09 - 11 Dec 2018

Signs show China increasing economic influence in UAE

A new report says China's influence in the UAE is growingas the contractors from the Far Eastern country become increasingly active inlocal construction projects and the number of Chinese visitors continues toincrease.

A report by the Arabian Business news website quoted consultantsas saying that China’s growing investments in the UAE were parts of Beijing’sagenda to promote its strategic presence in countries that are located alongthe routes of the so-called ‘One Belt, One Road’ initiative to revive theancient Silk Road.  

“This is part of the ‘one belt, one road [initiative] with thepurpose of expanding its economic influence across Central Asia, the MiddleEast, Africa and also Europe,” Marko Vucinic, the senior vice president of JLIconsulting company was quoted as saying.

“The main goal is to invest in infrastructure [along theseroutes]. Dubai is a key city in this strategy, and gateway to stable markets,especially in Africa.

Vucinic further emphasized that currently about 60 percent ofChinese exports to regional markets were channeled through the UAE.

He emphasized that China had serious plans to enhance itseconomic presence in the UAE, adding that a high number of significant Chineseinvestments in the UAE – such as in Abu Dhabi Industrial Park and Dubai FoodPark – were already signs of growing Chinese economic involvement in thecountry.

“One of the most visible ways that China is having an impact onthe UAE is through the large presence of Chinese contractors in the country,”Vucinic added. “China is also providing construction financing, which isimpacting the overall market.”

Additionally, he said China has become the fourth mostsignificant source market for visitors coming to Dubai, behind only India,Saudi Arabia and the UK.

“There was a 49 percent increase, year-on-year, in the thirdquarter of 2017 [in Dubai]” he said. “We’re seeing a similar trend in otheremirates. In Abu Dhabi, China is among the top two source markets, and we thisspreading across the Middle East as a whole.”

Source: Press TV

Published: 02/07/18