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The Joke Is On Me! 17 October 2025

There has been a subtle shift in the surging local real estate sector, with it now being driven by end-users, to live in, rather than by investors to flip or rent out. Both Espace Real Estate’s Q3 2025 Residential Market Overview and Property Finder’s October Community Insights point to this interesting change. The former noted that, in Q3, there were 55.28k transactions, valued at US$ 37.60 billion – 18.0% higher on the year- with off plan sales accounting for 70% of the share, “reflecting investor confidence and developer innovation”, and ready properties, the balance. The improvement was noted across all divides of the sector.

The consultancy also noted that off-plan sales have increased partly due to developers’ flexible payment plans and strong project pipelines, with Dubai South, Business Bay, and Jumeirah Village Circle leading the field. It also noted, on the back of renewed launch activity, strong momentum for branded residences and waterfront projects, particularly around Dubai Creek Harbour and Palm Jebel Ali. From their survey of thirty-four communities, all but three posted upward price movements, with villas, in family-friendly communities, showing the bigger price rises. The three locations, with double-digit annual price hikes, were Emirates Living, Arabian Ranches, and Jumeirah Park. The Meadows and Jumeirah Golf Estates also saw increased transaction volumes, reflecting demand from long-term families, whilst Jumeirah Islands posted the biggest rises, with annual villa prices up 22%. Meanwhile Palm Jumeirah remained the home of having the highest villa prices, exceeding US$ 1.36k per sq ft.

This week, Sobha Realty unveiled details of ‘Sobha SkyParks, a one hundred and nine-storey, four hundred and fifty mt high, residential tower on Sheikh Zayed Road; it will be home to six hundred and eighty-four residences. The tower features a unique straight-line structure, articulated into five slender sub-towers that appear to support each other as they rise skyward. The design incorporates minimalist glass façades and aligned inset balconies, with each residence offering expansive private balconies, with expansive views of SZR, Palm Jumeirah and the Arabian Gulf.

Its outstanding feature is the four themed SkyParks, each spanning six stories and positioned at elevated heights:

• The Adventure Zone   includes family play zones and padel courts
• The Active Life            features multi-level fitness circuits and wellness terraces
• Lush Life                     offers zen gardens, reflexology paths, and glass pavilions
• LUXE LIFE                   at 350 mt, features an infinity pool deck with floating beds

Amenities include a cinema, family BBQ zone, and additional recreational facilities.

YTD Binghatti Holding Ltd has posted robust YTD figures, with almost 12k residential units sold and thirteen new project launches, valued at US$ 3.35 billion, across Dubai. 8.2k of the company’s new developments are in the sub-US$ 545k sector, with a sellable area exceeding 6.2 million sq ft. It estimates that it has been responsible for 20% of all new project completions in Dubai so far this year including Flare 1, (eight hundred and forty-four units) and Flare 2, (six hundred and thirteen apartments), and that 95% of units were sold within the first 90 days of their launches. It has an US$ 21.80 billion portfolio, comprising some 38k units, across thirty-eight locations including Downtown Dubai, Business Bay, Jumeirah Village Circle and Meydan.

Wadan Developments recently unveiled its second project, Seraph, following a month after the successful debut of Nuvana by Wadan on Dubai Islands. Located in the Dubai Land Residence Complex, the development is a sixteen-storey residential tower, comprising fully furnished studios as well as one- and two-bedroom apartments. Amenities include a rooftop swimming pool, fitness and wellness zones, a sauna, an ice bath, and a rooftop cinema – all designed to foster a sense of community.

Amadeus also noted Dubai’s evolution from a regional transit hub into a leading global tourism powerhouse, adding that “it’s clear that sustained investments in infrastructure, hospitality, and visitor experiences are paying off”. It also noted Dubai’s ability to attract diverse tourism markets and cater to both short- and long-stay travellers. Meanwhile, industry executives indicated that hotels and resorts, across the emirate, are seeing record booking levels, with some reporting up to an annual 30% increase in confirmed reservations.

According to the latest data from ForwardKeys, Dubai, in Q4, will post one of the world’s top three strongest performances in international visitor arrivals, alongside Tokyo and London. The study indicates that Dubai will post a 6% increase in Dubai international arrivals and that the emirate continues to attract a growing share of global travellers, accounting for approximately 2.2% of all international tourist arrivals expected worldwide in Q4. These figures will only consolidate Dubai’s position as a global tourism, leisure, and business hub. India and the UK continue to be the emirate’s largest source markets. Notable improvements were seen from China, with a 34% annual growth, to return to Dubai’s top ten market, with Germany registering a 9% increase in numbers. Leisure travellers make up the largest segment of incoming visitors, with long-stay bookings on the rise but short stays, (one–five nights), still dominate, representing 46% of all reservations, with extended stays of fourteen nights or more projected to grow by 9%.

Dubai Loop, built by Elon Musk’s Boring Company, is expected to be operational by Q2 2026. The project, developed in partnership with Dubai’s Roads and Transport Authority, will carry 20k passengers an hour across some of the emirate’s busiest locations. It forms part of the emirate’s broader mobility strategy to ease congestion and connect key districts through a fast, weather-resilient underground network. Phase 1 of The Loop will cover seventeen km  and include eleven underground stations.. Dubai’s Crown, Prince Sheikh Hamdan bin Mohammed, noted that the project “reflects Dubai’s commitment to advancing new, cutting-edge mobility solutions” Modelled on the Las Vegas Loop, the operational system utilisies Tesla vehiclesto move passengers beneath the city’s convention district. It is expected that the Dubai version will use higher capacity vehicles, be a potential autonomous operation, and incorporate integrated digital ticketing.

Emirates’ relationship with AC Milan began in 2007 and this week the deal was extended, with the airline  maintaining the club’s Principal Partner, Official Airline Partner, and Official Men’s Jersey Partner; its ‘Fly Better’ logo will continue to be seen on AC Milan’s Men’s First Team shirts and has been expanded to be worn  by the club’s Academy youth players. The agreement will also give Emirates extensive brand exposure through LED displays in stadia and training centres during all home matches, as well as exclusive digital content, fan experiences, and premium hospitality opportunities for Emirates guests and supporters. AC Milan has also expanded its international presence with a new office in Dubai to strengthen its commercial and communication strategies across the region.

flydubai has unveiled major economy class upgrades, announcing it will include complimentary meals and inflight entertainment, as from next month. Its CEO, Ghaith Al Ghaith, noted that “redefining the economy class offering across all flights represents a significant evolution in our business model, offering customers a more elevated and convenient travel journey”. Having already received nine new jets this year and with five more due before year end, it will end 2025, with a fleet of ninety-eight Boeing 737s, serving one hundred and thirty-five destinations – and growing.

Dubai Healthcare City is planning to invest US$ 354 million for its Phase 1 major expansion, with a new development plan announced. That will consolidate Dubai’s role as a top destination for global healthcare investment. The initial programme will include a LEED Platinum-certified office building, a purpose-built medical complex, and new infrastructure to support long-term growth. As expected, the initiative aligns with the Dubai Economic Agenda D33 and the UAE’s Net Zero Strategy 2050. The office tower, spanning 13k sq mt across nine floors and three basement levels, will offer flexible commercial spaces built to the highest global sustainability standards; adjacent to the building will be a 5.8k sq mt medical complex, housing surgical centres, labs, diagnostics and outpatient facilities, all built for future adaptability. Construction is scheduled to begin in December 2025, with completion set for November 2027.

Last Monday, HH Sheikh Mohammed bin Rashid visited GITEX Global 2025, the world’s largest technology, AI and startup event. The five-day event, now in its forty-fifth edition, is taking place, for the last time, at the Dubai World Trade Centre and concluded today. There were more than 6.5k exhibitors, 1.8k startups, and 1.2k investors alongside governments from more than one hundred and eighty countries. This year’s edition featured the most extensive AI programme in its history, with the participation of leading global technology giants, including Alibaba Cloud, AMD, AWS, Dell, e&, G42, Google, HPE, Huawei, IBM, Microsoft, Oracle, Salesforce, Siemens, and Snowflake. Future events will be held at Dubai South’s Expo Centre, where it will be able to offer the scale and infrastructure needed for the event’s next chapter of growth. There it will introduce a new format, expanded agenda, and enhanced visitor experience to unlock new opportunities for every participant. The relocation also brings back GITEX Global and Expand North Star together, restoring the synergy between global big tech, startups, investors, and policymakers.

Dubai is expanding its flagship retail and lifestyle landmark once again, unveiling the 10k sq mt Dubai Mall Exhibition Centre becoming a premier location to host world-class events in the heart of Downtown Dubai. Featuring five multi-functional halls, and able to host up to 6k people, it is equipped with state-of-the-art infrastructure and will have an open floor plan with flexible zoning options, including main exhibition areas, demonstration zones, networking lounges, and presentation stages. The venue is ideally located with direct access to luxury retail, dining, and hospitality, managing to offer a mix of business and leisure for visitors and exhibitors alike.

At the end of the month, there will be a major three-day summit to be held at Expo City Dubai ending 29 October. In attendance will be global leaders, at the forefront of shaping cities, to discuss the future of urban living. The 2025 Asia Pacific Cities Summit and Mayors’ Forum will focus on building more liveable, efficient and sustainable urban centres in response to rapid urbanisation. Agenda items, including affordable housing, climate-resilient infrastructure, smart mobility and the role of real estate in future-ready cities, will be discussed by over one hundred and fifty mayors as well as delegates from more than three hundred cities.

In a statement shared on social media, HH Sheikh Mohammed bin Rashid noted that, in just three years, Dubai had successfully added an entirely new sector to its economy which has turned into the world’s largest licensed virtual assets market. The Dubai Virtual Assets Regulatory Authority, under the supervision of Sheikh Maktoum bin Mohammed, continues to consolidate its position as the global leader in the virtual assets space, with trading volumes surpassing US$ 681.2 billion since its 2025 start. His son approved the Dubai Financial Sector Strategy which will roll out fifteen transformative programmes over the next three years to drive growth and shape the future of global finance. Its twin aims are to double the financial sector’s contribution to the emirate’s GDP and grow the size of assets under management.

August figures show that the UAE Central Bank’s gold reserves topped a record high of US$ 8.17 billion – a notable 32% hike in the first eight months of the year. The bank has done well, with gold having surged 56.3% from its 01 January opening of US$ 2,624, and 22.3% since 01 September. There is no doubt the central bank has hit the ball out of the park when it comes to bullion stock but it has also performed well in deposits and savings, as the value of demand deposits rose by 7.1% to US$ 323.70 billion, with time deposits exceeding US$ 286.1 billion.

The UAE President, HH Mohammed bin Zayed, has enacted a new Federal Decree-Law that will involve the Central Bank, financial institutions, and insurance operations. Under the decree, licensed banks and insurers must:

• ensure universal access to financial services
• strengthen consumer protection by centralising complaints systems
• enable early intervention when a licensed entity shows signs of financial strain

It also introduces automatic debits of fines, pending judicial rulings and mandates public disclosure of penalties on the regulator’s website. Interestingly, it also approves “increasing administration fines to be commensurate with the gravity of the violations and the volume of transactions, up to ten times the value of the violation”. Financial institutions are now required to hold adequate guarantees, when extending credit to individuals and sole proprietorships. The decree reinforces three key objectives:

• preserving currency stability
• protecting the integrity of the financial system
• ensuring prudent management of foreign exchange reserves

A global survey, carried out by Time Out, came out with some surprising results, ranking Abu Dhabi in first place as the happiest city on the planet. The ranking used various metrics including culture, nightlife, food, walkability, affordability, quality of life and happiness. The magazine has now separately released a city ranking based on the happiness part of the survey. The four countries lagging UAE’s capital were Medellin, (Colombia), Cape Town, Mexico City and Mumbai. With Brighton (eleventh) and Glasgow (twentieth), there was no place for London in the Top Twenty. Apart from the UK, four other countries had two countries in the list – China, Beijing (sixth) and Shanghai (seventh), Spain. Seville (ninth) and Valencia (nineteenth), Australia, Melbourne (tenth) and Sydney (thirteenth), and the UAE, Abu Dhabi (first) and Dubai (sixteenth).

There are reports that Emirates NBD may be interested in acquiring a controlling stake in RBL Bank, with support from the Reserve Bank of India. This would be seen as a major breakthrough in India’s efforts to attract foreign capital into its mid-sized private banking sector. If the process were to go through, it would buy a 25% share in RBL and under the country’s regulations, this would trigger a mandatory open offer for another 26%, resulting in it having a majority and controlling interest. The acquisition, valued at around US$ 1.70 billion, would represent one of the largest foreign takeovers in India’s banking history; its current market cap stands at US$ 2.01 billion. It seems that the RBI sees foreign partnerships as a means to strengthen India’s mid-tier private bank. It recently cleared Japan’s Sumitomo Mitsui Banking Corporation to acquire a 24.9% stake in Yes Bank. Local regulations currently allow up to 74% foreign investment in private sector banks but caps a single foreign investor’s holding at 15%, unless the central bank grants special approval. The Dubai bank, 56% owned by the Dubai government, already has three branches in India – in Mumbai, Chennai, and Gurugram. Investors in RBL must be well pleased, having seen the bank’s share value dip 8.0% last year, compared to an 85% surge YTD, at a time when the Nifty 50 index has declined 8.0%.

The latest local IPO has been announced – with Dubizzle Group Holdings releasing plans to offer a 30.34% share on the Dubai Financial Market; it will comprise 1.25 billion ordinary shares, including 196.1 million new shares and 1.05 billion existing shares to be sold by the current shareholders. Subscriptions will open next Thursday, on 23 October, close six days later on 29 October, with the final offer price announced on 30 October; trading is expected to commence on 06 November. Rothschild & Co. has been appointed as the Independent Financial Advisor, while Emirates NBD Capital PSC will serve as the Listing Advisor.

An earlier DFM IPO had been ALEC Holdings, a diversified engineering and construction group, which made its trading debut this week. This listing, the first in this sector in fifteen years, becomes the country’s largest-ever initial public offering in the construction sector, by both valuation and size. Its IPO, which raised US$ 381 million, via a sale of one billion existing ordinary shares by its sole Selling Shareholder, the Investment Corporation of Dubai, which will retain its remaining 80% stake in the company. The IPO was priced at US$ 0.381 per share, at the top end of the announced price range, which would see ALEC Holdings with a market cap of US$ 1.91 billion. In line with its dividend policy, ALEC intends to distribute a cash dividend of US$ 54.5 million in April 2026, followed by US$ 1.36 million for the 2026 financial year, payable in October 2026 and April 2027. Based on the 2026 dividend and final offer price of US$ 0.381 per share, this represents a dividend yield of 7.1% at listing. Thereafter, it intends to pay dividends twice a year, in April and October, with a minimum payout ratio of 50%of net profit, subject to Board approval.

The DFM opened the week, on Monday 13 October, on 5,982 points, and having gained one hundred and ninety points (3.3%), the previous fortnight, gained a further ten points, (0.22%), to close the week on 5,992 points, by 17 October 2025. Emaar Properties rose US$ 0.02 on the week to close on US$ 3.73 by the end of the week. DEWA, Emirates NBD, DIB and DFM started the previous week on US$ 0.75, US$ 6.86, US$ 2.61 and US$ 0.44 and closed on US$ 0.75, US$ 7.30, US$ 2.61 and US$ 0.43. On 17 October, trading was at two hundred and four million shares, with a value of US$ one hundred and fifty-seven million dollars, compared to eighty-three million shares, with a value of US$ seventy-four million dollars on 10 October 2025.

By 17 October 2025, Brent, US$ 7.92 (8.1%) lower the previous fortnight, shed US$ 1.29 (2.1%) to close on US$ 61.33. Gold, US$ 207 (2.7%) higher the previous fortnight, gained US$ 150 (3.7%), to end the week’s trading at US$ 4,251 on 17 October. Silver was trading at US$ 49.98 – US$ 1.90 (3.8%) higher on the week.  

It is reported that in a surprise move, BP had won a case against Venture Capital, after the International Chamber of Commerce’s International Court of Arbitration found that the US company had breached its contractual obligations. In January 2022, it had started producing LNG from a facility in Louisiana; two months later, Russia invaded Ukraine which then sent gas prices soaring as global gas supply was severely curtailed. It had contracts to sell the LNG from its new Louisiana facility, once it was fully operational, to international buyers such as BP, Shell, Galp and Edison at much lower prices. The US gas supplier failed to declare the formal start of commercial operations until more than three years later in April 2025 – a move that enabled it to sell its LNG at much higher market spot prices. Both BP and Shell sued Venture for breach of contract, with the latter losing its case some months ago. In a surprise move, the court ruled in favour of BP that Venture had breached its obligations to declare the commercial operation of its Calcasieu LNG project in a timely manner. The energy giant is seeking more than US$ 1 billion in damages, along with interest, costs and attorneys’ fees, with the vanquished Venture Global indicating that “remedies will be determined in a separate damages hearing, which has not been scheduled but is anticipated to occur in 2026”.

Dieselgate’ is back in the news again, with a major lawsuit being heard in the High Court, against five leading carmakers – Mercedes, Ford, Nissan, Peugeot/Citroën and Renault – accused of cheating on emissions tests. These companies have been chosen by the court as lead defendants to be tried first as the case is so big. It is alleged that they used software to allow their cars to reduce emissions of harmful gases under test conditions. This will be the largest class action in English and Welsh legal history, and could eventually involve 1.6 million car owners, but initially it involves 220k car owners – and depending on the outcome of this case would then drag in a further nine carmakers to face the arm of the law. The saga started in 2015, with Volkswagen being accused by the US Environmental Protection Agency of installing software – known as “defeat devices” – on diesel cars to lower readings of the cars’ nitrogen oxide emissions. Five years later the German manufacturer was found guilty and paid US$ 257 million in settlement to 91k UK motorists. To date, the scandal has cost VW more than US$ 37.0 billion. In the current case, the court will have to decide whether systems installed in diesel cars, by the five carmakers, were designed to cheat clean air laws. The case will drag on for the next nine months, with a verdict expected in the summer of 2026, when 1.6 million UK motorists will know whether they will get any compensation.

Kering-owned Gucci, Richemont’s Chloe and LVMH’s Loewe have been fined US$ 139 million, US$ 23 million and US$ 20 million respectively, for fixing the resale prices of their retail partners. It does seem that the first two companies cooperated with the industry watchdog and probably received a lesser penalty for their efforts. Indeed, Gucci had already provisioned the fine in its H1 accounts. The illegal practices deprived retailers of pricing independence and reduced competition while protecting the brands’ own sales channels from retailer competition. The European Commission posted that “the three fashion companies interfered with their retailers’ commercial strategies by imposing restrictions on them, such as requiring them to not deviate from recommended retail prices; maximum discounts rates; and specific periods for sales”. It does seem that authorities are paying closer attention to the activities of the larger fashion houses. Brands including Armani, Dior, Loro Piana and recently Tod’s have also come under pressure from Italian authorities about alleged worker abuse in their supply chains.

For the third consecutive year, ending 31 March, the Royal Mail has been fined US$ 28 million, (50% higher on the year), for failing to meet delivery targets, for both first- and second-class mail, with a warning that fines are likely to continue if there were no improvement in performance; it also did not meet revised down targets agreed with Ofcom. With preset delivery targets of 93.0% and 98.5%, (for first-class and second-class mail), it failed badly posting returns of 77.0% and 92.5%. The only reason that the fine did not reach US$ 40 million was because it admitted wrongdoing and agreed to settle. Ofcom noted that “it took insufficient and ineffective steps to try and prevent this failure, which is likely to have impacted millions of customers who did not get the service they paid for”.

A lot has been written about the shenanigans surrounding PPE Medpro, a firm linked to Baroness Michelle Mone and founded by her husband, Doug Barrowman. It had been ordered to repay US$ 163 million for supplying defective PPE at the height of the pandemic. It had been introduced to a “VIP lane” for providers, by the Conservative peer.  The lady’s husband has described himself as the “ultimate beneficial owner” of PPE Medpro and says US$ 39 million of profit from the deal was paid into a trust benefitting his family, including his wife and her children, but he was never a director, and the couple were not personally liable for the money. The court had given him until 4pm, 15 October 2025, to pay the fine – the deadline was not met. (PPE Medpro entered into administration a day before the court’s ruling, with its latest accounts showing it had a book value of around US$ 1 million – some way short of the penalty).

Pensana had planned to build a rare earths refinery at its Saltend Chemicals Plant near Hull, which would have processed raw materials into metals used to create powerful magnets which would then have been used in high-tech applications such as motors for electric vehicles, wind turbines and robotics. The project would have given the UK a strategic foothold in the rare earths industry, which is currently dominated by China. In 2022, Boris Johnson’s announced plans for “a multi-million-pound investment” in the project but this week it was announced that it had pulled the plug on building a US$ 336 million refinery in Hull and decided to move the operation to the US. According to Pensana’s founder and chairman, Paul Atherley, the government contribution –of US$ 7 million – was “nowhere near enough”, and the Treasury proved unwilling to contribute more. The US government  seems to be a lot keener in promoting this industry – for example, in a deal between the US government and MP Materials, the company will benefit from more than half a billion dollars’ worth of investment and soft loans to fund a similar facility in California, as well as a ten-year agreement to ensure all the magnets it produces are sold for a minimum price. (Currently, China produces roughly 90% of all finished rare earth metals and that its government is heavily sponsoring the industry; last week it imposed tight restrictions on the exports of rare earths). Pensana had been seen as UK’s answer to the periodic panics about the availability of rare earths, with the site at Saltend Chemicals Park being chosen by the government to launch its critical minerals strategy in 2022. Sic transit gloria mundi.

Yesterday, Nestle announced that it would be cutting some 16k global jobs, (spread between 75% from office-related positions and 25% in manufacturing and supply chain jobs). The world’s biggest packaged food company, with brands, such as Nescafe, Cheerios, KitKat, and Rolo, confirmed that it was “automating” its processes and increasing focus on “operational efficiency”. It also added that reductions will be “across functions and geographies”. Of its current 277k global workforce, 7.5k work in the UK.

The US government has seized more than US$ 14 billion in bitcoin and charged the founder of the Prince Group for allegedly engaging in a wire-fraud conspiracy and a money laundering scheme. Chen Zi, a UK and Cambodian national, (who still remains at large), headed the Cambodian business empire, and had seen his businesses sanctioned by the US and the UK as part of a joint operation; the UK government has frozen assets owned by his network, including nineteen London properties – one of which was worth US$ 133 million. US prosecutors said it was one the biggest financial takedowns in history and the largest ever seizure of bitcoin – 127,271 bitcoin being held by US government. He is accused by the Department of Justice, of being the mastermind behind a “sprawling cyber-fraud empire”, operating under his multi-national company. Its activities were the complete opposite of what was claimed on its website – that its businesses include property development, and financial and consumer services. However, the DoJ thought otherwise, alleging that the sham company ran one of Asia’s largest transnational criminal organisations, entrapping unwitting victims to transfer cryptocurrency based on false promises that the funds would be invested and generate profits. Prince Group documents included tips on building rapport with victims, advising workers not to use profile photos of women who were “too beautiful” so that the accounts would look more genuine. The company also was accused of being a “criminal enterprise built on human suffering”. It also trafficked workers, who were confined in prison-like compounds and forced to carry out scams online. It was alleged that some of the criminal proceeds was wasted on luxury travel and entertainment, and making “extravagant” purchases like watches, private jets and rare artwork, including a Picasso painting. If convicted in the UK, Chen faces a maximum penalty of forty years in jail because of allegedly incorporated businesses in the British Virgin Islands and investments in UK property, including a US$ 134 million office building in central London, a US$ 16 million mansion in North London and seventeen apartments in the city, 

According to the data from the Korea Customs Service, in the first ten days of October, exports from the Republic of Korea’s exports declined 15.2% on the year, as outbound shipments dropped 15.0% to US$13 billion. With annualised imports slumping by 22.8% on the year to US$ 13.5 billion, there was a trade deficit of US$ 500 million. In September, exports had increased 12.7%, compared to a year earlier to US$ 65.95 billion, attributable to strong robust semiconductor demand, (its highest monthly total in three and a half years).

In the nine months to September 2025, China’s total goods imports and exports in yuan-denominated terms rose 4.0% on the year, to US$ 4.71 trillion. The General Administration of Customs said the growth rate accelerated from the 3.5% increase recorded in the first eight months of the year. In September alone, China’s imports and exports were 8.0% higher on the year to total US$ 565.91 billion. In the first nine months of 2025, China’s total goods imports and exports, in yuan-denominated terms, rose, by 4.0%, to US$ 4.73 trillion. According to the General Administration of Customs, this had risen from the 3.5% increase noted in the eight months to 31 August. In September alone, China’s imports and exports totalled US$ 5.68 billion – 8.0% higher on an annual basis.

According to the IMF MD, Kristalina Georgieva, the world body will continue to push the G20 economies to focus on persistent debt issues, burdening developing economies. She commented that “growth is slow, debt is high, and the risks of financial downturn are … there”, with the IMF working with the World Bank to look at countries with liquidity issues. She also noted at the annual meetings of the IMF and World Bank in Washington, that the impact of US tariffs had been less dramatic than expected, but uncertainty remained high.

Two major global nations have been left reeling from the impact of the Trump tariffs – India on the end of a 50% levy, (increased because of the country importing Russian energy), and Switzerland by 39%. Most others have had to make do with a 25% levy, with exceptions such as the UK’s favourable 10% and the EU’s 15%. One of India’s most important industries has taken a major wake-up call from the impact of the Trump tariffs; the country’s US$ 11.0 billion textile export industry has had its confidence shaken to its core in the US market. It is estimated that half a million garments sit in towering stacks, ready for shipment but stalled over who will pay the new duties, with US buyers asking for major discounts to pay for the ‘inflated’ prices of Indian merchandise. Major Indian producers are already cutting payroll numbers and reducing hours – and in turn pay packets – and would be struggling if they had to pay a larger share of the tariff. Tiruppur, in the southern state of Tamil Nadu, and known as the country’s ‘knitwear capital’, exported 40% of its woollen garments, worth US$ 2.0 billion, to the US. Inevitably, it will be struggling this year. With US orders almost completely at a standstill, and some bigger factories on the brink of bankruptcy, the industry has to urgently find new markets and, even, if successful, they will not fill the void from the loss of the US business. Tamil Nadu Chief Minister, MK Stalin, has warned that up to three million jobs could be at risk across the state’s textile belt, a grim prospect for a country struggling to provide well-paid work for its youth.

To date, Swiss President Karin Keller-Sutter has failed to reduce US tariffs on Swiss goods, including watches, even though the country is thought by many to have one of world’s most competitive and innovative economy. Furthermore, it is also one of the biggest investors in the US, creating up to 400k jobs.

Data from the Statistical Centre for the Cooperation Council for the Arab States of the Gulf, posted that the six-nation bloc’s Q1 GDP, at current prices, of the Gulf Cooperation Council rose 3.0% to US$ 588.1 billion. Non-oil activities contributed 73.2% of GCC’s GDP, at current prices, while oil activities accounted for 26.8%, at current prices. On the quarter, the GCC’s GDP grew 0.05%.

The GCC’s travel and tourism sector contributed US$ 247.1 billion to their cumulative GDP – 31.9% higher than the pre-Covid 2029 level. It is forecast that 13.3%, (US$ 371.2 billion), of the GDP will benefit from this sector by 2034 – an indicator that it is becoming increasingly important as a key driver of the bloc’s economic, social and environmental development. Tourism is one of the region’s main engines for creating direct and indirect jobs, with its 2024 contribution valued at US$ 4.3 billion – 24.9% higher than the figure in 2019. By 2034, the sector is expected to generate around 1.3 million new jobs by 2034.

Donald Trump is seen to be looking after his friends again – this time it is the Argentine president, Javier Milei. Treasury Secretary Scott Bessent announced the purchase of the country’s pesos and that the US had finalised terms of a planned US$ 20 billion financial rescue package for the country, adding that “the US Treasury is prepared, immediately, to take whatever exceptional measures are warranted”. As usual, any move by Trump has riled his opponents who are left wondering why the country has extended financial support to embattled Argentina, at a time of spending cuts at home has drawn scrutiny. The value of the peso has declined sharply in recent months, while investors have been dumping Argentine stocks and bonds. Bessent retorted that, “a strong, stable Argentina, which helps anchor a prosperous Western Hemisphere, is in the strategic interest of the United States. Their success should be a bipartisan priority”. It is Argentina’s third debt default since 2001, with the last being in 2020.

The US President came out fighting again last Friday, as he unveiled plans to retaliate against China’s earlier decision to curb the critical exports of rare earth element controls, essential to tech manufacturing. China produces over 90% of the world’s processed rare earths and rare earth magnets. He announced that he would levy additional 100% levies on China’s US-bound exports, along with new export controls on “any and all critical software” by 01 November, nine days before existing tariff relief is set to expire. He also mentioned that the proposed Xi Jinping meeting in North Korea, next month, could be in jeopardy, as he commented “now there seems to be no reason to do so”. Unfortunately, for the rest of the world, this could be bad news if a global trade war were to ensue and be a major body blow to ‘The Magnificent Seven’, including cloud computing and AI and it impact on global bourses.

In a bid to safeguard the European supply of semiconductors for cars and other electronic goods, and protect Europe’s economic security, the Dutch government has taken over control of Nexperia, a Chinese-owned chipmaker based in the Netherlands; it also has facilities on a global scale including in the UK. The Hague confirmed that the decision was down to “serious governance shortcomings” and to prevent the chips from becoming unavailable in an emergency. This move will obviously ratchet up tensions between the EU and China, which is already at low levels because of trade and Beijing’s relationship with Russia. Late last year, the US government placed Wingtech, Nexperia’s owner, on its so-called “entity list”, identifying the company as a national security concern; this legislation bars US companies from exporting American-made goods to businesses on the list unless they have special approval. In the UK, Nexperia was forced to sell its silicon chip plant in Newport, after MPs and ministers expressed national security concerns. currently owns a UK facility in Stockport. The Dutch Economic Ministry said it made the “highly exceptional” decision to invoke the Goods Availability Act over “acute signals of serious governance shortcomings” within Nexperia. However, it confirmed that company’s production could continue, as normal, but it appears that the company was in discussions with lawyers about potential legal remedies.

Ming Yang, a Chinese energy company, has announced plans to spend US$ 2.0 billion to build the UK’s largest wind turbine manufacturing facility in Scotland, that will create 1.5k new jobs. The firm, the largest private wind turbine manufacturer in China, has already chosen the green freeport site at Ardersier and will spend 50% of its investment, with the first production taking place by late 2028. The balance will help create an “offshore wind industry ecosystem” around the hub. The firm’s UK chief executive, Aman Wang said, “we firmly believe that by moving forward with our plans to create jobs, skills and a supply chain in the UK, we can make this country the global hub for offshore wind technology”. There is one caveat that there are some who consider China a “hostile site”, and there should be “serious questions about energy and national security”. However, the Starmer administration will “encourage investment”, adding that “this is one of a number of companies that wants to invest in the UK. Any decisions made will be consistent with our national security”.

Another week and further bad news for the Chancellor of the Exchequer, with wage growth slumping to a four-year low, last seen in March 2021, driven by a weak demand for workers allied with the supply of available candidates to fill roles. The latest KPMG and the Recruitment and Employment Confederation index of wage growth for full-time staff sees an 0.4 monthly dip to 50.2 – marginally above the 50.0 threshold, demarcating between expansion and contraction. This could be seen as good news for the rate setters at the BoE who had shown concern that demand for higher wages could have impacted inflation that then may have resulted in higher prices.

In Q3, and for the thirty-ninth successive period, UK’s vacancy numbers dipped lower, by 9k – a sure indicator that, with fewer jobs available, it becomes more difficult to find work. Figures from the Office for National Statistics showed the unemployment rate nudging 0.1% higher, on the month, to 4.8%, primarily driven by younger people, as a record number of people over sixty-five are still in work. The jobless rate is now at its highest since May 2021, partly attributable to the fact that the cost of employing staff became more expensive, last April, due to higher employers’ national insurance contributions and an increased minimum wage. Some good news came with August having the fewest working days lost to strike action in a single month for nearly six years. Public sector pay growth increased more quickly, at 6%, than the 5.0% average weekly earnings.

Mixed news for the UK, as the IMF has forecast that, in 2025, the country will be the second- fastest growing economy in the G7, at a modest 1.3% for both years. This was somewhat tarnished by the global body predicting that the UK will have the highest rates of inflation, this year (3.4%), and next (2.5%), in the G7, attributable to rising energy and utility bills. Canada is expected to retake second place next year when its economy is forecast to grow at 1.5%. Germany, France and Italy are all forecast to grow far more slowly at rates of between 0.2% and 0.9% in 2025 and 2026.

Rishi Sunak, the former prime minister, but still MP for Richmond and Northallerton, indicated his “delight” to be working “with two of the world’s leading tech firms”, Microsoft and Anthropic; he had already earlier confirmed he will act as a paid adviser to his former employer, Goldman Sachs. He has already been warned by the Advisory Committee on Business Appointments that he must not lobby ministers on behalf of the companies. As prime minister, (between 2022 -2024), he had made tech regulation a significant priority, setting up an AI safety summit in 2023. The watchdog noted that Anthropic “has a significant interest in UK government policy”, meaning that Sunak’s appointment could potentially be seen to offer “unfair access and influence” within government, and that the appointment with Microsoft, a “major investor” in the UK, also presented similar issues. Sunak was told not to advise on bidding for UK contracts, or to lobby the government for two years from his last day in ministerial office. Many in the country will be wondering why some MPs have so much time on their hands that they can take up second and third jobs and whether being an PMP is really a full-time position.The Joke Is On Me!

Getting Away With It!                                                     10 October 2025

fäm Properties’ latest report indicates that average overall monthly real estate sales rose 20.5% to 17.6k transactions and by 32.4% to US$ 15.11 billion for the first nine months of the year, compared to 2024. It noted that average sales values and volumes were also up for each of the apartment, villa, commercial and plot sectors compared with the same period last year, continuing its upward trend that started in 2021. Firas Al Msaddi, CEO of fäm Properties, commented that “during this period, property values have grown faster than the number of deals in all segments, highlighting strong all-round market momentum”. A summary shows, that over the past five years, there has been growth recorded during the January – September nine-month period in all sectors and when looking at transactions and values

• Apartments     up 452% to US$ 655.31 billion         339.1%           123.4k deals  
• Villas               up 302% to US$ 44.14 billion           144.3%           27.6k deals
• Plots                up 379% to US$ 23.21 billion           61.9%             3.4k deals
• Commercial     up 414% to US$ 3.08 billion             150.0%           4.0k deals

According to Property Finder, Dubai posted record-breaking real estate performance in Q3 2025, recording its strongest quarterly volume ever, with a 17.0% rise in transactions to 59.04k, and a total value of US$ 46.05 billion. Off plan sales, accounting for 68.0% of total volume, saw a 26.0% rise in transactions to US$ 22.59 billion, with the 18.94k ready market transactions recording a 16.0% increase in value to US$ 23.46 billion. For the first nine months of 2025, Dubai saw a 32.4% increase in total sales value and a 20.6% hike in transactions. It is estimated that real estate prices having jumped almost fourfold since 2021, with sales up 379.9% to US$ 136.0 billion and volume by 266.7% to 158.4k. Dubai’s current average US$ 454 per sq ft price is a new record high.

A new launch, by BEYOND Developments, sees a US$ 708 million twin-tower residential development – Soulever –  in Dubai Maritime City; SAOTA are the architects, with interiors by ARRCC This is the developer’s seventh project, and sixth waterfront one, since its establishment just over a year ago, and is another piece in BEYOND’s eight-million-sq-ft DMC masterplan  – the others being Saria, Orise, Sensia, The Mural, and Talea. Soulever will have five hundred and thirteen residences comprising one – three-bedroom residences, along with a limited collection of signature duplexes, including exclusive four-bedroom layouts, with private splash pools and terraces, complemented by two-bedroom podium chalets. Each residence will have high ceilings and private balconies. Apart from landscaped terraces and podium gardens, amenities include pools, spa facilities, a waterfront gym club, library spaces, and family areas.

Yet another record for Dubai comes with the property market posting a record price – at US$ 99 million – for a prime, waterfront plot on the Dubai Water Canal in Business Bay; the corner site, that could be the base for a mixed-use project and premium retail, opens directly onto the canal boardwalk. With the supply of prime waterfront sites dwindling by the year, and as supply slows with quickening demand, prices will only move one way – upwards. The location continues to be a magnet for buyers, with recent data indicating that land plot purchases, over the past twelve months, have surged by 16.7% to US$ 572 per sq ft. DXBInteract data shows that the median price per sq ft there rose 7.3% on the year to US$ 663, as the number of transactions this year surged 19.4% to 10.68k. The future looks bright for the location, not only because of the triple whammy of the emirate’s expanding economy, increasing foreign investment, and the city’s push toward becoming a global business hub, but also because of infrastructure upgrades and waterfront enhancements.

Betterhomes has posted that Nakheel’s Dubai Islands, spanning seventeen sq km, with twenty km of beachfront, is fast becoming one of the city’s most talked-about coastal communities, with H1 sales of US$ 1.66 billion. An analysis of that figure shows there were 1.89k transactions, valued at US$ 1.66 billion, whilst there were only twenty-eight villa transactions, with six-bedroom villas selling for up to US$ 4.09 million. There are five interconnected islands, with upcoming bridges making access a lot easier and more convenient. In alignment with the Dubai 2040 Urban Master Plan, the development is reshaping what luxury waterfront living looks like — blending resort-style homes, leisure districts, and city convenience in one location. Interestingly, prices on the islands are 22% lower than those on the more developed Palm Jumeirah’s US$ 817 per sq ft.

The latest Global Super-Prime Intelligence report from Knight Frank confirms Dubai’s continued lead as the world’s most active super-prime residential market, with Q2 sales of US$ 10 million plus homes at five hundred and ninety, or up an impressive 18.7% on the year; value wise. the figure was a more impressive 32.6% at US$ 11.8 billion. Knight Frank noted that “Dubai’s position as the world’s leading super-prime market is now firmly established. Its performance underscores the emirate’s maturity as a wealth hub and its ability to attract global capital consistently, irrespective of market cycles. Dubai holds its lead, but New York’s resurgence and strong rebounds in Los Angeles and Hong Kong highlight the depth and diversity of global demand”.

Dubai continued to dominate the global super-prime landscape, outpacing traditional powerhouses in the number of transactions. The emirate’s enduring appeal lies in its blend of strong economic fundamentals, tax advantages, world-class infrastructure and unmatched lifestyle offering. Dubai’s luxury property market has been buoyed by rising demand from global investors seeking a safe haven for capital, coupled with an influx of wealthy entrepreneurs and family offices relocating to the UAE.

Knight Frank’s data revealed that while Dubai led in deal count, New York reclaimed the top spot in total transaction value, driven by strong activity in Manhattan’s ultra-prime condominium sector, and the resale market for trophy townhouses, for the first time since late 2021. Earlier reports also show that Dubai accounted for roughly 20% of global super-prime sales last year, with record-breaking transactions in exclusive areas such as Palm Jumeirah, Emirates Hills, Jumeirah Bay Island, and Dubai Hills Estate. With several Dubai properties selling for over US$ 100 million, Dubai now stands along global icons like New York’s Billionaires’ Row and London’s Mayfair.

Analysts are upbeat about the state of this sector of the Dubai property market, and the positive momentum is set to continue into 2026. There are many attributes to support this theory including its investor-friendly policies, world-leading safety standards, year-round sunshine, and the continued inflow of wealthy expatriates/remote entrepreneurs drawn by its long-term residency programmes.

Government developer, Meraas has unveiled its latest launch – Nourelle – with skybridge gardens, and panoramic Jumeirah views, located at Madinat Jumeirah Living. The project comprises a range of one- to four-bedroom apartments, and with prices starting at US$ 1.0 million, the developer has introduced a 75/25 payment plan.

Dubai-based Mashriq Elite Real Estate Development has announced that it has handed over its nine-storey Floareá Residence at Arjan in Dubailand master community. Its focal point is a grand waterfall, five mt high and thirty mt wide, falling from an Infinity Pool on the first floor The development, being two hundred and six fully finished, semi-furnished designer apartments, (comprising ninety-one studios, ninety-seven one-beds and eighteen two-beds), was launched in September 2023 and handed over in August. The developer commented that following this success, it plans to add a further 1.2k residential units over the next two years, in various locations, including Floareá Vista, (Discovery Gardens), Floareá Grande, (Arjan), Floareá Skies, (Jumeirah Village Circle) and Floareá Oasis, (Dubai Land Residential Complex). Further projects include Floareá Breeze, (Dubai Islands), whilst parcels of land have been acquired in Meydan District 11 and Dubai Production City.

A new law, issued by the Dubai Ruler, Sheikh Mohammed bin Rashid, will regulate the emirate’s engineering consultancy sector, with violators in line for fines of up to U$ 27k.  Its main aim is to classify service providers, based on their technical, financial and managerial competence and to encourage investment, ensure timely project execution, and to attract global companies to position Dubai as a key hub for engineering consultancy services. Only those, with proper authorisation, a valid trade licence and Dubai Municipality registration, will be permitted to take on engineering consultancy work. In addition, firms cannot operate beyond their licensed scope, employ unregistered engineers, or contract with unlicensed companies to carry out consultancy work in Dubai. Apart from the monetary fines, offenders can be hit with a gamut of penalties including suspension of the engineering consultancy offices for up to one year, classification downgrade, removal from the registry, cancellation of commercial licences, suspension of staff, certificates being revoked, and notification to the UAE Society of Engineers about violations.

Dubai’s Crown Prince, Sheikh Hamdan bin Mohammed, issued Executive Council Resolution No. (67) of 2025 on the Workforce Productivity Measurement System. According to the Resolution, the System will be implemented in phases. In the first phase, productivity will be measured using recognised standards by comparing services delivered against workforce size, total salaries, actual working hours, and other relevant data. The results will then be analysed, followed by the development of initiatives to improve efficiency and services. The final phase will focus on evaluating the system. A procedural guide will set out the details and responsibilities for each phase.

At a recent meeting of the Ministry of Interior’s Happiness and Positivity Council, it was announced that the UAE had been ranked among the top four countries in the world in traffic safety per 100k people – a sure indicator of the effectiveness of the country’s national traffic policies. At the meeting, chaired by Sheikh Saif bin Zayed, Deputy Prime Minister and Interior Minister, projects and initiatives, aimed at enhancing government performance, were discussed. There is no doubt that the country’s target of creating a safe, secure, and positive environment for the population is paying dividends for everyone’s quality of life.

Earlier in the week, the Crown Prince of Dubai, Sheikh Hamdan bin Mohammed, unveiled Dubai Founders HQ – a major initiative to accelerate startup and SME growth in the emirate. The platform – designed to empower entrepreneurs with the tools to launch, scale and thrive in a competitive market – features a dynamic ‘phygital’ model’, combining a physical innovation campus with a full-scale digital ecosystem, bringing together startups, investors, corporates and enablers under one roof. Launched under the Dubai Economic Agenda D33, its aims are to help scale thirty unicorns and support four hundred high-potential SMEs by 2033. Over twenty-five leading public and private sector partners are already on board, offering services like mentorship, venture building, business setup, licensing support and investor access.

The Dubai Business Registration and Licensing Corporation, in collaboration with the Dubai Free Zone Council, has introduced the Free Zone Mainland Operating Permit. Designed to ease cross-jurisdiction business, this will allow free zone entities to bid for government contracts and to better access local markets. Initially covering non-regulated sectors like tech, consulting, design and trading, the framework will expand to regulated industries over time. The initiative is in alignment with the Dubai Economic Agenda, D33, which aims to double the city’s economy by 2033. The permit is valid for six months at a cost of US$ 1.36k, renewable every six months, with the initiative expected to benefit more than 10k businesses.

The UAE Ministry of Finance confirmed that new rules to update the country’s excise tax on sugary drinks will take legal effect on 01 January 2026. The update is meant to make the tax system more efficient and aligned with new standards set by the Gulf Cooperation Council. The proposed legislative amendments, including setting the various levels of a tiered volumetric model based on sugar content or other sweeteners for sweetened beverages. The amendments aim to establish a comprehensive legal and regulatory foundation that ensures the smooth implementation of the updated policy at the national level. It added that the proposed amendments will “foster a competitive tax environment”.

It is not very often that you see a global tax authority thanking taxpayers but that is exactly what the UAE Federal Tax Authority did; it  has issued a statement expressing its gratitude and appreciation to the large number of Corporate Taxpayers, at over 640k, who have achieved high compliance rates – exceeding internationally targeted averages – regarding registration with the Authority and within the legal timeframes specified for each category. This unprecedented response also shows the success and efficiency of the local legislative and procedural tax system, which is in line with the best global practices.  The Director General of the Federal Tax Authority, Khalid Ali Al Bustani, emphasised that the past period witnessed a notable increase in compliance levels and responsiveness of taxpayers to tax legislation and procedures, driven by greater awareness and the spread of a tax culture.

This week, the Chairman of the UAE Space Agency, Dr Ahmad Belhoul Al Falasi, spoke on the sidelines of the Dubai Airshow 2025 press conference. Whilst noting that the country had invested some US$ 12.0 billion in the sector, he commented that the rapid growth seen in the UAE’s space sector was being driven by  sustained government support and the increasing participation of the private sector, adding that the success of any country’s space sector largely depends on the success of its private sector. He said that the government was following the same path and that “many nations began with major government investments but simultaneously empowered the private sector to become an active partner in this journey-and today”. Explaining that the space sector inherently requires ongoing government backing alongside private participation, both remain complementary, he noted that “over the past decade, the government bore most of the responsibility, but now we see the private sector taking on a greater role, from major corporations to the growing number of SMEs”. He also emphasised the importance of international cooperation being essential for the success of the space industry and concluded that the agency’s strategic objective is to position the UAE among the world’s top ten countries in attracting and hosting space-related companies by 2031, reinforcing its status as a global hub for space sciences and future technologies.

It has been confirmed that China’s state-owned aircraft manufacturer, Commercial Aircraft Corporation of China Ltd, will make its Dubai Airshow debut next month. Comac will have four of their planes on display as well as taking part in an actual flying display. The C919 – similar to Boeing’s 737 – can seat up to one hundred and sixty-eight passengers and has been flying commercially in China since March 2023.

flydubai has joined its sister carrier, Emirates, in tightening rules on the use of portable batteries onboard for safety reasons. The carrier posted that “passengers may carry one power bank per person in their hand baggage, provided it has a watt-hour (Wh) rating of 100 Wh or less, clearly marked on the device. Devices exceeding 100 Wh are strictly prohibited”. Power banks must be kept in hand baggage only, under the seat or in the seat pocket in front of the passenger—not in overhead lockers- and their use on board is strictly forbidden. They must be switched off and protected against short circuits or accidental activation and are forbidden in checked baggage.

Last March, the Telecommunications Regulatory Authority issued the region’s first national regulation for accrediting drone  air navigation service providers and six months later,  UAE’s General Civil Aviation Authority has granted the first drone airspace service provider certificate to Dubai Air Navigation Services. DANS, in collaboration with Dubai Aviation Engineering Projects and ANRA Technologies, has developed an air traffic management platform for drones. This platform will enable immediate approvals for drone flights integrate radar and weather data, and weather alerts, enhance conflict detection and avoidance capabilities, and expand into urban air mobility applications in the future.

September’s S&P Global UAE Purchasing Managers’ Index saw the country post its strongest performance in seven months in September, attributable to growth in new business and steady expansion in output; the seasonally adjusted PMI rose 0.9, on the month, to 54.2. The organisation’s Senior Economist, David Owen, noted that “the UAE PMI made up some lost ground in September following a trend of moderating growth in the middle of the year,” and more so after its July nadir. It was reported that over 30% of firms surveyed posted higher new order volumes – a clear indicator of a boost in client activity, with positive momentum in the domestic market, whilst exports sales activity was rather muted. In the month, it was reported that rising demand led to an expansion in output and recruiting, (its fastest pace since May), whilst new orders were impacted by firms relying on existing stock to meet customer demand; September was the third consecutive month of inventory levels heading south. Although there was an uptick in demand, there was a marked reluctance for companies to cash in, by increasing their prices, but competitive pressures put a lid that option; this was partly attributable to caution around purchasing and pricing decisions.                                                    

Meanwhile, the Dubai PMI also showed similar improvement, on the month, by 0.8 to 54.2, in September, with the emirate’s non-oil firms posting a stronger rise in new work, an uptick in employment, and greater business optimism heading into Q4. Intense competition resulted in firms cutting selling prices for the first time since November 2024, and this despite input cost pressures reaching a five-month high. Overall, there was optimism in the air, with companies expressing continued confidence about future business activity, supported by government initiatives, new projects, and strong domestic demand.

An Asian man was ordered by the Dubai Civil Court Dubai Civil Court to pay US$ 850k to his ex-business partners after he was found guilty of embezzling fifteen kg of gold from their company. An earlier criminal case had seen the man sentenced to six months in jail. The civil ruling follows a final criminal judgment that sentenced the man to six months in prison and fined him an amount equal to the value of the stolen gold, all followed by deportation. His partners had stated legal proceedings, in early 2024, accusing him of misappropriating 24-karat gold valued at US$ 956k; he was charged with breach of trust and embezzlement, arguing that he diverted assets entrusted to him and caused direct financial losses.

According to Moody Ratings, the UAE is consolidating its position as a leading hub for sustainable finance, whilst praising the country’s expansion of green innovation beyond traditional energy sources to advanced industries and technologies.  Raúl Ghosh, from the agency, also noted that data centres were major energy consumers, with demand in the sector potentially rising fivefold due to accelerating investments, whist adding that AI could play a crucial role in cutting emissions. This is on the back of the International Energy Agency estimating rapid adoption could reduce global emissions by 5% or more over the next decade. He added that innovation in the UAE now extends to low-carbon steel, low-emission cement, and energy- and water-efficient data centres, whilst noting successful issuances of Masdar’s green bonds and DP World’s regional first blue sukuk to support port infrastructure and combat marine pollution. He estimated that a regional spend of 4% of GDP would be required for a sustainable economic transition that would include large-scale investment in mining new resources, power transmission and distribution, battery storage, and electrification technologies such as electric vehicles and heat pumps. He concluded that an increasing number of investors are looking for projects that combine profitability with sustainability.

A major investment by a subsidiary of DFM-listed Dubai Investments sees Emirates Float Glass announcing that it will introduce a second line that will double its manufacturing capacity to a daily balance of 1.2k tonnes. It will also introduce Ultra Clear low-iron glass, a first-of-its-kind capability in the MENA region that will set new standards in clarity, colour accuracy, and premium quality. This second float line will be operational by early 2028 and will integrate advanced automation, energy-efficient systems, and next-generation process controls to ensure consistent product quality, operational reliability, and reduced energy consumption at scale.

Nasdaq Dubai welcomed the successful listing of Emirates Islamic’s US$ 500 million Sustainability-Linked Financing Sukuk, the world’s first Sukuk issuance of its kind was issued this week on Nasdaq Dubai; this is part of the bank’s US$ 4 billion Sukuk Programme. Orders, at US$ 1.2 billion, were 2.4 times oversubscribed, with strong investor demand, enabling the bank to tighten the annual profit rate to 4.540%, at a spread of ninety-five basis points over five-year US Treasuries. Following this listing, Emirates Islamic Sukuk’s total outstanding listings on Nasdaq Dubai reached US$ 2.77 billion which brings the total value of all outstanding Sukuk listed on the exchange to over US$100 billion, consolidating the bourse’s position as a leading global hub for Islamic fixed-income products. The Dubai-based exchange currently hosts US$ 140.0 billion in fixed income and US$ 28.7 billion in ESG listings, including US$ 1.55 billion in sustainability-linked issuances.

This week, the General Assembly of Emirates Central Cooling Systems Corporation approved the Board of Directors’ proposal to distribute H1 cash dividends of US$ 119 million, (or US$ 0.0119 per share), equating to 43.75% of the Empower’s paid up capital. In H1, the company posted revenues and net profit of US$ 396 million and a net profit of US$ 110 million.

The DFM opened the week, on Monday 06 October, on 5,855 points, and having gained sixty-three points (2.1%), the previous week, gained a further one hundred and twenty-seven points to (2.2%), to close the week on 5,982 points, by 10 October 2025. Emaar Properties was flat on the week to close on US$ 3.71 by the end of the week. DEWA, Emirates NBD, DIB and DFM started the previous week on US$ 0.75, US$ 6.81, US$ 2.57 and US$ 0.44 and closed on US$ 0.75, US$ 6.86, US$ 2.61 and US$ 0.44. On 10 October, trading was at eighty-three million shares, with a value of US$ seventy-four million dollars, compared to one hundred million shares, with a value of US$ ninety-two million dollars on 03 October 2025.

By 10 October 2025, Brent, US$ 5.79 (8.1%) lower the previous week, shed US$ 2.13 (3.2%) to close on US$ 62.62. Gold, US$ 207 (2.7%) higher the previous fortnight, gained US$ 124 (3.2%), to end the week’s trading at US$ 4,101 on 10 October. Silver was trading at US$ 49.98 – US$ 2.00 (4.2%) higher on the week.  

Last Wednesday, the price of gold hit a record high of more than US$ 4k an ounce, playing its role as a safe haven, as investors look for safe places to put their money over concerns about economic and political uncertainty around the world. The current status sees the yellow metal surging by almost a third since Donald Trump announced tariffs which have upset global trade. The  price was buoyed by the US government shutdown, which was triggered by repeated impasses over public spending, and is seen as a “tailwind for gold prices”. At the last government shutdown, six years ago, (and during Trump’s first presidential tenure), gold rose about 4.0%. Other factors impacting its price include the weakening greenback and a marked increase in retail investors, probably entering too late in the game. However, gold’s price fell 2% yesterday, retreating from having topped US$ 4k earlier in the week, attributable to a reported rising dollar and investors cashing in profits after the Israel-Hamas ceasefire deal. According to the World Gold Council, a record US$ 64.0 billion has been invested in gold ETFs so far this year.

Gold is not the only precious metal on a record-breaking rally, being surpassed by silver’s soaring prices, having risen by over 75% YTD. The main drivers behind the current surge are a combination of safe-haven demand, strong industrial consumption, and persistent supply shortages. Yesterday, it reached a record high of US$ 51 per troy ounce – and going over the US$ 50 mark for the first time since 1980. Meanwhile, on the day, gold’s price fell 2%, retreating  from having topped US$ 4k earlier in the week, attributable to a reported rising dollar and investors cashing in profits after the Israel-Hamas ceasefire deal.

This week, Airbus posted, that since its 1988 commercial debut, it has managed to sell 12.3k A320neos, overtaking the Boeing 737 line, to become the most-delivered jetliner in history. Boeing’s decades-old record fell with the handover of an A320neo to Saudi carrier Flynas, becoming its twelve thousand, two hundred and sixtieth sale. Demand for both the A320 and the 737 has surged in recent years, as economic growth led by Asia brought tens of millions of new middle-class travellers into the skies. Initially they were made to serve major hubs but later widely adopted by low-cost carriers, which Airbus courted after Boeing cut output during a downturn in demand post-9/11. Having declared that they had manufactured five hundred and seven jets by the end of September means that the plane maker has to bring a further three hundred and thirteen units to achieve its 2025 target of eight hundred and twenty. Now the world’s largest plane maker, it delivered a record September number of seventy-three, as the supply of engines improved, indicated by a fall in the number of completed planes, parked on the ground, awaiting their engines.

Blaming its decision on airport operator AENA increasing the charges it levies on airlines, particularly at regional airports, and “illegal” bag fines, Ryanair has taken out 1.2 million seats to and from Spain next summer – this follows its decision to axe one million seats from its winter schedule last month. It is ending all flights, to and from Asturias Airport in northern Spain, and shifting seats to Spain’s bigger airports and other European countries, mainly to lower-cost competitor airports in Italy, Morocco, Croatia, Sweden and Hungary. Earlier in the week, the EC seemed to favour the Irish budget airline by ruling that the fines imposed for charging extra fees on cabin bags had breached regulations. Last year, the Spanish watchdog fined Ryanair, easyJet, Norwegian, IAG’s low-cost unit Vueling and Volotea a combined US$ 206 million for practices such as charging for cabin luggage.

Ineos, the UK chemicals group founded and co-owned by Manchester United’s 25% owner, Sir Jim Ratcliffe, is not well pleased with the Starmer administration after having cut sixty skilled jobs at its factory in Hull. He commented that the redundancies were “as a direct result of sky-high energy costs and anti-competitive trade practices, as importers ‘dump’ product into the UK and European markets”. He added that the lack of government action – both in the UK and the EU – had resulted in “dirt cheap” carbon-heavy imports flooding the market, making its products uncompetitive, and called for Trump-like tariffs or the problems would just get worse. The firm claims that its Chinese competitors were emitting up to eight times more carbon dioxide than its UK operations, after US$ 40 million was spent on switching Ineos plant energy source from natural gas to hydrogen.  He commented that, “it’s grim, there is no other word for it really,” I don’t think there will be much chemicals left in ten years’ time”.

No wonder that the UK car industry is in such a bad state, when BYD announce a mega 880% surge, to 11.3k vehicles, in UK September sales, compared to a year earlier; it noted that its Seal U, a SUV, accounted for the majority of those sales, and that its share of the UK market has jumped to 3.6%.  The Chinese carmaker commented that the UK has become its biggest market outside of its homeland. For some reason, known only to Starmer’s inner circle, the UK, unlike its European and US peers, has yet to impose tariffs on these Chinese imports. Overall, UK EV sales hit a record high last month, with sales of pure battery electric vehicles rising to almost 73k – still less than the total sales of petrol and diesel models. The Kia Sportage, Ford Puma and Nissan Qashqai were the month’s best-selling cars.

To compensate more than one hundred ex-employees, manhandled by its owner, Mohamed Al Fayed, who died in 2023, Harrods has set aside more than US$ 81 million in its plan to compensate alleged victims. Multiple women have accused Fayed, who owned the luxury store between 1985 to 2010, of rape and sexual assault, with the Met Police, confirming that one hundred and forty-six people have come forward to report a crime in their investigation into Fayed. A redress scheme was set up last March, which would consider all claims up to US$ 519k – this will stay open until March 2026. There is also a US$ 7 million provision to cover legal and administrative expenses. Latest figures indicate that the store posted annual revenue flat at US$ 1.34 billion, with a US$ 46 million deficit, compared to a US$ 149 million profit a year earlier. The main drivers behind the disappointing return were not only from the Fayed scandal but also on weaker beauty trading, modernising some of its systems and current domestic and global economic environment.

The EU is hiking the tax, to 50%, on steel it imports, and since this bloc is the biggest market for UK steel exports, it could be disastrous for the industry to lose any of its business there. UK Steel described it as “perhaps the biggest crisis the UK steel industry has ever faced” and called on the government to “secure UK country quotas”.

Last weekend, two events took place that would have seemed like a distant dream only a few years ago. Dame Sarah Mullally, a former chief nursing officer for England, was named as the first female Archbishop of Canterbury in the history of the Church of England. The first person to hold that position was Augustine of Canterbury in 597AD, with the church in full communion with the Roman Catholic Church, until Henry VIII proclaimed himself head of the Church of England in 1533, and appointed Thomas Cranmer Archbishop of Canterbury.

The other event saw Sanae Takaichi appointed the new leader of Japan’s ruling Liberal Democratic Party, and if confirmed later this month as the successor to Shigeru Ishiba, she will become the country’s first female prime minister. Come Monday, Japanese shares hit new highs, (especially those in real estate, technology and heavy industry), gaining some 4.75%, with the benchmark Nikkei 225 index ending the day above 47k for the first time., as the Topix index surged 3.1% to record highs. Furthermore, long-term government borrowing costs rose sharply, as investors piled into the ‘Takaichi trade’ amid expectations that she will announce a wave of fiscal stimulus packages. Over the past twenty years, she has held various senior government positions and is known for her support of higher government spending and lower borrowing costs. She was also a big fan of Margaret Thatcher and her free market approach to economics, as well as an apostle of ‘Abenomics’ – a fiscal strategy of high government spending and loose monetary policy, introduced by a former prime minister, Shinzo Abe. However, the yen headed in the other direction, sinking to a record low against the euro and slumping 1.7% against the greenback. Time will tell whether the country would benefit from her policy to boost government spending, or it will see the currency weakening even further, as Japan’s debt rises.

According to the latest Bloomberg Billionaires Index, Portugal’s Cristiano Ronaldo has become the first billionaire footballer, with an estimated net worth of US$ 1.40 billion. The striker, with some nine hundred and forty-six official goals, for his clubs and country, to his name, is the all-time top goal scorer in men’s football. He joins as elect group of other billionaire sportsmen, including Michael Jordan, Magic Johnson, LeBron James, Tiger Woods and Roger Federer.

There is little surprise to see that Chinese authorities  tightening its regulations on the export of rare earths – a much important ingredient crucial to the manufacture of many high-tech products. The new regulations have been introduced “to safeguard national security”, formalise existing rules on processing technology and unauthorised overseas cooperation. It is more than likely to block exports to foreign arms manufacturers and some semiconductor firms. The Ministry of Commerce noted that technology used to mine and process rare earths, or to make magnets from rare earths, can only be exported with government permission. The new rules will see the addition of several rare earths and related material to its export control list in April, which caused a major shortage back then.

On Tuesday, the Financial Conduct Authority published details of a proposed redress scheme following the ignominious car loan mis-selling scandal, with the watchdog estimating that some US$ 11.0 billion will be repaid to those consumers that had been “robbed”, and a further US$ 3.8 billion for administration expenses. The whole episode was down to commissions, sometimes hidden or inadequately disclosed, paid to forecourt car dealers for arranging finance on car purchases. Some may argue that the lenders involved have got away with a lot, with the payout being much less than the August forecasts of between US$ 12.0 billion and US$ 24.0 billion. Up to 14.2 million people could each receive an average of US$ 937 in compensation due to car loan mis-selling, with 44% of all car loan agreements made between April 2007 and November 2024 being eligible for payouts; those eligible for the compensation will have had a loan where the broker received commission from a lender. It seems that the fallout from this scandal will cost Lloyds Bank up to US$ 2.6 billion, which had only provided US$ 1.5 billion in its accounts, so that a further US$ 1.1 billion will reduce their next profit. Shares in the bank fell more than 3% on the news.

According to global thinktank Ember, H1 saw, for the first time, renewable energy surpassing coal as the world’s leading source of electricity. There has been such strong growth in alternative energy sources, such as solar and wind, that even though electricity demand is expanding globally, it managed to meet 100% of the extra demand and also to drive a slight decline in coal and gas use. Strangely, it is the developed countries, including those in the US and EU, that seem to be lagging, relying on even more planet-warming fossil fuels for electricity generation. On the other hand, China has led the cleaner energy charge, and although still adding to its fleet of coal-fired power stations, it also remains way ahead in clean energy growth, adding more solar and wind capacity than the rest of the world combined. Its clean tech exports hit a record US$ 20 billion, driven by surging sales of electric vehicles (up 26%) and batteries (up 23%). The growth in renewable generation in China has outpaced rising electricity demand and helped reduce its fossil fuel generation by 2%. Likewise, India has experienced slower electricity demand growth – and has been able to cut back on fossil fuel usage – and also added significant new solar and wind capacity. In the US, electricity demand grew faster than clean energy output, increasing reliance on fossil fuels, while in the EU, months of weak wind and hydropower performance has led to a rise in coal and gas generation. However, it does appear that the move to clean power is keeping pace with demand growth and that solar power is meeting 83% of the increase in electricity demand; 58% of solar generation now occurs in lower income nations. This is mainly due to the fact that solar prices have fallen 99.9% since 1975, (cf wind turbine costs that have only come down some 33% in the last decade), and is now so cheap that large markets for solar can emerge in a country in the space of a single year. For example, Algeria has increased panel imports thirty-three-fold, Zambia eightfold and Botswana sevenfold. Last year, Pakistan posted a doubling of imported solar panels, capable of generating 17 GW of solar power – equivalent to almost a third of the country’s current electricity generation capacity, whilst in Africa, Nigeria overtook Egypt into second place, behind South Africa, with 1.7GW of solar generating capacity – equating to being able to meet the electricity demand of roughly 1.8 million homes in Europe. In contrast, Afghanistan’s widespread use of solar-powered water pumps is lowering the water table, with estimates that some areas may run dry within a decade.

The BoE is concerned that global stock market valuations – but particularly in the US -“appeared stretched” and on some measures are “comparable to the peak of the dotcom bubble”. The worry is that the very high share prices of US tech stock have tended to skew the market with an increasing focus on them pushing their prices artificially higher. The Bank’s Finance Committee is that “any AI-led price adjustment would have a high level of pass-through into the returns for investors exposed to the aggregate index”, and if that bubble were to burst, the fallout – and the resultant global market sell-off – would be felt in the UK. At the same meeting, it also warned about investor concerns about the independence of the US Federal Reserve, noting that “central bank operational independence underpins monetary and financial stability — and therefore lowers borrowing costs for households and businesses”. Even JP Morgan’s Jamie Dimon had his say on the matter commenting that he was “far more worried than others” about a serious market correction, which he said could come in the next six months to two years; he considered that the current state of play shows a higher risk of a serious fall in US stocks than is currently being reflected in the market. He also warned that the US had become a “less reliable” partner on the world stage and that he was still “a little worried” about inflation in the US. October is the month for stock market crashes, so there would be no surprise to see a much-needed downward adjustment this month.

Between March 2020 and March 2022, the UK government spent US$ 414 billion on “pandemic-related support measures”, equating to handing US$ 616 to every person in the UK; that figure could rise to as much as US$ 497 billion, according to the Office for Budget Responsibility. A staggering US$ 128.5 billion was spent by the Department of Social Care (DHSC), with at least US$ 20 billion being wasted procuring goods from dubious sources – often purchasing products that were not fit for purpose and excessively inflated in price.

Last week’s blog mentioned the shenanigans surrounding Baroness Mone, and her husband, Doug Barrowman’s company PPE Medpro, and this week she comes out fighting arguing that the National Criminal Agency investigation had “nothing to do with PPE Medpro and the contracts”. She had noted that “the case theory of the NCA investigation is that I somehow misled the Conservative government about my alleged concealed involvement and ended up pocketing a lot of money. Well I’m sorry to disappoint you, but it isn’t true”. She also confirmed that the Johnson Conservative government knew of her involvement and names former health secretary Matt Hancock, Lord Agnew, Lord Feldman and Lord Chadlington as being among fifty-one “mostly Conservative peers and MPs” who introduced providers to the (high priority) ‘VIP lane’. Introduced in April 2020, the idea was to treat offers to supply PPE with greater urgency if they came with a recommendation from ministers, MPs, members of the House of Lords, or other senior officials. In other words, the usual protocol of checking credentials, comparing prices etc no longer applied. It was open season, and it does seem that many in the ‘VIP lane’ did well for themselves in dubious circumstances.

The disgraced baroness ended by saying that ” my role was exactly the same as all other Conservative MPs and peers who were trying to help provide PPE… if I have done wrong, then so have all the others in the ‘VIP lane’. In which case, you should be calling out for them to resign as well. That’s if you manage to work out what it is they are supposed to have done wrong”.

At that time the government said there was a “desperate need” to protect health and social care staff, and it was argued swift action was required to secure PPE. An NAO report found that up to the end of July 2020, about 10% of suppliers in the ‘high priority lane’ were awarded a contract, while the figure was less than 1% for other suppliers. The government ordered more than thirty million masks, gowns and other items of PPE, including ventilators, during Covid, with contracts totalling US$ 19.4 billion. The Conservative Government’s established a ‘VIP lane’, which  allowed companies with direct links to the ruling Conservative Party to jump the queue and land government contracts, valued in the billions of pounds, to provide medical equipment. The UK was the only nation in the world to introduce such a controversial and illegal back channel during the pandemic.

Two years later, the new prime minister, Rishi Sunak, approved the incineration of billions of items of unusable PPE and, believe it or not, only the baroness has faced the long arm of the law. It would appear that many have got away with stealing vast sums of money from the UK exchequer and that industrial-scale cronyism and political scandals, that consumed the then PM, Boris Johnson’s Number 10 era, have left some of the Tory hierarchy better off. Nobody will ever know how many of the ‘VIP lane’ recipients are now living the life of Riley, not on merit, but based on their political connections they had within the governing slimy Conservative Party.

Two examples show how some firms were sailing close to the wind when contracts were given out. In June 2020, Meller Designs, a firm then selling beauty products, was awarded two contracts by the DHSC – for US$ 109 million and US$ 88 million – to supply hand sanitiser and face masks. Both contracts were awarded, via the ‘VIP lane’, and without formal competition. The owner of the company was David Meller a regular donor to the Conservative Party and had personally donated to Michael Gove MP and supported his unsuccessful bid to become leader of the Conservative Party in 2016. Another was Steve Dechan who ran a small, loss-making firm distributing medical devices but in mid-2020 his company P14 Medical Ltd was awarded two contracts – one for US$ 160 million to supply face shields and the other a US$ 207 million contract by the DHSC to supply medical gowns manufactured in China. He was also a Conservative Party councillor and eventual donor to, unsurprisingly, the Conservative and Unionist Party; this is one way to turn a loss-making enterprise into a money-spinner. Maybe it was just coincidence that Medacs Healthcare Plc, a healthcare subsidiary company of Impellam Group, ultimately controlled by leading Tory donor and former party chairman, Lord Ashcroft, received a US$ 465 million contract as part of the government’s Covid-19 testing and vaccination rollout; in the year leading up to the contract award, he had donated a reported US$ 233k to the Conservative Party.

At the time Labour MP, Rachel Reeves, the then shadow Cabinet minister and now Chancellor of the Exchequer commented that “people are understandably furious seeing businesses owned and run by the friends and donors of the Tory Party being awarded huge multi-million-pound public contracts throughout this pandemic”.

In true UK bureaucratic style, much of the Covid collateral damage has been covered up by the Tory hierarchy and will probably not see light again for many years.  That leaves the casualties and survivors of the pandemic to pick up the pieces, and asking why politicians always seem to be Getting Away With It!

Mess It Up!                                           26 September 2025

Further good news, from ValuStrat, for Dubai property owners and investors, with its latest Residential Price Index, showing August capital values reaching 227.3 points – 22.1% higher on the year – and a sure indictor that the sector is still running hot. The consultancy noted that although villas still remain the main talking point, there are some apartment communities quickly catching up. A summary of their findings show that villas still lead the field.

Villas            values rose 1.8% on the month and 21.7% on the year

prices are now 190% above post-Covid lows and 76% higher than 2014 peaks

hotspots include Jumeirah Islands, Palm Jumeirah, Green Community West and The Meadows with hikes of 39.8%, 39.3%, 25.7% and 25.5% – with Mudon up by 8.8%

shows that family-oriented villa communities continue to see demand from both end-users and investors, particularly in prime waterfront and landscaped developments

Apartments     gained 1.1% month-on-month and 19.1% year-on-year

        citywide, values are still 2.5% below 2014 highs, but rising steadily

  hotspots include Dubai Silicon Oasis, The Greens, Remraam, Dubailand Residence Complex, Dubai Production City and Town Square, with annual Increases of 22.7%, 22.6%, 22.0%, 21.9%, 21.1% and 21.0% indicates that affordable, mid-market apartments, with strong connectivity, are becoming investor favourites, especially with rental yields in focus

As has been the case for some time, off plan sales continue to dominate the market, accounting for 77.8% of the August market, attributable to developers introducing more attractive and flexible payment plans. The leading communities include Business Bay, which had its highest-ever month for off-plan sales, followed by Jumeirah Village Circle, Dubai Investment Park and Dubai South, with off plan sales for ready homes heading in the other direction – down 20.6% on the month and 2.5%, year-on-year. JVC l accounted for 10.1% of such sales followed by Dubai Marina, Business Bay and Downtown. In the ultra-luxury market, nineteen homes were sold in August, at above the US$8.2m level, of which six went for above the US$ 16.4m level. Prime locations continue to be Palm Jumeirah, Jumeirah Golf Estates, Al Barari, Emirates Hills and Dubai Hills Estate.

The latest Global Real Estate Bubble Index 2025, released by UBS, points to Dubai, (rising nine places to fifth), and Madrid, (up six places to tenth), having seen the strongest bubble risk increases this year. The Swiss bank noted that “since mid-2023, real prices have climbed by double digits and are now 50% higher than five years ago, the strongest increase among all cities in the study. As a result, housing bubble risk has surged for a second consecutive year and reached an elevated level”. Globally, Miami shows the highest bubble risk, while high bubble risk also appears in Tokyo and Zurich, with elevated risks showing up in Los Angeles, Geneva, and Amsterdam. The study confirmed Hong Kong still to be the least affordable city, requiring about fourteen years of income to purchase a 650 sq ft apartment. Interestingly, it also cited that incomes were not keeping pace with home prices.

Mercer’s 2025 Middle East Housing and Schooling Report has indicated that UAE employers are tending to increase employees’ housing allowances by an average 4% because of the big increase in housing rentals. It noted that rents in most of the communities in Dubai have been rising in the range of high single-digit to double-digit over the past few years. The report also added that 52% of employers had a policy to provide the housing allowance in advance rather than on a monthly basis and found that 70% of UAE firms provided a separate housing allowance, 25% include housing within a consolidated allowance, with the remainder providing total cash packages. The consultancy also commented that “as competition for talent continues across the region, employers must ensure they have a strong employee value proposition, which includes market-competitive allowances and benefits to remain competitive”. The report also showed that 89% of UAE employers provided schooling coverage.

Meanwhile both Moody’s and Fitch are forecasting a market adjustment in the next two years after a strong four-year plus bull market, as supply catches up with demand. Both noted that residential values have surged nearly 60% between 2022 and early 2025, fuelled by foreign capital inflows, rising affluence, and record immigration supported by long-term visa reforms.  It seems that they disagree with on the supply over the next three years – with the former going for 250k and the latter by 150k. Interestingly, last week’s blog mentioned the same three year forecast, by Driven Properties and Forbes, noted “that a notable spike in upcoming supply is expected between 2026 (136.2k units) and 2027 (122.9k units), compared to 60.2k in 2025″. Take your pick! However, many would agree that an orderly adjustment is in the offing with the only queries being when and by how much? This blog would see 2028 as a likely date going forward but with a slow correction in prices – and still in positive territory.

Under the Crypto-Asset Reporting Framework, The Ministry of Finance has signed the Multilateral Competent Authority Agreement on the Automatic Exchange of Information. It is expected that its implementation will go live in 2027, with the first exchanges of information expected a year later. The mechanism will permit the automatic exchange of tax-related information on crypto-asset activities, which will allow the federal government to ensure that is in a position to provide certainty and clarity to the crypto-asset sector while upholding the principles of global tax transparency. All stakeholders, including advisory service providers, intermediaries, traders, custodians, exchange platforms and others active in the crypto-asset sector, have been invited by the Ministry of Finance to participate in the public consultation on CARF implementation in the UAE and to share their views and recommendations on its potential impacts and areas requiring further clarification.

There was no surprise to see Dubai, once again, top the Financial Times’ fDi Markets database, for attracting greenfield foreign direct investment projects in H1; the emirate attracted six hundred and forty-three new FDI projects – the highest number ever recorded for any city globally, in a half-year period, since fDi Markets began tracking the data in 2003. It also rose two places, to number two, globally for FDI capital, and number three for jobs created. These results confirm Dubai’s position as a global hub for business and leisure and is in alignment with the goals of the Dubai Economic Agenda D33. HH Sheikh Mohammed bin Rashid noted that “the strength and resilience of Dubai’s economy continues to inspire confidence among global investors in its ability to reimagine the future and unlock emerging global technological trends and sustainable sectors”.

According to the latest Global Financial Centres Index, Dubai has risen eleven places to fourth worldwide for FinTech, thus consolidating its position as the leading financial hub in the MEASA region. It also rose to eleventh on a global basis in the overall GFCI rankings and was named the world’s top financial centre expected to gain future significance. Dubai’s First Deputy Ruler, Sheikh Maktoum bin Mohammed, said this milestone supports the Dubai Economic Agenda D33, which aims to place Dubai among the world’s top four financial hubs. Meanwhile, the DIFC posted that the number of AI, FinTech and innovation companies operating within its ecosystem is at 1.5k— the largest cluster of its kind in the region that have collectively raised over US$ 4.2 billion in investment.

In a bid to transform the ride-hailing experience across the city, a partnership of the Dubai Taxi Company, (and its strategic partner Bolt), with Kabi by Al Ghurair, along with the UAE’s homegrown ride-hailing app Zed. The end result will see the 6.2k Dubai Taxi vehicles and 3.7k Kabi taxis fully integrated into the Bolt and Zed platforms – giving customers faster access to rides, shorter wait times and improved service. This move is in line with the emirate’s aim to shift 80% of taxi trips to e-hailing, in line with the Roads and Transport Authority’s vision for smart, sustainable transport.

Dubai-listed and education provider Taaleem Holdings has signed two financing agreements with Emirates Islamic, worth US$ 264 million to fund the acquisition of a majority stake in Kids First Group, (US$ 199 million), and the construction of a new Harrow School in Abu Dhabi, (US$ 65 million). KFG runs thirty-four nurseries across the UAE and Qatar, that will allow Taaleem to run education from the ages of one to eighteen, giving it a firm foothold in a burgeoning early learning segment, adding to its existing K-12 portfolio. The second financing package will help in developing a new Harrow School in Abu Dhabi, with Taaleem holding exclusive rights to operate the Harrow brand in the GCC

The DFM opened the week, on Monday 22 September, on 6,023 points, and having shed eight points (0.1%), the previous week, lost one hundred and sixty-eight points (2.8%), to close the week on 5,855 points, by 26 September 2025. Emaar Properties, US$ 0.09 lower the previous week, ditched US$ 0.21 to close on US$ 3.62 by the end of the week. DEWA, Emirates NBD, DIB and DFM started the previous week on US$ 0.75, US$ 6.92, US$ 2.69 and US$ 0.45 and closed on US$ 0.74, US$ 6.65, US$ 2.56 and US$ 0.44. On 26 September, trading was at one hundred and forty-four million shares, with a value of US$ one hundred and sixty-nine million dollars, compared to two hundred and fifty-seven million shares, with a value of US$ two hundred and seventy million dollars, on 19 September 2025.

By 26 September 2025, Brent, US$ 0.22 (0.3%) lower the previous week, gained US$ 3.79 (0.3%) to close on US$ 70.56. Gold, US$ 2 (0.1%) lower the previous week, gained US$  99 (2.7%), to end the week’s trading at US$ 3,778 on 26 September. Silver was trading at US$ 43.34 – US$ 2.52 (5.8%) higher on the week.

Nvidia posted that it had agreed with OpenAI – the company behind ChatGPT – to invest up to US$ 100 billion in the business going towards data centres for OpenAI’s “next-generation AI infrastructure”, as well as supplying high-performance chips needed for the processing power required by the new technology. Both firms said they were already working with a broad network of collaborators focused on making the “world’s most advanced AI infrastructure”, including working with Microsoft, Oracle, SoftBank, and Stargate. However, it appears that although the US is still the pioneering leader in this industry, China, with the likes of DeepSeek-R1, is hard on their heels. Recently, the world’s biggest company, by market cap, has been involved in some interesting investment deals such as the US$ 5 billion agreement with Intel and the US$ 2 billion planned for the UK AI sector.

Following legal action by the US Federal Trade Commission, Amazon has agreed to pay US$ 2.5 billion to resolve claims that it conned millions of people into enrolling as Prime members and then making it difficult to cancel. This marks a major victory for the FTC, yielding the largest ever civil penalty secured by the agency. 60% of this payment will go as refunds for customers who were duped into signing up for the service. As would be expected, Amazon, which did not admit or deny the allegations, said it had “always followed the law” and the settlement would allow the firm to “move forward”. The FTC alleged that “the evidence showed that Amazon used sophisticated subscription traps designed to manipulate consumers into enrolling in Prime and then made it exceedingly hard for consumers to end their subscription”. An estimated thirty-five million people in the US who were affected by such practices between June 2019, and June 2025 could be eligible for refunds, worth up to US$ 51, according to the FTC.

Faced with the triple whammy of cheaper Chinese EVs, the Trump Tariffs and a slowing global economy, there is no doubt that European car makers are facing troublesome times, none more so than Porsche. Like others, they are caught between a rock and a hard place – or between electrification and its popular petrol-powered sports cars. Last week, it warned that there would be further delays in the roll-out of its EVs, not helped by the fact that demand for EVs is flatlining. The German company also confirmed that it would also extend production of its range of combustion engine models, despite the 2035 EU deadline banning the sale of new petrol and diesel cars. It also posted that current models, such as the four-door Panamera and Cayenne, will continue to be available, with non-electric options ,well into the 2030s. On the news, there were 7.0% declines for both Porsche, (which confirmed that its projected profit margin would fall from 7% to 2%), and its parent company Volkswagen, saying it would spend billions to overhaul Porsche’s line-up of vehicles.

Bosch, the struggling German engineering giant, with a global 418k workforce, is set to cut thirteen thousand jobs as part of its plans to save US$ 2.92 billion resulting from a cost gap in its auto business bought on by a combination of Trump tariffs, increased competition from the likes of Tesla and BYD, as well as operating in a stagnated market. Furthermore, it will decrease investments in its production facilities and buildings as it had seen a “sharp decline in demand” for its products. In the present economic climate, it does not foresee any redundancies for its UK operations.

It seems that the Cooperative Group, one of several major UK retailers, including Marks & Spencer, to suffer from cyberattacks last April, has been left to count up the cost. Apart from a US$ 276 million dip in revenue, its H1 financials indicate an underlying loss before tax of US$ 100 million versus a profit of US$ 4 million in the same period last year. The Co-op is the seventh largest grocery chain in the UK, with a 5.4% market share. Furthermore, it has 2.4k retail stores and employs 53k and also has other business interests including funeral care, legal and insurance. Foodservice operations include third-party brands such as Costa Express and Rollover hot dogs as well as Co-op owned brands including Ever Ground Coffee, a Fairtrade coffee brand.

Another UK company involved in a cyberattack, this time last month, was Jaguar Land Rover which was forced to suspend production and shut down its IT networks. This week, it announced Its factories remain suspended until next month at the earliest, and probably not until November, leading to fears that some suppliers, mainly smaller ones who solely rely on JLR’s business, could go bust without support. The Indian Tata-owned carmaker would normally be building 1k vehicles every day at three of its UK factories, and this continued closure will directly impact thirty thousand workers and an estimated one hundred thousand more suppliers and other stakeholders. The UK close-down could be costing JLR US$ 65 million every week, with itsplants in Slovakia and China also impacted.

In the UK, the Intellectual Property Office posted that of the 259k fake toys it had already seized, (with Christmas less than three months away), 75% failed critical safety tests and 91.1% of the total were Labubu dolls These Chinese-made cheeky-looking, sharp-toothed soft toys resembling a bear, have become very popular and difficult to obtain so they are proving tb be a godsend for the fakers. However, there are reports that some of the fakes pose a potentially fatal choking hazard for children.

Two years after its parent company Bud Light brand saw Budweiser losing its number one position as the best-selling beer in the US, its new brand, Michelob Ultra, has taken over the top slot. In 2023, Anheuser-Busch’s Bud Light brand’s sales slumped, after a boycott over its work with transgender influencer Dylan Mulvaney and the subsequent consumer backlash. Data from Circana indicates that Michelob Ultra overtook Modelo Especial in US retail sales by volume in the year to 14 September. Constellation, which owns Modelo and Corona, has previously blamed its falling beer sales on tougher US immigration policies causing a drop in Hispanic consumers in the US. It is not only Constellation sales, (of which 50% come from Hispanic drinkers), that have been so impacted. About half of the Constellation’s sales come from Hispanic people in the US, Coca-Cola and Colgate-Palmolive have also noted a slump in North American sales from that socio-group. Overall, the US beer industry has seen slowing sales over the past four decades.

Starbucks has announced that nine hundred US jobs will be lost saying it will cut about nine hundred US jobs as well as the closure of its worst performing stores there, and some UK stores as part of a cost-saving move. Earlier in the year, it posted that it would be axing some 1.1k jobs. However, it said that it would still be opening eighty new stores in the UK, and a further one hundred and fifty across EMEA but “some stores in the UK, Switzerland and Austria will close as a result of this portfolio review”. In a letter to employees, its chief executive, Brian Niccol, said that the stores marked for closure were “unable to create the physical environment our customers and partners expect, or where we don’t see a path to financial performance”.

Yesterday, the US President signed an executive order declaring that his plan to sell Chinese-owned TikTok’s US operations to American and global investors, with his VP, JD Vance, confirming its value at US$ 14 billion. (TikTok was estimated to be worth US$ 30 billion to US$ 40 billion, without the algorithm as of April 2025). Trump delayed until 20 January enforcement of the law that bans the app unless its Chinese owners sell it amid efforts to extract TikTok’s US assets from the global platform, line up American and other investors, and win approval from the Chinese government. Trump said Chinese President Xi Jinping has indicated approval of the plans, and that Michael Dell, Rupert Murdoch and “probably four or five absolutely world-class investors” would be part of the deal. Vance had earlier commented that “there was some resistance on the Chinese side, but the fundamental thing that we wanted to accomplish is that we wanted to keep TikTok operating, but we also wanted to make sure that we protected Americans’ data privacy as required by law”. One question remains unanswered – will ByteDance retain control of the algorithm?

Last month, US house sales of new homes rose 20.5%, to an annual rate of 800k – and at its fastest rate since early 2022. The much-improved figures were well above market expectation and has brought life to a previous lacklustre market. It will be good news for US builders who had been left with an oversupply of newly built residences which has been reinvigorated by a combination of price reductions, (by some 39% of homebuilders), sales incentives and easing borrowing costs. However, overall housing is still much in the doldrums, bearing in mind that new homes only account for 14% of the US home sales. Mortgage rates are still at double the pandemic rates which brings into the equation the affordability issue, exacerbated by a weakening labour market – all factors that seem to point to no immediate improvement in the short-term. Q4 will show whether August new home sales were just a spike and whether the rest of the market remains moribund.

Donald Trump’s latest tariffs, coming into force on 01 October, include a 100% levy on branded or patented drug imports, unless a company is building a factory in the US, as well as a 25% import tax on all heavy-duty trucks and 50% levies on kitchen and bathroom cabinets. The President commented that the main reason for these latest levies was “the large scale ‘FLOODING’ of these products into the United States by other outside Countries”. The impact will be felt by the likes of the UK, (which exported more than US$ 6.0 billion worth of pharma products to the US last year), Ireland, Germany, Switzerland and Japan. However, it seems that exemptions will be available to those firms producing generic drugs and to those firms building factories in the US.

Data from the Commerce Department indicated that the US Q2 economy grew faster, by 0.5% to 3.8%, than previously thought, attributable to robust consumer spending and falling imports; this followed a 0.6% contraction in the previous quarter. In Q2, consumer spending rose by 2.5%, on the year, from a previous estimate of 1.6%, as companies rushed in imports to get ahead of US President Donald Trump’s tariffs, which chipped away at GDP. August retail sales rose 0.6%, on the month, beating expectations. These impressive returns are in contrast to Labor Department August figures which showed that just twenty-two thousand jobs had been created and that the unemployment figure had nudged 0.1% higher to 4.3%. However, this could have just been a blip as latest figures show that initial claims for unemployment insurance fell last week to their lowest level since July.

The OECD is set to forecast that the UK will post the highest rate of inflation of all the G7 advanced economies – at 3.5% this year, driven by higher food costs; the 2026 forecast comes in at 2.7%. However, it deemed to increase its forecast slightly for UK growth this year to 1.4%, but the economy is still expected to slow, to 1.0%, next year. This is probably news that will disturb the thoughts of Chancellor Rachel Reeves ahead of this week’s Party conference and the upcoming November budget where she will have to pull more than a few rabbits out of her hat, as she still hopes to stick to her own rules of government. This will restrict her thinking to a combination of higher taxes, (maybe as high as US$ 40.0 billion), and/or lower public spending. How did she Mess It Up?

There Are More Questions Than Answers!                            05 September 2025

Despite recent mumblings by some doomsayers that the Dubai property sector was heading for a correction of some 15%, actual figures, from the Dubai Land Department, have proved otherwise. Eight-month YTD data to August show that the record-breaking run continues unabated, with both transaction volumes and actual values up by 21.5% to 112.6k and by 33.7% to US$ 120.22 billion; the value figure already accounts for 84% of the twelve=month total for 2024. August monthly results show sales of US$ 13.80 billion – a major improvement on August figures of the past when in August 2020, sales came to just US$ 1.2 million which rose by to US$ 6.62 billion in 2022. The five leading locations, with the highest sales, accounting for 19.36%, (US$ 23.68 billion) of the total were:

Business Bay                                             US$ 6.60 billion

Me’aisem Second                                    US$ 4.83 billion

Al Yalayis 1                                               US$ 4.35 billion

Jumeirah Village Circle                       US$ 4.15 billion

Airport City                                               US$ 3.75 billion

Total transactions for both residential and commercial properties have jumped by 21.5% to 137.1k deals, whilst overall real estate activity, including mortgages and grants, was 24.2% higher on the year at US$ 162.12 billion, across over 177k transactions. Mortgage activity nudged 3.2% higher, to US$ 32.70 billion, with property grants at US$ 9.11 billion. 

CBRE’s UAE Real Estate Market Review Q2 2025, reaffirms that the state of Dubai realty continues its robust position, backed up by the same four drivers – positive foreign investment, an uptick in oil production, a buoyant economy and an improved growth outlook. Its residential, office and industrial sectors continue in high mode. Dubai Land Department statistics show that it took sixty-two days this year, 04 March, to reach property sales of US$ 272.48 million, (AED 100.0 billion); this landmark was reached on 22 March last year and on 11 April a year earlier. Dubai’s property sales grew by 40% in H1 to US$ 89.00 billion, This upward trajectory continued through until the end of August, with that month’s property sales posting US$ 13.9 billion – 7.9% higher on the year – and transactions 15% higher at 18.68k; apartment sales accounted for 59.1%, (US$ 8.23 billion), of the total August balance.

The Dubai real estate market recorded property sales worth US$ 13.92 billion in August, a 7.9% increase on the same month last year, with the total number of transactions rising 15.4%, on the year to 18.7k. Over the past five years, August returns have been:

2020       US$ 1.28 billion                     2.5k transactions                  US$ 225 per sq ft

2021       US$ 4.09 billion                     5.8k transactions                  US$ 275 per sq ft                

2022       US$ 6.38 billion                     9.4k transactions                  US$ 311 per sq ft                

2023       US$ 9.15 billion                     11.9k transactions               US$ 384 per sq ft

2024       US$ 11.92 billion                  16.2k transactions               US$ 407 per sq ft

fäm Properties posted that apartment sales were worth US$ 8.23 billion, climbed 29.2% in volume to 15.9k, compared to August 2024, with commercial sales  20.4% higher at U$ 327 million and a 7.4% hike in volume involving three hundred and ninety-two plots. Villa sales, worth US$ 2.97 billion, were 38.1% down in volume, on the year, to 1.94k; the average property price per sq ft jumped by 15.2% to US$ 469. The overall number of property deals was the third highest this year following 20.32k in July and 18.69k in May. Firas Al Msaddi, CEO of fäm Properties, noted that “the city’s sustained growth is cementing its position as a leading destination for property investment, drawing increasing international attention while domestic and regional demand stays strong”.

This week saw a record sale on Palm Jumeirah making it the most expensive secondary villa sold on the island this year. A Signature Villa garnered US$ 44 million, with a US$ 4k per sq ft price. The 10.9k sq ft residence featured six expansive bedroom suites, multiple living and entertainment spaces, a pool deck and refined interiors.  There have been higher sales recorded this year, with the three highest being three villas – the Emirates Hills villa, The Marble Palace, sold for US$ 116 million, Jumeirah Bay Island – US$ 90 million, and Palm Jumeirah – US$ 82 million. There is no doubt that Dubai’s ultra luxury real estate sector is booming for a myriad of reasons including:

• influx of high-net-worth individuals relocating to the UAE
• strong demand for beachfront and branded residences
• limited supply of ultra-prime homes on key islands

but there will be some watching whether this will continue at such a pace going into Q4.

It seems that Burj Khalifa’s record of being the tallest building in the world, at eight hundred and twenty-eight mt, will come to an end, with Saudi Arabia planning to build two higher skyscrapers – the US$ five billion Riyadh’s Rise Tower, at an astonishing two km, and Jeddah Tower, due to surpass one km, will be completed by 2028. Also, a wild bet would be the upcoming Burj Azizi, in Dubai, scheduled to be completed by 2028; it was supposedly set at seven hundred and twenty-five mt but it could surprise the market if its height topped one km.

The Dubai Rental Disputes Centre, established in 2013, has had a busy Q2 with finalising four hundred and forty-three reconciliation agreements, worth some US$ 54 million On a monthly basis, from April to June, there were one hundred and forty-four, one hundred and ninety-one and one hundred eight, with settlements of US$ 12 million, US$ 7 million and US$ 35 million.

Judge Abdulqader Mousa Mohammed, Chairman of RDC, said “these achievements prove our unwavering commitment to enhancing judicial efficiency and promoting friendly colony mechanisms that deliver justice and uphold the rights of all parties involved. Guided by the vision of Dubai’s leadership, we aim to foster a safe and attractive property market for both investors and residents, while offering innovative solutions that reinforce stability and balance the interests of landlords and tenants alike.”

Dubai continues to enhance its reputation as a premier global destination for events and business tourism. Over the next four months, there will be one hundred and thirty-five exhibitions, conferences, and industry-related events, covering a diverse spectrum from technology, sustainability, and healthcare to food and beverage, energy, construction, transport, finance, and education.

Dubai Airports have announced that its “Red Carpet” corridor has been officially installed to fast-track passport control procedures. Using AI and biometrics, it is the first-of-its-kind in the world, which will see the process seamless and, notwithstanding special cases, will be completed without any stops or documents being presented; this ‘corridor’ will be able to deal with ten passengers which will take between six and fourteen seconds. Such initiatives will ensure that the world’s busiest airport for international flights will maintain its position and further enhance its global leadership in smart travel.

Issued under Binghatti’s US$ 1.5 billion Trust Certificate Issuance Programme, the Dubai-based developer listed its second five-year US$ 500 million Sukuk by Binghatti Holding on Nasdaq Duba, priced at a profit rate of 8.125%; it was oversubscribed five times. The sukuk is also listed on the London Stock Exchange.: With this listing, the bourse’s total Sukuk listings total US$ 98.6 billion, across one hundred and eight listings, confirming its position as one of the world’s leading venues for Sukuk.

The UAE Minister of Foreign Trade, Dr Thani bin Ahmed Al Zeyoudi, was in India this week to review the achievements of the UAE-India Comprehensive Economic Partnership Agreement, which came into force in 2022; he discussed on expanding opportunities for sectors that can further benefit from its market access provisions. He noted that “in the first half of 2025, our bilateral non-oil trade reached US$ 37.6 billion, a 33.9% rise, compared to the same period last year. This is a significant step towards the ambitious targets we set in 2022. It is vital that we continue to leverage our complementary strengths and deliver broad-based opportunities for our private sectors”.

With the Indian rupee falling to a record low, at 88.3075 to the greenback, and 24.03 to the AED, there has been a surge in the number of remittances from expats cashing in on the news; for example, Ansari Exchange has noted a 15% in transfers to India. Some experts see further turbulence in the forex market, now that Trump tariffs have been levied at 50% for the world’s fourth-largest economy; other factors such as fiscal uncertainty, trade headwinds and portfolio outflows. It is expected that it is still too early for the Reserve Bank of India to intervene as a falling rupee makes Indian exports cheaper. Its recent economic news is more than acceptable – in Q2, it grew 7.8% on the year, and 0.4% on the quarter, but from now on, it is certain to head south. Remittances from the Gulf collectively account for more than 30% of India’s global inflows, as the World Bank estimates that India received a record US$ 125 billion in remittances in 2024.

InterNations’ Expat Insider 2025 survey found that 18.0% of expats expressed a desire to stay in the UAE permanently, with a further 39% still undecided about their long-term plans. Some of the reasons given  were the UAE’s high quality of life, safety, security, and ease of settling. The survey, encompassing some one hundred and ninety nations, placed the UAE seventh in the list of best countries in which to live.  The survey noted that the three main motivations for relocating here were job opportunities, international recruitment, and the pursuit of a better quality of life, with the top three industries employing expats being finance, hospitality, and construction. The country was ranked the best country globally for expatriate essentials – which include housing, digital infrastructure, and administrative services – and second best for overall quality of life, along with being fourth globally for safety and security, and sixth for leisure options. Globally, the top ten best countries for expats in 2025 are: Panama, Colombia, Mexico, Thailand, Vietnam, China, UAE, Indonesia, Spain, and Malaysia and at the other end of the spectrum were Kuwait, Türkiye, South Korea, Finland, Germany, the UK, Canada, Norway, Sweden and Italy.

New guidelines, issued by the Dubai Corporation for Consumer Protection and Fair Trade, aim to ensure that online food delivery platforms eliminate hidden fees and improve transparency, to protect consumers and raise industry standards. It requires online food delivery companies to clearly break down all delivery and service charges, as well as forbidding “hidden” fees. Its publication was to ensure online food delivery companies remain transparent and fair in their platforms, maintain high business standards, and attract further investment in the online food delivery sector. The general transparency requirements are as follows:

• food delivery platforms must use plain, clear and easily understood language
• platforms must clearly display all disclosures that are easily noticeable
• disclosures must be presented equally, no matter the platform versions (web, mobile apps, tablets) and operating systems (iOS, Android)
• information cannot be hidden or left out, which can affect the customer’s choices

UK media is reporting that dnata is looking at divesting four of its UK-based leisure businesses, including:

Netflights                                 sells tailor-made holidays into the travel trade         

Travel Republic                     one of UK’s leading online travel agents

Gold Medal                              offers a range of budget flights, package holidays and car hire

Travel Republic                     offers premium package holidays

Collectively, the four businesses account for transactions worth hundreds of millions of dollars annually. A statement from a dnata Travel Group spokesperson commented that “dnata Travel Group has started a process to explore strategic options for four UK-based leisure brands.     .    .  The move is part of a broader strategic effort to align the group’s portfolio with its long-term business priorities and evolving market dynamics. No decisions have been made regarding the future ownership structure of the businesses”

There is bound to be a last-minute rush for many Dubai-based companies, with a 31 December reporting period, with press reports that the last-minute dash to prepare their tax returns, by 30 September, who are getting hit with significant fees hikes from auditors taking on these projects. Because this will be many companies’ first tax return, there will be increased reliance on additional help from auditors and tax consultants and there is an obvious imbalance between supply and demand which will result in an inevitable fee hike. According to the FTA, businesses must pay the corporate tax within a period not exceeding nine months from the end of the Tax Period for each registrant. There is a US$ 2.7k penalty for non-compliance.

On 01 August 2015, the federal government liberalised fuel prices so that they could be aligned with market rates until the onset of the pandemic which saw prices frozen by the Fuel Price Committee, in 2020. The controls were removed in March 2021 to reflect the movement of the market once again. The approved fuel prices by the Ministry of Energy are determined every month, according to the average global price of oil, whether up or down, after adding the operating costs of distribution companies. After two months of almost unchanged prices, September saw marginal monthly increases for petrol whilst diesel prices headed 5.6% higher. The breakdown of fuel prices for a litre for September is as follows:

Super 98     US$ 0.736 from US$ 0.736     in Sep       flat    3.1% YTD US$ 0.711     

Special 95   US$ 0.703 from US$ 0.703      in Sep      flat    2.8% YTD US$ 0.681        

E-plus 91     US$ 0.684 from US$ 0.684      in Sep      flat    2.9% YTD US$ 0.662

Diesel           US$ 0.717 from US$ 0.725      in Sep    down   0.7% YTD US$ 0.730

Majid Al Futtaim released H1 figures showing a 6.3% downturn in net profit at US$ 409 million, and increases in revenue and EBITDA – by 3.0% to US$ 4.71 billion and by 9.0% to US$ 627 million. The MAF Group, currently on a US$ 1.36 billion investment at its flagship Mall of the Emirates, had a US$ 300 million in free cash flow and had reduced its net debt to US$ 3.65 billion, which came through ‘effective capital management and allocation’. At the end of 30 June, total assets were valued at US$ 19.18 billion, with a net debt-to-equity improving by 38% on the year.

Following Board approval, Tecom Group has approved capex of US$ 436 million to acquire one hundred and thirty-eight land plots, spanning thirty-three million sq ft, from Dubai Holding Asset Management. This purchase, raising the Group’s land portfolio to over two hundred and nine million sq ft, will see more manufacturing and logistics companies beginning operations in Dubai Industrial City; this location is currently operating at an occupancy level of 99%. Abdulla Belhoul, Chief Executive Officer of Tecom Group PJSC commented that “this strategic acquisition reaffirms Dubai Industrial City’s significant role in advancing the country’s manufacturing sector and serving growing demand from existing and new customers”. This latest expansion, engineered by the Group’s subsidiary, Dubai Industrial City LLC, follows Tecom Group’s acquisition of 13.9 million sq ft of land in Dubai Industrial City last year, which has been fully leased out to leading customers across six vital sectors served by the district, such as F&B, base metals and transport. H1 financials saw 21% and 22% rises in the Group’s revenue and net profit to US$ 381 million and US$ 201 million.

The DFM opened the week, on Monday 01 September on 6,064 points, and having shed one hundred and forty-two points (2.3%), the previous four weeks, fell seventy-five points (1.2%), to close the shortened trading week, (in observance of the Prophet Muhammad’s (PBUH) birthday), on 5,989 points, by Thursday 04 September 2025. Emaar Properties, US$ 0.08 lower the previous week, shed US$ 0.01 to close on US$ 3.91 by the end of the week. DEWA, Emirates NBD, DIB and DFM started the previous week on US$ 0.75, US$ 6.88, US$ 2.63 and US$ 0.46 and closed on US$ 0.75, US$ 6.80, US$ 2.57 and US$ 0.45. On 04 September, trading was at one hundred and thirty-eight million shares, with a value of US$ one hundred and twenty-two million dollars, compared to fifty-eight million shares, with a value of US$ two hundred and sixty-three million dollars on 29 August 2025.

The bourse had opened the year on 4,063 points and, having closed on 31 August at 6,064, was 2,001 points (49.2%) higher YTD. Emaar had started the year with a 01 January 2025 opening figure of US$ 2.16, and had gained US$ 1.76, to close on 31 August at US$ 3.92. Four other bellwether stocks, DEWA, Emirates NBD, DIB and DFM started 2025 on US$  0.67, US$ 4.70, US$ 1.56 and US$ 0.38 and closed August 2025 at US$ 0.75, US$ 6.88, US$ 2.63 and US$ 0.46.  

By 05 September 2025, Brent, US$ 3.62 higher (5.6%) the previous fortnight, shed US$ 3.05 (4.5%) to close on US$ 65.13. Gold, US$ 17 (5.0%) higher the previous week, gained US$ 156 (4.7%), to end the week’s trading at US$ 3,654 on 05 September.

Brent started the year on US$ 74.81 and shed US$ 5.60 (7.5%), to close 31 August 2025 on US$ 69.21. Gold started the year trading at US$ 2,624, and by the end of August, the yellow metal had gained US$ 679 (27.4%) and was trading at US$ 3,343.

Strong cargo and passenger numbers were recorded in July. IATA showed that total demand, measured in cargo tonne-kilometres, rose by 5.5%, on the year (6.0% for international operations), with capacity 3.9% higher. Most trade lanes posted significant growth, with the main exception being Asia–North America, where demand was down 1.0%, driven by the expiry of the US de minimis exemptions on small shipments. This fall in transactions has been partly offset by shippers frontloading goods in advance of rising tariffs for imports to the US. August returns will give a clearer indication on the tariff impact. Willie Walsh, IATA’s Director General, noted that ‘’while much attention is rightly being focused on developments in markets connected to the US, it is important to keep a broad perspective on the global network. A fifth of air cargo travels on the Europe–Asia trade lane, which marked twenty-nine months of consecutive expansion with 13.5% year-on-year growth in July”. Two factors that had an impact on these returns were the global goods trade growing 3.1% on the year and the
jet fuel price was 9.1% lower – having been below 2024 levels so far this year. ME carriers saw a 2.6% year-on-year increase in demand for air cargo in July, as capacity increased by 5.9% year-on-year.

July total global passenger demand was 4.0% higher on the year, with total capacity, measured in available seat kilometres, was up 4.4% year-on-year, and load factor  0.4% lower at 85.5%, compared to July 2024. When comparing international and domestic demand figures, the former is well ahead with an increase of 5.3%, capacity – 5.8% and load factor – 85.6%, compared to 1.9%, 2.4% and 85.2%. (“RPK” stands for Revenue Passenger Kilometres, a key metric in the aviation industry that measures the volume of passenger traffic by multiplying the number of paying passengers by the distance. they travelled). International RPK growth reached 5.3% in July year-on-year, but load factors fell in all regions except Africa. Domestic RPK rose 1.9% over July 2024. and load factor fell by 0.4 ppt to 85.2% on the back of a 2.4% capacity expansion. There was a 5.3% hike for ME carriers, with capacity up 5.6%, whilst the load factor was 0.2% lower at 84.1%.

His dismissal adds him to a growing list of top executives forced to resign following investigations into their relationships with colleagues, including BP’s former CEO Bernard Looney, Andy Byron, the CEO of Astronomer, and McDonald’s CEO Steve Easterbrook. Its CEO, Laurent Freixe, has been dismissed after an investigation into an undisclosed “romantic relationship”; it is reported that the lady involved was promoted. Freixe, who spent thirty-nine years with Nestle, will receive no exit package. The embattled Swiss food giant, struggling from the Trump tariffs, years of underperformance, slowing sales and worsening investor confidence, needs his replacement, Nespresso chief Philipp Navratil, to hit the ground running.  He will have to lift the top line numbers, reduce costs, cut payroll and focus more on emerging markets. Earlier in the year, Paul Bulcke announced he would step down next year. Over the last five years, the Swiss behemoth has seen its share value cut by more than a third and during the twelve months, when Freixe was in charge, Nestle’s market cap slipped 17%.

It appears that the pension trust of German automaker Mercedes-Benz has sold its 3.8% stake in Japan’s Nissan Motor for US$ 325 million. They were sold at a 5.98% discount. The struggling Japanese carmaker, whose share value fell 6.0% on the news, had booked a US$ 535 million loss in Q2. Investors are concerned that Nissan is failing in its strategy to turn the company’s fortune for the better and needs to improve sales in its key markets of the US and China.

A Washington US District Judge has decided that Google will not have to divest its Chrome browser, whilst ordering the tech giant to share data with rivals to open up competition in online search. It also allows Google to keep making lucrative payments to Apple that antitrust enforcers said froze out search rivals.  This rare court victory for the industry saw Google parent Alphabet’s shares up 7.2% in extended trading on Tuesday, whilst Apple shares were 3.0% to the good. Judge Amit Mehta also ruled Google could keep its Android operating system, which together with Chrome help drive Google’s market-dominating online advertising business. Last year, the same judge ruled that Google held an illegal monopoly in online search and related advertising.  

A decade after consolidating, Kraft Heinz is to split into two separate companies, expected to be completed in H2 2026, which will then see:

Global Taste Elevation Co – managing high-demand, flagship brands like Heinz ketchup, Kraft Mac & Cheese, and Philadelphia cream cheese

North American Grocery Co – overseeing longer-standing but slower-growing brands such as Oscar Mayer, Maxwell House coffee, Kraft Singles, and Lunchables

The brands themselves are expected to remain available in stores worldwide. Moody’s has placed Kraft Heinz’s credit rating under review, assessing how the split might impact the companies’ debt and financial stability. The current company employs 36k but there will be job losses during the transition. Kraft Heinz is not the only Group to have carried out divestments – others include Kellogg, Mars and Unilever.

Reports indicate that the McLaren Group’s owners – Bahrain’s SWF, Mumtalakat, and Abu Dhabi-based automotive investment group CYVN Holdings – are to acquire the remaining 30% stake, they do not own. The minority stakeholders include MSP Sports Capital, Ares Investment Management, UBS O’Connor and a number of other small shareholders. This would value the McLaren Formula One team at over US$ 4.06 billion in a deal that will reap a welcome return for the investors, including MSP Sports Capital, who bought an initial 15% stake in McLaren Racing, valuing a post-money valuation of US$ 758 million, in 2020, which helped bail out its parent company during the pandemic. There is no doubt that McLaren Racing has recovered well from the dismal days of five years ago and only last weekend McLaren driver Oscar Piastri won the Dutch Grand Prix at Zandvoort, giving the race team favourite status to win this year’s F1 constructors’ championship. (“RPK” stands for Revenue Passenger Kilometres, a key metric in the aviation industry that measures the volume of passenger traffic by multiplying the number of paying passengers by the distance they travelled).

China’s August purchasing managers’ index for manufacturing sector nudged 0.1 higher to 49.4. Manufacturing production has picked up pace rising 0.3 to 50.8 – its fourth consecutive month of expansion. On the demand side, the sub-index for new orders was up 0.1, to 49.5, up from 49.4, but was still in negative territory. Some key sectors moved northwards in positive territory – high-tech manufacturing, at 51.9, and equipment manufacturing at 50.5. A more positive market outlook was indicated by the production and business activity expectations 1.1 higher to 53.7.

In August, the Republic of Korea’s exports grew 1.3%, on the year, attributable to strong demand for semiconductors, and for the third consecutive month, outbound shipments were  valued at US$ 58.4 billion. With imports decreasing 4.0%, on the year, to US$ 51.89 billion, there was a trade surplus of US$ 6.51 billion.

The number of July foreign tourists arriving in Republic of Korea jumped 23% on the year, with over 1.73 million visitors – and up 119.7%, compared to the pre-pandemic tally in July 2019. 52.0% of the visitors originated from China and Japan, with totals of 34.7% and 17.3%. The number of H1 foreign visitors between January and July rose 15.9% on the year to 10.56 million. The number of South Koreans travelling abroad during the first seven months of this year reached seventeen million, representing 96.3% of the figure recorded during the same period in 2019.

Yesterday, Donald Trump signed an order to implement lower tariffs on Japanese automobile  imports, (down 12.5% to 15.0%), and other products that were announced in July. The deal will ensure that Japan will always receive the lowest tariff rate on chips and pharmaceuticals of all the pacts negotiated by Washington. It also confirms an agreement for US$ 550 billion of Japanese investment in US projects, there would be no tariffs on commercial planes and parts and that the 15% levy on Japanese imports agreed in July would not be stacked on top of those already subject to higher tariffs, such as beef. However, items previously subject to tariffs below 15% would be adjusted to 15%.

On the other side of the coin, Japan will be “working toward an expedited implementation of a 75% increase of United States rice procurements… and purchases of United States agricultural goods, including corn, soybeans, fertiliser, bioethanol (including for sustainable aviation fuel)” and other US products totalling US$ 8 billion per year. It will also acquire one hundred Boeing planes and push defence spending 21.4% higher to an annual US$ 17.0 billion.

Rival exporter South Korea is still waiting on an executive order covering a similar trade agreement with the US, including a 15% tariff on US imports from automakers like Hyundai and Kia, down from 25%. 

The Japanese government confirmed its previous commitment to invest US$ 550 billion in the US in projects that will be selected by the US government; the financing will come in the form of equity, loans and guarantees from Japan’s government-owned banks. Last year, bilateral trade came in at around US$ 230 billion, with Japan’s trade surplus standing at US$ 70 billion.

Since the start of sanctions imposed by western powers on Russia, because of its role in the war with Ukraine, that country has had various agreements in place to supply natural gas to China. Now a deal to supply more natural gas to China has been signed but pricing has yet to be agreed for one of the world’s most expensive gas projects, Power of Siberia 2 – a sign that China’s President Xi Jinping could be holding out for bigger discounts.  It is estimated that the new pipeline is capable of delivering fifty billion cu mt per year to China, through Mongolia from the Arctic gas fields of Yamal. Alexei Miller, the CEO of Gazprom, noted that “today, a legally binding memorandum was signed on the construction of the Power of Siberia 2 gas pipeline and the Soyuz Vostok transit gas pipeline through Mongolia”. Despite the relevant leaders being in Beijing earlier in the week, it is still not known who will build or finance the project. It is estimated that China is Russia’s biggest trading partner, the biggest purchaser of Russian crude and Russian gas, the second-biggest purchaser of Russian coal and the third-biggest purchaser of Russian LNG.

To try and lessen the impact that Trump 50% tariffs will have on the Indian economy, Finance Minister Nirmala Sitharaman has announced tax cuts on hundreds of consumer items ranging from soaps to small cars to spur domestic demand. The Indian GST panel has approved lowering taxes, on the so-called common man items, and simplifying their structure, (from four rates of between 12% and 28% to two of 5% and 18%). Examples include toothpaste and shampoo dropping from 18% to 5%, small cars, air conditioners, and televisions from 28% to 18% and individual life insurance policies and health insurance being exempt. A higher 40% rate has been levied on “super luxury” and “sin” goods such as cigarettes, cars with engine capacity exceeding 1500 cc, and carbonated beverages,

Late last week, in a 7-4 decision, the US Court of Appeals for the Federal Circuit ruled that most of Trump tariffs are illegal, but the ruling is stayed until 14 October. The latest development will inevitably result in the case going to the nine-man Supreme Court, which has six Republican appointees, including thee selected by Trump himself. However, it is true that recent history has seen that court would have to decide whether the tariffs are not another example of overreach. The case is now almost certain to head to the Supreme Court, which has in recent years taken a sceptical view toward presidents who try to implement sweeping new policies that are not directly authorised by Congress. Joe Biden did try unsuccessfully to limit greenhouse gas emissions by power plants and to forgive student loan debt for millions of Americans. The court could of course decide that his actions were backed by the law or within presidential authority. In the current case, the court ruled that the tariffs were “invalid as contrary to law”, and that setting levies were  “a core Congressional power”, with Trump having argued that they were valid, citing that a trade imbalance was harmful to US national security, under the International Emergency Economic Powers Act, which gives the President the power to act against “unusual and extraordinary” threats.

According to Nationwide, August year-on-year house prices dipped 0.3% on the month to 2.1%, with the average house valued at US$ 366k, as house prices slipped by 0.1% on the month. UK’s largest building society noted that, “the relatively subdued pace of house price growth is perhaps understandable, given that affordability remains stretched relative to long-term norms. House prices are still high compared to household incomes, making raising a deposit challenging for prospective buyers, especially given the intense cost of living pressures in recent years.” Meanwhile, the Halifax posted that August UK house prices headed north for the third consecutive month to a new record high – by 0.3% on the month, 2.2% on the year – to US$ 403k. It noted that the annual rate had dipped by 0.3% to 2.2% from July’s 2.5%. The country’s housing market had shown a marked rise in prices in Q1, (when buyers sought to take advantage of the final months of a tax break on property purchases), but since then prices have eased. Take your pick!

Data from property search website Rightmove indicates that UK average housing rents have jumped 2.9%, on the year, (and 46.0% from the beginning of the pandemic), to US$ 2.12k per calendar month. The sector has been hit by the whammy of a shortage of available homes, which could be exacerbated by looming changes to taxes and laws for landlords. 

Another body blow for the UK Chancellor, with news that yields on thirty-year debt rose by 0.06% to top 5.70% – its highest level since 1998!  This means that the UK government will have to pay a premium on any new debt it takes on board, at a time when Rachel Reeves is struggling to pull in the public finances but now having to pay higher interest charges. The initial reaction was the sell off of sterling, seeing its worst day in three months. The latest gilt auction attracted record investor interest for a ten-year bond, with the government having to pay a premium of 0.082% over the existing benchmark to raise US$ 18.83 billion in debt. If the Treasury does not soon come up with a workable scheme to control spending in an environment of a weak sterling and rising borrowing costs and a future of certain tax increase at the November budget which would have a negative impact on economic growth.

On Tuesday, sterling managed to shed 2.17% to US$ 1.336 but it is still well above its level of US$ 1.31 posted in early September 2024, and higher than the vast majority of the past year. The fall was replicated with the euro too. The government’s official forecaster, the Office for Budget Responsibility (OBR), takes borrowing costs into account when seeing whether the Chancellor is meeting her self-imposed fiscal rules. Since the start of her ‘reign’, she set out two rules on government borrowing, which she has repeatedly said are “non-negotiable”:

• day-to-day government costs will be paid for by tax income, rather than borrowing by 2029-30
• to get debt falling as a share of national income by the end of this parliament in 2029-30

It is estimated that she is under pressure because her financial buffer to stick to these rules is a relatively meagre US$ 13.45 billion, and she may have to raise taxes in her long-awaited November budget. The fact that the Chancellor Reeves will have to raise up to US$ 38.0 billion in the Budget to avoid breaking her fiscal rules, and to maintain her buffer. That being the case, it is all but inevitable that she will be knocking on the doors of banks and households, at a time when investors are running scared that the government is losing its grip on the public finances. Having promised not to raise taxes, such as income tax, VAT or national insurance on “working people”, she is obviously limited in deciding what to tax. Three possibilities are banks, gambling and freezing income tax thresholds – the latter works that over time, with wages rising, some taxpayers will be dragged into a higher tax rate boosting public revenue. There had also been reports that Reeves is considering reforming property taxes, but recent events, involving the Deputy Prime Minister and Minister of Housing, may see her leaving that sector well alone. She will also be relieved to see that the Deputy Prime Minister has resigned because she may have been in line for a letter from Kier Starmer.

Following the Labour Party’s general election success, Angela Rayner was appointed as Deputy Prime Minister of the UK and Secretary State for Housing, Communities and Local Government. In March 2024, there was an allegation, by a Tory grandee, that Rayner had misled tax officials in the sale of her council house in 2015, with Rayner saying that she had done nothing wrong, and declined to publish her tax records or tax advice. Ultimately, HMRC confirmed that she was in the clear. In June 2024, Labour life peer, Baron Alli had given Rayner gifts worth US$ 5k of clothes – she later announced she would no longer accept clothes from donors. Later in the year, it was reported that she faced an investigation by the parliamentary standards commissioner over the use of Baron Alli’s US$ 2.5 million New York apartment. Late last month, The Daily Telegraph had reported that she avoided nearly US$ 54k in stamp duty when buying a second home after telling tax authorities it was her main home.

In August 2025, it was reported that Rayner had removed her name from the deeds of her constituency residence in Ashton-under-Lyne weeks before purchasing her US$ 1.07 million seafront flat in Hove in May 2025, reportedly reducing her stamp duty liability on the purchase by US$ 54k. There are also reports that she split the ownership of her US$ 870k constituency home with a trust administered by law firm Shoosmiths. However, for Council Tax purposes the Ashton-under-Lyne home continued to be her primary residence meaning the Hove flat was the only property she owned. However, Ms Rayner also previously indicated the Greater Manchester home remained her primary residence, according to the Daily Telegraph, saving some US$ 2.7k in council tax on her grace and favour home in central London at Admiralty House.

At the beginning of the week, the Rayner saga hit newspaper headlines, with reports that she had determined that both her private homes, (a family residence in Ashton under Lyne and an apartment in Hove acquired last May), qualified for the status, but for different levies. It is reported that she had advised Brighton & Hove council that her new flat was her second property for council tax purposes.  On Monday, a Downing Street spokesman commented that there was a court order which restricted her from providing further information over her tax affairs “which she’s urgently working on rectifying in the interests of public transparency”, but rejected that the newly appointed Darren Jones, asnew ministerial role of chief secretary to the prime minister, would be a de facto deputy prime minister.

At her behest, the court order was lifted on Tuesday and on Wednesday she was interviewed by Sky News’ Beth Rigby where she admitted that she had not paid enough tax on her home in Hove but had followed legal advice, saying “I acknowledge that due to my reliance on advice from lawyers which did not properly take account of these provisions, I did not pay the appropriate stamp duty at the time of the purchase. I deeply regret the error that has been made. I am committed to resolving this matter fully and providing the transparency that public service demands.” After that recording, Verrico & Associates confirmed that “we acted for Ms Rayner when she purchased the flat in Hove. We did not and never have given tax or trust advice. It’s something we always refer our clients to an accountant or tax expert for. The stamp duty for the Hove flat was calculated using HMRC’s own online calculator, based on the figures and the information provided by Ms Rayner. That’s what we used, and it told us we had to pay GBP 30k, (US$ 40k), based on the information provided to us. We believe that we did everything correctly and in good faith. Everything was exactly as it should be.”

Rayner said she had contacted HMRC to work out the tax she needed to pay and referred herself for investigation by the PM’s standards adviser. Her admission of an extra tax liability was damaging for the deputy prime minister, who was prominent in attacking the conduct of Tory ministers before Labour took office last year.

By then, it was for Sir Laurie Magnus, the adviser on ministerial standards, to “establish all the facts” about whether she was given incorrect advice, as she says, if she acted properly or not, and if there was a case for her to answer. He had to assess whether Ms Rayner had broken ministerial rules, which place an “overarching duty on ministers to comply with the law”, “behave in a way that upholds the highest standards of propriety”, and “be as open as possible” with the public. The end came quickly, and this afternoon in his letter to the prime minister, Sir Laurie said it was “deeply regrettable” that Rayner had not sought the correct tax advice, adding that if she had it would be “likely” that the higher levy would have been paid. He concluded that “the responsibility of any taxpayer for reporting their tax returns and settling their liabilities rests ultimately on themselves alone.”  It will not put this issue to bed and just as there were so many questions at the beginning of the week, by today, There Are More Questions Than Answers!

When Will It Ever End?                                                              22 August 2025        

Data from Betterhomes show that the total number of July sales transactions surged by 20.5%, to 18.82k, with a total value, 10.6% higher, of US$ 13.98 billion; the July average price per sq ft climbed 3.3% on the month, to US$ 516. Average sale prices were at US$ 542k for apartments, US$ 886k for townhouses, and US$ 2.64 million for villas. The agency posted strong activity in off-plan and secondary sales as well as robust tenant demand in key communities – off plan sales were 3% higher on the month at 65%. The top-performing villa communities, by transaction volume, were The Wilds, Grand Polo Club & Resort, and The Oasis, while Jumeirah Village Circle, Business Bay, and Damac Riverside led the apartment segment. Betterhomes’ Off-Plan Sales Manager, Chirine El Sebai, commented that “the continued strength of Dubai’s off-plan sector shows enduring confidence in the city’s long-term growth”.

In July, the emirate’s residential market posted a 3.4% hike in rental transactions to 39.25k, with new contracts accounting for 40% of the total, compared to 37% a year earlier. The average rental price stood at US$ 19.6k for apartments, US$ 46.9k for townhouses, and US$ 69.5k for villas. The biggest rental growth for apartments and villas was Al Khail Heights, with a monthly growth of 1.5%, to an annual US$ 18.4k, and for villas, Jumeirah, with a 4.2% rental hike to US$ 135.7k. The most active villa leasing communities were Mirdif, Damac Hills 2 and Jumeirah, while Jumeirah Village Circle, Dubai Silicon Oasis, and Business Bay topped the apartment segment.

July saw 4.89k mortgage transaction volumes, 9.2% higher on the month, with many taking advantage of the lower interest rates. Property Monitor posted that there was a 2.3% monthly rise in new purchase money mortgages accounting for 45.6% of activity, with average loan amounts of US$ 490k, with the average loan-to-value ratio nudging up 0.2% to 73.7%. The consultancy does note that “price growth remains positive, and transaction volumes are on pace to break new records, yet the pace of new supply – particularly from the off-plan segment – raises questions about the market’s capacity to absorb this wave in a sustainable manner”. This concern is based on their estimate that 93k units have been launched in the first seven months of 2025, and that increase inventory sees buyer selectivity rising and that the persistence of lower loan-to-value ratios suggests that affordability pressures may start to shape demand more directly in the months ahead. Noting that the market continues to show a range of resilient lending, rising transaction volumes, robust off-plan demand and inventory supply still not meeting current demand, the short to medium term for the Dubai real estate market outlook is positive. Prices will continue their upward momentum, albeit at a slower pace.

Emirates Hills was the location for a record price – of US$ 71 million – for a single plot villa in Dubai’s ultra-prime property market. Spanning 50k sq ft, the seven-bedroom villa is located on Emirates Hills’ ‘Golden Mile’, with views over the lakes and the Address Montgomerie golf course.  It was sold by Eden Realty, who have been involved in two other mega deals in the ‘Beverly Hills of Dubai’ – both valued at around US$ 59 million.

Some eighteen months ago, the Dubai government, in a historic move, decided that designated plots and buildings owned by private investors in Sheikh Zayed Road and Al Jaddaf could be converted into freehold.  There was immediate action and a boom in freehold conversion around SZR – now it seems to be the turn of  Al Jaddaf, where there are three hundred and twenty-nine plots that could make the transition; this will allow property investors to buy their own home in the location, at prices that do not include the significant premiums that have occurred elsewhere in the emirate. Last week, Azizi Developments launched ‘Azizi David’ in Al Jaddaf, on land that was previously only open to GCC investors but now has been repurposed to being a freehold. (A week earlier, the developer had launched ‘Azizi Abraham’, in the Jebel Ali Free Zone area). Prices for one-bedroom and two-bedroom apartments start at US$ 338k and US$ 436k. Recently, Harbor Real Estate said it was working as advisor to JAD Global Real Estate Development for one of the ‘first freehold projects launched in Al Jaddaf’ as part of the Dubai initiative to repurpose plots on SZR and in Al Jaddaf.  The area already has its fair share of developments through projects such as the D1 Tower which has studios and one-bedroom units selling on the secondary market at US$ 300k and between US$ 463k and US$ 600k, depending on size and views.

Nakheel has awarded Fibrex Contracting a US$ 708 million contract for the construction of the Bay Villas project at the Dubai Islands. The project, with six hundred and thirty-six luxury units, will comprise five distinct property types. Khalid Al Malik, Chief Executive Officer of Dubai Holding Real Estate, commented that, “this development delivers on our vision of designing waterfront communities that prioritise wellbeing, luxury and privacy, all while offering residents an opportunity to enjoy the best of island living.” Nakheel is a member of Dubai Holding Real Estate.

According to Dubai Municipality’s regulations, on co-living tenants’ rights on ‘occupancy density standards’, residents in Dubai have now an individual five sq mt of co-living rental options – ‘minimum space’. Furthermore, any internal partitions or modifications, made by the landlord, need the double approval of both Dubai Civil Defence and Dubai Municipality. Those landlords that do not abide with the regulations, by trying to squeeze in more occupants, are now facing a ‘zero tolerance’ approach from the authorities.

Data from Henley & Partners indicates that nearly 10k high-net-worth individuals moved to the country, and bringing with them some US$ 63 billion of investable wealth, with the majority selecting Dubai as their base. This year, a further 7.5k HNWIs, including over two hundred centi-millionaires, and at least fifteen billionaires, are expected to make Dubai their home. It is expected that the current number of 72k resident HNWIs could jump to 108k over the next five years, and that 68% of wealthy global investors are planning to acquire homes in Dubai this year at an average intended spend of US$ 32 million.

H1 figures from the Dubai International Chamber show one hundred and forty-three new companies, including thirty-one multinational corporations – 138% higher, compared to H1 2024. Furthermore, it attracted a further one hundred and twelve SMEs, up 138% on the year. The Dubai Multi Commodities Centre reported over 1.1k new companies in H1, bringing the total number of companies to almost 26k, of which seven hundred are in its Crypto Centre, including global names like Bitcoin.com and Animoca Brands.

Almost two hundred family offices have established themselves in the Dubai International Financial Centre, over the past twelve months, bringing the total close to eight hundred; the main reason for this mainly exodus out of Europe are the tightening of regulations and higher tax regimes. Family-owned enterprises, which account for about 60% of the UAE’s GDP, are also turning to Dubai as a base for global expansion. The recently launched Dubai Centre for Family Businesses, acts as a conduit helping such entities to strengthen governance, prepare for succession, and access international capital. Dubai’s privacy, flexible structures, and favourable inheritance and ownership rules offer strong advantages to such entities, and this is probably the main reason why the country is home to 75% of all ME family offices, with assets under management projected to reach US$ 500 billion by the end of the year.

The Dubai International Financial Centre has enhanced its position as a hub for global capital and financial innovation and has seen several high-profile financial institutions either setting up shop in Dubai or expanding on their current status in the emirate.  The arrival of global wealth, in whatever form, has seen major international wealth management firms beginning to take Dubai seriously. Undoubtedly it has become a global magnet and the leading destination for the relocation of the ultra-wealthy.

There is no doubt that Dubai’s ecosystem is booming, with 2025 seeing the expanding inward movement of HNWIs, individuals, entrepreneurs, businesses and wealth. Dubai, being a regional hub, is fast becoming the choice destination for FDI and for companies looking for global growth. It has so many advantages, over its global rivals, including being a strategic connecting location, having a progressive and very much pro-business government, enjoying an enviable lifestyle and a world-class infrastructure.

GEMS Education announced that it had recruited 1.7k new teachers ahead of the new school year and that it would be pursuing a “capital-light” growth strategy, as part of its future expansion, with a focus on its new Global Schools Management division. Its group CEO, Dino Varkey,  commented that the GSM model is a key part of the group’s strategy to diversify its portfolio, without the significant capital investment required for starting from scratch, and that “it is a part of the growth strategy because, again, the thing about a school management model is it is capital-light, and as a consequence, you can potentially accelerate its growth at a faster pace”. He confirmed that the UAE is still its main focus but that “adjacent markets in the GCC are going to be important”; he confirmed that the company is actively looking at Saudi Arabia, a market that is “too important to ignore”, given the kingdom’s transformation agenda, and emphasis on high-quality education. He also added that the group is re-imagining education for a new generation.

Worrying news for some UAE-based investors is the sudden closure of the DMCC-based Seventy Ninth Group office and its website. The UK asset management firm, which first opened it Dubai office in 2023, is facing a City of London police probe on suspicion of fraud and has been placed into administration in the UK. It is reported that the company sold structured loan notes secured against UK properties, promising investors annual returns of between 15% – 18%, claiming that funds raised were used to buy distressed properties, refurbish them, and sell them for profit to generate payouts. The group suspended payouts earlier this year, citing a moratorium while it sought to restructure. It is unclear the number of investors impacted, but some accounts suggest it could exceed 3k, with more than US$ 270 million at stake. Assets, including a former hospital in Northumberland and offices in Warrington, have been put up for sale. UK police, who had arrested four individuals earlier in the year, who were then released on bail, has urged investors to file reports through its Major Incident Public Portal. UK Finance has directed banks to freeze reimbursement claims under fraud compensation schemes until the police investigation is complete, leaving victims in further limbo.

The UAE has taken a great leap, jumping twenty-seven places to rank at number sixteen in the 2025 Government Support Index, a key indicator in the International Institute for Management Development’s (IMD) World Competitiveness Yearbook. This achievement is the result of the country’s ongoing drive to strengthen fiscal efficiency and align public spending with sustainable growth goals. The Government Support Index measures the value of government support as a percentage of GDP and serves as a benchmark for the effectiveness of public resource management. The Ministry of Finance is keen to see the UAE in the top ten in next year’s table.

The Government Support Index highlights a country’s ability to stimulate economic expansion through targeted spending policies that balance immediate needs with long-term priorities. For the UAE, the result underscores the effectiveness of reforms and strategies designed to ensure public financial management is not only prudent but also agile in responding to global economic shifts. It ranked well in several indicators used to measure performance including:

Position		Category
First		Venture Capital
First		Personal Income Tax Collected
Second		Corporate Profit Tax Rate
Third		Government Budget Surplus/Deficit
Fourth		Decrease in Indirect Tax Revenues
Fourth		Reduction in Consumption Tax Rate
Fifth		Capital and Property Taxes Collected
Sixth		Public Finance
Seventh		General Government Spending
Ninth		Government Consumption Expenditure – Real Growth

YTD to 31 May, the Central Bank increased its gold reserves by 25.90% to US$ 7.88 billion. Statistics showed that demand deposits also grew, by 0.05% exceeding US$ 317.96 billion by the end of May. Of this total, US$ 243.21 billion were in local currency and US$ 74.75 billion in foreign currencies.Savings deposits rose 13.26% to US$ 97.98 billion at the end of May, including US$ 83.25 billion in local currency and US$ 14.73 billion in foreign currencies.Time deposits exceeded US$ 276.07 million, (over AED 1.0 trillion), for the first time by the end of May, including US$ 167.53 billion in local currency and US$ 108.54 billion in foreign currencies.

The value of transfers executed in the country’s banking sector through the UAE Funds Transfer System (UAEFTS) reached US$ 2.60 trillion during the first five months of this year. According to Banking Operations Statistics, issued by the Central Bank of the UAE, the value of transfers by banks and by customers amounted to US$ 1.59 trillion and US$ 1.01 trillion. Over the period, the number of cleared cheques reached around 9.6 million, over two million off which occurred in May, valued at US$3.58 billion. The value of cash withdrawals from the Central Bank, during the first five months of 2025, reached US$ 27.19 billion, while cash deposits amounted to US$ 22.86 billion.

This week the Central Bank of the UAE revoked the licence of Malik Exchange, struck its name off the Register and imposed a financial sanction of US$ 545k, pursuant to Article (14) of the Federal Decree Law No. (20) of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism and Illegal Organisations and its amendments. An investigation had found that the Exchange House had made violations and failed to comply with the Anti-Money Laundering and Combating the Financing of Terrorism and Illegal Organisations framework, and related regulations.

Meanwhile, the Central Bank has suspended YAS Takaful PJSC’s licence, pursuant to article 33(2)(k) of Federal Decree Law No. (48) of 2023 Regulating Insurance Activities, with the firm having failed to comply with the regulatory framework governing insurance companies in the UAE. It will remain liable for all rights and obligations arising from insurance contracts concluded before the suspension.

The DFM opened the week, on Monday 18 August, on 6,126 points, and having shed eighty points (1.3%), the previous fortnight, closed flat (0.0%), to close the trading week on 6,126 points, by Friday 22 August 2025. Emaar Properties, US$ 0.29 lower the previous fortnight, nudged US$ 0.01 higher to close on US$ 4.00 by the end of the week. DEWA, Emirates NBD, DIB and DFM started the previous week on US$ 0.75, US$ 7.14, US$ 2.65 and US$ 0.47 and closed on US$ 0.76, US$ 7.08, US$ 2.66 and US$ 0.46. On 22 August, trading was at two hundred and thirty million shares, with a value of US$ one hundred and twenty-three million dollars, compared to one hundred and seventy-nine million shares, with a value of US$ one hundred and forty-three million dollars on 15 August 2025.

By 22 August 2025, Brent, US$ 4.09 lower (5.8%) the previous fortnight, had gained US$ 3.05 (4.6%) to close on US$ 67.61. Gold, US$ 9 (0.3%) lower the previous week, shed US$ 8 (0.2%), to end the week’s trading at US$ 3,331 on 22 August.

Since the 16 August start of the strike, hundreds of flights have been cancelled and nearly 500k Air Canada passenger have been impacted. A tentative agreement on Tuesday, ended it, with both parties expected to finalise the deal and return to normal operations. The action, which saw 10k Air Canada workers, represented by the Canadian Union of Public Employees, was the first such strike in forty years. The dispute centred on demands for higher wages and compensation for unpaid ground duties, such as boarding and deplaning, estimated to amount to thirty-five hours of unpaid work per month per attendant. Prime Minister, Mark Carney, expressed disappointment over the failure to reach an agreement, after eight months of negotiations, but added that “it is my hope that this will ensure flight attendants are compensated fairly at all times”. It does seem that the carrier’s CEO, Michael Rousseau, is at odds with the comments, expressing his amazement at CUPE’s defiance of a Canada Industrial Relations Board order declaring the strike unlawful, stating: “at this point in time, the union’s proposals are much higher than the 40%”.  It is estimated that the strike cost the airline US$ 60 million a day, with it suspending its Q3 and full-year 2025 profit forecasts due to the strike’s impact.

In the US, Delta Air Lines and United Airlines are facing passenger lawsuits, filed by legal firm Greenbaum Olbrantz, claiming that they had been charged extra for window seats, even when not available. The lawsuits, on behalf of more than one million customers, are seeking millions of dollars in damages, claiming that the companies do not flag that the seats as windowless during the booking process, even when charging a premium for them. The complaints said some Boeing and Airbus passenger planes had seats that do not have windows because of the positioning of air conditioning ducts, wiring or other components. Both airlines describe every seat along the sides of their planes as a “window seat”, even when they know some are not next to a window. Other carriers, like American Airlines and Alaska Airlines, operate similar jets but disclose during the booking process if a seat does not include a window.

It appears that Boeing will snare a mega deal with China to supply as many as five hundred aircraft and that would be the plane maker’s first order since the 2017 days of Trump 1’s last visit to the country. The deal is contingent to the two leading trading nations agreeing to end their hostilities and cutting back their current tariffs on each other. There are other important, but lesser, points to settle including the types and volume of jet models and delivery timetables. Chinese officials are already in discussion with domestic carriers as to how many planes would be required. China’s central planners have already wrapped up a deal, still to be officially announced, with Airbus for a similar order quantity.

As noted in last week’s blog, the UK’s biggest bioethanol plant has closed operations with immediate effect from last Friday, after the Starmer administration decided against any state help and refusing to bail out Vivergo, with immediate effect; weekly losses were estimated at US$ 4.0 million. The government decided that it “would not provide value for the taxpayer or solve the long-term problems the industry faces”. The Associated British Foods’ company was badly impacted by the recent UK-US trade deal which virtually signed the company’s death warrant when tariffs were scrapped on US bioethanol imports. There was also some concern that a business owned by a FTSE 100 conglomerate, which last year made a pre-tax profit of almost US$ 2.70 billion, should be eligible for taxpayer support for one of its subsidiaries. Its MD, Ben Hackett, commented that the decision as a “flagrant act of economic self-harm that will have far-reaching consequences” and it “has forced us to cease operations and move to closure immediately”. The closure will not only see one hundred and sixty losing their job in Hull but will have “a huge impact on the thousands of livelihoods in the supply chain”, including farmers, hauliers and engineers.

There is a distinct possibility that Associated British Foods, also the owner of Kingsmill and Allinson’s bread, is considering acquiring its long-standing rival, Hovis, founded in 1890, for a reported US$ 102 million. If that were to happen, then it would create the UK’s biggest bread brand, surpassing Warburton’s, the current market leader in UK breadmaking. Demand for pre-packaged bread is declining as the likes of sourdough and ciabatta continue to take a bigger slice of the market. ABF also owns Primark, Ryvita and Twinings, and indicated that it would cut costs to make the two currently loss-making businesses profitable.

No doubt that 2024 was a good trading year for Shein Distribution UK Ltd, with impressive revenue and pre-tax profit, both surging by 32.3% to US$ 2.78 billion and by 57.0% to US$ 52 million. Last year, the Chinese fast-fashion giant opened two offices – in London and Manchester – launched a pop-up shop in Liverpool and ended the year with a Christmas bus tour across twelve UK cities. Founded in China, but now headquartered in Singapore, Shein focuses on keeping prices low, using promotions and rewards to encourage shoppers to keep buying. Originally a fashion outlet, it has since branched out into selling a wide range of other products from toys and games to kitchenware. The UK operation, with ninety-one employees, primarily provides expertise for the UK market Like its competitors, Shein is acutely aware of “higher inflation and increased cost of living may affect customer purchasing habits”., and that it may be impacted by import taxes after the UK government announced a review of the exemption for packages valued at less than US$ 183, (GBP 135). In June 2024, Shein had filed initial paperwork taking it a step closer to listing on the London Stock Exchange. However, it has faced global criticism over its working conditions in its Chinese factories, along with the environmental impact of its business model.

WH Smith, which last year divested its iconic and historic, two hundred- and three-year-old, high-street business, to focus more on its more expanding travel arm sector, has warned of a problem with its profits. It appears that it may have overstated them by over US$ 40 million, mainly to an accelerated recognition of supplier income, resulting in full-year headline profit before tax and non-underlying items to be some 33.7% lower on the at US$ 148 million. On the news of the accounting error, its share value slumped 41.7%, whilst its board requested Deloitte to undertake an independent and comprehensive review.

Marks & Spencer has announced that it is to construct a mega automated warehouse in Northamptonshire in order to double the size of its fast-expanding food business. The retailer announced that it would invest US$ 458 million in a 1.3 million sq ft food distribution facility. It estimates that the construction will create 2k jobs, whilst a further 1k permanent roles will be required once operations start, slated for 2029.

There are indications that metals tycoon, and owner of Liberty Steel’s Speciality Steel UK (SSUK) arm, Sanjeev Gupta is considering a so-called connected pre-pack administration of his steel plant. This would involve a highly contentious arrangement to rescue his remaining UK steel operations and avert their collapse into compulsory liquidation by potentially selling the remaining assets to parties linked to him at a net price – after shedding hundreds of millions of pounds of tax and other liabilities to creditors. The Starmer administration had also been in a hurry to be ready when the winding up petition, for the country’s third largest steel maker, was approved on Wednesday. SSUK will be likely to enter compulsory liquidation within days, with special managers from consultancy firm Teneo appointed by the Official Receiver running the operations. The government has agreed to cover the ongoing wages and costs of the plant while a buyer is sought.

Reports seem to show that Gupta will try for another adjournment of the winding-up petition to buy him additional breathing space from creditors. There is no doubt that a connected pre-pack will be strongly opposed by some of the major stakeholders, including HM Revenue and Customs, and UBS, the investment bank which rescued Credit Suisse, a major backer of the collapsed finance firm Greensill Capital – which itself had a multibillion-dollar exposure to Liberty Steel’s parent, GFG Alliance.

The Indian entrepreneur is also in trouble from other fronts of his business empire. Reports indicate that he was preparing to call in administrators to oversee the insolvency of Liberty Commodities, whilst the HMRC has filed a winding-up petition against Liberty Pipes earlier this month.

Late last week, CongresswomanElise Stefanik, requested the US attorney general to probe Standard Chartered over alleged terrorist payments. The end result is that its shares faced an 8.0% sell-off on the London Stock Exchange in late Friday trading last week, shedding over US$ 2.80 billion and were trading 4.0% lower in overnight trading in Hong Kong.

SoftBank has taken an almost 2.0% stake, with a US$ 2.0 billion investment, in Intel in attempts to turn around the struggling US chipmaker. The agreement saw the Japanese technology investor paying US$ 23.00 per share that makes it the company’s sixth-largest investor. YTD, it has invested US$ 30 billion in ChatGPT maker OpenAI and was the lead in financing Stargate in a US$ 500 billion data centre project in the US. Intel’s chief executive was a former board member of SoftBank. Masayoshi Son, chairman of SoftBank, commented that “for more than fifty years, Intel has been a trusted leader in innovation. This strategic investment reflects our belief that advanced semiconductor manufacturing and supply will further expand in the United States, with Intel playing a critical role”.

A day later, on Tuesday, the White House confirmed the possibility that the US could take up a 10% stake in the chip giant, with press secretary, Karoline Leavitt, commenting that “the president wants to put America’s needs first, both from a national security and economic perspective”. According to US Commerce Secretary, Howard Lutnick, any deal would involve swapping existing government grants for Intel share equity, according to US Commerce Secretary Howard Lutnick.

Such financing will boost Intel’s attempt to compete with rivals like Nvidia, Samsung and TSMC, particularly in the booming AI chip market. There is no doubt that the White House is becoming more concerned about developments and investment in the country, and only last week, both Nvidia and AMD agreed to pay the US government15% of their Chinese revenues, as part of an unprecedented deal to secure export licences to China.

In July, Japan’s total exports dipped 2.6%, in value terms – the biggest monthly fall since the 4.5% drop posted in February 2021, with the main driver being the impact of Trump tariffs; July exports to the US fell 10.1% from a year earlier. This was the third consecutive monthly decline and followed June’s 0.5%.

Although the country’s July core inflation rate slowed for a second straight month, it was still above the central bank’s 2% target, with the nationwide core CPI, which excludes fresh food items, rising to 3.1% on the year; the previous month saw the figure at 3.3%. The fall was attributable to the base effect of last year’s increase in energy prices; they fell 0.3%, the first year-on-year drop since March 2024, whilst food inflation, excluding volatile fresh products, rose 0.1%, on the month, to 8.3%.

The German Q2 economic output contracted by 0.3%, on the quarter – more than expected by the market – and was revised downwards from the preliminary data last month which had showed a 0.1% dip. Q1 initial figures had also been revised downwards by 0.1% to 0.3%. In H1, government spending exceeded revenues, in relation to total economic output; preliminary figures show the deficit of the federal government, federal states, municipalities and social security was a comparatively low 1.3%.

Australia’s jobless rate dipped 0.1% to 4.2% last month following a four year high posted in June; employment rose by 24.5k. This sends a clear message to the RBA indicating that the labour market remains tight, whilst justifying their cautious approach to policy easing.

The Australian Securities and Investments Commission has launched legal action against superannuation giant Mercer,  with allegations that it failed to report serious issues, whereby it charged members insurance premiums after they had died,; it is also accused that it provided false or misleading information in reports to the corporate watchdog, which understated the number of members who were impacted, created member accounts, without default insurance cover, and failed to process updates to member information. This is the latest case brought by the corporate watchdog, following two recent ones involving Australian Super – the former for failing to process thousands of death benefit claims “efficiently, honestly and fairly”, between July 2019 and October 2024, and the latter for delays in processing more than 10k death and disability payments. The US$ 45.6 billion Mercer Super, with 950k members, is the seventh-largest super fund in the country. In summarising ASIC deputy chair noted that, “we allege a pattern of longstanding and systematic failure by Mercer Super to comply with the law”. She concluded that Mercer Super’s alleged conduct falls well below what ASIC expects of a trustee of its size and market position. Last August, in a separate case, Mercer Super was fined over US$ 7 million after it admitted making misleading statements about the sustainable nature and characteristics of some of its superannuation investment options.

The Business Council of Australia estimates that there is more than nearly US$ 72 billion in ‘red tape’ burdens and has called for a 25% cut in regulatory compliance burdens by 2030. Consequently, it has proposed that nuisance regulatory burdens, be removed, other regulations be nationally consistent and to and a “better regulation minister” be appointed to fight the accumulation of compliance measures. The business body commented that years of accumulated regulations – that have built up with little oversight – have led to a compliance burden needlessly costing billions in wasted funds. It is over eleven years ago that the Abbott government carried out any type of significant audit and there is no central agency tasked with preventing the build-up of rules duplications and inconsistencies. The BCA added that “the only way to sustainably lift living standards and grow real wages is through faster productivity growth,” and that any reduction in red tape will help with improving the work process. It has already identified sixty-two discrete examples that would improve the work environment; they include, to:

• harmonise disparate schemes requiring businesses to comply with eight different regulatory regimes across states and territories
• relax trading and delivery hours for retailers
• fix licensing rules for tradespeople, so that qualifications are recognised across border
• remove ageing laws holding up housing, resources and renewables projects, widely viewed as “broken”

(Even Rachel Reeves has got into the act, with plans to strip back environmental protections in a belated attempt to boost the economy by speeding up infrastructure projects).

Last week the Reserve Bank of Australia revised down it expectations for future productivity growth, as this national alliance of some thirty industry groups said productivity growth over the last decade was the worst it has been in sixty years, and that has also led to the slowest decade in income growth, over that period. It commented that even a 1% in the compliance burden would equate to a US$ 650 million saving, with its chief executive asking “are there opportunities to consider overlaps, and where there are overlaps dispense with one of the overlaps? Do we really need, for instance, thirty-six different licences in Victoria in order to pour a first cup of coffee”?

On Monday, the Federal Court of Australia fined Qantas Airways US$ 59 million for illegally sacking 1.82k ground staff and replacing them with contractors during the Covid pandemic; US$ 33 million of the fine will be paid to the Transport Workers’ Union, which brought the case on behalf of the sacked staff. This comes after Qantas and the TWU agreed on a US$ 78 million settlement for the sacked workers. In imposing the fine, which was near to the maximum allowed under the legislation, the judge said it was to ensure it “could not be perceived as anything like the cost of doing business”, adding that “my present focus is on achieving real deterrence (including general deterrence to large public companies which might be tempted to ‘get away’ with contravening conduct because the rewards may outweigh the downside risk of effective remedial responses”.

S&P Global’s flash US Composite PMI Output Index for August increased 0.3, on the month, to 55.4 – its highest level since December 2024; the main driver behind this improvement was the manufacturing sector seeing its strongest growth in orders since the beginning of 2024. The flash PMI surged by 3.5 to 53.3 – the highest since May 2022 – with many analysts looking to a second month of contraction. This robust set of figures indicates an economy that is expanding at an annual rate of 2.5%, almost double that of the average 1.3% expansion seen over the first two quarters of the year. The improvement came largely from the manufacturing sector, where the flash PMI surged to 53.3 – the highest since May 2022 – from 49.8 in July and defying economists’ expectations for a second month of contraction. Meanwhile, the services sector dipped 0.3 to 55.4, with economists forecasting a much lower figure of 54.2. Trump tariffs were mainly responsible for a 1.0 hike, to 62.3, of prices paid by businesses for inputs, with both the services and manufacturing sectors reporting higher costs.  The survey’s measure of prices charged by businesses for goods and services rose to a three-year high of 59.3 – a sure sign that companies are increasingly passing along the higher costs to consumers. The composite employment index for both manufacturing and services rose from July’s 51.5 to 52.8.

Last month, Donald Trump said pharmaceuticals and semiconductors were not covered by the US-EU ‘handshake trade deal’ which would have meant respective tariffs of 250% and 100%. Now it seems that both tariffs will be limited to 15%, in line with most other sectors in the trade deal; the EU will have to reduce their car tariffs from 27.5% to 10.0%. Both sides noted that this was a “first step in a process” that could be expanded as the relationship develops.

Reports indicate that the Starmer administration is becoming increasingly concerned that UK semiconductor companies could be charged up to an unlikely 300% in Trump tariffs. Whitehall is awaiting an executive order from the United States “which will provide clarity” on reports of plans to impose “significant tariffs” on chip imports. It has also contacted industry companies in the country for their feedback on the potential impact of any change in the trade regime and for “any suggestions you would like to share with the negotiating team”.  Last Friday, the US President announced that “I’ll be setting tariffs next week and the week after, on steel and on, I would, say chips — chips and semiconductors, we’ll be setting sometime next week, week after. I’m going to have a rate that is going to be 200%, 300%”.

According to Rightmove, the August average UK asking house price fell 1.3% to US$ 499.3k. There appears to be a glut of properties for sale, and this follows “bigger than usual falls in June and July”. Although house prices typically decline  in the month of August, buyers have been tempted by large reductions in asking prices from sellers trying to  ‘escape’ from a declining marketThe number of house sales agreed last month rose 8.0% on the year, making this July the busiest in terms of sales since 2020, when the post-lockdown “race for space”, fuelled by the stamp duty holiday, began.

The last time government borrowing had reached so low was in July 2021, at the height of the pandemic. The Office for National Statistics posted that July 2025 net borrowing was at US$ 148.23 billion, (GBP 1.10 billion), driven by increases in tax and national insurance receipts. Despite the welcome good news for the Chancellor, borrowing was still US$ 8.09 billion higher in the first four months of the UK fiscal year, ending 31 July. The amount of interest paid on government debt was at US$ 9.57 billion – 2.8% higher on the year – with the cost of borrowing having risen in recent months, down to the increased interest rate investors demand on loans via UK gilt bonds.

Rachel Reeves received another body blow this week, with news that the headline rate of inflation had nudged 0.2% higher in July to 3.8% – its highest level in eighteen months and towards the end of the Sunak government. The main drivers behind the upward movement were increasing transport costs, particularly air fares, and rising food price inflation, as coffee, meat and chocolate posted the biggest rises.  Core inflation – which excludes energy, food, alcohol and tobacco prices – was 0.1% lower at 4.2%, whilst services inflation remained flat at 5.2%. It seems highly likely that the inflation rate could hit 4.0% in September – another problem for the Chancellor to surmount in her October budget. She must be asking herself – ‘When Will It Ever End’?