Let's try to answer the question, why is Dubai so attractive for business. The modern Dubai is not only a shopping and tourist dreamland, first of all, it is a swiftly developing world centre, which opens up broad prospects for modern business and provides the most favorable conditions for entrepreneurial activity. For those businessmen, who come to the Emirates not for opening a business in the country, almost all the local hotels, which have the splendid business centers and congress halls, which are equipped with the modern equipment and have excellent service, are offered. And those businessmen, who have decided to establish a business in the country, are offered almost the limitless choices: the offices of the various categories, storage facilities and production premises, land, infrastructure of ports and airports, etc. It allows businessmen to work in the most comfortable conditions and to combine business activities with rest and sports.
The modern and rapidly developing infrastructure of the country has an important place among the reasons of why is Dubai is so attractive for business. Today Dubai invests immense financial resources in its development, it is the first Arab country, which uses the most advanced technologies. All the information services, communications and supply systems have been established and operate in accordance with the best world standards.
Besides, Dubai is attractive for business because it is very easy to register business here. Starting a business in Dubai implies obtaining of a license for carried activity. Today, several Free Economic Zones, which provide businessmen with tax and customs privileges, are available on the territory of the Emirate. The practice shows that business projects are compensed in the short terms and bring high profits on the territory of the free trade zones.
The UAE economy is widely believed to be based only on the oil sector, though it is not true. The modern Dubai economy involves many sectors and spheres, among which there are hotel business, tourism industry, import and export of household appliances and automobiles, passenger and cargo transportation, real estate and etc. Today, production in the area of high technologies is rapidly growing.
The tax burden for business is completely absent on the territory of the Emirate, it is this condition what had become the determining factor in the choice of many foreign investors which are successfully working here. All large international companies have their representative offices in Dubai. All this is due to the absence of barriers for international trade and duty-free import and export of goods. Considering such features of the economic system of the country, one can unequivocally understand the reason why Dubai is so attractive for business.
Geographically Dubai occupies the Central part of the Middle East region. It is equally close to Asia and Europe, the CIS and Africa, the city is located on the international trade routes which connect various cities including London, Moscow, Hong Kong, Hamburg, etc. It is a very favorable location for carrying on the international business. All the major world trade routes intersect in Dubai, what makes it the largest import-export centre in the world. Such a strategic location between East and West, gives certain advantages for building the international business relationships.
Speaking about the stability in this region, not only economic and political stability can be mentioned, though it is also important for business. While living and carrying on their business in the UAE, the entrepreneurs have the opportunity to build long-term plans and get the wide range of perspective directions. Here you can be not afraid of many unpleasant surprises such as obstacles and barriers from the regulatory bodies, local law enforcement agencies and authorities.
As to the financial part, it should be emphasized that the national currency is attached to the US dollar, what helps to reduce the currency risks. The national currency has a stable rate, which is maintained for several years and is freely convertible. The banking sector is also actively developing, the local banks can provide clients with a full set of modern banking services. And the absence of restrictions on the capital flows, exchange operations and the withdrawal of profits, reaffirm the reasons why Dubai is so attractive for business.
Very favorable conditions for ensuring the activity of foreign investors and entrepreneurs are created by the local authorities. The experience of all the best world’s examples is the basis of the policy frameworks, and all this is maintained by the complete absence of taxation. New incentives for attracting new ideas and capital are created every year. Business, which operates in Dubai, minimizes the total costs on production and, thereafter, increases the profits.
The dynamics of the life and development of the construction industry is obvious. Today, a lot of construction works are carried out with the greatest possible speed, modern shopping centers, hotels and entertainment venues spring up like mushrooms. Dubai remains and will be in the future very the attractive place for business.