
3.1% 2017
2014
2015
2016
2017
Future performance
3.9%
FORECAST ECONOMIC GROWTH 2018
Driven by
INFRASTRUCTURE SPENDING up 43% in 2018
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CONSUMER PRICE INFLATION (IMF)
FOREIGN TRADE GROWTH worth AED1.7tr in 2017
UAE 2019 — ACCELERATING THE FUTURE
2018
Total foreign trade
1.7tr
AED
2017
1.6% PROJECTED SHARE OF GDP
UAE ECONOMIC SNAPSHOT | 2.2
2016: In review
2018: National Infrastructure
Federal budget
Implemented investments by sector
Infrastructure and strategic projects to stimulate growth, increase economic diversification and support human development
20% Federal projects
18.1% 16.4%
Transport and storage
Real estate activities
+47%
AED
51.4 billion
INVESTMENT BOOST IN 2018 FEDERAL BUDGET
43.5% Social development and social benefits
36.5% UAE government
12%
Extractive Industries
11.9bn
Planned infrastructure spending
AED
9.8%
Public administration
8.8%
Electricity, gas, water and waste management
8.3%
Transformative industries
5.9bn
AED
Allocated for Expo 2020 projects
10.4bn
General, higher and university education
8.9bn
National infrastructure
4.5bn
Healthcare and social protection
1.61bn
Sheikh Zayed Housing Program
483m
Ministry of Infrastructure Development
41m
Ministry of Health and Prevention
AED
1
st
place globally for 23 indicators including international talent and government decisions
7th
place ranking in 2018 report 28th the first ranking achieved by the UAE in 2011
Key investments
World Competitiveness Yearbook Report 2018 AED
AED
AED
AED
AED
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2.4 | CREATING THE HUB
How has the UAE’s media landscape developed over recent years? The media industry in the UAE has come a long way since the first daily newspaper went to press in 1970. Over the last decade, investment in the media has significantly increased to develop a sustainable sector and an economic driver. This is specifically evident in Abu Dhabi where, over the last 10 years, we have seen exceptional growth in content creation. Indeed, at twofour54, we have created more than 60,200 hours of content, which if it were a film would be almost seven years long. The local content that is being created is very diverse and across all platforms, whether that is film and TV, digital, gaming, journalism or apps. For example, gaming giant, Ubisoft, has created in Abu Dhabi the mobile game CSI: Hidden Crimes, by leveraging locally-based talent. Additionally, this endeavour achieved the title of top five most downloaded game in Apple’s App Store in more than 100 countries. Meanwhile, CNN is producing and broadcasting news and programs for its international audience from Abu Dhabi.
What do you consider to be the driving force of this development? The growth in the media sector is driven by this region’s appetite for digital and mobile content. In the UAE, the penetration of internet users and mobile social media is at 99% and 88% respectively, expanding demand for content. This, combined with the youth dominant population, are key factors in why our region is the second-fastest growing media and entertainment market in the world. For us specifically in Abu Dhabi, to meet the high demand for quality content, we
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The Middle East is the the second-fastest growing media and entertainment market in the world and the UAE leads the regional industry. H.E. Maryam Eid AlMheiri. CEO of Media Zone Authority Abu Dhabi and twofour54, provides a snapshot of the major achievements to date
CENTRE STAGE
focus on creating an environment that attracts investments and global businesses to grow and thrive, and media start ups to encourage local content creation. This region is bursting with promising start ups that just need the right support to realise their full potential. We have also invested in companies across the media spectrum, from e-commerce and e-learning to Artificial Intelligence and gaming. We are proud of the fact that twofour54 was named one of top 10 most active investors in the region by Forbes Middle East. We need to continue to be nimble and ready to change given how fast the sector we operate in is changing. This is not just about adopting new technologies but also about adapting our offering to our partners’ needs.
What are the highlights of the two� four54 strategic agenda to build a sustainable media industry? This year, twofour54 Abu Dhabi is celebrating its 10th anniversary. Over the last decade, we have built a thriving media ecosystem that has seen continuous growth. Today, we have a unique creative community of more than 470 media companies and 580 freelancers. We are home to a mix of leading international brands such as Red Bee Ericsson and Cartoon Network, working alongside local and regional companies such as Algorythma, Lamsa and Flash Entertainment. Our aim for the next decade is to build on our achievements through increasing our contribution to Abu Dhabi’s GDP; focusing on job creation and talent development; and continuing to create content. With respect to the GDP contributions of our national media
MEDIA IN THE UAE | 2.3
industry, the latest figures show that the industry has contributed AED1.5 billion to the economy. We do this by helping our existing partners grow and expand and by providing the ecosystem that enables them to focus on content creation, as well as giving them access to different business opportunities. It also means we need to continue to attract new businesses, investments and productions. This year for example, we helped Tom Cruise film the Halo jump in Mission Impossible: Fallout, and Salman Khan film his third consecutive blockbuster in Abu Dhabi, Bharat. In terms of the jobs we support, we have created more than 3,800 jobs over the years. However, we know that to develop a sustainable media sector, we need to ensure to the next generation is ready to take on the responsibility. This is why we invest in the youth and encourage them to explore media as a career path from a young age through different initiatives. We are extremely proud of our 13,000-strong youth community, which provides our partners with direct access to UAE-based talent. In order to continue to increase the volume of content we create within the media free zone, we need to continue to provide partners with the relevant soft and physical infrastructure. The legal and regulatory framework at twofour54 reflects best industry practice both locally and internationally, and supports the growth of the Media Zone. Part of the regulatory framework is the Content Code, which transparently sets out the editorial standards for our partners that are aligned with the social, cultural, moral and religious values that apply in the UAE. On the other hand, we have state-ofthe-art production facilities, which for the fourth time in 2018, were named Studio of the Year in the Middle-East. We have started construction on our larger, new home, on Yas Island, where the custom-built facilities and top-notch services will encourage innovation, collaboration, and the creation of world-class content from the capital of the UAE, and increase campus capacity by 27%.
“About 15% of our partners are British and they benefit from everything that we offer. such as the exemption of personal income and corporate taxes, the community of like-minded creatives and the talent pool from our youth community” H.E. Maryam Eid AlMheiri. CEO of Media Zone Authority, Abu Dhabi and twofour54
Explain a little about twofour54 and how media professionals can work here The Media Zone was founded in October 2008 with the mission to develop a unique and vibrant creative community that encourages world-class content and fosters the success of the region’s media sector. We nurture media in all its forms — film, print, radio, television, music, communications, marketing, advertising, literature, computer games, and digital applications — and today more than 4,000 media professionals call twofour54 home. Media professionals have multiple options to set up at twofour54. They can establish with a 100% ownership model, as a Limited Liability Company; as a branch, a start up, or individually as freelancers. All of our media partners benefit from a stable environment with no restrictions on capital movements, 0% import tariffs, and 100% exemption from personal income and corporate taxes. We support partners throughout their journey, from setting up and growing their business, to networking and logistics, including support with travel, visas, and permits; all so that partners can focus on their core business. For example, we have a dedicated Freelance Relations team to support freelancers and connect them with business opportunities. We also introduced a dual license option to allow companies to win more government business and we extended our entrepreneurship program to offer more flexibility, including a working from home licence.
Where do the main opportunities lie for British media businesses looking to estab� lish in the UAE? Abu Dhabi has so much to offer British media businesses, including its strategic location between east and west, as well as cutting-edge infrastructure and an income-tax free environment. It is also a multi-cultural, English speaking country that values tolerance and respect. Abu Dhabi was recently ranked first in the world for safety by Numbeo, and voted the second happiest place in the world to live. About 15% of our partners are British and they benefit from everything that we offer, such as the community of like-minded creatives and the talent pool from our youth community. British media companies looking to establish in Abu Dhabi can also benefit from the aforementioned points and from business opportunities, specifically in film and TV, as well as digital and mobile content. In just under 10 years, Abu Dhabi alone has attracted more than 60 major productions thanks to being home to more than 700 diverse and unique locations, award-winning studios, and backlots. Additionally, the Abu Dhabi Film Commission’s generous 30% cash rebate program on production and post-production spend has provided a strong draw to new talent and investors.
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IN FOCUS
As developer of the Palm Jumeirah’s most successful resort and the UAE’s most authentic British hospitality experience, Seven Tides is a real estate visionary. CEO Abdulla Bin Sulayem reveals the company’s plans for the future of real estate
REAL ESTATE PIONEER The view from SE7EN Residences, The Palm
Seven Tides’ diverse development porfolio spans residential, hospitality and commercial property in both London and Dubai. What are the latest projects under development and who are they positioned towards in the market? Over the past few years I have had the privilege of developing new brands and strategies for the company, which has allowed us to become a key player within the industry. We launched SE7EN Residences The Palm in September 2017, and SE7EN City
CEO Abdulla Bin Sulayem
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UAE 2019 — ACCELERATING THE FUTURE
JLT in May 2018, our first mixed-used development. The SE7EN brand marks a new direction in the extended accommodation space; with emphasis on lifestyle and experience, it is positioned to appeal to young executives who appreciate playful style, on-trend interiors and functional spaces, in an urban setting. SE7EN Residences The Palm, our third Palm Jumeirah project, is due for completion by Q4 2019. While, SE7EN City JLT, our first mixed-used development, is scheduled for handover by Q3 2021. Every time we build a new hospitality property, we look for a unique feature that will make the hotel or resort stand out in what is a highly competitive market. With Anantara The Palm Dubai Resort, guests have direct access from their rooms to the resort’s lagoons and private over water villas. Mövenpick Hotel Ibn Battuta Gate features a magnificent grand hall with 88 giant lanterns and a stunning gateway arch, which is larger than the Arc de Triomphe in Paris. Meanwhile, DUKES Dubai offers a classic British hospitality experience, with the theme carried through from the décor
and design to dining concepts, and that all-important British service delivery. Last year, we launched a new five-year payment plan for Anantara The Palm Dubai Residences. We offered potential buyers the opportunity to purchase ready-to-move in properties in the luxury development with a deposit of 20% of the total sale price. A further 5% was to be paid every quarter thereafter, starting 12 months from the date of the initial reservation agreement. Investors were also offered the opportunity to add their apartment to the hotel management scheme, whereby the unit becomes a part of the hotel inventory, with sales being managed by the hotel reservations team. We continue to focus on the UAE and, in particular on Dubai, with several projects in the pipeline, announcements will be made in the near future.
Seven Tides is also active beyond the UAE. Which new markets have you expanded into and are there more on the cards? We have expanded into the UK market with DUKES London; a 90-room boutique
IN FOCUS
hotel located in the Mayfair area of the British capital. In strategising for future success, Seven Tides is constantly evaluating new opportunities in various markets and considering different models. We will also continue to focus on identifying character-led projects in prime locations.
What does Dubai offer as a hospitality and real estate destination? The opening ceremony of Expo2020 is around the corner and Dubai alone is expecting more than 25 million visitors by 2020. It will be a busy 12 months ahead, especially with the development of the Expo site, Dubai World Central and the Dubai South area in general, where innovative value-based market propositions will be key. These will include guaranteed returns on developments aimed at investors and attractive payment plans, directed more towards end users. It is not only governments that need to diversify, developers need to as well. At present we have various luxury residential developments, high-end leasable office space, two hotels on Palm Jumeirah, a city hotel and we have invested in the education sector with Dubai Heights Academy. With most GCC states looking to reduce their reliance on hydrocarbon receipts, focus is shifting towards diversified economies largely driven by trade, travel and tourism, real estate and infrastructure construction, in both transport and energy. This should present numerous opportunities for developers, especially along Saudi Arabia’s Red Sea coast, albeit over the longer term.
In addition to innovating the hospitality and real estate sectors, explain how Seven Tides takes pride in innovating its own internal processes and activities We are in the process of implementing a paperless system across the company, with the intention of eliminating the use of paper completely in every department of our business, by 2018 end. Last year we installed Tesla Destination Charging connectors at three of our Dubai properties: Anantara The Palm Dubai Resort, DUKES Dubai on Palm Jumeirah and the Mövenpick Hotel Ibn Battuta Gate.
Located at the entrance of each hotel, the two Tesla charging stations offer ease and convenience for residents and guests, who can simply pull up and plug in. Further supporting our committment to sustainable living, in 2018 we entered into a partnership with Etihad ESCO to improve energy efficiency in 22 buildings. This project is expected to save 13.2 million KWh in electricity and 2.6 million imperial gallons of water annually, cutting costs by 14.8%. We have also unveiled a Virtual Reality tool, accessible through our relaunched website. Using the latest technology, Visual Navigator is a state-of-the-art tool revolutionising how buyers interact with real estate developers and agents. This marks a turning point in how Dubai’s real estate is showcased to prospective buyers and it’s an exciting development for both Seven Tides and Dubai’s wider real estate industry.
What does the future hold for hospitality, commercial and residential real estate in Dubai and the UAE? Our ambition for the future is to increase the number of iconic and unique hospitality properties in our portfolio to further drive the continued evolution of luxury hospitality. Dubai enjoys unparalleled potential and vision and we look forward to shaping its future. We are constantly looking at market conditions and reacting to them accord-
SEVEN TIDES PROJECTS 2004 - Discovery Gardens 2006 – acquired DUKES London Hotel 2010 - Oceana Residences, Palm Jumeirah 2010 - Mövenpick Hotel Ibn Battuta Gate 2010 - The Residences at Ibn Battuta Gate 2010 - The Offices at Ibn Battuta Gate 2013 - Anantara The Palm Dubai Resort and Residences 2014 - DUKES Oceana Hotel Apartments 2017 - DUKES Dubai Hotel 2017 - Dubai Heights Academy 2018 - DUKES Dubai Sky Collection
IN THE PIPELINE ≠≠ ≠≠ ≠≠
The Anantara Residences Sky Collection – due for handover in Q4 2018 SE7EN Residences The Palm – due for completion in Q4 2019 SE7EN City JLT – due for completion in Q2 2021
ingly. Unfortunately, trade wars, exchange rates in constant flux and oil price uncertainties are beyond our control and will always have a slight effect on the region, however these effects are only ever temporary. Dubai remains a very safe city with a safe investment environment. If you have the right product at the right price point, I have a very strong belief that you can overcome any geopolitical or economic challenges that come your way. Regardless of the market conditions, Seven Tides continuously works to find creative ways to develop and stay ahead of the competition. As a key stakeholder in the region’s fastpaced and progressive hospitality industry, Seven Tides is committed to spearheading the ongoing development of luxury accommodation and, in doing so, contributing to Dubai’s reputation as one of the most visited places in the world.
Top: Great British Restaurant at DUKES Dubai; Above: Anantara The Palm Dubai Resort
UAE 2019 — ACCELERATING THE FUTURE
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2.2 | CREATING THE HUB
THE UAE’S FINTECH FUTURE The UAE is supporting the rapid advancement of fintech through sandbox initiatives, new collaborative projects and competitions. Arif Amiri, CEO of DIFC Authority explains the role of fintech in the future economy What role will fintech play in the future economy of the UAE? The fintech ecosystem in the region — and more specifically in the UAE — has gained substantial traction in recent years. Now, with a greater understanding of what fintech is and how it can benefit the financial services sector, there is growing interest in this field. Dubai and the Dubai International Financial Centre (DIFC) have pioneered new concepts and initiatives that are driving innovation in the field of financial technology — from establishing the FinTech Hive, the first fintech accelerator in the region, to adapting a world-class regulatory framework to offer licensing such as the Innovation Testing License. Accessibility is also an important factor when growing an ecosystem and we have created collaborative workspaces that are conducive to partnerships and introduced a dedicated costeffective license for fintech firms. Today, more than 50 fintech firms are based in DIFC and the number continues to grow. We are also seeing tremendous appetite from major financial institutions wanting to work closely with innovative start ups to explore and develop cutting-edge solutions that would address the challenges faced by the financial services sector in the wider Middle East, Africa and South Asia (MEASA) region. Initiatives such as the FinTech Hive are playing a major role in bringing
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UAE 2019 — ACCELERATING THE FUTURE
together these communities to help financial institutions access these new technologies, while providing start ups with mentorship and guidance from industry experts. More broadly, the evolution of the fintech industry in the UAE is reshaping fundraising practices by offering alternative platforms for commercial and personal lending, as well as other key opportunities for the private sector, including enhancing highly-skilled workers and unlocking additional resourcing and capital. It is also reshaping the processes involved in the offering of financial products, leading to shorter application times and more focused customer engagement via technology. As a result, financial institutions can extend their services to a larger client base.
How does the UAE collaborate with other countries to develop new fintech solutions? One of the UAE’s key strengths and differentiation points remains its close ties and effective partnerships with worldrenowned entities. All these partnerships have one focus, which is to nurture the UAE and the wider region’s venture capital ecosystem, and to provide opportunities for growth for all creative, innovative and disruptive technologies across a wide range of sectors, such as insurtech, regtech and Islamic fintech.
FINTECH | 2.4
“We are also seeing tremendous appetite from major financial institutions wanting to work closely with innovative start ups to explore and develop cutting-edge solutions that would address the challenges faced by the financial services sector” Arif Amiri, CEO of DIFC Authority
DIFC formed a partnership with Accenture in 2017 to launch the FinTech Hive accelerator program, which continued in 2018. Earlier this year, we expanded our partnership to include collaboration with Accenture’s FinTech Innovation Labs in New York, London and Hong Kong. As a result, our accelerator program saw a significant increase in applications from the global fintech hubs in 2018, bringing a wide range of technical and functional solutions including Artificial Intelligence (AI) and machine learning, blockchain and crowdfunding, among others. We have also partnered with Startupbootcamp, one of the world’s largest global networks of industryspecific programs that support early stage tech companies to rapidly scale their businesses. In addition, we continue to build bridges with other fintech hubs, such as Finance Innovation, one of Paris’ largest innovation clusters for the financial industry. Through this agreement, we are looking into potential collaborations relating to supporting the growth and funding of the regional fintech and venture capital ecosystem.
Where do the opportunities lie for UK businesses that want to be involved in the UAE’s fintech projects? Today, DIFC’s dynamic ecosystem is home to more than 2,000 active companies, including a number of world-renowned UK businesses. Many of these, including HSBC and Standard Chartered, are network partners in the FinTech Hive and have shared valuable expertise on navigating the MEASA region with participating start ups. We have also had significant interest from British fintech firms who applied to join the program’s launched to date. In the inaugural cycle, one UK-based company was selected as a finalist, whereas two were chosen for the 2018 cohort. Through the FinTech Hive at DIFC, start ups are able to engage directly with leading regional and international financial institutions, as well as other partners — including legal firms and branding entities — to help bring their ideas to fruition, and address the changing needs of the financial services industry in the region. In 2018, we received significant interest and a notable amount of applications from the UK pitching to join our insurtech, Islamic fintech and regtech accelerators. As a matter of fact, three out of the 22 participants are UK-based start ups, looking to expand and join the centre’s community.
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IN FOCUS
Dubai Healthcare City: Keeping care at the heart of healthcare while innovating, transforming and sustaining progress
NURTURING THE HEATH VALUE CHAIN
D
ubai’s resident population surpassed three million people in the third quarter of 2018, a rise of 7.7% compared to Q3 2017. To put that into context, the population of England as a whole, on the other hand, is growing by about 6% according to the UK’s Office for National Statistics. Fuelled by strong population growth, progressive policies, openness, safety, security, and a voracious appetite for innovation, Dubai is today, more than ever, diversifying across economic sectors, to deliver on its ambitions from aeronautics to robotics and Artificial Intelligence to blockchain. In this maelstrom of economic and financial activity, and in the heart of the emirate, Dubai Healthcare City
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(DHCC) — an economic healthcare free zone founded in 2002 — is steadily contributing to the country’s diversified economic strategy. On the back of the UAE’s leading position in the 2018 Ease of Doing Business Index, Foreign Direct Investment (FDI) to Dubai reached US$4.84 billion in the first half of 2018, an increase of 26% compared to the same period in 2017; and investor confidence is apparent. “Dubai Healthcare City has witnessed growing interest from investors from Europe, notably Germany, France, Belgium, Greece, Austria and the UK as well as from Canada, India, Egypt and the UAE,” says Omar Oumeish, executive director of Dubai Healthcare City Authority (DCHA), the governing body of the DHCC free zone. Speaking about investment, Oumeish says: “We are looking at investment that will add value to the DHCA ecosystem of healthcare, medical education, research and wellness. When considering an investment opportunity — whether a new technology platform or incubators and accelerators — we look at the entire value chain of healthcare delivery and how it will advance the free zone’s strategic priorities.”
IN FOCUS
To create an attractive financial environment, DHCC has developed advanced facilities and infrastructure backed by international standards. Unlike other sectors within healthcare, a robust regulatory framework is the backbone. In this, DHCC has made significant strides. Earlier in June, DHCA announced its plans to be the first national accrediting body in the UAE for hospitals and clinics in the country. The emphasis on accreditation is a push by the UAE Federal Government, mandating all health authorities in the country to have only accredited public and private hospitals by 2021. The free zone’s regulator, Dubai Healthcare City Authority — Regulatory (DHCR) is responsible for compliance and enforcement of clinical governance within the free zone. It already has the third edition of the Dubai Outpatient Clinic Quality Standards (valid until April 2021) by the International Society for Quality in Healthcare. Now, with plans to become a national accrediting body by 2020, patient safety will be developed at a policy level. “With mandatory accreditation and rapid growth of the healthcare sector in the UAE, our health system requires national accrediting bodies in the long term to be cost-effective and sustainable,” says Dr Ramadan AlBlooshi, CEO, DHCR. This direction is a positive indication for DHCC as introducing a local accrediting body will be cost-effective for new providers and could potentially benefit the more than 160 healthcare facilities in operation, comprising hospitals, clinics, and diagnostic laboratories among others in the free zone. “Being able to reduce operational costs, increase patient safety, and improve outcomes in healthcare delivery, gives DHCC much-needed leverage to be able to innovate, transform and sustain progress,” says Oumeish. Building on the government’s push for digitisation, DHCC has developed a first of its kind e-services platform, Masaar, for commercial set-ups, healthcare professionals and clinical licensing, as well as government services. Since its launch in January 2017, more than 44,000 smart transactions — including licensing, registration, renewals and visa services — have been completed via Masaar. Digitisation of services aside, DHCC is an early adopter of blockchain technology in healthcare. Admittedly, blockchain technology has transformative potential, particularly, in the area of health information exchange where partnering with industry stakeholders is key. “We saw a great opportunity to use blockchain technology to exchange licensing data for health professionals between Dubai Health Authority, DHA, in the mainland and us, the free zone health authority. DHCA’s e-services portal Masaar is linked with DHA’s Sheryan smart licensing system through the blockchain network,” says Dr AlBlooshi, adding that it is an exciting phase to be able to make electronic medical
records more efficient and to facilitate exchange through secure collaboration. Introducing innovative services and reinforcing the one-stopshop solution through Masaar makes doing business in the free zone convenient and efficient, and contributes to Dubai’s positioning as a preferred hub for global businesses. Attracting global businesses is part of DHCC’s founding strategy. International companies such as Johnson & Johnson, Cochlear Middle East, Abbott Laboratories, AstraZeneca, Dräger, Novo Nordisk, Sanofi — Aventis Groupe, and Smith & Nephew all have their regional headquarters in the free zone. From the UK, Moorfields Eye Hospital Dubai, the first overseas branch of Moorfields Eye Hospital from London, set up operations in 2007. In total, the free zone is home to more than 30 British companies. Through its expansion over the years, DHCC has focused on increasing specialisation and capacity in medical education and research. In the free zone, Al Jalila Children’s Specialty Hospital is the first dedicated children’s hospital in the UAE. Whereas the
“With mandatory accreditation and rapid growth of the healthcare sector in the UAE, our health system requires national accrediting bodies in the long term to be cost-effective and sustainable” Dr Ramadan AlBlooshi, CEO, DHCR
The Mohammed Bin Rashid University of Medicine and Health Sciences’ campus
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IN FOCUS
Dr Ramadan AlBlooshi, CEO Dubai Healthcare City Authority – Regulatory
DHCC phase two is designed with global wellness trends in mind, to promote nature, health and eco-friendly living
Mohammed Bin Rashid University of Medicine and Health Sciences — through its College of Medicine and Hamdan Bin Mohammed College of Dental Medicine — strives to uplift the standards of medical education, healthcare and research in the UAE and the region, and reverse the trend of seeking medical education overseas by providing quality medical education closer to home.
The free zone is home to reputed regional and global names including Mediclinic City Hospital and its Comprehensive Cancer Centre as well as Dr Sulaiman Al Habib Hospital, the first digital hospital. In phase two of DHCC, the free zone is creating a distinct wellness destination, overlooking the widest stretch of the Dubai Water Canal project, an extension
RECOGNISING EXCELLENCE DUBAI GOVERNMENT EXCELLENCE PROGRAM (DGEP) AWARD 2018: DGEP recognised Dubai Healthcare City Authority as the ‘best entity’ in the Customer Happiness Index, with a score of 95.4% in the small and medium government entity category in April 2018. FIRST DHCA EXCELLENCE AWARDS: Dubai Healthcare City Authority launched its first Excellence Awards within the free zone in 2017 to recognise and reward innovative initiatives and top safety standards that make a positive difference to the lives of patients. The awards’ second edition launched in January 2018 with new categories to mark the Year of Zayed in the fields of volunteerism, women’s contributions to healthcare, and young healthcare professionals, among others. BEST PRACTICE CONFERENCE: DHCC partnered with the US-based Patient Safety Movement Foundation to host a conference in November 2018 to present regionally-relevant patient safety best practices to help advance a culture of safety in the Middle East.
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of the historic Dubai Creek, that links Business Bay to the Arabian Gulf. DHCC phase two is conceptualised to encourage healthy living through preventative concepts and wellness components such as residences. Projects under development include Clemenceau Medical Centre and MAG of Life Creek Resort with a WorldCare Wellness Centre. In part, it is the value proposition as a free zone with 100% ownership and 100% repatriation of profit for both expatriates and UAE nationals that continues to draw regional, as well as international, names. However, the real edge in DHCC’s proposition equally comes from access to a thriving community of partners and the free zone’s responsive regulations. “In the lead up to Expo2020, as the free zone strengthens its healthcare, education, research and wellness portfolio, hundreds of students will hone their skills to become doctors of tomorrow; more research into lifestyle diseases such as diabetes and obesity will become a reality; and preventative healthcare will be redefined in the way people live and work,” says Oumeish.
THE BRIDGE TO THE FUTURE
A
n initiative of the Dubai Future Foundation, Area 2071 will evolve to become a development hub for creative solutions and boundary pushing ideas, designed to realise a future where innovation and progress are nurtured so that humanity can confront the social, environmental and scientific challenges ahead. In 2017, more than 100 global and local institutions and multinationals from such diverse industries as aviation, technology, healthcare, consulting and education, lodged expressions of interest to work at Area 2071, alongside innovation-focused government entities from countries across Europe, Asia and Africa. According to its creators, Area 2071 harnesses talent that can compete with Silicon Valley and levels of manufacturing innovation that eclipse that of Shenzhen, China. It’s also the hub of digitisation in the UAE, pioneering fintech and specifically blockchain, solutions (see chapter 6.3) In this spirit, its innovators include creative individuals, disruptive start ups, government accelerators, corporate XLabs, venture capitalists, designers and R&D institutions. Together, these forces will solve the world’s greatest questions, address fragility in the global economy and co-creating radical solutions to advance humanity, aided by the latest technology (see box). Only those with viable and disruptive solutions to answer to these challenges are granted access and the most promising work is then scaled into ventures. Area 2071 director, Abdulaziz Al Jaziri says: “Area 2071 is bringing together the UAE’s public sector resources and vision, and private sector experience, to enable our future government priorities.”
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The only ecosystem in the world created to push the boundaries of what humanity can achieve, Area 2071 is a truly unique hub where the world’s greatest challenges will be solved through ingenuity and collaboration He continues: “Given that the world’s most pressing problems are large-scale in nature, we need a different operating model to solve them — a model that is centred on co-creation through experimentation, in order to deliver on fundamentally new economic and social value. “Area 2071 is the experimental nucleus that enables diverse stakeholders to come together to solve large-scale questions facing humanity as a whole. By large-scale, we mean questions, which serve a social need and can reach a billion plus people with a business model that enables scale,” he adds.
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LEADING WORK: DUBAI FUTURE FOUNDATION ≠≠ ≠≠ ≠≠ ≠≠ ≠≠ ≠≠
Area 2071 Dubai 10X The 3D printed Office of the Future Dubai’s Autonomous Transportation Strategy The Global Blockchain Council initiative The UAE AI and Robotics Award for Good
ADVANCING HUMANITY | 2.5
Abdulaziz Al Jaziri, director of Area 2071
THE FOURTH INDUSTRIAL REVOLUTION Conceived as a garden and located within Dubai’s iconic Emirates Towers, Area 2071 is the physical home of the Centennial Plan’s ambitions. It is also an initiative of Dubai Future Foundation, which realised 15 projects in its first two years. In the words of Sheikh Mohammed Bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE and Ruler of Dubai, it is “the bridge to the future.” Speaking at Area 2071’s official launch in May 2018, he said: “Today we opened Area 2071, the interactive platform that gathers creative minds and reflects public and private sector partnership and innovators, to develop creative solutions, implement ideas to serve humanity and design a better future for next generations.” Area 2071 plays a vital role in achieving the targets set out in the UAE’s Centennial Plan, which are to adopt advanced science and technology solutions; innovate consistently; and invest in entrepreneurship and environmental sustainability. It is also aligned with plans to fuel the national economy through competitive environmental, digital and physical infrastructure, establishing the UAE as a hub for innovation and entrepreneurship, and ensuring sustainable development in order to prosper in the future. In short, Area 2071 accelerates the Fourth Industrial Revolution, or industry 4.0, and it unites work undertaken as part of other strategies, such as the UAE AI Strategy 2031. To this effect, the first few months of operation saw some of the UAE’s most ground-breaking and extensive work in the field of AI transferred to Area 2071. Launched on 1st July, 2018, the region’s first AI Summer Camp featured an agenda comprising AI presentations and workshops delivered by experts from IBM, Microsoft, Careem, SAP, Autodesk, and Sypron. An initiative of the Office of the Minister of State for AI, Omar Sultan Al Olama — appointed to ministerial duties at the age of 27 — the Summer Camp was made possible following a collaboration between Olama’s department and the Mohammed Bin Rashid School of Government. It is intended to enhance cooperation and empower young Emiratis to hone the leadership skills of the next generation, while developing their practical experience and enhancing their knowledge in employing AI. Olama says: “Preparing young Emiratis in AI and the use of its techniques to create innovative solutions to future challenges,
supports the vision and directives of our leadership, to strengthen the UAE’s position as a global hub in the use of AI to shape the future.” “The creation of government services, programs and initiatives that enhance the quality of life in the community and support having a competitive knowledgeable economy requires tools, skills and future potentials. These tools have become commonly used worldwide and will have a major role in shaping the future,” he adds. The camp follows the introduction of the UAE’s first bachelor’s degree in AI, now taught at the British University in Dubai (BUiD). The four-year course has been developed in collaboration with the University of Edinburgh and is open to both Emiratis and expatriates. While major economies champion protectionist trade and political policies, the UAE is leading global progress in the areas that will support the future of the human race. The UAE’s founding father taught Emiratis that in order for humanity to progress, we must support each other. This founding principle underpins the UAE’s global aid program, as well as its ambitions as a leading soft power. Today, it also forms the foundations of the UAE’s plans for the future of the country and the future of the modern world. Sheikh Mohammed says: “Area 2071 reflects the UAE’s ambition to be a key player in building the future. It is an open laboratory to learn, develop ideas and experiences, and draft a better future for humanity.”
DISRUPTIVE QUESTIONS, INNOVATIVE ANSWERS The work undertaken at Area 2071 answers some of humanity’s most pressing questions and challenges, including: ≠≠
What if we could construct high-quality houses for one tenth of the cost and one tenth of the time?
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How might we build a city using 100% renewable energy?
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How can we reverse global warming for the billions at risk today?
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How might we feed the next billion people?
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What if every child has access to quality education?
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How might AI be used to eradicate cancer?
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CONNECTING THE WORLD | 3.1
DRIVING GLOBAL CONNECTIONS CHAPTER 2
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Ihe UAE’s history as a trade hub dates back hundreds of years, with archaeological evidence of ancient ports along both the east and west coasts. It the years since its unification, the connections the country has forged across land, sea and air have enabled the unified emirates to nurture robust and diversified industries. Oil and non-oil sectors have driven manufacturing, logistics, import, export and re-export activities for decades. Now at the centre of global trade, the UAE’s transport hubs facilitate higher trade volumes between nations. They also support new business streams for enterprises in the Middle East and Africa and untold opportunity to those who live and work in the emirates. The infrastructure that underpins the UAE’s key economic drivers — tourism, finance and business, to name a few — is some of the most recently developed in the world, utilising the best in technology, efficiency and safety. As such the network can facilitate private, passenger and cargo jets; light aircraft; boats, cruise and cargo ships; and has even seen the continued testing of new connections and transport technology that
The UAE has a centuries’ long history as a trading hub to pioneer new connections via land, sea and air. Today, it is also driving the next generation of transport technology will transform the future of how people, goods, and even ideas, will travel. Testament to the strength of its port and maritime infrastructure, December 2017 saw the UAE become the first Arab country elected to the International Maritime Organisation Council. His Excellency Dr. Abdullah Bin Mohammed Balheif Al Nuaimi, Minister of Infrastructure Development and chairman of the Federal Authority for Land and Maritime Transport, said the UAE is now preparing to expand its development projects and port networks with a total investment of AED157 billion over the coming years. Exporting its own leading knowledge in the area of maritime operations, the UAE will also leverage its experience in managing and operating 77 ports worldwide, including vital facilities in the US and Europe.
Elsewhere, air service provider Dnata, and Emirates’ cargo division, Emirates SkyCargo, are both award-winning forces in aviation. As one of the largest companies its field globally, Dnata’s operations span 129 airports in 84 countries and Emirates SkyCargo is the world’s largest international cargo airline measured by freight tonne kilometres. Its revenue in the financial year ending April 2018 increased by as much as 17%. Although the UAE’s long-term ambitions today include a manned mission to Mars, that doesn’t mean the country’s leadership isn’t fully focused on maintaining and building on its transport infrastructure closer to home. As such, the country today is a hotbed for innovation and skills development and a testing ground for emerging technology and ideas. In the decade to 2030, the UAE will revolutionise how it moves people and goods and create a transport infrastructure for a modern age that no other country in the world could rival. This modern, sustainable and efficient network will call on aerial taxis, magnetic levitation pods, autonomous pods, driverless cars and of course, the Hyperloop.
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2.5 | CREATING THE HUB
FLYING HIGH His Excellency Sultan bin Saeed Al Mansoori General Civil Aviation Authority chairman
The UAE aviation industry has developed rapidly over the last decade. How has the General Civil Aviation Authority (GCCA) supported growth and innovation and what targets will be set out to 2030? We are concentrating our work in the areas of safety and security oversight and air navigation services, as well as initiatives to support business, such as tabseet which has resulted in simplification of processes and elimination of unnecessary requirements. GCAA has also introduced new flight time limitation regimes for air operators operating ultra-long haul flights, thus
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enabling them to make optimum use of available resources for their safe conduct. The UAE’s Airspace Restructuring Project is currently underway, supporting the forecast increase in traffic to 2020. The new airspace needs to ensure that the level of safety will be maintained, despite the increase of traffic and, in tandem with these developments, we will be working to increase access to all UAE airports, improve airspace safety and efficiency and reduce the environmental impact of aviation. Supporting the future of our sector and the developments that will drive its success over the coming decades, GCAA has approved 3D manufacturing in the UAE for simple aircraft parts. GCAA has also supported the use of unmanned aerial systems through the introduction of new regulations.
How will the UAE’s domestic carriers be supported as capacity and traffic increase across the UAE’s airport? From the ancient times of the Silk Road trade routes, the Middle East region — and particularly the UAE — have a rich history of trade and commerce. In modern times, the growing economic significance
From an airspace capacity restructure to 3D printed aircraft parts, the UAE’s aviation industry is reaching new heights, says HE Sultan bin Saeed Al Mansoori, Minister of Economy and chairman of the GCAA Board
of Asia requires fast and convenient connectivity with Europe and the UK. Availing from its strategic location, the UAE’s airlines and airports are playing a pivotal role in connecting not only the regional markets with the global markets but all markets across the globe. The GCAA has made considerable efforts to obtain the traffic rights to facilitate the global penetration of UAE carriers as well as bringing foreign carriers to the UAE. Further, the GCAA has strived to create the legal and regulatory framework that facilitates the introduction of international routes by UAE and foreign airlines at an accelerating pace. As a country, we currently have air transport agreements and arrangements with 179 states. Not only that, but the UAE is one of the most liberalised air transport markets in the world, being the second in terms of so called “open skies” agreements, of which there are 104.
The GCAA has managed to set a high pace of growth; how does this benefit businesses and stakeholders beyond the UAE’s borders? Through a consultative rule making
AVIATION | 3.2
Where do the opportunities lie for British companies in the UAE aviation industry? CHAPTER 1
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The spectacular views that can be seen arriving in Dubai at night
processes and our risk-based audit methodology, GCAA avoids imposing unnecessary regulatory burdens and our impact assessments help us model how new regulations may influence industry behaviour. We have also undertaken an initiative to simplify the requirements for availing regulatory services, thus minimising the administrative burden on the industry, too. The connections created between cities lead to the development of infrastructure assets that enable foreign direct investment, free zone business clusters and other ancillary impacts on a state’s economic activities. GCAA has always propagated liberalisation in air transport. This thinking stems from our strong belief and historic experience in trade, which increases competition and results in reduced prices and improved quality. Today, the UAE has 104 fully liberalised air service agreements, placing it among the most connected countries in the world. We expect the infrastructure development in the UAE, particularly in the leisure and entertainment sector will work in tandem with the aviation sector and lead to the growth of each other.
According to data and research published by Oxford Economics and Frontier Economics, the economic impact of the UK and UAE’s airlines in reciprocal travel and operations is close to £2.7 billion. Altogether, there are more than 200 weekly services link between the UK and UAE, making this one of the most important international markets in the world. The UAE airline industry is also one of the largest customers for the UK aerospace industry and its stakeholders, including Rolls Royce. Such impressive connectivity creates extraordinary opportunities for British companies in the aviation, tourism and trade industries in the UAE and wider Middle East region. These include important commercial partnerships between UK and UAE airlines and numerous partnership opportunities with universities and businesses in various specialised services such as airport development and operations, catering, ground handling, logistics, consulting and aircraft maintenance.
Aviation provides vital infrastructure for almost every industry in the UAE, how will aviation continue to support the growth of the country in future? How will GCAA work to accelerate this? Trade and tourism are the two significant and direct beneficiaries of the growth in the UAE aviation sector. Being at the crossroads of ancient trade routes, the UAE has always enjoyed the status of being a trade hub for the region through its land and marine links. Aviation has added a new dimension and impetus to these already well-established industries. Increased airfreight activity allows the UAE to connect global supply chains efficiently and effectively. Just a few years ago, Oxford Economics carried out comprehensive economic impact studies of Dubai and Abu Dhabi’s aviation sectors. Seeing the wealth of information in those studies and considering the growth of aviation in other emirates, the GCAA has a critical role to play in the continued growth of UAE aviation.
ABU DHABI INTERNATIONAL AIRPORT 45m AED19b 700,000 19,000 3
Passengers a year predicted to use ADIA by 2025 Invested in Midfield Terminal Complex Sqm new facility with 28,000sqm of retail and F&B Bags processed per hour through 27km of conveyors Pearl Design Rating
DUBAI INTERNATIONAL AIRPORT 89m
Passengers forecast to travel through DXB in 2017
$7.8b 7.2% 6.7% 90m
Airport and airspace expansion program under way Projected average annual growth in passenger traffic Projected average annual growth in cargo Passengers per year by 2018
DUBAI WORLD CENTRAL 200m
Passengers will use the airport every year once complete
19
Passenger carriers in operation
64
Scheduled cargo operators covering 128 destinations
26m $32bn
Passengers per annum by 2018 in first phase of expansion Expansion project will take DWC to full capacity
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THE EMIRATES 3.3 | EMIRATES
EXPERIENCE The world’s largest international airline, Emirates has been instrumental in fostering trade and tourism links between the UAE and UK. His Highness Sheikh Ahmed bin Saeed Al Maktoum, chairman and chief executive of Emirates Airline and Group, reveals the plans for the future
Emirates more than doubled profits in the 2017 – 18 financial year. What were the other performance highlights and to what factors do you attribute these strong results? There were a number of contributing factors to our performance. The business climate was tough, but overall, it was better for us compared to the previous year. Like all companies, we do what is within our ability to anticipate and plan for external forces such as the geopolitics, rising oil prices, and fluctuating currencies. We continue to focus on the aspects of our business we can control — like improving our internal processes to drive more efficiencies, getting a tighter grip on our costs, innovating for our customers by harnessing the latest trends for a better experience, and investing in our people, technology, and infrastructure. The results can also be attributed to our strong cargo performance; our focus on yield improvement; and our successful capacity management in response to political uncertainty and strong competition in many markets, which eventually led to higher seat load factors.
How do these figures compare with historic performance trends? Our 2017/18 performance was strong and representative of consistent profitability
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and positive growth, supported by a commercially driven business model over the past 30 years. We achieved our financial targets, while demonstrating that we have the flexibility and agility to respond to ever-changing market conditions and the competitive environment. Our business model and strategy remains the same: we will focus on our own organic growth, work with partners to offer even better services and connect city pairs that make commercial sense for tourism and trade, while delivering the best value for money experience for our customers.
What is the growth outlook for the airline in terms of financial targets and new routes and services? Emirates will continue to scale up our fleet and network. This year, we grew our UK operations with the launch of services to London Stansted and Edinburgh, and we added a linked Bali-Auckland service and Santiago de Chile to our network. We also lifted frequencies to a number of destinations and introduced our flagship A380 to key points within our network suck as Osaka and Hamburg. Each new flight we add to our network, whether a new route or an additional service, exponentially expands the flight combinations between cities that we can offer our customers.
EMIRATES | 3.3 In the coming years, Emirates will connect passengers through an even broader network than we have today. We will always prioritise innovation through our product and service, and will continue to pioneer and introduce industry-leading products that will transform the air travel experience.
Emirates recently announced a partner� ship with flydubai. Why was the decision taken to join forces now and what does it mean for your passengers? Expanding our destinations to places customers want to go, has always been at the core of our strategy, ensuring we offer connectivity and greater choice. Emirates and flydubai working together makes business sense and provides enormous synergies on a network level, offering consumers a breadth of travel options to, from and via, Dubai. Today, Emirates and flydubai jointly offer connections to 200 unique points across their combined networks, with more to follow. The partnership initially began with codeshare flights to 29 cities and this has quickly expanded to meet demand as customers realise the benefits of increased flight frequencies; expanded access to global destinations on a single ticket; the alignment of the frequent flyer program; convenient baggage check-in; smooth transfers during transit in Dubai, and more. Since opening to bookings in October 2017, the Emirates partnership with flydubai has yielded more than 800,000 reservations. Our extensive codeshare agreement and strategic scheduling alignment has helped Emirates tap into consumer segments in a host of new points within the flydubai network that did not exist before. We will continue to leverage each other’s networks and scale up our operations to accelerate further growth.
CONNECTING NATIONS DESTINATION: London Gatwick London Heathrow London Stansted Birmingham Manchester Newcastle Glasgow Edinburgh
LAUNCHED: 6 July 1987 30 June 1991 8 June 2018 27 March 2016 2 November 1990 1 September 2007 10 April 2004 1 October 2018
MILESTONE: First A380 launched on Gatwick route in 2014 Celebrated 25 years of passenger and cargo operations in 2016 One of the newest routes on the network Second daily service launched in 2017 Exclusively served by the A380 from January 2017 2 million passenger milestone reached, March 2018 Record passenger numbers in 2016, reaching 410,000 The latest direct UK destination
Looking now at the Emirates passenger experience, what are the major develop� ments on the horizon and when are these due to be rolled out? Emirates has a firm focus on meeting and exceeding the evolving needs of our passengers. We will continue to offer our customers connectivity and choice through the expansion of our network and partnerships, and capitalise on Dubai’s strategic
1985 Emirates is founded 28 Years of profit 250 Aircraft — the world’s largest fleet of Boeing 777s and Airbus A380s
160 Global destinations served today 120 Non-stop flights between Dubai and the UK every week location and world-class infrastructure to lay the groundwork for sustainable air-connectivity growth. We are also working with other stakeholders to innovate and redesign a passenger experience that is in line with our world-class proposition as an airline. This means a more streamlined check-in process, smart luggage tags and customised messaging directly on smart devices as
passengers make their way along to their departure gate, to a biometric controlled boarding process. We are committed to providing our customers a world-class experience when they fly with us, to inspire them to choose Emirates again and again. We recently introduced refreshed Boeing 777-300ER cabins with enhancements across all classes, including our game-changing fully-enclosed First Class private suites, which encompass a number of design details that deliver comfort and function. Today’s travellers are ‘always connected’, thanks to their mobile devices. They expect service and information updates at their fingertips and to be able to take control of their own journey. As digitisation increasingly shifts the fundamentals of many industries, we too are working hard to put information and power into the hands of consumers. We will also accelerate the pace of utilising the latest technologies to enhance our operations and deliver more personalised experiences for our customers. We are already adapting our business model in every aspect of what we do as an airline, by leveraging data more effectively to help us tailor the passenger experience to give customers what they want, when they want it.
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3.4 | TOMORROW’S TRANSPORT
THE RACE TO THE F U T U R E Advanced technology is the backbone of the Centennial Plan and, in 2019, construction will begin on the UAE’s first Hyperloop — paving the way for the world to adopt an entirely new way to travel
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E
very generation, a transportation breakthrough is announced that is so revolutionary in its objectives, it captures the imagination of the entire world; from the first electric car in the 1800s to the gasoline powered motorwagon that debuted in 1886 and Henry Ford’s Model T. Above ground, the first long distance glider in 1891 paved the way for the Wright brothers’ work, which in turn brought the world supersonic, hypersonic and space travel. Today, shunning gasoline, jet fuel and even electric engines, the next major breakthrough is powered by magnets and vacuums. A few short years ago, the man who dreams of humans becoming an interplanetary species was stuck in a gridlocked Los Angeles. As legend has it, on this fateful day, Elon Musk — CEO of SpaceX and Tesla Motors, and the founder of Pay Pal — let his mind wander and, in the frustration he felt with California’s outdated transport infrastructure, he began to dream of a system
TOMORROW’S TRANSPORT | 3.4
Talal Al Dhiyebi, CEO, Aldar; Bibop Gresta, chairman, Hyperloop
powered by magnets and sunshine that could transport people at speeds of 700mph. Musk committed the idea to white paper in 2013, making the plans public in the hope that future-focused start ups would take on his idea and make it a reality. Today, the UAE is on track to become the first country in the word to have a fully functioning Hyperloop system. Two major collaborations have been announced over recent years: the first saw Hyperloop One — now Virgin Hyperloop One — and DP World sign a Memorandum of Understanding to explore the feasibility of Hyperloop technology being used to transport cargo from Jebel Ali Port to an inland depot 29 kilometres away. After successful tests in 2016 , DP World made a US$50 million investment in the project and group chair and CEO Sultan Ahmed Bin Sulayem, was appointed to Hyperloop One’s board of directors.
A new global company was created and, in 2018, His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, inaugurated DP World Cargospeed. Primarily, the mixed-use system supports the fast, sustainable and efficient delivery of palletised cargo, including such sensitive goods as fresh food, medical supplies and electronics, at a similar cost to trucking. His Highness says: “The UAE is keen to be a leading player in shaping the future of the world. Being a pioneer means taking bold decisions that open the way for adopting innovative solutions. We have big aspirations because we have unlimited mindsets and the confidence that we can achieve whatever we set our minds to.” As is customary in a free and fast-paced global economy, Cargospeed already has a competitor. Announced in April 2018, a second collaboration between HyperloopTT and Aldar Properties paves the way for the first full-scale passenger capsule Hyperloop system, with construction scheduled to begin in Q3, 2019. After completion of the first 10 kilometre test line, further development could see the network extend across the Emirates, and beyond. “This agreement creates the basis for the first commercial Hyperloop system in the world here in the Emirates, with the goal of eventually connecting Abu Dhabi to Al Ain, Dubai, and Riyadh, Saudi Arabia,” says Bibop Gresta, chair of HyperloopTT. “With regulatory support, we hope the first section will be operational in time for Expo2020.”
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3.4 | TOMORROW’S TRANSPORT
“With regulatory support, we hope the first section will be operational in time for Expo 2020” Bibop Gresta, chair of HyperloopTT
Impressions of how the Hyperloop system could integrate with the existing urban environment
They’re not the only projects. In November 2016, Dubai’s Road and Transport Authority (RTA) announced plans to evaluate a Hyperloop connection between Dubai and Abu Dhabi, which could reduce travel times between the two emirates by 78 minutes.
EFFICIENCY, COMFORT AND SPEED Although technically competing enterprises, both HyperloopTT and Virgin Hyperloop One use the same technology outlined in Musk’s white paper. In its simplest terms, pods — propelled by magnetic levitation, vacuum pumps and the help of a little renewably generated electricity — will move passengers and cargo at speeds of 1,200kph. Close to Mach 1. Musk describes the technology as a cross between a train and a plane, encased in a steel tube and, on a large enough economy of scale, it could become cheaper than both. Hyperloop technology has the potential to transport approximately 3,400 people an hour — that’s 128,000 people a day, or 24 million people a year. Because Hyperloop’s magnet and vacuum powered systems are 100% electric, they can be powered by renewable energy to create an even more sustainable solution for cargo transport. Connecting Dubai and Abu Dhabi in 12 minutes is just the beginning. Building on this, it will be possible to connect other emirates — as well as other GCC countries — boasting such journey times as Dubai to Fujairah in 10 minutes and Dubai to Riyadh in 40 minutes. Advanced technologies are at the centre of the UAE’s vision for future development, and Hyperloop technology captures both the ambition and vision outlined in the Centennial Plan 2071. As Aldar Properties CEO Talal Al Dhiyebi, says: “We believe that Hyperloop technology can have a major positive impact on the lives of all of those living within our communities, and we look forward to this possibility becoming a reality.”
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HYPERLOOP: THE MAIN PLAYERS HYPERLOOPTT Founded in 2013 by Dirk Ahlborn (CEO) and Bibop Gresta (Chairman), HyperloopTT is a global team comprised of more than 800 engineers, creatives and technologists in 52 multidisciplinary teams, with 40 corporate and university partners. Headquartered in Los Angeles, HyperloopTT has offices in Abu Dhabi and Dubai; Bratislava, Slovakia; Toulouse, France; and Barcelona, Spain. Construction is scheduled to begin Q3, 2019.
VIRGIN HYPERLOOP ONE Part of Richard Branson’s Virgin Group this Hyperloop pioneer is the only company in the world to have already constructed a fully operational system with mixed-use capabilities. Its key investors include DP World, Caspian VC Partners, Virgin Group, Sherpa Capital, Abu Dhabi Capital Group, SNCF, GE Ventures, Formation 8, 137 Ventures and WTI, among others.
X LAB | 3.5
AVIATION X LAB X LAB
Located at Area 2017, the Aviation X Lab is a place where leading stakeholders and developers from across aviation, collaborate to drive the sector’s next major breakthrough
H
ome to two world-class airlines and several low-cost car riers, the UAE’s aviation sector isn’t short of major stakeholders. Uniting them all to spur innovation in the skies, Emirates has engaged a consortium of entities in the sector-wide Aviation XLab. Located at Area 2071, the work undertaken here will “lead the nation into the next era of transportation”. Aviation XLab unites airlines, manufacturers, ground logistics, regulators, engineers, academics, and start ups to “envision a new transportation paradigm and seek solutions that no single organisation or program has had the resources to deliver on their own”. “With the addition of the Aviation XLab, Dubai is further proving itself as the
largest XLab in the world. As home to the world’s largest international airline, we are proud to share our experience in aviation with the global community,” says H.E. Mohammad Abdulla Al Gergawi, Minister of Cabinet Affairs and the Future and chairman of The Executive Office of His Highness Sheikh Mohammed. A world first, the XLab is directly aligned with the Centennial Plan 2071. XLab debuted in 2017 during an industry summit that raised the challenges humanity is likely to face in the development of future transport systems, including aviation. Now it is working to engage internal teams, independent engineers, academics and start ups, to help address the challenges that were identified. Each April, the finalist teams meet in
Dubai for an annual concept pitch event and the winners of each round relocate to the emirate the following month to embark on a rigorous curriculum, co-created with the world’s top academic and innovation institutions. The groups of co-collaborators spend a full year working side-by-side with senior industry executives and regulators to ideate new technologies and business theories, run experiments, and develop prototypes. His Highness Sheikh Ahmed bin Saeed Al Maktoum, chairman and CEO Emirates airline and Group, says: “We look forward to the Aviation XLab initiative, which will enable Emirates to co-create high impact solutions with our industry partners that will propel the UAE’s aviation sector to new heights, and unlock the possibilities of an interconnected world.”
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2.2 |DRIVERLESS 3.6 | CREATING THE TRANSPORT HUB
I
THE FAST LANE TO A SMART FUTURE
Imagine the scene: it’s 2030 and you’re getting ready to attend an important function. Taxis are all but obsolete however, on your smart device (if such things still exist) you can order an autonomous pod, that will transport you in the safest way, without any emissions. Each pod — a world first in terms of the concept and technology — can carry up to 10 people, or multiple pods can be added and detached to each other for larger groups. This is the future imagined by the Dubai Roads and Transport Authority (RTA), which in 2018 allocated AED1.5 million for further research and development of an autonomous pod vehicle capable of exactly this. In the early years, the autonomous pods would travel on pre-programmed routes but the intention is that they will soon graduate to home picks-ups via mobile app. Powered by electricity and capable of top speeds of 80kmph, the pods balance safety, speed and convenience. Each is 2.87 metres long and 2.24 metres wide, reaching 2.82 metres in height and with a weight of 1,500kg — around the same as a four-door Sedan. Its battery life is three hours and a full re-charge takes only six. Each pod has three protection systems to ensure full control and avoid collisions,
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Under the Smart Autonomous Mobility Strategy, as many as 25% of all private vehicle trips in Dubai will be made in driverless modes of transport by 2030. With the deadline a little over a decade away, work is well underway on the vehicles that will make the vision a reality
through sensors and 3D cameras. Elsewhere in the emirate, a pilot projects are testing how driverless vehicles interact with pedestrian crossings in Downtown Dubai — and there is much more to come. As revolutionary as the idea is, the UAE is no stranger to driverless transport. Abu Dhabi was the first to introduce a network with the opening of Masdar City’s personal rapid transit (PRT) system in 2010. PRT carried two million passengers in its first six years over more than 891,879km and is still in operation. Inaugurated in September 2009, the Dubai Metro held the record for world’s longest driverless metro until 2016 when Vancouver and Singapore launched longer qualifying routes. According to the RTA, the Smart Autonomous Mobility Strategy (SAMS) has the potential to save between AED18 billion and AED22 billion annually in economic costs. Further, SAMS could help cut direct transportation costs by 44%, resulting in savings of up to AED900 million a year and save AED1.5 billion a year by reducing environmental pollution 12%. In terms of safety, it aims to reduce traffic accidents by 12% and save 396 million hours of travel time.
Smart Autonomous vehicle types in the UAE
IN NUMBERS SAVED
AEDper22b year REDUCED
44% 50% 12% 12%
Mobility expenditure
Demand for parking
Carbon emissions
Traffic accidents and isolated issues
“Compared to other global strategies, [ours] is characterised by the leading role of the Government of Dubai in the transition to driverless mobility, while in other cities and countries, it is the private sector that leads the process,” says Mattar Al Tayer, director general and chairman of the board of directors, RTA. “Moreover, Dubai’s vision incorporates all mass transit modes such as trains, buses, marine transit and taxis, as well as private vehicles, while many countries focus on a limited number of transit modes. Our strategy also includes a global competition to attract advanced companies in the field of smart mobility,” he continues. Around the world, automation, the use of robotics and driverless transport solutions, are seen as a threat to the future of a human-powered jobs market. Approaching this technology from another perspective, the UAE sees it as an enabler of its future and a chance for humans to engage in more meaningful work. “Our aim is that Dubai should be a model for future cities with technology, integration of all modes of transportation and a main control and command centre that will operate using Artificial Intelligence to give real time information and reduce the response time of emergency teams,” Al Tayer adds. Inviting the world to join its work, the Dubai Future Foundation (DFF), which pioneers SAMS, has launched the Dubai World Autonomous Transportation Challenge. The competition is a global request for proposals that DFF says will “encourage the world’s most innovative international companies, academic institutions and centres of R&D to test the latest advances in this technology. “The aim is for entrants to devise transportation solutions and scenarios that are realistic and tailored for the streets of Dubai,” it continues. To support the ongoing roll out of the vehicles, a series of new regulations are being introduced by a cohort of authori-
≠≠ Autonomous Aerial Vehicle, AKA the Flying taxi ≠≠ Autonomous transport pods ≠≠ Self-driving buses ≠≠ Automated marine transportation ≠≠ Driverless taxi shuttles on limited routes ties. Among them, the Federal Authority for Land and Maritime Transport, the Telecommunications Regulatory Authority, Dubai Police and Dubai RTA. The Emirates Authority for Standardisation and Metrology (ESMA) will head the creation of regulations and laws for the sector. Its director general Abdullah Al Muaini, says: “ESMA is focusing on providing the highest safety standards in modern transport vehicles that match the latest technologies and innovation in terms of self-driving vehicles and communication, between them and the surrounding environment.” Among the new regulations being introduced by ESMA, is the legalisation of driverless vehicle testing. Revealing its advances to the world, ESMA hosts the annual International Conference on Future Mobility (ICFM) in the last quarter of the year. In 2017, the conference welcomed 430 international delegates from more than 18 countries, representing more than 175 organisations. More than a platform to showcase global solutions, the conference is a chance for the UAE to reveal its own, domestic advances in the Made in the UAE Pavilion, which features smart and sustainable mobility home-grown in the UAE. Meanwhile, the Government Pavilion exhibits the initiatives undertaken by various departments. Al Tayer says: “The success of initial tests [in Dubai] will bring about a breakthrough in transportation systems that offer innovative mobility solutions and ease snarls in the city.”
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4.1 | TOURISM & CULTURE
DESTINATION
UAE Tourism is forecast to generate 12.4% of GDP and 11.1% of all employment opportunities in the emirates by 2027, as the UAE cements its place at the centre of global business, entertainment and leisure
Her Excellency Noura bint Mohammed Al Kaabi, Cabinet Member and Minister of Culture and Knowledge Development
Guggenheim Museum, Saadiyat Island.
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riven by its appeal to a diverse and thriving number of global travellers, tourism has been a key economic driver for the UAE and is on track to contribute the equivalent of 5.4% of GDP by 2027. Indirect contributions drive that figure to the equivalent of 12.4% of GDP over the same period. This builds on a 138% increase in hospitality sector GDP contributions between 2007 and 2017; a period during which employment in the sector increased 119%. Currently tourism supports 317,500 direct jobs in the UAE, which accounts for 5.4% of total employment and this is expected to rise by 2.4% per annum to reach 5.9% — or 410,000 jobs — by 2027. Taking the wider industry into account, this figure rises to 10.4%, or 617,500 jobs. Further, the indirect figure is expected to rise by 2% per annum to reach 770,000 jobs in 2027, which would equate to 11.1% of all jobs in the UAE. Not only are these figures essential for the UAE’s tourism stakeholders — a list that reads as a who’s who of the world’s biggest travel and hospitality brands — they are also critical to the continued diversification of the UAE economy. Minister of Economy Sultan Bin Saeed Al Mansouri, says: “The tourism sector is already a well-established aspect of the national economy, with plans to further develop and enhance its role in the coming period. We will work in coordination and
cooperation with various relevant authorities at the local and federal level to provide new ideas and innovative initiatives to strengthen the role of the tourism sector in the economic work system in the state.” Investment in travel and tourism is forecast to rise by 11% per annum over the coming years to reach AED74.5 billion in 2027; accounting for 11.2% of total investments. The UAE leads the region for tourism infrastructure investment, driven by the development of a series of revolutionary transport, entertainment and leisure projects. Over the last decade, these have included the expansion of Abu Dhabi Airport; the construction of Dubai’s Al Maktoum Airport; the development of Warner Bros. Abu Dhabi, Yas Island; and the launch of the region’s largest integrated leisure and theme park, Dubai Parks and Resorts. Supporting these projects, more than 80 new hotels and resorts are due to launch before 2020.
CULTURAL TIES Historically, tourism in the UAE focused on business travel, due to the country’s strong trade links with major global economies, as well as its status as the regional centre of trade, finance and business. Today, tourism is an exciting and diversified sector with broad appeal, showcasing the country’s rich cultural history just as much as its hotels, malls and beaches. Culture plays a leading role in the sector’s diversification, with major honours bestowed on several emirates in recent years. Following the launch of Louvre Abu Dhabi, Guggenheim Abu Dhabi and Zayed National Museum, in 2018 Abu Dhabi hosted the largest gathering of government officials, philanthropists, arts administrators, business leaders, technologists and artists in the world at the CultureSummit. Hosted by the Department of Culture and Tourism Abu Dhabi (DCT Abu Dhabi) in conjunction with the Rothkopf Group and TCP Ventures, the summit attracted delegates from more than 80 countries. Mohamed Al Mubarak, chair of DCT Abu Dhabi and member of the CultureSummit steering committee, says: “We are building a global cultural capital in Abu Dhabi. The idea of CultureSummit is not
TOURISM & CULTURE | 4.1
SNAPSHOT: POSTCARDS FROM THE UAE CRUISE TOURISM During the 2016/2017 season, Dubai welcomed 650,000 cruise tourists with this figure forecast to increase to one million by 2020. Expansion works at DP World’s Hamdan bin Mohammed Cruise Terminal at Mina Rashid are expected to contribute to this growth, making it the largest terminal in the world with capacity for 18,000 travellers daily. In During the 2016/7 season, Abu Dhabi saw a record 40% YoY increase in vessel calls and 48% increase in passengers to Zayed Port and Sir Bani Yas Island. FAMILY TOURISM Inbound family tourism to the UAE is expected to increase at an average rate of 4.4% per annum, driven by Muslim and secular family tourism. The sector received a boost in mid-2018 with the announcement that tourists under the age of 18 were to be exempt from visa fees between 15 July and 15 September each year.
simply to celebrate the arts. It is to promote the best kinds of cultural entrepreneurship — harnessing the power the arts have to elevate and promote positive change.” Sharjah too, has made heavy investments in its cultural preservation and the emirate’s endeavours have paid off. It was named Cultural Capital of the Arab World by UNESCO in 1998, Islamic Cultural Capital in 2014 and Arab Tourism Capital in 2015. In Dubai, a series of new performance venues (see chapter 4.7) have boosted the emirate’s profile as a cultural destination in the region and these are supported by grass roots and community-focused venues such as the Third Line, Al Quoz, Green Art Galleries and Dubai Museum.
Above: An Emirati man trains a falcon in the desert Below: Unexpected Collaboration, USA & Mexico, perform at CultureSummit 2018
BUSINESS TRAVEL While business travel has declined globally since the 2008 financial crisis, the UAE is on track for a surge in MICE visitors, supported by growth in the Emirates, flyDubai and Etihad Airways networks, including Emirate’s new daily direct services between Dubai and Edinburgh and London Stanstead. LEISURE INDUSTRY Due to account for 90% of the Middle East’s leisure tourism market by 2020, the UAE is today home to some of the world’s newest and best theme parks, theatres, outdoor attractions, beaches and malls. Recently opened highlights include IMG Worlds of Adventure; Dubai Parks and Resorts; Louvre Abu Dhabi; Warner Bros. World in Abu Dhabi; and safari parks in Dubai and Al Ain.
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4.2 | AROUND THE EMIRATES
TOURISM AROUND THE EMIRATES
On the road to 2071, each of the seven emirates is pursuing its own distinct vision for an enthralling and unique visitor experience that unites the best in entertainment, leisure and business tourism
1 ABU DHABI Under Abu Dhabi Economic Vision 2030 and the Abu Dhabi Plan, the capital emirate is currently experiencing year on year visitor growth of around 5.5%. It has forged a reputation as the region’s leading cultural and entertainment destination and is home to the Etihad Airways Formula 1 Abu Dhabi Grand Prix, Abu Dhabi Art, The Louvre, Guggenheim, and the world-class theme park, Warner Bros. World Abu Dhabi.
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2 RAS AL KHAIMAH The biggest success story of the last five years, RAK boasts the fastest growing tourism industry in the UAE following the inauguration of several new resorts and high-adrenaline experiences. Success to date is the result of a proactive approach from the emirate’s tourism authority and now, an new campaign, Destination Ras Al Khaimah 2019. It is set to define the future direction of RAK and help drive a projected 10% year on year increase in visitors.
3 UMM AL QUWAIN Although the least populous of the seven emirates, this sleepy town boasts golden beaches, the UAQ National Museum, a centuries-old fort, seven breath taking islands, and one of the UAE’s first waterparks. A day trip expedition or a destination in its own right, UAQ’s close proximity to Ras Al Khaimah and Ajman underpin its growing popularity.
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AROUND THE EMIRATES | 4.2
5 DUBAI Dubai Tourism Strategy 2020 is a strategic roadmap with the key objective of attracting 20 million visitors per year by 2020. The strategy focuses on making Dubai the first choice for international leisure and business travellers, in addition to building on its status as a hub for several major industries. The strategy involves broadening Dubai’s range of events, attractions, infrastructure, services and packages, positioning the emirate to an even wider global audience.
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Sharjah Tourism Vision 2021 aims to attract more than 10 million tourists by 2021, the UAE’s 50th anniversary. To realise the vision, Sharjah Commerce and Tourism Development Authority, in collaboration with partners in the tourism sector, will adopt a four point strategy covering family tourism, innovation, efficiency and culture. Over recent years, UNESCO has named Sharjah Cultural Capital of the Arab World (1998), Islamic Cultural Capital (2014), Arab Tourism Capital in (2015) and World Book Capital (2019).
4 FUJAIRAH Under the Fujairah 2040 Plan, the Indian Ocean emirate is constructing 1,500 hotel rooms over the next five years including properties by The Address Hotels + Resorts and Fairmont. The emirate is also now home to a series of global events including the Xcat World Series Powerboat Championship, Traditional Emirates Rowing Boat Tournament, International Taekwondo Championship, and Fujairah International Marathon.
7 AJMAN Ajman 2021 focuses on building a happy society that will contribute to building a green economy, backed by a distinguished government. The vision is designed to harmonise Ajman’s future ambitions with those outlined in UAE Vision 2021, the National Agenda and Spirit of the Union. Ajman 2021 is the blueprint for a happy and cohesive society, which “has a positive spirit and attitude, is proud of its heritage and values, and communicates with elements of its environment”. Ajman will welcome a targeted 800,000 hotel and hotel apartment guests to 2021.
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4.2 | RAS AL KHAIMAH
DESTINATION:
RAS AL KHAIMAH What is Ras Al Khaimah’s unique proposition as a tourism desti� nation and what is the vision for its development? Ras Al Khaimah is the homeland of three Arabian tribal traditions, spanning coast, mountain and desert — it promises authentic Arabian and nature-based experiences, combined with world-class luxury indulgence from the hotels. We aim to continue our ongoing efforts to demonstrate our unique offerings and to establish the emirate as a destination of choice for leisure and business travellers. The Emirate has previously set a growth target of one million visitors to the destination by end of 2018 and it has been on the right track in doing so.
From the end of 2018, a new target coincides with the launch of a new destination strategy campaign by Ras Al Khaimah Tourism Development Authority (RAKTDA), which aims to attract three million visitors and contribute AED3.5 billion to Ras Al Khaimah’s GDP by 2025.
What are the emirate’s unique selling points? Ras Al Khaimah is the fastest emerging tourism destination in the region. What makes Ras Al Khaimah unique is that its guests can experience old-world culture with all the comforts of a modern, vibrant destination.
Haitham Mattar, CEO of the Ras Al Khaimah Tourism Development Authority explains the emirate’s unique proposition and the future development plans for the UAE’s home of adventure 064
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RAS AL KHAIMAH | 4.3
All this is just 45 minutes away from Dubai; home to one of the world’s busiest airports. When it comes to be a destination that attracts adventure enthusiasts, Ras Al Khaimah is the ultimate fit. The emirate is home to the world’s longest zipline: Jebel Jais Flight, at 2.83 kilometres and reaching speeds up to 150kph, which received more than 10,000 visitors in the first four months of operations. It invested tremendously to launch the region’s first commercial protected climbing route the Via Ferrata. Visitors can also enjoy many other activities such as rock climbing, mountain biking, hiking and kayaking in the mangroves, with the contrast of some of the region’s best mountains and most pristine beach views as a backdrop. Many are keen to explore the authentic Arabian culture and heritage of the Middle East and Ras Al Khaimah has so much to offer in an accessible environment. The emirate is home to historical sites dating back 7,000 years, as well as rich archaeological sites — 18 historic fortifications, castles and towers dating back to the bronze age, in addition to its National Museum that takes its guests on a journey into the emirate’s cultural heritage. Moreover, visitors to Ras Al Khaimah will have access to some of the richest souqs, featuring handicrafts made from natural honey and organic products. Apart from the advantage of being only 45 minutes away from Dubai, the climate is 4°C cooler in summer and 10°C cooler on the mountains. Ras Al Khaimah offers world-class resorts including properties such by Hilton Hotels and Resorts, Rixos Hotels, Rotana Hotels and Resorts, Ritz-Carlton, and others. Visas on arrival are available for citizens of the EU, US and other countries.
HOTELS 6,500 5,600 12,000+ 74.7% 5.5% 5.8% 9.4%
Rooms available currently Rooms in the pipeline to 2021 Room target to 2022 Occupancy rates up 0.2% YOY Increase in average room rate Increase in RevPar Increase in room revenue
Haitham Mattar, CEO of Ras Al Khaimah Tourism Development Authority
How will these attractions be developed and what are some of the highlights of the hotel pipeline? There are many projects in the pipeline. Areas of growth and developments aim to further enhance the emirate’s offering and positioning. Amongst the projects that RAKTDA is focusing on is the development of a luxury camp project in Jebel Jais. We are in talks with hotel operators and investors for this unique, eco-tourism project, which complements the array of adventure tourism attractions that the emirate is becoming globally known for. This project is expected to be completed by December 2019 and will have a total of 37 luxury units and state-of-the-art facilities including health club, heated pool, spa and wellness centre, kids’ play area, outdoor jacuzzi and campfire area. In terms of the Jebel Jais Flight, the second phase launches in Q2, 2019. This will see another cable added to the world’s longest zipline, and the development of an adventure park. We are also planning to launch a Survival Academy in Jebel Jais, which will include a training area, medical room, restaurant, rest area and fire pit. The project is expected to be completed by Q3 2019. The planned hiking and mountain biking trails will have a combined length of 64.72 kilometres and will consist of three phases and four difficulty levels. This project is also expected to be completed by December 2019. Ras Al Khaimah has established several partnerships with different authorities and operators, which resulted in a significant increase in the flights operating on a weekly basis.
Jebel Jais Flight Welcome Centre
In terms of the hospitality arena, there are plans in place to add 5,600 rooms to the 6,500 currently available in the emirate over the next three years. The aim is to further grow to more than 12,000 hotel rooms by 2022.
How have RAK’s hotels performed over recent years and what have been the flagship openings? Hotel performance remained strong in the past couple of years and, in 2018, occupancy rates were consistent at 73.3% with the average room rate increasing 5.5% versus the same period last year. Supply of hotel keys is a major focus moving forward to support the increasing popularity of the destination with both international and domestic tourists. Already boasting the Rixos Bab Al Bahr, DoubleTree by Hilton Hotel Resort and Spa Marjan Island, and Marjan Island Resort and Spa, managed by AccorHotels, Ras Al Khaimah has an additional 16 hotels in the pipeline to 2025, including properties from Rezidor, Diamonds International Corporation, Mövenpick Hotels and Resorts, Avani Al Marjan Island and Millennium.
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4.3 | RAS AL KHAIMAH
PERFORMANCE SNAPSHOT
+ 14%
increase in international visitors during H1 2018
66%
of visitors arrived from overseas in H1, 2018
RAK is famous for its mountains and adventure sports
Where do the opportunities lie for British businesses specialis� ing in hospitality or tourism? Ras Al Khaimah actively courts international investment in its hotel sector. We understand that international brands bring the name recognition we require to grow our own awareness in Europe and Asia. As such, we offer extremely attractive investment incentives. The UK is one of the biggest markets exporting tourists to Ras Al Khaimah, and in 2017 the emirate recorded solid growth of 16.8% in British visitors. There are many potential areas of collaborations for British businesses specialising in hospitality and tourism.The emir-
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1m
visitors 2018 end
3m
New destination strategy to attract 3 million visitors by 2025
“We understand that international brands bring the name recognition we require to grow our own awareness in Europe and Asia. As such, we offer extremely attractive investment incentives” ate’s Al Marjan Island, encompassing an area of 2.7 million square metres and extending 4.5 kilometres into the sea, is a key area for hotel growth, which could present amazing opportunities for British investors. Land is significantly cheaper in Al Marjan than similar island developments in Dubai and Abu Dhabi. Elsewhere in the emirate, our cluster strategy identifies seven key zones for tourism investment ranging from traditional beach resorts to adventure resorts, as well as eco, wellness and other specialist offerings. This unique ecosystem ensures we have an attractive opportunity for international investors across a very wide range of hospitality offerings.
4.4 | SHARJAH
DESTINATION:
SHARJAH
His Excellency Khalid Jasim Al Midfa, chairman of Sharjah Commerce and Tourism Development Authority, shares the vision for Sharjah’s tourism industry as the emirate prepares to welcome 10 million visitors by 2021
PERFORMACE SNAP SHOT
+4%
Growth in guest arrivals, H1 2017 compared to H1, 2018
70%
Average hotel occupancy in 2017, up 8%
2.9%
GDP growth forecast in tourism and hospitality
450,388 12.4% 10m 068
GCC visitors arrived in the emirate in 2016
GDP contribution forcecast for 2027
Tourists are expected to visit by 2021
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SHARJAH | 4.4
What is the current vision for Sharjah as a tourism destination? Sharjah remains true to its vision as the ideal global destination for family holidaymakers, as well as an international cultural hub known for its rich historical and natural heritage. In line with the Sharjah Tourism Vision 2021, we expect to receive more than 10 million tourists by 2021. Through the Sharjah Commerce and Tourism Development Authority (SCTDA), we are proactively implementing four key strategies. These include: developing distinctive family leisure and tourism activities with specially designed packages; building on innovative solutions that enhance the overall tourism experience in Sharjah; providing efficient services through key partnerships and collaborations to ensure world-class facilities and capabilities; and promoting Sharjah’s natural and cultural heritage, which offer enriching experiences for all types of visitors.
HE Khalid Jassim Al Midfa, SCTDA chairman
What are the emirate’s unique selling points? Sharjah offers a naturally diverse experience to visitors, and even residents. There are quite a lot of leisure and recreation activities that tourists can enjoy throughout their stay; Sharjah offers a combination of relaxing experiences with some of the best nature spots in the Arab region, as well as vibrant scenes of sights and sounds, sports and adventures. Our tourism experiences have earned us prestigious titles including UNESCO’s Culture Capital of the Arab World 1998, Islamic Culture Capital in 2014, Capital of Arab Tourism 2015, and the Capital of Arab Press in 2016. Sharjah has also received the title of UNESCO World Book Capital 2019, and was ranked third in the Arab world and the Middle East and African region. We have also become known for cultural events, such as the Sharjah Light Festival, the annual event known as Sharjah Heritage Days and, for extreme sports lovers, we have the Sharjah World Championship Week. Organised by SCTDA and held every December in Khalid Lagoon, it features the high-profile UIM Formula 1 Powerboat Championship and the Sharjah Aquabike World Championship, where more than 60 international riders arrive from 20 countries. From desert landscapes to archaeological sites, diving spots, At The Top Burj Khalifa.
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wildlife sanctuaries, museums and souks, as well as a wide range of entertainment and festivals, Sharjah creates a truly oneof-a kind experience for visitors, while ensuring they are provided with a host of world-class facilities and hospitality choices to enjoy. In addition, Sharjah also enjoys a strategic business location, ideal for investments and business development. It has been historically serving the region and the world as a transport and logistics hub, connecting Europe and the Far East given its direct access to the Gulf and the Indian Ocean. Sharjah has flourished as a transport hub and is home to the Gulf region’s first airport built in 1932. The emirate is also home to the first container port, the Port Khalid, to be operating in the region.
In line with the Centennial Plan, how will these offerings be developed further to 2071?
The Butterfly House on Al Noor Island is the latest attraction that attracts many visitors to the emirate
The UAE is bidding to become the best country in the world by 2071, its centennial year. It has also set clear goals towards achieving sustainability with clear targets in the implementation of sustainable development goals in all sectors, including tourism, as well as in investing
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4.4 | SHARJAH
in the skills and knowledge of the younger generation to ensure they keep pace with global transformation. All sectors contribute to the making of a world-class destination and Sharjah seeks to maintain its leadership in the field where it has been working to align its strategies with these goals and ensure that sustainability is at the heart of all other initiatives. Our sustainable growth is underpinned by both innovation and technology. We have made huge strides in promoting eco-tourism in the emirate and we will continue to build on our success in this field to advance a balanced progress, while maintaining the rich culture and values that make Sharjah a leading destination for all.
How have Sharjah’s hotels performed over the last five years and what have been the flagship openings? Sharjah’s hospitality sector has been performing steadily. Our hotels reported higher occupancy rates accompanied with higher average lengths of stay and in 2017, visitors stayed longer, leading to an increase in overall occupancy to 70% compared to 62% in 2016. In terms of hotel openings, in the last two years, there has been an increase in terms of options within the luxury segment being developed by Shurooq. These include the Sharjah Collection, which features B&B-style properties and The Kingfisher Lodge, a development
Al Khan Beach is the ideal spot in Sharjah for surfers and water sport adventurers.
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Ferrari World, Abu Dhabi.
THE WILD EMIRATE Sharjah is a global conservation and research hub for the Arab region’s indigenous flora and fauna. The Breeding Centre for Endangered Arabian Wildlife opened in the emirate in 1998 to preserve endangered wildlife. It runs breeding programs for rare species, including the Arabian leopard and Arabian cobra, and participates in international breeding programs for cheetahs, sand cats, striped hyenas and the nubian ibex. Sharjah’s Arabian Wildlife Center is the only zoo in the region housing species endemic to the Arabian Peninsula, with more than 100 at the facility.
providing 20 luxury tents with a private swimming pool for each tent, situated in a prime spot overlooking the Indian Ocean, a forest of mangrove (Qurm) trees and rare fora and fauna. Other latest additions include The Royal Tulip and The Act Hotel Sharjah, which is a unique concept offering a theatrical themed five-star hotel overlooking the Khalid Lagoon.
Where do the key opportunities lie for British businesses specialising in hospitality and tourism? Sharjah’s tourism contributes a significant source of revenue, about 10% towards the UAE’s overall tourism sector, which is one of the country’s strategic pillars towards achieving a diversified economy. In recent years, the sector has made massive investments in eco-tourism to keep pace with leading global trends and has attracted leading investors in the sector to tap Sharjah’s huge potentials. Businesses from Britain and Europe will find ample investment opportunities in our tourism and hospitality sectors as the emirate constantly innovates to provide the market with new offerings. Sharjah is always welcoming and supportive to those who are keen to venture in the sector. We are continuously exploring ways to enhance visitor experiences and I am confident every kind of business can find something worthwhile to invest in, including other key sectors designed to transform the emirate’s economy, such as environment, real estate, healthcare, transport and logistics, among others.
3.7 | TOURISM & CULTURE
Growing awareness of tourism’s environmental impact has inspired thousands of eco-tourism projects around the world. In the UAE, the emerging sector highlights the country’s natural beauty, biodiversity and Emirati communities
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co-tourism in the UAE is a rapidly developing sector that not only protects the country’s delicate natural environment, but provides new commerce and employment opportunities in some of the country’s most remote and beautiful areas. The sector has emerged as a result of the UAE’s strong focus on sustainability in all its forms. With the country’s ecological and archaeological history now recognised around the world, a balance must be found between showcasing and protecting its unique beauty. As such, environmental preservation is now an important element of the UAE’s tourism industry and provides a counterbalance for the country’s record breaking and headline making entertainment and leisure attractions. It is also an important step in the UAE’s attainment of the UN 2030 Sustainable Development Goals (SDGs), as well as the Centennial Plan and Vision 2021 — which emphasises the importance of “protecting the country’s natural environment from the dangers of human activities”.
THE GLOBAL PERSPECTIVE Encompassing the protection of both the natural and human elements of the local environment, eco-tourism is also an education on the delicate nature of our world and the economies that drive its progress. By definition, eco-tourism “takes full account of its current and future economic, social and environmental impacts, addressing the needs of visitors, the industry, the environment and host communities”. In the UAE, a series of projects have been initiated, focusing on conservation, community development and raising awareness of the concept of eco-tourism.
ECO-TOURISM | 4.5
With global international tourism on track to witness 1.8 billion travellers per year by 2030, the implementation of eco-tourism initiatives is designed to allow responsible exploration of environmentally sensitive sites, as well as minimising the overall impact of the tourism industry on the world’s resources, wildlife and people.
IN THE UAE Despite the high summer temperatures, the UAE has no problem tempting its visitors outdoors to enjoy camping, horse and camel riding, scuba diving, dune cycling, boarding and gliding, and many other desert-based adventures. For those who want to combine their desert experience with an education on the local flora and fauna, eco-tours are arranged through dedicated environmental groups, private tour operators and hotels — and there are plenty of places to explore. To date, as many as 40 areas of natural biodiversity have been protected under eco-tourism initiatives, accounting for around 14% of the country’s total territory. The work ensures the survival of thousands of species of indigenous wildlife, such as gazelles, birds and the Arabian hare. Sites of historic and cultural importance also add to the mix and enjoy global recognition. In 2011, UNESCO officially named Al Ain Oasis as the country’s first World Heritage Site and, five years later, a visitor centre and date farm opened to complement the visitor experience. Additional sites currently on the list of UNESCO protected sites, awaiting official status, including the Hafeet Tombs, Hili Sites and Bida Bint Saud. A further eight sites feature on the tentative list, including: Sir Bu Nair Island, Abu Dhabi Sabkha and the Gate to the Trucial States, Sharjah.
ECO TOURISM AROUND THE UAE Sustainability is deeply rooted in all tourism developments, from hospitality experiences to excursions. Due to the symbiotic relationship between the UAE’s natural environment and history, eco-tourism is also closely tied to Emirati culture, adding another dimension to the holistic visitor experience. The huge emirate of Abu Dhabi — including the Empty Quarter and dozens of islands — is home to several large-scale
IN THE WILD
conservation projects. For example, Saadiyat and other islands are home to extensive mangrove and nature UAE includes: reserves, which are carefully managed so visitors can observe local wildlife in its natural habitat. ≠≠ Oryx Since 2009, Abu Dhabi has also been engaged in ≠≠ Gazelles conservation projects across the historic sites of Sir Bani ≠≠ More than 400 Yas, Dalma and Discovery islands — known collectively species of birds as the Desert Islands. Once complete, projects here are ≠≠ The Arabian hare expected to support 6,500 jobs and AED1.2 billion in ≠≠ Dolphins annual tourism revenue. ≠≠ Sea turtles Archaeological projects in Al Ain have transformed the former caravan oasis and today visitors can explore the Al Ain National Museum, Al Ain Fort and the 4,000-year old tombs at Hili Fort. Other attractions include Al Ain Oasis, Al Ain Wildlife Park and Resort, and Wadi Adventure — a white water rafting, kayaking and surfing area. Meanwhile in RAK, nature-based recreational activities include the world’s longest zip line, Via Ferrata and excursions to Wadi Shawka. Side-by-side with Dubai’s cosmopolitan skyline, the emirate’s eco-tourism projects include outdoor pursuits and indoor educational attractions with exclusive eco-friendly flights, hotels, beaches and campsites. Most recently, the emirate welcomed its first visitors to Dubai Safari park and Green Planet, the microcosmic jungle canopy within a skyscraper. Outdoors, Dubai Desert Conservation Reserve covers almost 5% of the emirate’s land and is home to more than 6,000 indigenous trees, grasses and flora, oryx and other wildlife. The emirate also boasts numerous sustainable resorts, including Al Maha Desert Resort and Spa, JA Jebel Ali Golf Resort and Bab Al Shams to name a few; some featuring ancient Bedouin camps. Fujairah has long been known as the most popular emirate for those who enjoy the great outdoors. With its scenic mountains, long stretches of beach and even a coral reef at Snoopy Island, the emirate is a preferred destination for mountain biking, diving and hiking, and a new generation of modern, eco-friendly hotels support its sustainable tourism industry. Work on Sharjah’s eco-tourism industry is ongoing, with the emirate’s rulers collaborating with local and international eco-tourism agencies to study which areas could benefit from such projects. Individually and combined, these initiatives preserve and showcase the natural beauty of the UAE while cascading socio-economic benefits to those who live nearby. Today, Emiratis who are skilled in the ancient traditions of basket making, henna and falconry, have a means to generate greater income from their work while sharing the traditions and history the federation was built on.
Indigenous wildlife in the
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1.1 | VISION 2021
DESTINATION:
ABU DHABI
A global capital of cultural and entertainment, Abu Dhabi welcomed a record number of visitors in 2017 and has big ambitions for tourism over the coming decade. His Excellency Saif Ghobash, director general of DCT Abu Dhabi, reveals the plans What is the current vision for Abu Dhabi as a tourism destination? Abu Dhabi is a world-class destination that offers unique cultural experiences, diverse natural offerings, dynamic family-focused leisure and entertainment, as well as business opportunities. One of our key mandates at the Department of Culture and Tourism Abu Dhabi is to protect and conserve UAE heritage and culture to foster and develop national identity and place Abu Dhabi as a cultural destination at the centre of international thought leadership. The opening of Louvre Abu Dhabi and the enhancement of existing museums will boost awareness of the emirate’s ‘authentic Arabia’ experience and stimulate visitation to attractions like the Sheikh Zayed Grand Mosque, the museums and World Heritage Sites of Al Ain, and the attractions of Yas Island. It is our mandate
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and responsibility to promote Abu Dhabi’s rich cultural heritage and sustain its growing art scene, side by side with the diverse vibrancy of cultures it embraces, and from within its distinctive location in the world. Global outreach by our overseas offices also allows us to build awareness of Abu Dhabi’s attributes through modern tourism experiences and events.
What are the emirate’s unique selling points? The capital of the UAE is the perfect blend of the ancient and the modern, the old and the new, the storied and the innovative. Whichever way you turn you can either look into the past, or see the potential of the future. Our three distinct regions — Al Ain region, Al Dhafra Region and Abu Dhabi city itself — mean the emirate can offer the cosmopolitan experience of a 21st century
ABU DHABI | 4.6
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Hotels in operation across the emirate
4.875m
People stayed in Abu Dhabi’s hotels in 2017
9.8%
Year on year rise in visitors in 2017
8.5m
Visitor target by 2021
5,000 Sheikh Zayed Grand Mosque, the largest mosque in the UAE metropolis, the tranquil cultural beauty of a more traditional Arabian madinat, and the rugged thrills of miles and miles of entrancing coastline and rolling dunes. We have many unique cultural attractions, including the magnificent Sheikh Zayed Grand Mosque and the restored Qasr Al Hosn. Abu Dhabi offers visitors and residents, tangible cultural experiences at UNESCO World Heritage Sites throughout the emirate, established museums in Al Ain, the galleries and creative spaces in Abu Dhabi, and the ongoing museum exhibitions and public programs held at Manarat Al Saadiyat. A key unique selling point of Abu Dhabi’s cultural tourism offering is the more intangible, emotive experiences on offer, recognised by UNESCO for their importance and held in high regard as a symbol of national pride for Emiratis. The unique and diverse landscapes of the desert, beaches and mangroves, provide visitors and residents with an array of natural experiences, whether exploring the distinct flora and fauna of the mangroves, or the world’s tallest sand dune in Liwa. Abu Dhabi’s wealth of history is counterbalanced with the promise of what the future holds. Saadiyat Cultural District and Louvre Abu Dhabi offer all residents and visitors the opportunity to explore history, culture and art from around the globe.
In addition, Yas Island boasts three distinctive and world-class theme parks, which cater to every family demographic, and these sit side-by-side with some unique golf courses. Sir Bani Yas island has not only a dedicated cruise beach, but also a sprawling wildlife preserve that boasts species’ unique to this region. Apart from the infrastructure, it is the immersive nature of the Abu Dhabi experience that also sets us apart. The popular Emirati Experiences initiative allows visitors to get a truly authentic window into our extraordinary emirate; but most powerful is the idea of authentic Arabian hospitality and all that it has to offer visitors throughout their time in Abu Dhabi.
How will these experiences and attractions be developed to 2071? Abu Dhabi is currently utilising the very best innovative technology to improve the visitor experience. The augmented and virtual reality technology at Qasr Al Hosn is one such example. As we head into the future, we are committed to staying on the cutting edge of all relevant technologies to increase our appeal on the world stage. Speculating to 2071 is near impossible, but by that time we would hope to have established Abu Dhabi as a world-leading destination on multiple levels: culturally, with a fully populated Cultural District on Saadiyat island attracting art lovers from across the globe, and as a centre for the very best in leisure and family provision. Our visitor numbers will swell as our spaceport welcomes near-orbit vehicles from the furthest corners of the globe — and perhaps beyond, or perhaps they will arrive on the Hyperloop, which will by then link the region, and perhaps further. Seamless travel will have been in place for years at this point, meaning each traveller will arrive with the minimum of conscious interaction with their tech-interface, and they will enjoy experiences tailored specifically to the individual — with hotel rooms, attractions and even F&B adapting to the specific needs of each visitor.
“Abu Dhabi’s wealth of history and heritage is counterbalanced with the promise of what the future holds” His Excellency Saif Ghobash, director general of DCT Abu Dhabi
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4.6 | ABU DHABI
Qasr al-Hosn tower. The oldest stone building in Abu Dhabi
Interior of the Louvre Museum, Abu Dhabi, showing reflections of the “Rain of Light” dome
How have Abu Dhabi’s hotels performed over the last five years? In 2015, just over 4.1 million people stayed in Abu Dhabi’s 162 hotels and hotel apartments, with 2016 showing an uplift of 8%. We have seen robust progress since then, which can be seen in 2017’s results (see box). For the first nine months of 2018, the data shows Abu Dhabi has seen a 4.3% uplift in the total number of hotel guests to the emirate compared to 2017. The latest report reflects once again the steady progress we are making year-on-year in promoting Abu Dhabi as a destination of distinction for leisure and business visitors alike. Whereas there is some softness in the current rate of hotel guest growth, we firmly believe that the traditional popularity and variety of our end of year events, including the Formula 1 Etihad Airways Abu Dhabi Grand Prix, the Abu Dhabi Food Festival and Abu Dhabi Art, means that we can be confident that another record-breaking year is achievable.
What have been the flagship hotel openings of the last two years?
HOTEL OPENINGS ≠≠ Saadiyat Rotana Resort & Villas ≠≠ Jumeirah at Saadiyat Island ≠≠ Abu Dhabi Edition, Al Bateen waterfront ≠≠ Rixos Saadiyat ≠≠ W Hotel will launch soon, taking over the former Yas Viceroy
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Abu Dhabi has had a host of new luxury hotels and international chains opening in the past year (see box). Also, in terms of cultural assets, the opening of Louvre Abu Dhabi was an event that captured the world’s attention and its launch reinforced the emirate’s position as a cultural hub within the UAE. As we approach the first anniversary of its opening, DCT Abu Dhabi is still leveraging its popularity to further raise awareness of Abu Dhabi as a potential destination across the world, in particular in regard to the Saadiyat Cultural District. The emirate’s oldest building, Qasr Al Hosn, has just been through an extensive renovation
and restoration and from 2019, the new site will add another dimension to the immersive cultural experience available to visitors to the capital. To teach visitors about our rich history, the Hosn site will feature the very latest innovations, including augmented and virtual reality. Warner Bros. World Abu Dhabi is also proving to be super popular, especially as it complements the two other adjacent theme parks so well. Yas Island now has something to entertain even the most demanding family!
Are there any opportunities for British businesses specialising in hospitality or tourism? An initiative proposed by DCT Abu Dhabi this year, to cut tourism and municipal fees, has now been implemented. This means a reduction from 6% to 3.5% for tourism fees; a drop of 4% to 2% for municipality fees, and a lowering of the municipal fee for each hotel room. This amendment formed part of our continuous efforts to further tourism infrastructure development and encourage investors to build tourist and cultural attractions, and organise events in the emirate, enhancing Abu Dhabi’s status as a leading tourist destination. With its social and political stability, strategic location and advanced infrastructural facilities in all fields, Abu Dhabi is open to new, exciting ideas that positively support inward investment and encourage stakeholders, investors, companies and business owners from the UK and other parts of the world to partake in the UAE’s open economy and explore its trade and investment opportunities in the tourism and hospitality sector.
4.7 | LEISURE & ENTERTAINMENT
ENTERTAINMENT IN THE EMIRATES T
he UAE has a long history of wowing its guests, residents and nationals but in the last 15 years, entertainment and leisure in the emirates has accelerated to a fever pitch. From humble beginnings, the UAE has built a multi-billion dollar industry that is now a lynchpin of the tourism sector. In 2016, Dubai inaugurated the Middle East’s largest multi-themed leisure and entertainment destination, Dubai Parks and Resorts, a four park mega-attraction connected by the recreational hub, Riverland Dubai. The complex boasts more than 100 rides and attractions across the four parks: MOTIONGATE Dubai, the region’s largest Hollywood-inspired theme park; interactive family theme park LEGOLAND Dubai; and BOLLYWOOD PARKS Dubai, a firstof-its-kind park showcasing rides and attractions based on some of Bollywood’s biggest blockbusters. DPR is also home to LEGOLAND Water Park and in 2019, will open the doors on the fifth and largest park in the resort, Six Flags Dubai. Going from strength to strength, in April 2018 the park broke
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The UAE has come a long way since first forging its place as a business and trade hub. Today the country is also home to an entertainment and leisure industry that celebrates culture, performance and art from Bollywood to Broadway
its own attendance record, welcoming 36,000 visitors in one day during the second Big Day Out festival. DPR attracted close to 2.3 million visitors in 2017, and achieved 851,000 visits in Q1 2018, a 45% increase compared to the same period in 2017. Mohamed Almulla, CEO of park owners DXB Entertainments, says: “We are pleased to have grown our first quarter visitation by 45% when compared to the same period last year, a clear sign our new strategy is delivering results. Visitor numbers are steadily increasing as we continue to focus on our core markets of GCC residents, annual pass holders and international visitation. “Dubai Parks and Resorts is great product and a world-class destination and we are excited about our growth potential as we progress through our first full year of operations,” he adds. Less than a one-hour drive away, the billion-dollar Warner Bros. World Abu Dhabi opened in July 2018. Located on Yas Island, the park features 29 state-of-the-art thrill rides, interactive family attractions and live entertainment. The park is also home to six immersive lands: Metropolis and Gotham City, inspired by the universe of DC Super Heroes and Super-Villains; Cartoon Junction, Bedrock, and Dynamite Gulch,
LEISURE & ENTERTAINMENT | 4.7
themed after iconic animation houses such as Looney Tunes and Hanna-Barbera; and Warner Bros. Plaza, a tribute to old Hollywood and the origins of the park’s iconic characters. Warner Bros. World Abu Dhabi is the jewel in the crown on the award winning Yas Island, home to Abu Dhabi’s F1 racetrack, and recipient of no less than 17 industry and consumer awards in 2017. Currently attracting upwards of 25 million visitors a year, the opening of the new theme park will help boost that to a projected 48 million by 2022. Mohamed Abdalla Al Zaabi, CEO of owning company Miral Asset Management, says: “This kind of acknowledgment further cements that our visitors delight in a wide range of exhilarating, award-winning experiences that appeal to the whole family and visitors of all ages. “From 5-star hospitality, fine dining and luxury retail, to sports, leisure and entertainment, we are thrilled to be able to show Yas Island has reaffirmed its standing as one of world’s leading destinations of choice,” he adds.
CURTAIN CALL Community theatres and galleries, along with grassroots drama and musical groups, have long had a role in UAE society. For locals and expats they are a place to collaborate and hone their talents, for others they are avenues to promote community cohesion far beyond the UAE’s theatrical scene. Today, the multifaceted cultural theme is a hive of activity spanning amateur theatre, regional talent and leading global performers. The country is attracting the biggest names from Hollywood, Bollywood and Broadway, the stage and silver screen and culture and performance have become central to the holistic tourism proposition. Venues such as du Arena, Dubai World Trade Centre and the Madinat Theatre have hosted such names as Rhianna, Coldplay and the Rolling Stones, as well as UFC Fight Night. Until a few years ago, the UAE’s mix of performance venues lacked a stage to host West End musicals or high-octane, Vegas style performances. That all changed in 2017; a seminal year for performance in the UAE, the country saw the curtain rise on two cultural and physical landmarks. La Perle, created and produced by Franco Dragone and brought to the UAE by Al Habtoor Group, is the 1,300 capacity, state of the art theatre at the centre of Habtoor City. With 450 performances a year, the interactive theatre experience is inspired by Dubai’s past, present and future and features a cast of 65 international artists who wow audiences with acting, acrobats, aquatic and aerial stunts. Dubai Opera also debuted in 2017 with a program of sell-out performances from Evita and Aida to the Shaolin Warriors.
“Our visitors delight in a wide range of exhilarating, awardwinning experiences that appeal to the whole family and visitors of all ages”
The aim was to increase the visibility of the UK in the UAE’s cultural projects and endeavours to each respective country, placing greater “focus, depth and contemporary relevance to the long-standing relationship between our two nations”. A bespoke cultural program strengthened existing relationships and brokered new ones between people, institutions and businesses. Between January 2017 and March 2018, 50 projects, including 270 events across all seven Emirates took place as part of the initiative. More than 7,500 people participated in talks, workshops or events and a further estimated 230,000 attended exhibitions, performances, film screenings or festivals.
CREATIVE ECONOMY An embodiment of the creative economy that has emerged across the UAE, Dubai Design District, d3 is home to creative thinkers, eaters and explorers. The district was conceptualised and created in line with Dubai Plan 2021, using the Smart City principles of leveraging digital connectivity to create an innovation-led economy. d3 is a place to showcase local, regional and international design talent, and is also home to no less than 10 performance spaces as well as restaurants, galleries and showrooms. The community is open for anybody to discover, whether they work in the creative industries or not.
LOCAL TALENT For many years, the UAE has provided a stage for the world’s best creative and business minds to maximise their potential on its shores. Today, the country actively nurtures the home grown talent these early pioneers inspired, from Emirati opera singers Rashed Al Nuaimi and Sara Al Qaiwani to the first Emirati ballerina, Alia Al Neyadi (pictured).
CULTURAL COLLABORATION In 2017, the UK and UAE celebrated The Year of Culture. Throughout the year, the British Council joined forces with a wide range of British and Emirati partners to create a diverse program of activities featuring events and projects in the arts, literature, education, society, sport, science and trade.
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4.7 | LEISURE & ENTERTAINMENT Le Corsaire Ballet, performed in Abu Dhabi in 2018
The iconic skyline of Yas Island
The Louvre Abbu Dhabi
SAADIYAT ISLAND In 2006, work began to transform Saadiyat Island from a mangrove reserve into a premier cultural centre, home to a new generation of museums, hotels and conservation projects, interwoven with the island’s unique ecology. In the years since, the 27km island, located 500 metres off the coast of Abu Dhabi, has become home to Manarat Al Saadiyat, Zayed National Museum, Louvre Abu Dhabi, Guggenheim Abu Dhabi and the Performing Arts Centre. Some of the world’s most respected architects contributed to the island’s iconic skyline, including the late Dame Zaha Hadid, I.M.Pei and Frank Gehry. In 2017, the year Louvre Abu Dhabi opened, tourist arrivals to the emirate increased 9.8% on the previous year. Saif Saeed Ghobash, director general of the Department of Culture and Tourism Abu Dhabi, says: “Abu Dhabi’s unique cultural archetypes, combined with diverse natural landscapes, cultural and historic sites, dynamic family-leisure entertainment and ambitious business opportunities, will continue to stimulate visitation and help us grow by 11% per annum to achieve 8.5 million visitors by 2021.”
CREATIVE FOR A CAUSE British charity Autism Rocks is recognised for its global work to raise awareness and support for autism. A cause that is close to the hearts of many in the UAE, the organisation has developed the Autism Rocks initiative with the support of the Dubai Government. The charity has produced concerts featuring such world-famous artists as Elton John, Ed Sheeran, Jennifer Lopez, Justin Bieber and K-pop superstars Exo at the 25,000 capacity Autism Rocks Arena, located at Dubai Outlet Mall.
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MOHAMED ALABBAR, FOUNDER AND CHAIRMAN, EMAAR PROPERTIES “Celebrating arts and culture has been one of our central approaches at Emaar, and this is evident not only in the art works we have commissioned for Downtown Dubai but also in the Emaar International Art Symposium we have hosted in the past. We have always sought to promote the cultural context of Dubai and we saw in Downtown Dubai a clear opportunity to take this commitment to the next level. This is reflected in the Opera District that we have developed in Downtown Dubai. At the heart of the Opera District is Dubai Opera. It was launched by HH Sheikh Mohammed bin Rashid Al Maktoum with the goal of establishing Dubai and the UAE as a cultural hub of the region. “Leveraging the latest technology, Dubai Opera can seat more than 2,000 people, and ensures unmatched events experiences through its state-of-theart audio-visual technology and support systems. “Iconic development such as these now serve as a catalyst for the city’s cultural scene and a magnet to attract international performers and largescale productions, further building Dubai’s reputation globally.”
4.8 | AJMAN
AJMAN Famous for its heritage, nature and retail, Ajman expects to welcome 800,000 visitors in 2021, accruing a total of 2.2 million hotel nights. His Excellency Saleh Mohamed Al Geziry, Director General of Ajman Tourism Development Department, reveals what’s in store
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he emirate of Ajman is a diverse and culturally rich destination, famous for its heritage, nature and now, a new cutting-edge mixed-use marina, too. Full year figures for 2017 show visitor numbers reached 544,447, with projections for this figure to increase to 800,000 by 2021 thanks to the work of Ajman Tourism Development Department (ATDD). ATDD is tasked with promoting the emirate of Ajman to a growing international audience of tourists, through events, exhibitions and promotional campaigns. Its strategic work has seen the emirate grow from a sleepy town on the Gulf coast to a bustling hub of historic and growing economic significance. “The ATDD encourages the set up and growth of businesses in Ajman to both learn from and contribute to the hospitality and tourism sectors. This has helped to grow the emirate as a cultural and tourism hub that sets it apart from its counterparts as an outstanding location for residents and tourists alike,” says director general, His Excellency Saleh Mohamed Al Geziry. The continued preservation and development of Ajman has seen several new attractions open over the last year, including a flagship retail project, at Al Zorah Marina, Marina 1. This 100,000 square metre creek-side space features a recreational park, a multitude of food and beverage outlets and entertainment options for all age groups, with sweeping views of the emirate’s famous white sand beaches, mangroves and azure lagoons.
AROUND AJMAN Ajman’s unique selling points incorporate some of the UAE’s most culturally important attractions, including Ajman Museum — set in an 18th century fort — Souq Saleh and the Gold Souk. The emirate is also home to the Ajman Pearl Journey, a unique edutainment experience, which teaches visitors about the rich history of the pearl industry in the Arabian Gulf region. However, Ajman recently welcomed a new attraction that has maximised its beauty through the preservation of a million square metres of mangrove forest and lagoons. Al Zorah Nature Reserve was designated a wetland of international importance by the Ramsar Convention. The area is home to an incredible variety of marine and plant life, and to approximately 58 species of birds, including the pink flamingo. It is located within
The Oberoi Beach Resort, Al Zorah, a beach front property close to the mangrove forest Ajman Saray, a Luxury Collection Resort, located at the Ajman Corniche
AJMAN TO 2021 544,447 Visitors in 2017
800,000 Projected visitors 2021
2.2 Million Projected guest nights 2021
80% Projected occupancy 2021
3,654 Hotel rooms across 39 establishments
HE Saleh Mohamed Al Geziry
Al Zorah community, a development with 12 kilometres of waterfront and 1.6 kilometres of sandy beaches. “Visitors who wish to explore this area can opt for one of the guided kayak tours of the mangroves, creeks and lagoons. Everyone, from beginners to experts, can enjoy the wide range of exciting outdoor activities, including wakeboarding,” says Al Geziry. For those who wish to explore, Ajman is also close to the Hajar mountains, a vast area of peaks and wadis that span the UAE and neighbouring Oman. The rocky countryside is an excellent place to hike, bike or picnic and Masfout, a small enclave in the mountains, is less than two hours’ drive from Ajman city centre – making it the perfect retreat for residents as well as visitors. Elsewhere, Manama is approximately one hour’s drive from Ajman’s city centre, and provides a lush and quiet oasis with an unspoilt natural landscape. This unique combination of old and new means there are many opportunities for hospitality or tourism entities from the UK to set up in the emirate. “Through the presence of the Ajman Freezone and projects like Al Zorah Marina and so on and so forth, it is safe to say that the opportunities for British businesses specialising in hospitality and tourism are numerous with a platform for them to flourish and grow within the Ajman market,” Al Geziry adds.
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4.8 1.1 || VISION DUBAI 2021
DESTINATION:
DUBAI From skydiving over Palm Jumeirah, to diving with sharks at Dubai Mall, director general of Dubai’s Department of Tourism and Commerce Marketing, HE Helal Saeed Al Marri, explains the unique proposition and what lies ahead
How have visitor numbers fluctuated over the last five years and what are your visitor targets to 2020? The number of visitors to Dubai has increased steadily over the last five years. Dubai’s Tourism Vision for 2020 aims to double the 10 million visitors welcomed in 2012 to 20 million per year by 2020. In 2013, the figure stood at just over 11 million hotel guests, rising to 13.2 million overnight visitors in
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DUBAI | 4.8
2014, 14.2 million in 2015 and 15.8 million in 2017, an increase of 6.2% on 2016. In the four years since 2012, Dubai has achieved a compound annual growth rate (CAGR) of 8%, which is double the global industry average. First half visitor numbers for 2018, meanwhile, indicate a continuation of the upward trend, with just over 8.1 million visitors arriving in Dubai between January and April, up from 6 million compared to the same period in 2017. As these figures show, we are on track to meet our ambitious 2020 target.
What has been the most significant development in the emir� ate’s tourism infrastructure over recent years?
We have been actively working to enhance Dubai’s offerings over the past years, introducing a breadth of new additions and developments spanning multiple sectors and destination pillars. In terms of hotels, recent years have seen the opening of numerous new luxury hotel properties including The St. Regis Dubai and W Dubai, as well as Palazzo Versace Dubai and Jumeirah Al Naseem. There has also been an increased foWhat do you observe to be the driving factors cus on diversifying the city’s hotel inventory PERFORMANCE SNAPSHOT behind this performance? to attract and cater to mid-market traveller Dubai’s diversified market strategy has played segments. Several new trendy and boutique a key part in enabling us to remain nimble and accommodation propositions like Rove adapt to market volatility, ensuring we minimise Hotels’ properties have carved a niche poInternational guests 2017 the risk of over-exposure to any one market. Our sitioning for themselves in the local market, focus is on maintaining market share across our facilitated by this strategy, which helped us Hotel an apartment establishments, Aug 2018 existing source markets and growing market pass the 100,000 hotel room milestone in share across countries and regions with high mid-2016. growth potential, positioning Dubai as a premier Beyond accommodation, we have Nights Average length of stay tourism, business and events destination to drive continued our infrastructure investments both new and repeat visitation and capture across the family entertainment landscape. transit traffic. Furthermore, we work closely with Notable new additions include IMG Worlds Increase in profit per hotel partners to improve Dubai’s connectivity and of Adventure, the world’s largest indoor room, H1 2018 increase air capacity to and from the city, while theme park, and Dubai Parks and Resorts, at the same time working on a federal level to the region’s largest integrated theme park improve Dubai’s accessibility, removing barriers destination. We also inaugurated a new to entry and making it easier for more travellers landmark in 2016, the Dubai Canal, adding from across the world to visit Dubai. to the city’s already strong lifestyle proposition. At the same time, together with our partners and stakeholders in Dubai’s retail infrastructure is also continuing to see investment, the public and private sectors, our efforts are focused on continuwith the expansion of existing malls such as Dubai Festival City and ously evolving and expanding Dubai’s proposition across infrastrucMall of the Emirates, the launch of new concept shopping destinature, attractions, hotels, holiday packages and more, ensuring the tions such as The Outlet Village and the development of mixed-use destination’s growing year-round appeal. shopping destinations such as urban lifestyle destination City Walk. All of these factors combined have helped drive Dubai’s perforWe have also focused our efforts on highlighting the heritage mance over the years and in 2017, helped our emirates to become and culture unique to the city and the region, through the ongoing the fourth most visited city in the world. Dubai Historic District project that aims to greatly enhance the
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visitor experience in Dubai’s oldest neighbourhoods of Al Fahidi, Shindagha, Bur Dubai and Deira. Additionally, we are working to establish the city as a cultural hub through more modern landmarks such as the recently opened Etihad Museum and Dubai Opera, a world-class entertainment venue hosting internationally acclaimed performances and productions.
How do you work with private-sector tourism partners in the emirate’s travel and hospitality industry? Dubai Tourism has a close working relationship with all travel and hospitality operators and developers in the city. We are continuously developing initiatives in support of, and in collaboration with, our partners and stakeholders; recognising the huge contribution that each player makes towards Dubai’s success as we work together to realise our shared goals. Dubai’s positive performance over the years reflects not only the efficacy of the emirate’s outward-facing measures and regulatory enablement, but also the in-country proposition enhancement, which would not have been possible without the strong relationships that exist across the private and public sectors.
Where do the main opportunities lie for British businesses who may be looking to enter the UAE tourism industry, or provide services to it? Dubai’s close ties with Britain are long-standing and mutually beneficial, and the UK continues to be one of our most important, and best-performing, source markets for inbound tourism. In 2016, over 1.2 million British travellers visited Dubai, and a number of high-profile British brands already have a presence in Dubai, spanning the hospitality, retail and F&B sectors. The likes of John Lewis, Waitrose, Marks & Spencer, Harvey Nichols, Premier Inn, DUKES and celebrity chefs Jamie Oliver, Gordon Ramsay, Jason Atherton and Gary Rhodes have all opened stores and restaurants in the city, underlining the attractiveness of Dubai as an investment opportunity.
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DUBAI’S NEW ATTRACTIONS DUBAI PARKS AND RESORTS The Middle East’s largest integrated leisure and theme park, Dubai Parks and Resorts features more than 100 rides located across five parks: MOTIONGATE, Bollywood Parks Dubai, Legoland, Legoland Waterworld and Riverland Dubai. DUBAI FRAME Zabeel Park is one of Dubai’s largest parks covering the equivalent of 45 football fields, and located close to Dubai World Trade Centre, one of the emirate’s first high-rise buildings. With so much history on its doorstep, it’s no wonder the park was chosen as the location for Dubai Frame. Providing 360-degree views of old and new Dubai, Dubai Frame is 150 metres high, with a 93 metres glass bridge, from where it is possible to see the entire city. DUBAI WATER CANAL Inaugurated in November 2016, Dubai Water Canal is the engineering miracle that became the emirate’s latest leisure and entertainment hub. Stretching from Habtoor City to the coast, the 3.2 kilometre waterway adds 6.4 kilometres of waterfront to the emirate and creates 80,000 square metres of public space, a 3 kilometre running track and 12 kilometre cycling path. Along the way are light displays and waterfalls to impress crowds who visit on foot or by boat.
DUBAI OPERA | 4.10
Local talent More than a venue for globally recognised names in the emirates, Dubai Opera is also a strategic cultural hub, inspiring the next generation of local talent to pursue dance, song, theatre and music. CEO Jasper Hope explains
What does Dubai Opera, and Dubai’s wider creative sector, contribute to the UAE’s social and cultural fabric? Dubai Opera has made Dubai a more interesting place every day since it opened. People have somewhere to go to watch a great show now and, in terms of cultural investments across the country, it is a big one. Even more importantly, from a long-term perspective, what matters is how this fits into the vision of Dubai from outside. If people are considering coming here to live and work in the future, to raise a family here, to visit here on a holiday, or to make Dubai a business destination, these things become much more important. Having an opera house in the heart of Downtown and its stage full of world-class performances that would be equally at home in London, Paris, Madrid or New York; it can start to have an impact on many more things than just placing culture on the doorstep of those who live here.
How will Dubai Opera contribute to the development of talented young performers, artists, musicians and writers in the UAE? What you need is an environment that is receptive to talent in all forms. You need it for people who might go on to become physicists just as much as you need for people who will go on to become dancers. Dubai is developing all of these different industries in different ways in different time frames and we are one of those. When we bring an amazing show to our stage, whatever type of show it is, there is an immediate gratification because people like the show and they buy a ticket and have a great night out. However, from an inspirational side, if you reach children that impact lasts much longer.
They could appear not just on our stage here in Dubai but on the stages of London and New York.
Where do the opportunities lie for British creatives? For British artistic groups there are always opportunities. Some of the best musical theatre, classical, rock and pop, singer songwriters, jazz, pop and plays come out of the UK. There are a whole range of artistic and creative individuals, ensembles and companies that we will welcome. We want the best.
Dubai Opera is part of a surge in activity in the UAE’s creative industries in recent years. How will recent cultural develop� ments across the country shape its future?
One of the misconceptions of Dubai and the UAE is that there is no culture, but that isn’t true — there’s lots of culture, it just hasn’t been at this level and it certainly hasn’t been this prominent. It hasn’t, as in our case, had a building that physically represents the level of aspiration from the word go but you can’t have an opera until you have enough schools, roads and hospitals. There has been talk for more than a decade that London needs a new concert hall but here, four years, done — and it’s not just four years for a building, but the quality of what is developing here and what is on stage. For Dubai Opera, it was just a question of timing and have we got enough of everything else to make it work? What is most important is that it has happened. We have fantastic museums opening in Abu Dhabi, amazing talent coming out of d3 and now we have Dubai Opera… and Dubai Opera CEO, Jasper Hope there will be more.
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4.2 | MEGAPROJECTS
CELEBRATING HUMAN INGENUITY Expo2020 will combine the event’s core principles of ingenuity and progress with the show stopping, ambition-driven spirit of Dubai, to create a shared stage for ideas with the power to change the world
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he UAE has long pioneered global work in the sciences, with specific focus on the technology and innovations that will drive the next period of global development. In that context, Dubai’s successful bid to host Expo2020 comes as no surprise. In preparation for its year in the spotlight, Dubai has rolled out a series of development projects, social programs and cultural engagement schemes to wow the 25 million visitors Expo2020 will attract. With unwavering focus, almost all activity in the Emirate’s public and private sector is now directed towards the opening in October 2020. Taking place in the Middle East for the time in the event’s 166-year histo-
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ry, Expo2020 is a “festival of human ingenuity”; a platform for more than 170 countries to showcase, connect and collaborate under the theme of connecting minds, creating the future. With specific intent to foster creativity, innovation and collaboration on a global scale, the Expo will focus on opportunity, mobility and sustainability, described by its leadership committee as “three interwoven themes, fundamental in addressing the most pressing issues of our time”. Legacy projects after 2021 will cascade these vales across the wider Middle East and Africa region. While intangible in concept, each of the three themes addresses very specific questions around the mechanics of how the future will work and what it will look
like. In this respect, Expo2020 brings a human angle to the science-led world of the tomorrow. Opportunity leverages education, employment, financial capital and governance to demonstrate how individuals and communities can achieve their shared personal and professional goals. Specifically, opportunity will explore the future of the classroom; new industries; and the impact of migrating government services online. Mobility pushes the boundaries of imagination to highlight just how much the world could change over our lifetime: Will the next generation have driving licences? How many jobs will drones create? How will the transport of the future be fuelled? Sustainability, a theme now central to all the UAE’s work, will be the host country’s chance to shine. Covering everything from weather engineering to cancer cures in nature and future protein sources, headline projects and installations during the Expo will focus on climate change, sustainable cities and built habitats, resource management and the green economy.
EXPO2020 | 5.1
EXPO LIVE Bringing Expo’s founding principles to life, Expo Live is generating interest and traction in key areas in the run up to 2020. With a budget of US$100 million the program objectives are innovation, partnership, engagement and impact and will identify and promote new solutions that support an inclusive and prosperous future. Expo Live has awarded a series of grants and challenger prizes, and hosted knowledge sharing events around the key opportunity, mobility and sustainability themes. The Innovation Impact Grant Program aims to fund “novel and innovative solutions that encapsulate the spirit of Expo2020 Dubai’s overall theme connecting minds, creating the future.” The program will distribute its multimillion-dollar budget among social enterprises, start ups and grassroots projects around the world, based on their legacy impact on environmental positivity and social value. In its first cycle, the University Innovation Program saw 1,000 UAE university students submit ideas to “help improve our lives”, and more than AED25,000 was awarded to 19 groups to fund prototypes.
YOUTH Expo’s spirit of inclusivity isn’t just about culture and nationality, it also extends to the youth. Expo2020 provides a once in a generation opportunity for the UAE’s youngest and most promising minds to engage with global thought leaders from politics, science, academia and business. Through Youth Connect that work has
so far engaged more than 48,000 students across 640 schools and a further 1,500 people through promotional and educational events. The aim is to connect with and empower young people by nurturing a spirit of innovation, and by providing them with a platform to connect and share. Youth Connect works across schools and universities with young children to young professionals, through roadshows, field trips, educator workshops, apprenticeship and innovation programs. Youth schemes have also taken place as part of the Year of Zayed, such as the April 2018 Earth Day celebration, which united 100 schools through the Sustainability Champions program. A competition within the program was judged by the Ministry of Education, Ministry of Climate Change and Environment and Expo2020, during Abu Dhabi Sustainability Week. Najeeb Mohammed Al Ali, executive director of Dubai Expo2020 Bureau, says: “It is great to see that so many schools participated in the program, which reflects high levels of interest and enthusiasm in the school community for sustainability, as well as Expo2020 as a national project. “Sustainability is not only a core pillar of the Year of Zayed but also one of Expo 2020’s three key sub-themes. We look forward to working closely with the school community to leave a lasting legacy for sustainability in the UAE, both physically and socially,” he adds.
LEGACY Dubai’s legacy plans for Expo were first revealed at Cityscape Global 2017, and include details of how as much as 80% of the Expo site will be reused or repurposed. Early ideas include plans for innovation and development hubs, educational facili-
THEMES OPPORTUNITY Ensuring new horizons are open to individuals and communities to help them meet their current needs and future aspirations
ties, hotels, homes and museums. A number of the international pavilions will make way for District 2020, an entirely new suburb, planned to become a holistic community rather than a mere business hub and trade zone, with 65,000sqm of residential space, 135,000sqm of commercial and office space, and a new Siemens logistics hub. Notably, the Sustainability Pavilion will become a centre for child and scientific education and both the UAE Pavilion and Al Wasl Plaza will remain open to the public. In addition to the physical legacy Expo 2020 will leave on Dubai’s famous skyline, the project and event will also leave a reputational legacy. Expo’s contributions to the future of the world won’t end in 2021; the event is a foundation for decades of continued work in key areas, that will be executed through a series of international partnerships. However, the most enduring element of Expo2020’s legacy could be far bigger. The World Expo has long been known as a place where tomorrow’s inventions debut. In 1851, the telegraph was first demonstrated at the World Expo and in Philadelphia in 1876 the typewriter made its first public appearance. Continuing the theme, in 1900 the Paris Expo featured the first diesel engine and the New York Expo in 1964 featured the first colour TV. IMAX enjoyed its world debut in Osaka in 1970 and wireless trams were first unveiled at Yeosu in 2012. There is no doubt the Dubai Expo will see the launch of equally important and life changing technology, most likely aligned to the central themes of the 2020 event. As the emirate that has given the world its tallest building, largest mall and now, most sustainable Expo, the sky truly is the limit.
MOBILITY
SUSTAINABILITY
The bridge to opportunity; connecting people, goods and ideas and providing easier access to markets, knowledge and innovation
Guiding how we grow opportunity by doing more with less, while protecting and preserving the environment
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5.2 | THE EXPO EXECUTIVES
LEADING PROJECT Bringing a megaevent such as Expo to life requires skilled and visionary leadership and, at the helm of Expo’s executive team, are two dedicated and talented directors: Her Excellency Reem Al Hashimy and Najeeb Mohammed Al-Ali
NAJEEB MOHAMMED AL ALI,
Executive director of the Expo2020 Dubai Bureau Prior to his appointment to the Expo2020 Dubai Bureau, Najeeb Mohammed Al Ali held several roles that focused on collaborative and progressive work, including executive director of the Emirates Competitiveness Council and director of strategy and policy in the Prime Minister’s Office. Further, he has held the positons of director of special projects for the Executive Council of Dubai and executive director of Dubai Centre for Corporate Values, in addition to various roles within the TECOM free zone authority and Emirates Integrated Telecommunications Company. In this work, his achievements have included contributions to the United Arab Emirates’ Federal Strategy and Competitiveness Strategy, as well as the Dubai Strategic Plan 2015, UAE vision 2021and the development of Dubai’s green building policies.
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He was instrumental in publishing the UAE’s first corporate CSR report and established the strategic sectors division of the Dubai Economic Department. This work has played a vital role in shaping his leadership style at the Expo 2020 Dubai Bureau. In his current role, Al Ali is responsible for the alignment and coordination of Expo2020 Dubai projects across all government entities, following the key theme of connecting minds, creating the future, and the subthemes of opportunity, mobility and sustainability. Addressing the Bureau International des Expositions in 2018, he said: “Only together can we make our World Expo an unforgettable experience. And only together can we inspire future generations as we continue to sow the seeds to create a better future.”
THE EXPO EXECUTIVE | 5.2
EXPO HER EXCELLENCY REEM BINT EBRAHIM AL HASHIMY
Cabinet Member and Minister of State for International Cooperation and director general of the Expo2020 Dubai Bureau Organised by the Bureau International des Expositions, Expo is a global event intended to educate the public and promote progress. Yet no Arab or Latin American country has hosted a World Expo in the event’s 166-year history. Dubai’s successful bid was a landmark development and Her Excellency Reem bint Ebrahim Al Hashimy played a key role, speaking often on the importance of bringing Expo to a new region. Addressing a government forum in early 2018, she told delegates: “We have a unique opportunity to tell the world who we are. Together, we can dispel past narratives and forge our own voices, defining who we want to be. The impact can be nothing less than transformative. “Sheikh Zayed was a man who believed in the power of partnerships and reaching out to others. In this spirit, Emiratis reach out to countries and communities near and far, with the understanding that whether we are similar or different as people, we are all bound by a common humanity. We in Dubai believe in constantly searching for new opportunities, and finding new and better ways of doing business. Together, we can go further.” Her Excellency’s involvement in Expo2020 dates back almost a decade. Part of her role as Minster of State for International Cooperation saw her drive the bid project and today, she holds the title of director general of the Expo2020 Dubai Bureau. Her Excellency joined the Federal Government in 2008 and was appointed Minister in 2016. She manages the International Affairs Office of the UAE Prime Minister and holds responsibility within the Ministry of Foreign Affairs for the UAE’s bilateral relations with India, Pakistan, Sub-Saharan African countries and the Small Island Developing States. Further, she holds the position of chairperson for both The Federal Competitiveness and Statistics Authority, and Dubai Cares. Her visionary leadership of the Expo2020 Dubai Bureau has seen the event deliver on all its world-first ambitions, from most sustainable to most inclusive Expo. Speaking on a panel about leadership in 2014, Her Excellency said: “Bilateral relations play a very important role. Given how globalisation has really taken on you can’t just focus on country A and country B. “It’s within a much more interconnected framework, which also brings up the concept of the need for strong collaborative approaches, the need to develop partnerships, the need to really look at a win-win solution,” she continued. “Things are much more transparent now — you can’t do things without it somehow finding exposure in one way or another because technology has become so accessible. So I think we need to use bilateral relations as a springboard but really look at more collaborative types of approaches, because issues are no longer me and you. Now the ‘our’ component is much stronger,” she added.
“Together, we can dispel past narratives and forge our own voices, defining who we want to be. The impact can be nothing less than transformative”
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5.3 | THE MASTERPLAN
ON SITE:
More than 170 nations will participate in Expo 2020, taking place on a huge new site located between Dubai and Abu Dhabi. As the final full year of preparations begins, the UAE is gearing up for a record year of activity in the construction sector
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THE MASTERPLAN | 5.3
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he last 12 months have seen a significant increase in the pace of Expo projects, following the award of AED10.8 billion in related construction contracts in 2017. The site’s masterplan was designed by HOK in collaboration with Populous and Arup. Further, a HOK/Arup consortium was selected to design the host venue, a 1,082 acre site inclusive of residential, hospitality and logistics zones. As work continues at the site, the last 12 months have seen a series of milestone achievements. On 23rd January — 1,000 days before Expo2020 is due to open — two major construction contracts were awarded to Laing O’Rourke with a combined value of AED670 million. Work will include construction of the Leadership and Media Pavilions, landscaping and construction of the event’s ‘hammerhead’ access road, the primary route to Al Wasl Plaza. Both of the pavilions will be transformed into hotels after Expo. Ahmed Al Khatib, SVP of real estate and delivery at Expo2020 Dubai, says: “We are on track to deliver an exceptional site for an amazing Expo… with all heavy construction activities due to be completed more than a year before the inauguration, it is essential that work continues to progress smoothly.” In February, Dubai Media Office released an aerial film of the site demonstrating the progress made on groundwork for the flagship theme districts. All major design elements are now complete on the three structures and construction has started on the country pavilions that will surround them. In April, Luxemburg became the first international exhibitor to break ground on its pavilion. In the final quarter of 2018, external cladding work concluded on three theme districts, developed by Al Futtaim Carillion and designed by Bjarke Ingels Group, Foster + Partners and Grimshaw. Keeping the pace into 2019, the start of the New Year will see work continue on the highly anticipated Sustainability Pavilion, with completion scheduled for October.
WORLD MAJLIS In the spirit of connection and shared vision, World Expos have long been harnessed for their ability to forge collaboration and joint discovery. Continuing this culture in 2020, the World Majlis is a space to engage in respectful and inclusive dialogues that “generate new perspectives and incubate meaningful connections”, according to the Expo team. With a focus on human ingenuity, Expo2020 is a catalyst to drive conversation on the most pressing issues of our time, from climate change, natural disasters and global poverty, to tolerance and civic engagement. Expo will explore science, imagination, machine development, human connection and the future of humanity, with all these themes magnified in the World Majlis. The Majlis format sees 15 to 20 global thought leaders from different disciplines gather with a small cohort of up to 20 students. Their discussion is facilitated by a senior leader who is professionally committed to the topic at hand, giving everybody a chance to participate.
EXPO 2020 SITE Project size: 4.38km2, with capacity for 300,000 visitors a day Project budget: AED25 billion Masterplan: HOK, Arup Jobs created: 275,000+ Economic benefits: $20.14 billion could be added to the economy during the event
The Opportunity Pavilion
Scan this code to watch aerial drone footage of the Expo site, filmed in August 2018
THE FINISHING TOUCHES Work hours since the project’s launch now total more than 16 million and as much as 6,100 cubic meters of concrete is laid on average every week. With advanced work now underway, the Dubai Government allocated an unprecedented share of its 2018 budget to infrastructure development, accelerating the pace seen over recent years. Expenditure surged 19.5% compared to 2017, creating 3,100 jobs and inclusive of a 10% increase in salaries and wages. Infrastructure spending enjoyed another year of growth over the year, up 46.5% over 2017 and representing 21% of total expenditure. The focus on Expo’s finishing touches saw AED5 billion allocated to related projects, in line with the target budget of AED25 billion.
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5.3 | THE MASTERPLAN
The Mobility Pavilion
“We are on track to deliver an exceptional site for an amazing Expo” TENDERS UAE contractors: Al-Futtaim Carillion, Khansaheb, Besix, Arabtec, Tristar Engineering and Al Naboodah Construction 2019 Completions: Exhibitors started construction of their pavilions in 2018, with handover of the sites from 2019. The Sustainability Pavilion will complete in October 2019 Fast Fact: 4.7 million cubic metres of sand was moved in preparation for main construction work
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A further AED10 billion has been invested in the Dubai Metro extension, with 3.2 kilometres of tunnelling work completed in mid-2018 and test runs on track to commence in February 2020. The Roads and Transport Authority (RTA) has issued contracts for first and second phase works on the Expo roads improvement project, valued at AED1.36 billion. Until the end of 2017, a total of 2,926 contracts were awarded, with SMEs favoured for the work and successful in 1,645 tenders. This provides strong progress towards the target of dedicating 20% of direct and indirect Expo spending towards the SME sector. Non-construction contracts over the year totalled AED411 million. Manal Al Bayat, Expo2020 Dubai’s SVP for business development and integration, says: “This is an unmissable opportunity for SMEs to make an impression on the procurement teams of both Expo and our main contractors and to have collaborative and inclusive discussions about innovation and best practice. “Our commitment with SMEs is not just about awarding contracts, but also connecting them with other companies and organisations to build relationships
AROUND THE EXPO SITE Conference and exhibition campus: 35,000m2 Sustainability Pavilion: 29,000m2 Mobility Pavilion: 12,000m2 UAE Pavilion: 15,000m2 Thematic Districts: 145,000m2
that will help them grow. In other words, connecting minds, creating the future,” she adds. The increased infrastructure spending also provides another boost to economic growth. As the UAE enters the last year of development, 2019 is set to become the construction industry’s busiest year — in labour alone, it is expected 35,000 people will work across all sites, almost three times the 12,000 people on site in 2018. The results of their work will capture the imaginations of millions of visitors from around the world, while setting a precedence for the Universal Expositions and driving advancements across science, machine development and human connection.
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5.4 | SUSTAINABLE EXPO
From sustainable environments to sustainable development, the UAE Expo will be the greenest in the event’s history and its legacy will shape environmental policy and development for generations
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ustainability has taken a leading role in the UAE’s strategic development plans for a number of years and today each emirate has its own specialisation: from Sharjah’s waste conversion and recycling plants, to Dubai’s renewable energy infrastructure and Abu Dhabi’s globally recognised building code, Estidama. Expo2020 will amalgamate the progress made in each of these fields, while calling on international best practice methods to create and execute the world’s most sustainable Expo. Throughout the Expo site, which will eventually form District 2020, streets are self-shading, reducing the ambient temperature and channelling cool air between buildings and structures. More than 45,000 square metres has been ring fenced for green areas, to promote wellbeing and integrate natural elements with world-class architecture.
A total of 40 Key Performance Indicators (KPIs) have been implemented, including a target to divert 85% of construction waste to landfill, following a partnership between Sharjah’s Bee’ah and Dubai Municipality. The target was exceeded in 2017 and by early 2018, a further 40,000 tons of construction waste had been diverted. Energy infrastructure through the Expo site will be largely renewable and designed to help exceed the 50% renewable power target for the event. “Our Expo legacy is the rollout of new sustainability practices across the UAE. In terms of site-wise sustainability targets, we’ve focused on two main objectives — to protect natural resources through design and promote the use of sustainable materials in terms of environmental, social and economic impacts. We’ve sourced sustainable materials for contractors and consultants. We also look at importing materials from nearby locations to reduce carbon
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Sustainability Pavilion
SUSTAINABLE EXPO | 5.4
emissions,” says Ahmed Al Khatib, VP real estate and delivery, Expo2020 Bureau “We have developed KPIs for sustainability guidelines as a strategy for our master plan. We are monitoring them closely and meeting contractors on a regular basis; we also monitor the sourcing of materials,” he adds.
SUSTAINABILITY SHOWCASE Details of the Sustainability Pavilion were revealed during Abu Dhabi Sustainability Week in January 2018. The Pavilion will continue to welcome visitors even after Expo, when it is converted into an “immersive and educational Exploratorium”. Designed by British-based Grimshaw Architects, and with project partners from design firm Thinc and engineers from BuroHappold, the Pavilion is a global collaboration that unites international best practice with new, regional building codes, created to match the specific requirements of the local climate and environment. Inspired by the photosynthesis process that occurs in plants, the building itself will take most of its energy and water needs from the sun and atmosphere, becoming the first large scale application of such technology in the world. HE Reem Al Hashimy, UAE Minister of State for International Cooperation and Director General, Expo2020 Dubai, says: “Sustainability is at the heart of this World Expo and the legacy we aim to leave behind for the region. Our Sustainability Pavilion will play a major part in this effort, and will serve as an oasis for sustainable and innovative experiences and practices, linking to the strategy of the UAE Government to be a leader in sustainability on a global scale.”
SUSTAINABLE SOLUTIONS Not only will Expo2020 be the most sustainable in the event’s history, its legacy of achievement will have lasting impact in the fields of sustainability and sustainable development. Since the first World Expo in 1851, the event has become the platform of choice to debut transformative technologies. From the diesel engine to the telegraph and IMAX cinema, visitors to World Expos are usually some of the first to experience truly revolutionary developments.
“We see our mission at Expo2020 Dubai as nothing less than amoral obligation to ensure these touchpoints of education and inspiration are meaningful, lasting and relevant to the 25 million visitors we hope to attract” HE REEM AL HASHIMY UAE MINISTER OF STATE FOR INTERNATIONAL COOPERATION AND DIRECTOR GENERAL, EXPO 2020 DUBAI.
Considering Dubai’s tack record for outperforming the world on various fronts — not to mention its work in space science — the 2020 headline maker will have a lot to live up to. In addition to the heavy emphasis that will be placed on sustainability in construction and facilities management, entire elements of the exhibition and agendas for discussion are dedicated to addressing sustainability as one of the greatest challenges humanity faces today. “With the world’s population growing at such a rate and its consumption of our natural resources expanding ever faster, we need all the converts to a more sustainable way of living we can find, and we should start with the young,” says Al Hashimy. “We see our mission at Expo2020 Dubai as nothing less than a moral obligation to ensure these touchpoints of education and inspiration are meaningful, lasting and relevant to the 25 million visitors we hope to attract.” Using the theme of sustainability as a springboard, the Expo intends to specifically tackle such prominent challenges as global hunger, power demand and generation, natural ecosystems and biodiversity, weather engineering and climate change. Crucially, as one of the first platforms for the exploration of new principles and metrics for a sustainable global economy, the Expo will also place a spotlight on the emerging green economy.
SUSTAINABILITY TO 2071 The groundwork that will take place during Expo2020 will be crucial to setting the pace and direction of achievement between the early 2020s and mid-century. Supporting this, the National Agenda set out in Vision 2021, outlines the immediate focus for sustainability in the UAE, which includes improving the quality of air, preserving water resources, increasing the contribution of clean energy and implementing green growth plans. Building on this work, sustainability will remain a core focus of the UAE’s economic and environmental development. Environmentally, it is specified as a requirement of leadership under the UAE Centennial Plan 2071, along with the adoption of scientific and technological solutions and investing in entrepreneurship and developmentally, forms the foundations of the UAE’s future economy. As outlined in Plan 2071, the diversified national economy of the future will promote and reward ingenuity, innovation and entrepreneurship, paving the way for the next generations to bring their own ideas to life. Throughout this process, Emirati inventors and scientists will be supported to develop national export industries in advanced products and services, and boost the presence of the UAE’s leading companies on the global stage.
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OPEN FOR BUSINESS Home to the majority of the MENA region’s start ups, not to mention dozens of internationally recognised Emriati firms, the UAE’s business landscape is one of the most competitive — and welcoming — in the world
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ccording to the published Cabinet Resolution No. 22 of 2016, the UAE’s unified definition of an SME distinguishes between enterprises based on employee headcount and annual revenues applicable to three different industry groups: trading, manufacturing and the services sector. There are currently 350,000 SMEs in the UAE accounting for 94% of total companies in operation. Net profit margins for SMEs in the region range between 7% to 18% in the manufacturing sector, 5% to 12% in the trading sector, and 3% to 20% in the services sector. Many SMEs in the UAE are export oriented with key export destinations including the wider GCC, Asia Pacific region, and Africa. According to the World Bank, SMEs play a significant economic role, particularly in emerging and developing economies, generating 60% of total employment oppor-
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tunities and contributing 40% of GDP. In the UAE, the percentages are even higher as SMEs employ 86% of the total workforce and generate 60% of non-oil GDP. The UAE is placing high emphasis on SMEs and is setting strategic measures towards achieving its vision of boosting SME GDP contributions to 70% by 2021. Supporting this, Expo2020 will allocate AED5 billion in contracts to local and international SMEs to stimulate employment, strengthen industries, and support sustainable economic growth.
FUNDING CHALLENGES The UAE’s thriving private sector has witnessed several growth spurts since 2016 and, in 2017, contributed 70% of total GDP; a figure that puts the country on track to attain its 2021 target of 80%. The positive news is a welcome distraction after periods of muted growth performance in the first half of the decade,
Share of UAE nationals in the workforce Net flow FDI as a % of GDP, 2015
caused by global and regional dynamics. Fortunes changed in January 2017 when the non-oil private sector recorded its strongest growth in six months. By September 2017, the Ministry of Economy was confident enough to forecast overall growth of 3.1% for the year and 3.5% for 2018, based on the strength of diversification achieved to date. In January 2018, the Emirates NBD Purchasing Managers’ Index recorded non-oil private sector output had spiked to a record high of more than 57.5. This was followed in June with a further spike to 57.1, up from 56.5 the month prior. “Overall, the data supports our view that the UAE’s non-oil sectors will see faster growth this year relative to 2017. Moreover, the decision by OPEC to increase oil output in the coming months is likely to be reflected in higher oil production by the UAE in the second half, which poses upside risks to our oil sector and total GDP fore-
3.4%
Emiratisation rate in private sector, 2106
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Global Entrepreneurial Spirit Index, 2017
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Non-oil real GDP growth in SME sector, 2016 Global Competitiveness Index, (2018 report)
BUSINESS LANDSCAPE | 6.1
KEY FACTS: NEW VISA AND LABOUR POLICY CHANGES • Mandatory bank guarantee for labour recruitment abolished; replaced with low-cost insurance system • New visa facilitation procedures adopted for visitors, residents and families • New 10-year visa available for professionals • Transit passengers now exempt from all entry fees for first 48 hours; transit visa 96-hour extension now costs AED50 • Overstays can now elect to leave the country voluntarily without a ‘no entry’ stamp • Overstaying job seekers who wish to work can apply for new six-month visa; temporary visas now available to attract international talent and professionals • Illegal entrants can elect voluntary leave with a two year ‘no entry’ stamp, if they present return ticket • Option for fee-based visa renewal service, removing the need to exit and re-enter the country • Those considered “people of determination”, now have equal access the job market
Dozens of schemes and incentives have launched over recent years. For example, in 2015, the government created the US$82 billion science and technology fund, designed to support the UAE’s rise in the ranks of internationally leading competitive knowledge economies. As a result, the UAE’s reputation as a start up hub is gaining traction. In May 2018, the country was named the hub of the MENA start up landscape, with 76% of the region’s start ups based in the country; the UAE also leads on its share of the region’s total investors and deals in 2017. The country attracted 298 new digital start ups over the 12-month period and, while venture capitalists from across the region were the source of 25% of all investments made during the year, corporate investors remained the highest growing segment regionally for the fifth consecutive year; of which the UAE had the highest share, at 39%.
OVERSEAS INTERESTS cast for 2018,” says Khatija Haque, head of MENA Research at Emirates NBD. While the pace of business in the UAE is a major driving force of recent performance, the private sector also receives government support. This takes the form of partnerships and contracted work opportunities with the public sector, a framework that has brought opportunity valued in the billions of dirhams, to the UAE private sector in the run up to 2021 and Expo2020. Further, the UAE provides world-class business infrastructure. From innovative ports and airports to new roads, urban transport systems and soon, a rail network. A series of grants, support bursaries and innovation prizes are also awarded by the government throughout the year, supporting the work of SMEs and entrepreneurs from all over the world, who work in the UAE. This sector plays a critical role in the Centennial Plan 2071, driving the innovation and advances that will underpin the UAE’s reputation as a global leader in science and knowledge. Such start ups already benefit from a range of dedicated infrastructure developments. Fintechs from all over the world
can work in one of the UAE’s sandboxes, to develop and test their solutions; science enterprises can take advantage of the business support offered at Dubai Science Park, while continuing to work towards their key goals; and overseas recruitment is now easier than ever before, following the introduction of new visas (see box).
START UP HUB A significant stake of the Centennial Plan depends on a private sector invested in future technologies and solutions, as well as the established industries of retail, manufacturing and hospitality. Under Plan 2071, the key areas driving jobs will include: drones, AI, renewable energy and sustainable transport. Before that, Vision 2021 outlines a plan to sow the seeds for this work. SMEs and entrepreneurs will be vital to this, as their agility, vision and work in emerging sectors, is key to both the 2021 and 2071 plans. Yet, to attract the world’s leading, most agile and highly driven enterprises to a country that is less than 60 years old, requires an unwavering vision of a future where business is supported to thrive and new deas can be explored.
The UAE’s government, private and state owned sectors all hold stakes in many diversified assets, brands and investments around the world. At home, high-profile, state-owned enterprises (SOE) include Etisalat, Emirates, Etihad, Abu Dhabi National Oil Company, Dubai World, flydubai, Dubai Holding, and Abu Dhabi Ports Company. Many SOEs hold stakes in emerging and established economies, such as DP World and Abu Dhabi Ports, which both own port facilities around the world. Side by side, hundreds of home-grown UAE companies now operate on a global scale, including such heavy weight developers and contractors as Emaar Properties and Emaar Malls, Nakheel, Damac, Mubadala and Aldar. Large, family-founded Emirati business groups operate a large share of the country’s construction, hospitality and retail activity, including Al Ghurair Group, Al Futtaim Group and Al Habtoor Group. Through their work in the UAE, these enterprises were able to forge success on a national, regional and even international level; adding further strength to the private sector, and supporting the UAE’s reputation as a great place to do business.
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6.2 | BUSINESS SET UP
BUSINESS SET UP IN THE UAE
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Saeed Khalifa Mohammed Al Fuqaei, chairman of Shuraa Business Setup explains the different business formations for British companies looking to establish a presence in the United Arab Emirates
BUSINESS SET UP | 6.2
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he United Arab Emirates continues to attract foreign Mainland companies have fewer restrictions compared to any investment each year with people choosing the country to other jurisdiction and the set up and operational cost is affordable set up new businesses or branch offices. A large sovereign for a long-term business. As per the commercial law in the UAE, wealth fund, strong financial reserves, consistent Governa mainland business does need partnership with a UAE national. ment outlay, a progressive policy of economic diversificaNevertheless, a business setup service provider can become a local tion and increased foreign investment are all contributing factors partner, ensure documented reliability and handover all the compato the UAE’s robust economy. ny’s authority. According to the latest population data report, there were more FREE ZONES 240,000 expatriates from the UK living in the UAE in 2012; the A free zone is a discrete commercial entity with its own set of rules largest proportion of expatriates from Europe. Foreign investors and regulations. UAE free zones allow 100% foreign ownership from the UK are attracted by the high standards of living, the and offer excellent infrastructure, asset protection and tax exempoutdoor lifestyle that the UAE offers and extremely low taxes tions. There are hundreds of free zones in the UAE that companies compared to those back home. A good number of British schools can choose from and each one has its own advantages and limiteach a UK curriculum and this too aids with the relocation factor tations. Free zone establishments are limited to conduct business for families. only within the situated free zone, outside the country or through Whereas the UK has a lot of mature markets, the UAE alterbusiness to business transactions in the UAE. natively has a lot of growth opportunity for However, the tax benefits far outshine any certain sectors as there are fewer competitors limitations. within the same industries. British business owners have been able to move their opOFFSHORE erations or open a branch in the UAE and Having an offshore business in the UAE is an maximise their profits year on year. ideal way to secure money and assets. BusiToday there are more than 5,000 British ness can be conducted privately and complete companies operating in the UAE including BP, confidentiality is maintained by the offshore Shell, Rolls Royce, John Lewis, Waitrose, and authorities. Companies can do business overmany more. seas and have UAE bank accounts, however, The Dubai Statistics Centre recently offshore companies cannot conduct business reported that more than AED290.7 billion in the Emirates as they only get a certification was injected into the country from foreign of incorporation. direct investments around the world in 2016. The higest value sector was information and BUSINESS SET UP communication, valued at AED5.6 billion, Setting up a business in the UAE could well followed by real estate activities, valued at Saeed Khalifa Mohammed Al Fuqaei be appealing for a foreign investor entering AED58.8 billion. the regional market. However, at the same Dubai Statistics Centre also reported that time there are a lot of complexities that need investments of more than AED505 billion to be taken into consideration. from 172 countries, were made in Dubai alone. Also, the trade Irrespective of the welcoming approach and easy-to-understand market accounted for 20% of GDP according to the latest findings business set up procedures in the UAE, it could be difficult at times from The World Bank. for a foreign entity to understand the processes. The UAE is centrally located connecting the east and west and The UAE continues to enjoy a leading position in the global companies in the country benefit from working between these expansive geographic time zones to hyper-elevate business operations investment landscape, attracting capital from around the world. With a stable economy and low tax thresholds, the country will and ease communications on a global scale. continue to generate interest and investment from companies as Starting a business in the UAE can be beneficial on a global they look to expand their presence to and beyond the UAE. forefront, but each business activity is different and needs to be Expo2020 will help to solidify the country’s position on the positioned precisely. world map through its all-encompassing activities around the The UAE has several multi-speciality jurisdictions offering comtheme of connecting minds, creating the future. plete foreign ownership with 100% profit repatriation, economic Dubai will see an enormous surge in investment over the coming incentives and tax exemption. These jurisdictions are mainly classiyear ahead of Expo2020 and this too will drive demand for fied under three areas: mainland, free zones and offshore. businesses to setup as these foreign entities look to capitalise on MAINLAND the gains and outcomes on offer. This in turn will help to accelerate UAE mainland companies are directed by the Department of and outline the future direction of the country. Economic Development (DED) in each Emirate. UAE mainland For more than 20 years, Shuraa Business Setup has seen year on companies are the most advantageous in terms of doing business year growth in businesses starting up in the country and the trend globally as well as within the UAE. doesn’t show any sign of slowing down.
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6.3 | BLOCKCHAIN
INNOVATING THE BUSINESS ENVIRONMENT The Centennial Plan cannot be achieved without solid IT and communications infrastructure. As critical to national development as new airports, roads and energy projects, the UAE Blockchain Strategy 2021 will transform how the country sends, stores and receives information
I
n April 2018, His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, launched the UAE Blockchain strategy 2021. A critical component of the UAE’s vison to become a global pioneer of technology — in all its forms — the strategy includes plans to transition 50% of government transactions to blockchain by 2021. According to Sheikh Mohammed, this would remove 389 million documents from government systems, saving AED11 billion annually on document transactions; 77 million hours of work; and 1.6 billion kilometres in transport miles. Further, information and data on the blockchain cannot be hacked or changed, which will ensure the digital security of national documents and transactions — invaluable in itself. Blockchain will be used for digital transactions, issuing each customer a unique identification number that locates their information on the secure blockchain. Under the strategy, objectives will focus on increasing citizen and resident happiness, government efficiency, advanced legislation, and global entrepreneurship. Within weeks the country’s banks were following in the government’s footsteps, with Dubai’s largest bank, EmiratesNBD
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UAE 2019 — ACCELERATING THE FUTURE
introducing Cheque Chain, a blockchain-based technology intended to strengthen the security standards across the banking sector in the UAE, for the benefits of its customers. Without strong regulatory and financial report, none of this would be possible. Sandboxes in Dubai and Abu Dhabi host start ups and innovators from across the world, as well as competitions to find the next major breakthrough. Each is supported by major private sector corporations, as well as the emirates’ respective financial centres, and the UAE government. In May 2018, Dubai hosted the inaugural Future Blockchain Summit; the first official Dubai government-hosted event exploring methods to accelerate blockchain application in Dubai. Addressing delegates at the summit, Minister of State for Artificial Intelligence, Omar Bin Sultan Al Olama said: “In terms of implementation, the first step has already been done. We created a government body that is going to lead the office of technology specifically from sectors that are going to be key. “We want to ensure that we have regulations that are more flexible, that are more agile, and we can ensure new start ups can come to the UAE and work freely,” he added.
82%
Incumbents expect to increase fintech partnerships in 3 to 5 years
77%
Expect to adopt blockchain as part of a system by 2020
30%
Of large financial institutions are investing tech including AI
20%
Average ROI of fintech projects
UAE SECURITIES EXCHANGE | 6.4
UAE STOCKS AND SHARES T
here are 60 stock exchanges around the world, of which nine are based in the Middle East. Yet only a handful of countries have more than one stock exchange, and in this list, the UAE stands shoulder to shoulder with such economic heavyweights as India, China and the US. Providing access to a highly diverse listing of more than 120 companies, both Dubai Financial Market (DFM) and Abu Dhabi Securities Exchange (ADX) stand as a gateway to invest in rapidly growing economies across the region. They are also backed with the latest technology. As part of ADX’s broader agenda to upgrade trading and listing systems, the exchange has entered into a Memorandum of Understanding (MoU) with the Society for Worldwide Interbank Financial Telecommunication, to implement Distributed Ledger Technologies (DLT), such as blockchain. Since their debuts in 2000, the UAE’s financial markets have provided a fresh source of economic growth for almost two decades and in 2016, GDP contributions from the financial and monetary sector increased 3% on the previous year. While global oil prices, trade and economic productivity have all caused recent challenges for the markets, both DFM and ADX have performed well in recent years. Both markets enjoy strong global appeal, with more than 840,000 investors representing more than 200 countries. Such diversity is largely the result of specific initiatives to target investors from
key global markets, such as the annual UAE China Week. Providing a boost to business relations, the number of Chinese investors in the UAE markets reached 817 at the end of 2017, with a total value of trade in excess of AED900 million. At DFM alone, the number of buy and sell deals by Chinese investors reached 4,543, totalling 159.13 million shares, valued at AED326 million. DFM’s vision is to be a world-class regional marketplace, which aims to provide stakeholders with innovative services in conducting trading, clearing, settlement and depository of securities, in an efficient, transparent and liquid environment. The first exchange in the UAE, DFM was established on 26th March 2000 and, on 27th December 2005 was transformed into a public shareholding company with
With two national stock markets, the UAE’s exchanges provide access to international markets for more than 840,000 investors and traders from more than 200 countries
a capital of AED8 billion. In 2017 there were 67 companies listed with 92 bonds at a value of US$70 billion. Meanwhile, in the first three quarters of 2018, ADX surged by as much as 13.4%, according to reports carried on the Emirates newswire, WAM. Capitalisation of ADX listed companies reached AED495 billion while private firms listed on the market recorded market capitalisation of AED7 billion. The number of investment institutions entered into the exchange in the first six months of 2018 reached 271, bringing the number of domestic and foreign institutions on the market to more than 7,900. Under Centennial Plan 2071, both UAE exchanges will continue to provide access to domestic and regional stocks while leveraging a robust outlook.
THE FULL PICTURE Description Number of listed companies Abu Dhabi Securities Market Index Dubai Financial Market Index The market value of Abu Dhabi Securities Market The market value of Dubai Financial Market Trading volumes of Abu Dhabi Securities Market (million paper)
Trading volumes of Dubai Financial Market (million paper)
Trading value of Abu Dhabi Securities Exchange (million $)
Trading value of Dubai Financial Market (million $)
2015
2016
Growth rate %
128 4307.26 3151.00 129718.65 83912.25 27209.44
126 4546.37 3530.88 130051.12 91953.69 48975.53
-1.6% 5.55% 12.1% 0.3% 9.6% 80.0%
98017.26
106539.37
8.7%
15711.96
13335.74
-15.1%
36410.21
-11.5%
41135.83
Source: UAE Telecommunications Regulatory Authority (2013-16) Source: MOE Economic Report 2017 UAE 2019 — ACCELERATING THE FUTURE
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6.5 | POST-BREXIT TRADE
TRADE RELATION� SHIPS BEYOND J 2019
Joe Hepworth, director of the British Chambers for Business explains the opportunity in the UAE for a post-Brexit Britain
une 24th 2016, the day after the Brexit referendum, was a Friday and not a working day in the UAE. I remember though, how much my phone pinged throughout the day with a deluge of emails, interest and requests that greeted the British Chambers for Business (BCB) team on our return to the office that Sunday. The messages came from across industry — there were no surprises in the type or specialisation of those tapping our expertise for assistance.
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POST-BREXIT TRADE | 6.5
For example, I recall particular interest from a seafood smokehouse business that had previously been prevaricating about whether or not the time was right for them to expand their presence overseas. Incidentally, they returned with very firm intent as soon as the referendum’s outcome could be leveraged. We also heard from businesses throughout the UK and from every sector, all with one common theme: Brexit is happening and we want to advance our UAE business plans as a result. Since then, the theme and direction has remained the same. British companies see the UAE as one of the best market opportunities they have anywhere in the world to diversify their European exposure and gain new export business. This trend is only accelerating as we approach 2019 and the finalisation of Brexit itself. Our parent company, OCO Global, recently conducted an extensive SME survey in the UK to assess the impact of Brexit on smaller exporters. The general response was one of cautious optimism, emerging opportunities and continued resilience. With regards to the Middle East, the feedback from British-based SMEs was positive towards the region as whole and, for the UAE, 63% of respondents see the country as their primary regional market. This is borne out of our own experiences and the demand and interest that we see on a daily basis.
BREXIT FREE ZONE So, what’s driving that demand? From a general perspective, the fact that there has been no change to the UK-UAE trading relationship in the immediate wake of Brexit, is very appealing to British companies wanting continuity and stability — and who doesn’t need that. There is no existing EU arrangement with the UAE (or wider Gulf) that the UK is leaving; in fact Brexit has no direct impact on UK business with the UAE. Without being flippant, the UAE is a Brexit-free zone! Specific opportunities abound and economic developments for Expo2020 Dubai are certainly the biggest draw. The UK is already the most represented ‘other country’ on Expo2020 tenders and
requests for quotation (RFQ). Much of the interest we see comes from companies who are using Expo as a catalyst for their own market entry to the region. Hence they are looking beyond 2020 and towards building sustainable business plans for the years to come. The BCB’s incubator model is particularly appealing for this. Another noticeable trait is the interest in using a base in Dubai or Abu Dhabi as a regional hub and stepping stone into the wider MENASA region, taking advantage of the UAE’s unparalleled transport and distribution networks to serve markets that would be altogether much harder to access from the UK. Sri Lanka, Uganda, Nigeria, Georgia and of course Saudi Arabia, have all been mentioned recently as potential trade partners. The UAE’s approach at both the federal and emirate level to diversifying the economy is also a draw for British firms. Dubai’s leader-of-the-pack attitude towards Smart Cities, with initiatives like the Dubai Future Accelerator, are not only eye-catching but also drawing in quality UK expertise in areas like Artificial Intelligence, Virtual Reality, autonomous vehicles and renewable energy. All these sectors regard Dubai as an exciting testbed and a showcase for their technologies, not to mention a place where commercial adoption is probably much closer than elsewhere in the world. In Sharjah, the approach to building a true knowledge-based economy attracts UK firms to the impressive University City cluster where there is a quality research and development hinterland that can be harnessed for commercial developments. The American University of Sharjah follows similar models to those established at British institutions such as Imperial, Oxford and Cambridge providing the bridge between academia and the business world. Abu Dhabi’s commitments on economic reforms and incentives is also attracting UK firms beyond the traditional energy, infrastructure and defense sectors. The growing leisure, culture and entertainment industry, centered around both Yas Island and Saadiyat Island, has significant British involvement already. Meanwhile, UK firms
“Specific opportunities abound and economic developments for Expo2020 Dubai are certainly the biggest draw”
Joe Hepworth, British Chamber of Business
see KIZAD — the logistics mega-district positioned between Dubai and Abu Dhabi — as a quality option for their manufacturing and logistics presence in the region. Despite all this crystal ball gazing, it is imperative to remember the UAE and UK’s daily ties, which extend far beyond business. During Ramadan, bottles of Vimto fill the shelves; you can buy your toothpaste at Boots; insure your car through RSA; and bank with HSBC. Whatever the future has in store in the post-Brexit world, the UAE remains fond of UK brands, interested in British expertise and keen to build on the quality relationships and links that already exist.
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6.6 | UAE INVESTMENTS
FUNDING W THE FUTURE Khaled Talhouni, managing partner of venture capitalists Wamda Capital, gives an overview of the VC market in the emirates and explains how to navigate its key opportunities
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e trade in the business of disruption, investing in companies that drive change and alter the way things are done. As venture capitalists (VC), we identify opportunities in these changes and place our funds — and trust — in start ups that promise a better model for the future. Initially this can be uncomfortable as old-age habits are not only questioned, but overhauled and replaced with new technologies that accommodate efficiency and clarity. Take for example Twiga Foods, a start up in Wamda’s portfolio that is transforming the agricultural distribution channels in Kenya. Or Mumzworld, which has redefined online communities and retail for mums. These are companies driving change in their fields. In the inevitable teething period post-Brexit, British companies will have the opportunity to engage with the wider world, forging relationships and partnerships beyond the European Union, with many of these relationships forged for the first time. Most are inclined to cite China, India or Brazil when referring to emerging markets, but there are many other countries that have propelled their economies forward; embracing new technologies and encouraging more people to get online. Nowhere has this happened more rapidly than in the GCC and in particular, the UAE. A hub of innovation and a springboard into surrounding emerging markets, the UAE presents a glimpse into the future of smart infrastructure, and a leadership model that prioritises ease of doing businesses for the wellbeing of its population. Without the burden of legacy, Dubai has fashioned a smart city with autonomous flying cars, robot police and a mobile-government plan that not only abates bureaucracy, but quells the environmental costs of the paper trail through such ambitious measures as transitioning all government transactions to blockchain. Meanwhile, Abu Dhabi is on a quest to become a global leader in financial technology, and as such has launched one of the world’s most promising digital sandboxes to accelerate financial services innovation and inclusion for players across the region. The UAE is truly at the crossroads of the au courant of the Middle East, Africa and South East Asia, reaching a third of the world’s population within a four-hour flight and, as more people from these regions gain access to the internet — whether mobile or landline — the demand for digital-based services will rise. This is an entire spectrum of underserved demographics that investors in the UK can help support, develop and nurture. In the Middle East and North Africa (MENA) region, technology is revolutionising the region’s economy, reshaping and transforming traditional sectors at an incomparable pace. This epochal change is linked to three major trends: government initiatives; more access to capital; and a rise in entrepreneurship. Each of these is underpinned by a young population, hungry for jobs and digitally-delivered content. The new sectors that have emerged as a result are changing the way we consider economic development and the region’s
UAE INVESTMENTS | 6.6
young and well-educated population is spearheading this dynamic and fast-paced transition. Millennials — who account for more than a quarter of the region’s population — have been key to the technology uptake. A recent Ipsos survey revealed that 97% of millennials across the MENA region have access to the internet and 94% are on social media. Trends we see around the world are reflected in the region, a sign perhaps that the Middle East is becoming a closer neighbour to the rest of the world, with similar tastes and desires. The youth in this part of the world are comfortable with living online, ordering food using services like Talabat, hailing cabs through apps like Careem, or comparing insurance on yallacompare. In fact, e-commerce is valued at US$10 billion in the UAE and is expected to double within the next couple of years. This generates a plethora of opportunities within the sector from market optimisation to logistics. As more people come online, more start ups will emerge. In the first nine-months of 2018, technology start ups across MENA raised $325 million according to Magnitt, with the UAE providing 61% of that investment — the largest share in the region. It is the UAE that draws in start ups from across the Middle East, Africa and further afield in Turkey and Pakistan, looking for investment and an ability to scale and disrupt other markets.
SEIZE THE DAY So how can the industry, as a whole, respond and adapt to such disruptions? How do we become a force for change, leveraging all this technology? The approach is two-fold. Nowadays, a company with a good idea can raise funds easily, so the task of the VC is to attract entrepreneurs by providing value on an operational level — providing logistical, technological or performance marketing expertise and support. The trick is to have a VC team that is made up of fewer corporate finance executives and more operational executives who can help start ups in a more practical way. A more interesting and perhaps difficult way to drive value is to build support for the wider ecosystem. By providing relevant content, events and platforms, a VC can become the touchpoint at every stage of the entrepreneurial process, from idea to exit. Creating a sufficient, supportive network where you connect entrepreneurs with the source of capital and with corporates, has the potential to develop and drive the private sector in the region. As an emerging market, we have the opportunity to lead the changes in the ecosystem and leapfrog to a new model in partnership with global companies and investors. The UK is now in a unique position to foster an even closer relationship with the UAE and capitalise on Dubai’s location as a hub in order to venture into other key emerging markets. Attending local conferences and exhibitions, and partnering with local investors, is a viable way to become accustomed with the business environment of the UAE.
“A hub of innovation and a springboard into surrounding emerging markets, the UAE presents a glimpse into the future of smart infrastructure and a leadership model that prioritises ease of doing businesses for the wellbeing of its population” Khaled Talhouni, managing partner, Wamda Capital
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INDEX OF ADVERTISERS 0106
UAE CREATING A GLOBAL HUB 2017 OFC
IFCI-01 IBC OBC 4-5 9
Dubai Healthcare City Ajman Tourism Development Department (ATDD) Dubai Chamber of Commerce and Industry Dubai Opera BP
11
Sharjah Commerce & Tourism Development Authority
29
Sharjah FDI Office
45
Dubai Culture
48
Emirates Global Aluminium (EGA)
67
Ras Al Khaimah Econimic Zone
71
Department of Culture and Tourism- Abu Dhabi
77
Rotana Hotels & Resorts
93
Seven Tides International