Dubai’s rapidly expanding expatriate population is putting pressure on the city’s infrastructure, despite fueling economic growth.
This surge has boosted its nearly $115 billion economy, with its stock index becoming one of the top performers globally.
Dubai’s population has grown to 3.8 million and is projected to reach 5.8 million by 2040, which could bring it closer to cities like Singapore.
However, this growth has caused rising property prices, traffic congestion, and competition for school admissions.
While Dubai is investing in infrastructure improvements like expanding public transportation and upgrading drainage systems, its real estate market is struggling with high demand.
Many expatriates are being priced out and are moving to neighboring emirates like Sharjah. Despite the challenges, the financial hub is flourishing, with a record number of firms establishing themselves in the Dubai International Financial Center, and tourism is thriving.
Authorities are preparing for long-term sustainability, aiming to continue attracting businesses and residents while managing the infrastructure strain.
