[Opinion] Seeing the Middle East Through Dubai

[Moon Byung-jun, Consul General in Dubai] Dubai is one of the seven emirates that make up the United Arab Emirates (UAE) and has risen as a financial, logistics, and tourism hub in the Middle East through what is called the "Miracle of the Desert."

Despite the pandemic, Dubai feels like a different world with visitors to the world's largest shopping mall, Dubai Mall, and Expo 2020 Dubai. The Marina area, once a desert, has become the most favored central district among Middle Eastern people, and as locals say, buildings are quickly occupied as soon as they are built, with many lining up to relocate to Dubai. While the world has contracted due to COVID-19, brains still flock to Dubai, and billionaires and celebrities choose Dubai as their second home.

Although only a small amount of crude oil was discovered and there are no significant resources except pearls, Dubai has focused on the service sector and has transformed from a small town of 70,000 people into an international city of 3 million under the banner of being the "first, best, and largest." Unlike some Middle Eastern countries suffering from the so-called "resource curse" despite abundant natural resources, what makes Dubai stronger, which many predicted would become a mirage in the desert amid financial crises and the pandemic?

First is the leadership’s attitude toward innovation. Dubai’s leadership believes they must be different. Dubai residents often say, "Adventure is destiny," and "If you are not the best, you cannot survive." Their mindset is distinctly different from other Arabs and Middle Eastern people. Preparing for the post-oil era, the key leaders share a sense of urgency that survival depends on being better than others, and their relentless pursuit of excellence continues today.

Second is Dubai’s international character and relatively stable security environment. Dubai is a place where foreigners of various nationalities peacefully engage in economic and cultural activities. Not only West Asian people who have traditionally settled in Dubai but also Israelis have established business bases in Dubai since the Abraham Accords in 2020. According to Dubai residents, this place provides refuge and opportunity to everyone and is described as “Came as a stranger, left as a good friend.”

Third is the excellent infrastructure and open business structure. In the pandemic era, most Middle Eastern transactions occur through Dubai exhibitions and fairs. World-scale events are held almost daily in Dubai. Even those who find it difficult to seek business opportunities due to international political conditions frequently travel to Dubai. It is a place that shows a clear difference from other regions with efficient infrastructure, tax benefits, and specialized free zones. With the diversity created by people from various places and the power to embrace it, Dubai is developing beyond the Middle East to the world.

Riding this momentum, Dubai has ambitious plans to leap into a mega-city with a population of 6 million within the next 20 years by efficiently utilizing the infrastructure within the Expo 2020 site (District 2020) after the event ends. Considering the past record of an annual population growth rate of 19%, this is by no means an empty dream. This city continues to create the myth of the desert.

Given Dubai’s potential and capabilities summarized as "innovation" and "future," it can be confidently said that now is the opportunity to enter Dubai. Above all, we have sufficient infrastructure to support this. Institutions such as KOTRA, trade associations, the Small and Medium Business Corporation, and the Tourism Organization, along with our companies, have bases in various fields including tourism, construction, finance, healthcare, and logistics, and many of our experts have entered local companies. Especially in the Middle East and Africa region, there is no better environment to start a startup through free zones.

To lead the world, we must actively utilize Dubai. Our diplomatic missions and local public-private institutions will do their best to help our companies expand globally through Dubai. If you want to know how to enter the world in this ongoing pandemic era, I hope you will quickly find the answer in Dubai and plan for the future.