A Quarterly Newsletter from the UAE and Oman member firms of the PKF International Ltd. network

VOL 16, Issue 3 July 2014

From the Managing Partner - U.A.E.

By all accounts the property market in Dubai seems to have slowed down quite considerably in Q1 2014 after the yet again meteoric rises recorded last year. Contributory factors have included the increased transfer fees, the tightening loan to value ratios on mortgages and the developer imposed restrictions on flipping before a certain amount is paid up. Transaction volumes have also reduced significantly. Such dramatic increases and tightening rules force end-user buyers out of the market as the prices are just too high. This in turns cools the speculative impact, which can only be a good thing for Dubai’s economy ¬ – a slower but steady and sustainable growth should be the target.

We have some changes of our own within PKF here. As many will know, one of our partners, Ansar Merchant, retired at the end of June. Ansar joined the firm in the 1980’s and moved his way up to partnership in 2007. During his time he developed a sizable audit portfolio and some very long-lasting relationships. We sincerely wish him a peaceful and fulfilling retired life.

Also, effective 19 June 2014, we have moved our main Dubai office to the Rolex Tower on the Sheikh Zayed Road, situated just by the Financial Centre metro station. We have taken the entire 18th floor and visitors are most welcome.

This issue features an interview with Mr. Vipin Sethi CEO – Corporate of the Landmark Group, which has made giant strides since establishing in a small way in Bahrain during 1973. We also have our usual updates on IFRS, this time covering IFRS 10, and from the offshore world. Please feel free to write to update@pkfuae.com if you would like to express an opinion on any matter inside.