Business

Dubai rebounding for a speedy recovery!

Recently there was a massive drop in prices of Dubai market property. Taking this as an advantage real estate developers, executives and analysts believe that the investors and end users are expected to buy the apartments and villas in Dubai. And spending on the infrastructure development there will be a growth in trade and inturn it will help in the speedy recovery of the Dubai’s economy . Tourism will be improving as trade rate grows. It will be right time to invest in the property market of Dubai now given the assurance of tenants be ready to pay more toward the end of the year 2021.

According to the reports of ValuStrat , there was a price drop in the property market more than last year. 14.3 percent of decrease in the apartment prices and the villas rate dropped by 13 per cent recording year on year decrease rates. 18 per cent decline is the rents for apartment where as the villa segment noticed a stability as it only dropped by 1 per cent.

The most sought after , the ones which investors and end users are looking to invest are locations like Dubai Marina , Business bay , Town Square , Jumeriah village and the International city. And for the Off plan properties , investors found Jumeriah Village, Downtown Dubai, Dubai Creek Harbour, Business Bay , Shobha Hartland as the most popular lands to invest in. Health crisis being resolved Dubai’s Real estate sector is set to have a positive impact and the Dubai economy is said to grow by four per cent.

Developers putting a hold on new projects , rents and capital values in the established villa locations is said to stabilize the market value. Dubai may also witness a gradual appreciation as the apartments also may follow the same suit. Economic recovery , Expo 2020 and the 50^th year anniversary of United Arab Emirates is sure to improve the market prices this year says the report of ValuStrat. Across the city , there will be a three per cent and one per cent raise in the rates of the villas and apartments respectively. Some areas may or may not perform better that the others.

Quick economic recovery and Tight control over the new supply chain amidst this hosting the new expo 2020 and celebrating the 50^th anniversary of United Arab Emirates has cited a speedy recovery from the pandemic. These acted as a few essential key reasons for the real estate sector to turn around. And the prices of the properties will have a long way to reach the previous pikes but it Is still going to okay as the recovery process has started with the start of the year 2021.

“Residential areas with good infrastructure, transport links, schools shoos and shops will remain in demand by property buyers and tenants this year,” says Haider Tuaima , head of the real estate research at property consultancy ValuStrat. Improvement in general economy , business growth and job creations will generate the further demand for the residential units in the United Arab Emirates and the pending supply of the previous years are expected to be coming online at some given point of time. He also added that Dubai is the investor hot spot with the positive outlook as it has outdone in the previous years and is fighting strong against a major pandemic. Even though recovering might take time but the steps taken from the Dubai’s real estate developers and government of curtailing new projects will have a control over supply.

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LexisNexis risk solutions study reveals sharp rise of financial crime compliance costs

Decision makers inside banks, investment firms, asset managers and insurance firms identify the drivers impacting financial crime compliance. LexisNexis® Risk Solutions revealed that the results of its annual True Cost of Financial Crime Compliance Study for the U.S. and Canada. The total projected cost of financial crime compliance for the region is approximately $49.9 billion. The survey illustrates the sharp increase in financial crime compliance costs.

The study projects the average annual cost of financial crime compliance for U.S. financial institutions with $10 billion. Pandemic Continues to Spur Growth. The pandemic continues to negatively impact compliance operations. Sixty eight percent of U.S. respondents report longer times required to complete due diligence. Fifty five percent of U.S. respondents report reduced productivity compared.

More U.S. financial institutions now rank real estate and hospitality as top money laundering risk segments. Crime involving digital payments, trade-based money laundering and money mule schemes are on the rise. Digital currency is a growing problem for Canadian firms. Crimes involving digital payments have the greatest impact on compliance costs. Cryptocurrency crimes have the greatest impact on compliance costs for Canadian firms. The survey results demonstrate that financial institutions are battling a broader set of issues.

Survey respondents indicate that a lack of current and extensive data tops the list of Know Your Customer (KYC). Leslie Bailey, vice president of financial crime compliance strategy for LexisNexis Risk Solutions stated that the study shows clear linkages between the pandemic, digital crime and increasing regulations. Hence, financial institutions need to prepare for expanded compliance obligations and risks from emerging financial crime. Bailey added that digital transformation is a game-changer for financial crime compliance operations.

This will require a sophisticated approach that incorporates insight into digital behaviors. This study surveyed 145 decision-makers in the U.S. and Canada. Responses were collected in June 2019, August 2020 and June 2021. Organizations such as banks, investment firms, asset management firms and insurance firms. The total annual cost of compliance across firms was calculated using survey data. The spend amount was generated by multiplying the average percent allocated to financial crime costs.

Business

COP26 delegates agree on need to deliver on $100 BLN climate finance pledge

Delegates heading to the COP26 U.N. climate summit in Glasgow. These delegates agreed that they must deliver on the $100 billion per year pledge. COP26 president Alok Sharma said that, it is to help most vulnerable nations for tackling the climate change.

After many days of meetings at the pre-COP26 climate event, which happened in Italy, Sharma said that there was a consensus to do more. Which is to keep the 1.5 degrees Celsius target within reach, adding more needed to be done collectively in terms of national climate plans.

The COP26 conference in Glasgow aims to secure more ambitious climate action. This is from nearly 200 countries, those all that have signed the 2015 Paris Agreement for limiting the global warming, well below 2.0 degrees Celsius. And to 1.5 degrees, above pre-industrial levels.

Business

City’s exposure to Evergrande is very minimal-Hong Kong finance Chief

Hong Kong’s exposure to debt-laden developer China Evergrande Group is very minimal at 0.05%. This is of banking assets, South China Morning Post reported, citing the city’s finance minister. Financial Secretary Paul Chan told the newspaper that it is very minimal and won’t cause them any systemic risks. He added that he had arrived at the conclusion after a recent audit of the local banking sector’s exposure to the company.

Chan also said that the Hong Kong’s stock market was inevitably subject to some volatility. This is amidst a recent mainland crackdown on some industries. But still he believed any setback would be temporary. With liabilities of $305 billion, Evergrande has sparked concerns its cash crunch could spread through China’s financial system. This may reverberate globally and that is a worry that has eased with the Chinese central bank’s vow, to protect homebuyers’ interests. Evergrande has missed two bond interest payments. Bondholders have said this and its offshore debt, amounting to about $20 billion, trades at distressed levels.