The highlight of week was undoubtedly the Arabian Travel Market in Dubai, while Arabtec announced its new chairman, and UAE expats were reminded of how to leave in the right way.
Tougher times ahead for tourism sector
The great and the good of the industry gathered at the Arabian Travel Market in Dubai this week and the stream of announcements, openings and launches showed that the sector is still in fairly robust health. Chief executives of the biggest regional airlines and hotel operators were all in attendance, talking at length about all the critical areas of the business including the row with US carriers to the potential opportunity in Iran. However, the outlook for the industry is not so easily determined. Dubai released new visitor figures for last year that included for the first time cruise passengers, people staying at holiday rentals and those put up by friends and family. The result was data that was revised higher, bringing the annual growth rate nearer to the stellar levels of 2013. Officials also acknowledged headwinds including a weaker euro and rouble, competition from a resurgent Egypt and the fall in oil prices. The conclusion must be that, whatever the numbers say, growth is going to be harder won going forward. Mustafa Alrawi
How to make your exit plain sailing
Our most read story online this week has been, perhaps unsurprisingly given the transient UAE population, the instructions on how to correctly depart the country when the time comes. Most will attest to a mountain of bureaucracy when they first arrive in the Emirates, and that is then repeated on departure - with a few added extras thrown in. The financial liabilities of departing expats is a serious matter that has also come to the attention of the British Embassy, which has just launched a "Checking Out" campaign warning of the pitfalls of not tying up loose ends before heading home. Unpaid debts and unfulfilled contracts can land expats in prison or lead to a sticky situation at the airport. But this advice isn't just a lesson in how to negotiate the bureaucratic maze ahead of permanent departure. It's also a stark reminder to those of whom have just arrived in the UAE that they have the opportunity to eliminate risk and hassle by rejecting the numerous credit cards and car loans offered by the banks. A low risk approach from the start can mean a low maintenance exit - and more time to go to the beach before heading to cooler climes. Ian Oxborrow
Homing in on the property numbers
Fifty-one tweets and 315 Facebook shares: our story on Dubai property transactions might not have been quite as big with readers as the time-to-leave story, but it was not far behind. The message behind the numbers was blunt: the total number of property transactions in Dubai fell by more than half in April from the level of a year earlier. This April's number of transactions was 7,311 worked out to a decline of 51.8 per cent year on year. The drop in dirham terms was less steep, with April's total value of transactions amounting to Dh35.3 billion, a drop of 37.1 per cent year on year. "These figures come as no surprise although from the face of it they look quite dramatic," said Craig Plumb, the head of research at JLL's Dubai office. "A fall in volumes is a good leading indicator that prices will fall and we expect that to continue for the rest of this year. Last April the market was still booming, so any year-on-year figures will reflect that fact." Rob McKenzie
Arabtec goes full circle
Arabtec Holding's board elected Mohamed Al Rumaithi as the company's new chairman, it said on Wednesday, a move that gives the feeling of an end of a cycle for the Dubai-listed builder of the Burj Khalifa. Mr Al Rumaithi is, among other prominent roles, also the chairman of the Abu Dhabi Chamber of Commerce and Industry, a venerable institution in the emirate. His appointment, together with the recent shareholder decision to limit all board positions to Emiratis, seemingly completes the company's evolution of recent years. A period of consolidation following the financial crisis for the company led to the era of aggressive expansion into international markets under former chief executive Hasan Ismaik that included the project to develop 1 million homes in Egypt, before Arabtec completed the circle, once again becoming the plain vanilla contractor it started out as when Riad Kamal founded it in the 1970s. Mustafa Alrawi
McDonald’s gets in the zone
McDonald's underwhelmed observers with a reorganisation plan. The french-fry chain's sales have lagged because, to boil it down, everybody went to Shake Shack instead. Or Chipotle. Further, McDonald's has had quality-control problems in Asia. Under the new plan, announced on Tuesday by Steve Easterbrook, chief executive and self-described "internal activist", the globe's golden arches will be divided into four zones: America; international lead markets, such as Canada and Germany; high-growth markets, such as China and Poland; and foundational markets, such as the leftovers. "I will not shy away from the urgent need to reset this business," Easterbrook said, though frankly it is hard to associate "urgent" with "reset", which is something one does on a video game. The big plan will also seek to reduce costs and to put more outlets in the hands of franchisees, who generally are able to wring more profits out of each and every Filet-O-Fish. Rob McKenzie
