A recent report of Julius Bayer, the Emirate of Dubai, described it as one of the best cities in the world that provides good consumer value, indicating that it is ranked 17th on the list of the most expensive cities to live a life of prosperity, outperforming other ancient cities.

The report "Global Wealth and Lifestyle", which was disclosed by the bank during a press conference in Dubai yesterday, stated that Hong Kong topped the list, while Shanghai ranked second, and Singapore came fourth and London seventh.

The report emphasized that Dubai remains the luxury city of multinationals, as it is one of the most competitive markets in terms of ownership of real estate, given the attractiveness of its prices, and the provision of sectors such as jewelry, business travel and weddings.

Great potential

The report pointed to the great potential that Dubai possesses in the sector of luxury services and unique luxury, considering that it is able, along with other Gulf countries, to provide additional services to consumers and authentic experiences. He expected the emirate to capture a larger share of this thriving sector, which is estimated at $ 4.2 trillion around the world, with the launch of new luxury resorts during the next few years.

He stated that the results indicate that luxury real estate in Dubai is currently distinguished by an exceptional value compared to previous years, pointing out that this coincides with the launch of "Expo 2020 Dubai", which will boost tourism spending and support economic growth.

Prices and consumption

The Julius Bayer report looked at prices and consumer behaviors around the world in order to better understand the world of luxury. The Julius Bayer lifestyle index showed that Asia is the most expensive region in terms of consumption of luxury goods, while Europe is the least expensive, in When the American continent occupies a position between the two, although the differences in domestic prices are noticeable.

It is clear that government policies, taxes, service fees and local currency fluctuations are the main factors contributing to the difference in prices between cities and regions, but the demand for global luxury continues to grow steadily, given the superior performance of luxury goods and services companies in the West and included in the report compared to prevailing indicators.

Luxury goods

Rajesh Manwani, the market official and wealth management solutions for the Asia Pacific region, said that the first version of the report issued by Julius Bayer shows the movement of luxury goods consumption around the world, as this approach was adopted for the first time in the Asia Wealth Report issued by The bank since 2011, which has expanded to 28 countries. He added that the report deals with the issue of conscious consumption, preferring to engage in new experiences and reducing waste over buying things, pointing out that with society heading towards a more sustainable future, sustainability has become a topic discussed by governments, regulators and central banks.

And among the most prominent findings of the report are the tendency of consumers in Asia and Latin America to choose products based on the criteria of their sustainability, as they test the negative effects of the economic growth caused by humans.

a study

For his part, Nicholas de Skoronsky, a member of the Julius Bayer Executive Board member of Wealth Management Solutions, said that the report shows the growing desire of consumers to reconcile their purchasing decisions with their social, environmental and political convictions, especially with the children of the millennial generation to be passed on through generations.

He explained that the prices of 20 luxury goods and services were studied in 28 cities around the world, 10 of which are in the Asia Pacific region, 12 in Europe and the Middle East and Africa, and six cities in the American continent.

Skoronsky added that Asia is the most expensive continent, especially in relation to residential real estate, as it hosts six of the 10 most expensive cities in the world, as well as for luxury cars, as the index includes eight out of 10 Asian cities are the most expensive, but the value of goods Smaller is better in Asia.

The most expensive and cheapest

A report by Julius Bayer Bank stated that the continent of Asia hosts at the same time the most expensive city in the world is Hong Kong, the cheapest of which is Mumbai, explaining that Hong Kong is more expensive by more than 90% of the cities of the world in relation to the price of real estate, beauty services and eating in high-end restaurants , Business class travel and attorney fees, followed by Shanghai in the regional and global rankings. He added that although Shanghai is cheaper than Hong Kong in terms of real estate and hotel prices, the prices of portable goods such as watches and women's bags are exorbitant, as well as services such as lawyers fees and personal trainers' wages.

He pointed out that, in contrast, Mumbai provides excellent value in relation to the prices of all multiple goods and services, and ranks among the cheapest 25 cities.

Dubai has great potential in the luxury services and luxury segment.