Why is Dubai so wealthy?

Dubai as a city is not as wealthy as, let’s say New York or London. It seems very wealthy, because the city’s PR agency does a great job in marketing it as the wealthiest place. Abu Dhabi is actually the richest city in the world. Dubai has no oil left, only 2% of its GDP is based on oil. Everything else is trade, tourism, finance, entertainment and nowadays real estate and health care.

The native population of Dubai is so low in number that if the government distributed the wealth of the city, it would be enough to make everyone very rich. Despite being a wealthy city, Dubai is also in debt because during a real estate boom, the city borrowed loads of cash from banks and private funds.

Dubai is a perfect example of a well curated capitalism. Yes, there are many wealthy families, but their wealth is far less compared to those families in Abu Dhabi let’s say.

Since the local population of Dubai lives a good life, mostly because they are either supported by their rich relatives or government, the general scene of Dubai is wealthy.

The Ruler of Dubai is an amazing person and he is very progressive. He is not afraid to do things others would not even dare, hence his actions draw interest from foreign investors. When money pours business grows. Also, due to Dubai’s lenient financial regulations many foreign wealthy people prefer to invest here or simply park their money, similar to Switzerland.

Dubai has a potential to be a very rich city on a global scale, and I hope this happens in near future because it deserves it.

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