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Over the past few months, Dubai's glittering skyscrapers have been diminished by the alarms about the emirate's economic woes. The news has not been easy to take for the showpiece city-state, the most populous among the seven sheikdoms that make up the United Arab Emirates. Indeed, even as the rest of the world spiraled into crisis, the U.A.E. insisted its brand-name city would not be drawn in by the downturn. In fact, the U.A.E. established a "no news is good news" policy of sorts. In January the government announced that fines ranging from...

Author: /time Magazine | Title: Dumping on Dubai: Have Hard Times Hit the Emirates? | 3/31/2009 | See Source »

...extent of the contraction, saying simply that the U.A.E. would escape recession. The International Monetary Fund had previously said it expected the U.A.E. economy to grow only 3% this year after expanding 7.4% in 2007 and an estimated 6.9% in 2008. (See 10 things to do in Dubai...

Author: /time Magazine | Title: Dumping on Dubai: Have Hard Times Hit the Emirates? | 3/31/2009 | See Source »

...towers of Dubai have been hardest hit. The large foreign banks that had been financing Dubai's real estate boom have pulled out, leaving behind a significant burden on local banks, who have turned to the U.A.E. government for help shoring up their liquidity. To date, approximately $15 billion of federal money has been pumped into local banks. Company buyouts financed by Abu Dhabi - the capital of the U.A.E. and the only emirate with petroleum wealth - are believed to be forthcoming, though no officials will discuss details. "Any bailout from Abu Dhabi will come very privately," says Christopher Davidson, author...

Author: /time Magazine | Title: Dumping on Dubai: Have Hard Times Hit the Emirates? | 3/31/2009 | See Source »

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Author: /time Magazine | Title: Rent This Hotel Room for $1. No Foolin'! | 3/29/2009 | See Source »

Downsizing to Dubai. Blaming the weakening global economy, Emirates pulled its two Airbus A380 planes from its Dubai-to-New York route after just eight months in service and is now flying the smaller Boeing 777 instead. But the airline is still flying the big bird between Dubai and Sydney, London and Toronto, and starting June 1, between Toronto and Bangkok as well...

Author: /time Magazine | Title: Fast Track to Elite: Double Air and Rail Miles | 3/23/2009 | See Source »

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