Among the developer projects the Island Projects are among the biggest and most unbelievable on Earth, see our article: Dubai Islands in The Persian Gulf– Construction of artificial archipelagos and enjoy the online presentation the Palm Trilogy of Palm Jebal ali, Palm Jumeira and Palm Deira .

Video of the Dubai Palm Islands planning and construction.

The incredible trust in the future behind the vision and a belief that man can do anything with enough money and resources was to me an invitation to enormous risks of financial disaster and environmental degradation and social turmoil.

Contrary to the understanding of many the money behind the investments isn’t that much money generated in the Emirates from oil production, but foreign investors being persuaded to focus on investment in Dubai for big returns. With prices on property skyrocketing for the first years this seemed to be true.

With the global crises, first as a financial crises and now as a much more general global economic crises with recession in many countries such projects seem to go into a difficult future, as they are based on luxury demands for fancy resorts, luxury villas and departments and these depend very much on visitors’ ability to fly from far away to their property in Dubai.

I can only be worried that the warning signalled in the post on Bloomberg.com in the beginning of December has to be taken even more seriously here around the New Year of 2009, see Dubai Speculators Quit as Lending Drought Bursts Desert Bubble . One of the warnings referred to was “Dubai is more precarious than it has ever been,” said Christopher Davidson, author of “Dubai: The Vulnerability of Success” (2008, Columbia University Press). “If the property industry collapses in Dubai, it will be finished. Dubai’s relative autonomy will come to an abrupt end.”

I will later add pictures from my visit to Dubai.

See also articles at our partner site: Dubai Island Vacation

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