UAE expert dismisses inflation threat
Rising inflation in the United Arab Emirates is unlikely to damage its property market, according to one local expert.
Concerns have been expressed by local people about the steep increase in rents in recent months, while the cost of food has also soared.
Those two factors helped to push inflation up to 11.4 per cent last year, reports Reuters.
Some market commentators have suggested the property market in the United Arab Emirates is due for a downturn following five years of sizeable growth, with inflationary pressures one of the main factors cited for their argument.
However, Mohamed Alabbar, chairman of Arab real estate giant Emaar Properties, insisted that the fact there is not enough housing to meet demand will continue to support prices.
"It will not impact [demand] because it is a global phenomenon," Mr Alabbar told Reuters when quizzed about inflation.
His comments come just days after local market expert Ryan Mahoney told Gulf News that property professionals in Dubai were still "overwhelmed" by the amount of enquiries about property in the emirate.
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