Emirates NBD Financial Performance and Market Update
Emirates NBD
6
Operating Environment
Emirates NBD Profile
Dubai Economic Update (3/3)
Highlights
Dubai residential property prices continued to decline in Jan-Aug
2017. Apartment price decline slowed sharply in 2017, up 0.8% y/y
in August, compared with -7.1% y/y in January. Villa prices fell
-7.2% y/y in August
The slower contraction in residential real estate prices over the
first eight months of 2017 has been accompanied by higher
transaction volumes in all areas of Dubai. Overall transaction
volumes increased by 9.8% y/y in Jan-Aug 2017 compared with
-24.6% decline recorded in same period 2016
Apartment and villa rents were down in August by -5.7% and
-7.9% y/y, respectively. Yields on apartments fell in August at
7.4% compared with 7.9% the same month in 2016
8.0
7.6
7.2
6.8
Dubai residential yield
Apts Yields (LHS)
Villas Yields (RHS)
8.4
5.4
5.2
5.0
4.8
4.6
4.4
4.2
6.4
4.0
Jan-15
Jul-15
Jan-16
Jul-16
Jan-17
Jul-17
Financial & Operating Performance
% y/y
Dubai residential property prices
⚫Apartments
1600
Villas
Source: Phidar Advisory, Emirates NBD Research
Dubai transaction volumes
Apartments (LHS)
Villas (RHS)
200
9
180
1400
3
160
0 3
1200
1000
800
...
Appendix
Strategy
-9
-12
чим
140
120
100
80
600
60
-15
-18
Jan-15
400
40
200
20
Jul-15
Jan-16
Jul-16
Jan-17
Jul-17
Source: Phidar Advisory, Emirates NBD Research
Jan-14 Jul-14 Jan-15 Jul-15 Jan-16
Source: Phidar Advisory, Emirates NBD Research
Jul-16
Jan-17 Jul-17View entire presentation