This is one of those Twilight Zone statements we get in the UAE which basically tell us nothing and are really not even good propaganda.  So, let me make my own prediction: the UAE will (or will not) enter recession this year.  Got that?

The Governor of the UAE Central Bank, Sultan bin Nasser Al Suwaidi, said on Wednesday that the country is not going into recession this year.

“There could be a low single-digit economic growth in the year 2009”, he said, while speaking to reporters after meeting with a French delegation headed by Christian Noyer, Governor of Central Bank of France, here in the capital.

The Governor’s comments come at a time when private sector economists are forecasting a low growth in the range of 0.0-2.0 per cent this year, declining from estimated 6.0 per cent in 2008. In the last quarter of 2008, the UAE started experiencing significant economic headwinds as a result of global economic crisis. The country’s two main stock exchanges in Dubai and Abu Dhabi fell 72.5 per cent and 47.5 per cent respectively in 2008 and have continued to slide downwards since the beginning of 2009. The recent fall in oil prices to $35 a barrel is also expected to significantly affect the oil revenues. The UAE’s oil revenue is projected to be about $84 billion in 2009 from $106.5 billion in 2008.

Asked whether economic recovery can take place in the second half of the year, as some analysts are forecasting, Al Suwaidi said, “I cannot expect anything at this point in time… I am not a magician… as it will also depend on the circumstances because things on economic front are evolving.” He also added that the Ministry of Economy was the competent body to give outlook on economic growth…SOURCE

With just a fortnight to go, the mother of all shopping festivals — the Dubai Shopping Festival 2009 (DSF) — is coming back to town.

Scheduled to begin on January 15, the 14^th edition of the DSF is set to open at a time of global financial turmoil, but the organisers say DSF 2009 will deliver.

Dubai looks her best during the DSF when every nook and corner of the city is lit up with over a million lights and colourful decorations.

Over 3.2 million people visited DSF 2008 with the expenditure touching Dh10 billion.

The participating retail outlets of the DSF and the various shopping malls are expecting a windfall. With the December sale already in session at the various retail outlets across the city, products are being sold at discounts of over 70 per cent.

Though they have not yet announced the promotional offers for the season, retail outlets have pledged their entire support to the DSFO (Dubai Shopping Festival Office) by lining up attractive discounts and raffle draws to lure the crowds into the shopping malls and retail outlets.

Shaikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Airports and Chairman of Dubai Shopping Festival Office (DSFO) Supreme Committee said the UAE economy is robust enough to ride out the current difficulties and continue to achieve good economic growth rates.

“There is a tireless endeavour to tackle the economic turmoil and hold events that can contribute to reviving several economic sectors, primarily retail trade and tourism,” he said.

“This year’s edition of DSF comes at a time when the entire world is experiencing an acute period of economic crisis with a number of leading world economies having drifted into economic recession.”

He stressed on the importance of strong partnership between the private and public sectors…SOURCE