RIYADH: Dubai’s real estate sector recorded an 80 percent increase in transaction value to 157 billion dirhams ($42.7 billion) in the first quarter of 2023 compared to 80 billion dirhams during the same period last year, reported a recent government report. 

According to the Dubai Media Office, the real estate transactions increased 49 percent to 38,700 from 26,000 in the year-ago period. 

The report further stated that in 2022 the industry generated annual transactions of 528 billion dirhams, a 44.7 percent increase in volume and a 76.5 percent increase in value compared to 2021. 

“Dubai’s real estate sector is one of the key drivers of economic growth and a major factor in maintaining Dubai’s position in the global economy,” said Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, deputy ruler of Dubai, deputy prime minister and minister of Finance of the UAE, in the statement. 

“The growth supports the objectives of the Dubai Economic Agenda D33, to increase private sector investments and place Dubai at the forefront of global cities,” he added. 

Additionally, the number of new investors entering the emirate’s real estate market in the first quarter of 2023 rose to 13,338, a 12 percent growth over the first quarter of 2022.  

Non-resident investors accounted for 45 percent of total acquisitions, the report stated. 

DIB Q1 net profit increase of 12% to AED1.5bn  

Dubai Islamic Bank registered a 12 percent increase in the net profit to 1.506 billion dirhams in the first quarter of 2023 compared to 1.345 billion dirhams in the same period last year. 

According to a company press note, the increase was fueled by a rise in core revenues and effective cost management. 

Net financing and sukuk investments totaled 240 billion dirhams, a 1 percent increase year-on-year, with over 21 billion dirhams in new underwriting in the first quarter of 2023 compared to 15 billion dirhams last year. 

DIB’s total income increased by 47 percent year on year to 4.431 billion dirhams from 3.016 billion dirhams. 

Net operating sales increased by 12 percent year on year to 2.755 billion dirhams. In comparison, net operating profit increased by 14 percent yearly to 2.013 billion dirhams, up from 1.770 billion in the first quarter of 2022. 

“The UAE’s economy continues to expand at a fast rate supported by high energy prices, increasing business trade and activities and the return of tourism, which has boosted domestic retail spending,” Mohammed Ibrahim Al Shaibani, chairman of Dubai Islamic Bank, said. 

“The nation’s transition into a green economy is well underway, and we at DIB remain fully committed toward sustainable development and have integrated a full-fledged sustainability strategy in our medium- and long-term goals,” Al Shaibani added. 

The bank’s total income increased by 47 percent year on year to 4.431 billion dirhams during the first quarter of 2023 from 3.016 billion dirhams, mainly owing to significant income from financing assets.   

This is reflected in net operating revenue, which increased by 12 percent year on year to 2.755 billion dirhams, up from 2.467 billion dirhams last year. 

AIIB to set up its office in Abu Dhabi  

The UAE’s minister of industry and advanced technology and president of the Asian Infrastructure Investment Bank signed the host member agreement to establish the AIIB’s interim operational hub in the emirate. 

Sultan bin Ahmed Al Jaber and Jin Liqun discussed the opportunities now available for the AIIB to enhance its position as a preeminent development bank in the region. 

They also discussed the significance of reforming international financial institutions and how to address the pressing need to scale up the financing of global climate action through these institutions. 

According to Al Jaber, the agreement to host the AIIB’s overseas operations office underscores the UAE’s commitment to strengthening collaboration with international organizations and institutions focused on sustainable economic growth for developing nations. 

He also stated that the operational office would be a strategic destination in the Middle East and worldwide, supporting the bank’s development mission and financing infrastructure projects to enable long-term economic growth, particularly in the global south. 

“International financial institutions, such as AIIB, can play a critical role in describing investments and supporting emerging economies. This will boost economic growth, help eradicate poverty and accelerate climate action,” Al Jaber said. 

In 2015, the UAE became a founder and permanent member of AIIB. There are presently 106 members in the bank. The bank’s capital is valued at $100 billion, with the UAE contributing around $1.185 billion. 

AIIB has funded 212 projects totaling $40.37 billion, all of which have contributed to economic development and improved the quality of life in beneficiary countries. 

Abu Dhabi Airports expects over 500k passengers during Eid Al Fitr  

Abu Dhabi International Airport, which is part of the region’s largest holding company ADQ, expects over 500,000 passengers to pass through for the Eid Al Fitr vacation, according to a statement released by the airport. 

The increased traffic is expected between April 15 and April 23, with over 2,800 flights reaching 105 destinations across 57 nationalities. 

Passengers are advised to follow these helpful travel recommendations to ensure their journeys run smoothly over the holiday season.