RAK to boost infrastructure spending
Ras al Khaimah, February 16, 2010
A new wave of infrastructure projects across the sectors is set to generate significant interest among investors and cement Ras Al Khaimah’s path to long-term growth, according to chairman of the RAK Finance Department.
In an exclusive interview with Oxford Business Group (OBG), a leading global publishing and research firm, Sheikh Faisal bin Saqr Al Qasimi said the extensive plans would bring a transformation to all areas of life, from industry to leisure activities.
“Funds are to be spent in the development of our ports system, sewage plants, industrial parks, natural parks, and educational facilities,” he stated in the interview that will feature in OBG’s forthcoming annual business report on the Emirate’s economy, titled 'The Report: Ras Al Khaimah 2010.'
The report is set to be the premier guide for foreign direct investment into the emirate's economy. It will also include interviews with Sheikh Omar bin Saqr Al Qasimi, chairman of Rak Bank, Gulf Cement and head of private affairs for Sheikh Saqr Al Qassimi, Ruler of RAK as well as a viewpoint from Dr Khater Massaad, CEO of the Rakia.
The list of major infrastructure projects signals the healthy state of the construction sector which is expected to retain its number one spot in driving RAK’s economy forward, the OBG report said.
However, many of the projects also reflect the government’s plans to boost industry and tourism in the long term, it added.
Sheikh Faisal was bullish on the prospects for economic growth in RAK, saying that the government bond issuance in the summer had acted as a vote of confidence in the emirate’s economy.
“The bond was issued during difficult financial times,” he said. “However, thanks to RAK’s very good financial ratings, it was well received by the market and was even oversubscribed. This shows the high the level of confidence is in our financial situation.”
An optimistic Sheikh Faisal said the potential investors would soon be looking to tap into the wealth of projects on the horizon. “People with high liquidity are waiting for the right opportunity to invest, and 2010 will be the year to do so,” he added.
He pointed out that the banks across the region have a key role to play in convincing potential investors that the real estate sector is entering a new era.
“Moving forward, new and current real estate projects will require financing, and banks for the entire UAE will need to increase their lending capacity,” he said. “If this happens, it will be a real signal that real estate sector is improving and investment opportunities will emerge accordingly,” he added.
'The Report: Ras Al Khaimah 2010' will be a vital guide to many facets of the emirate, including its macroeconomics, infrastructure, banking and sectoral developments, said OBG.-TradeArabia News Service