Abu Dhabi Investment Environment Executive Summary Abu Dhabi is the largest of the seven emirates that constitute the United Arab Emirates. The emirate has over 9% of the world’s oil reserves and 5% of global natural gas reserves Capitalising on its strong hydrocarbon sector, Abu Dhabi’s economy has grown through internal investments, diversifying gradually and investing surplus oil revenues overseas through March, 2010 some of the largest sovereign wealth funds in the world With a common history and strong ties, as key members of the UAE and with large capital cities separated by only an hour, www.isthmuspartners.ae Abu Dhabi and Dubai have proven to be twin cities with deep interdependencies; the crisis has challenged preconceptions that each emirate was an insular economic entity Anastasia Kozyraki, CFA Abu Dhabi has experienced contagion from Dubai’s leverage Partner crisis as international financial markets perceive strong links
[email protected] between both emirates; Abu Dhabi’s real estate market has felt the effects of the real estate crisis in Dubai, particularly the aversion to off-plan real estate and credit constraints; Southern Sukhdev Hansra Dubai has attracted a substantial amount of residential demand Partner from Abu Dhabi-based workers
[email protected] The crisis has tested inter-emirate solidarity and Abu Dhabi has provided financial support to Dubai, although not with the ease that some market participants have expected Javier Cervino, CFA The UAE’s hydrocarbon GDP contracted 6.25% in 2009