DIFC arm to establish multi-billion realty fund

DIFC Investments, the investment arm of the Dubai International Financial Centre, said it is launching through its real estate arm, a real estate fund that will invest in Dubai and the UAE's real estate sector.

Details and scope of the "multi-billion" fund will be announced shortly, Emirates Business has learnt. The move reflects the great potential of the UAE's real estate sector, which has seen unprecedented growth over the past five years, said a DIFC statement.

The segment was one of the biggest contributors to the UAE's economy last year, accounting for eight per cent of the country's GDP. It continues to play an increasingly important role in the government's economic diversification policies.

"The steady growth of the real estate sector in recent years and the future prospects provide us with an excellent opportunity to diversify our portfolio," said Dr Omar bin Sulaiman, Governor of DIFC and Chairman of DIFC Investments, in the statement.

"Historically, this sector has netted high returns for investors, and there is a lot room for growth and a lot of untapped potential in this sector, both in the short and long term," he added.

"Given the current global economic environment, our decision to invest in the country's real estate and infrastructure projects will cement our position as a key player in the UAE and provide a great opportunity for diversification," he said.

Follow Emirates 24|7 on Google News.