“It’s Dangerous”: Dubai Real Estate Market Index Plummets 0 15

The DFM Real Estate Index fell to 13,353.18 points on Monday, March 9, down 4.76 percent. The index has been declining for five consecutive days. During this time, it has dropped nearly from 16,700 points — a total decline of almost 20 percent.

A number of experts suggest that continued Iranian retaliatory strikes against the UAE as a close ally of the U.S. and the overall escalation of conflict in the Middle East may lead to Dubai losing its important status as a safe financial haven, a sort of 'new Switzerland.' Iranian retaliatory strikes have already affected key sectors of Dubai, as well as its 'psychological foundations.'

"It is difficult to overstate the danger to Dubai's economic model," said Jim Crane, a fellow at the Baker Institute at Rice University.

Stefan Paul, head of logistics giant Kühne+Nagel, stated that fresh produce in Dubai, which relies on external supplies, will last for about 10 days. According to him, it is possible to deliver goods to Dubai overland from Saudi Arabia, but the existing capacity is unlikely to be sufficient to replace the cargo of even one container ship, which can carry up to 20,000 containers at a time.