Dubai’s business mood surged in the fourth quarter of 2011 as most of businessmen polled in a survey expect higher profits and sales by companies in the emirate, according to the Dubai Economy Department (DED).
An index introduced by DED to measure business confidence in the emirate soared by around 16 per cent to 133 points at the end of the fourth quarter from 115 points at the end of the third quarter.
The poll, covering 500 local companies, showed 67 per cent expect a 12 per cent Q/on/Q increase in sales in the first quarter of 2012 while 55 per cent forecast higher corporate profits in the same period. The report showed 39 per cent were less optimistic, expecting profits to stabilize in the first quarter.
The survey, published in the Dubai-based Al Bayan newspaper, showed most of those polled expected a sharp rise in sales mainly in the retail trade sector because of the Dubai shopping festival that lasts until February 5.
Most of the companies in the construction sector said they expect stable, and probably, better sales in the first quarter of this year as a result of new projects to be launched by the UAE and other Gulf oil producers.
“Nearly 30 per cent of all the respondents said they are planning to hire more labour compared with 19 per cent in the previous quarter.”