Gulf investors look to India, China

October 8th, 2008 - 3:52 pm ICT by IANS  

Dubai, Oct 8 (IANS) India is among the countries investors in the Middle East are looking at as investment destinations following the global financial meltdown.Investors who have gathered here to participate at a real estate exhibition, Cityscape 2008, are of the view that the global financial crisis has proved that the Indian, Chinese and Malaysian markets are safer than that of the US.

“The fundamentals of the economies of China, India and Malaysia are robust,” Sulyman A. Aziz Al-Majid, chairman of Saudi Arabia’s Tanmiyat Investment Group, told the Khaleej Times.

“China and India have massive potential in demands and resources. So, investing in these countries makes sense,” he said.

The credit crunch has raised fears about the safety of investments not only in the US, but in Europe as well.

“The ongoing financial crisis in the US and Europe has raised serious doubts about the safety of investments there,” Mohammad Al Haj, chief executive of the Abu Dhabi-based property developer MBI, was quoted as saying.

“Even the investors there are now looking towards Asia and the Middle East for investments,” he said.

He, however, added that countries in the east would be able to lure investors from the Middle East only if they addressed “the challenges of making their systems more transparent, efficient and investor-friendly”.

According to Moosa Al Hashemi, chief commercial officer of Abu Dhabi real estate developer Manazel, the United Arab Emirates (UAE) has not been affected much by the meltdown in the West.

“The UAE has not been relying on the US markets and resources even in the past, and that is why we are not severely affected by the aftershocks of the financial earthquake the US and other countries are experiencing,” he said.

“But the crisis emphasises the need for making concerted efforts to explore the fast growing markets in Asia and the Middle East,” Hashemi stated.

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