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New Dubai statistics law ‘could dissuade research’

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The Dubai government announced a new law last month intended to establish a Dubai Statistics Center to oversee surveys in the emirate and ensure their quality and accuracy via an “advanced statistics system”.

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A law requiring companies to seek official approval before carrying out surveys in Dubai could harm real estate and discourage research, experts told local media.

However, a clause in the legislation forbids private firms from conducting any survey without first obtaining authorisation from the new Dubai Statistics Center.

Experts told The National this was a concern. The provisions “would strongly disincentivise many public and private sector organizations from conducting research due to the additional time and bureaucracy that may be involved”, Radhika Punshi, Dubai-based director of consulting at The Talent Enterprise, which studies Arabian Gulf labour markets, was quoted as saying.

In particular, she said, the pre-approval requirement could undermine the credibility of research conducted in Dubai as people “may come to view government-sanctioned research with a pinch of salt”.

“If Dubai wants to act on its vision of becoming an innovative, knowledge-based economy, then greater transparency, objectivity and openness to differing viewpoints in areas like education and human capital are crucial,” she said.

Another expert, Coralie Pring, a research coordinator for corruption surveys at Transparency International, agreed.

“It may well happen that once prior approval is needed for research in Dubai, and if the topic is of a sensitive nature, the government may refuse to let surveys take place, in case it exposes results that may embarrass them,” she said.

“Private survey firms may refuse to even consider running such surveys.”

Craig Plumb, head of research at real estate firm JLL, said: “If we become caught up in a more bureaucratic process, where it takes longer to publish our findings, those delays could be damaging to the property market.”

The newspaper also noted that Dubai Land Department said in August it would stop issuing quarterly updates to its RERA rent index – which is used as the basis for negotiating rent prices in the emirate.

However, Ahmet Kayhan, CEO of real estate data company Reidin, said the new law could help prevent false and misleading information from circulating in the market.

He told The National: “Overall the announcement is very positive for companies like us which do provide reliable and professional data and information services, as there are lots of false and misdirecting information regarding real estate from companies who do have conflicted interests.

“We already work with lots of government agencies and will apply for permission from the Dubai Statistics Center as soon as possible.”

 

credit to Arabian Business