Dubai has learned lessons from 2008 financial meltdown
Dubai’s Department of Finance has said the emirate has learned lessons from the global financial crisis, including the importance of budget discipline and the need to regulate its property market, Reuters has reported. The emirate nearly defaulted on its debt and emerging markets around the world were hit, when deteriorating global conditions caused a property bubble to burst in Dubai five years ago, prompting home prices to plunge over 50%. In its paper, titled “The Global Financial Crisis, Lessons Learned”, the department lists 11 lessons. Several of them are related to the property market, including the need to register real estate deals and prevent harmful speculation, and the importance of regulating the rental market to “keep it within permissible limits”.