IMF: Dubai rides out shocks of oil slump

Dubai, the emirate that teetered on the brink of default during the global recession, is bucking the economic slowdown afflicting most of its oil-rich Gulf neighbours, according to the IMF.

While economic expansion in the Middle East’s financial and transport hub is set to moderate to 3.3% this year, domestic investments — boosted by preparations for hosting the Expo 2020 international trade fair — will drive a “rapid acceleration” to more than 5% by 2020, said Zeine Zeidane, the fund’s mission chief to the United Arab Emirates.

That contrasts with the outlook for Dubai’s oil-reliant neighbors, who have slashed spending in response to the decline in crude prices.