USA2UAE.COM

Previous Post: Economy to Shrink by 1.7pc: EFG Hermes Next Post: Abu Dhabi plans to introduce road toll to reduce traffic congestion

UAE vehicle sales decline 40% as loans dwindle

http://archive.gulfnews.com/articles/09/04/02/10300503.html

04/02/2009 09:04 AM | By Shakir Husain, Staff Reporter

Dubai: Car sales nationwide fell more than 40 per cent in January and February amid tightening bank conditions for automobile loans and low consumer confidence, the head of a leading car dealership said on Thursday.

If banks continue to impose strict criteria for car loans, sales are unlikely to improve anytime soon, said Michel Ayat, chief executive officer of Arabian Automobiles Company (AAC), the Nissan, Infiniti and Renault dealer in Dubai and the Northern Emirates.

“Indications are that there was a drop of 40 per cent to 45 per cent in sales as a whole in the UAE in the first two months. The numbers for March are still not available,” he told Gulf News, citing data from leading global car manufacturers with a strong local presence.

Al Futtaim Automotive, which represents several global brands, including Toyota, in the UAE, said sales have fallen back to the 2007 level.

“The global crisis has brought sales down from the unusual peaks of 2008 to 2007 levels, but we are optimistic the UAE’s resilience will see auto sales bounce back significantly,” an Al Futtaim spokesperson said and noted that there was “a positive growth in both enquiries and car sales” for new and old vehicles between January and March.

More than 80 per cent of individual car purchases locally are through bank financing, and potential buyers are discovering that conditions of loan eligibility have become stricter in the economic downturn…

Sphere: Related Content

If you enjoyed this post, make sure you subscribe to my RSS feed!

20 Total TweetBacks: (Tweet this post)

en: @nickhoss Bout three months ago or so 07/15/09 02:52am
en: @jathniellubin really? are they still showcasing it or is it over for now? Great job , eventhough i didin't see it yet i know you did good 07/15/09 02:52am
en: @idy13 It's fun, except for when they crawl on my face and/or up my shorts. = P 07/15/09 02:52am
en: @Blackn1ght21 what happened :O or does that have to stay in belgium haha 07/15/09 02:52am
en: @MOFinancial whatcha got on $bac? Sell now or wait? 07/15/09 02:52am
en: You dont stand a chance against my prayers. You dont know who or what I am praying to...so you don't stand a chance 07/15/09 02:52am
en: too much intervention. now copying @rebhecka and making a sundae (or at least the ice cream part) 07/15/09 02:52am
en: ppl. come into your life for a reason, a season, or a lifetime. know which one they are always. they all have a purpose but not eternity. 07/15/09 02:52am
en: @SonnyAkinfe No I Have It...Did You Want To Pay For Your Shirts Also Through Paypal Or You Plan On Picking Them Up? 07/15/09 02:52am
en: CAPRI-SUN OR KOOL-AID JAMMERS?.. MYSPACE JUMPIN! WWW.MYSPCE.COM/4POINT5MILLION BIM! 07/15/09 02:52am
en: Just got out of a great meeting at work!! Ask yourself do you look at people as objects or as people by the way you treat them? 07/15/09 02:52am
en: @RashadHouston hahahaha...as long as its not jambalaya or something else with shrimp you should be coo--I love the desserts tho! 07/15/09 02:52am
en: @wyshynski So IMO consistency = either give credit to anyone who breaks a story or none, regardless of medium. I don't have sides in this. 07/15/09 02:52am
en: @hazel_joy ...so Mini Milks are made from paint or are they distilled from the very essence of colour, Rainbow Brite? 07/15/09 02:52am
en: One of these years I will make it into e3 or comic-con..... Yeah probably not 07/15/09 02:52am
en: But I will never be Your stepping stone Take it all Or leave me alone - duffy, I can't stop singing! ;D 07/15/09 02:52am
en: #truthbetold niqqsz be stickin they dcks in anything . [lmao] psh. [fck] wit a REAL btch . gain some standards or suttin. puhleez 07/15/09 02:52am
en: Trying to coordinate a piano move. Should I DIY or call a professional? Any tips or tricks? 07/15/09 02:52am
en: Over 50% of sexual assault cases are rejected by prosecution or all charges are dismissed. And that's only the cases that make it that far! 07/15/09 02:52am
en: @talness house is a physical definition, usually a private house - while home is anywhere you lay your head, or something like that. 07/15/09 02:52am