Dubai Expo 2020 bid: Almost all sectors to benefit

November, 29th 2013

Dubai: The immediate beneficiaries - almost the day after if Dubai wins the Expo bid — will include almost all sectors. That means real estate, construction, logistics, transportation and banks, according to fund managers. But over time, the effect of the Expo will be in stages.

"Once we start seeing awarding of contracts, you will see real estate, construction and cement companies doing well," said Tareq Qaqish, head of asset management and fund manager, Al Mal Capital. "And then insurance companies. "Towards the later stages, you will see hospitality business and aviation stocks business."

Hospitality sector

With influx of people coming to the UAE to work on different projects, it would simply mean more population. That will, Qaqish said, more consumption, which will benefit telecom and consumer companies. Potential credit growth will see banks’ benefitting too, he added.

Retail, hospitality, real estate and banking should also benefit but likely over the longer term, according to Amer Khan, director at Shuaa Asset Management. "Definitely it will benefit the overall economy," Qaqish said.

Source: Gulfnews.com