UAE Visa Extension for Foreign Property Investors - An Insight

UAE government extends the visa duration from six months to three years for foreign investors who own properties worth equal to or greater than AED1.0 million; it would be a multiple entry visit-visa, however they have to exit the country every six months.

The timing of the decision is very significant amid unrest in the regional countries; visa extension will allure the regional affluent, especially. From outside region, real estate investor mainly from Pakistan, India & United Kingdom will likely to take the advantage of the visa extension rule.

According to Dubai’s Real Estate Regulatory Authority (RERA), the top three real estate investors are Indian, Pakistani and UK nationals in total 4Q2010 property transactions. During earlier Dubai real estate boom which busted in 3Q2008, main investors in the real estate of Dubai were from Pakistan, India, Iran & United Kingdom.

Crude Oil Market - Update

International Energy Agency (IEA) initiative to release the Crude oil stockpiles up to 2 million barrel per day for the next 30 days period of total 60 million barrels, starting from the end of current week, in an anticipation that crude oil demand will be surged because of refineries high demand in summer season. It is expected that North America will release 50 percent of the total, with European countries releasing some 30 percent and Asian countries providing the remaining 20 percent.

This is the third time IEA – member country  stocks have been used, after 1990/1991 Iraq’s invasion of Kuwait & 2005’s Hurricane Katrina  

IEA’s initiative coincides with the Saudi Arabia’s announcement of incremental increase in oil production, however, Saudi Arabia’s increase in incremental production will take some time while IEA’s initiative will readily  available in the global crude oil market from the end of current week.

This initiative of IEA is sort of an intervention (by net consumers) while Saudi Arabia’s move will bring structural changes in the crude oil market (by net producer). By the time, Saudi Arabia’s incremental oil will be available in the market, IEA’s supply bridge the demand-supply gap in the mean time.