Monday, February 13, 2006

Boom town

Guardian Unlimited | The Guardian | Boom town: "The fastest-growing city on earth, Dubai is spending mind-boggling sums on construction and is about to swallow up P&O in its bid to be a global maritime power. Given the scale of its ambition, could it become the most important place on the planet? Adam Nicolson reports from 'Mushroom City' "

It is said that a fifth of the world's cranes are now at work here. An army of some 250,000 men, largely from India and Pakistan, are labouring to create the new glimmer fantasy, earning on average £150 a month, and living in camps, four to a room, 12ft by 12ft, hidden away in the industrial quarters of al Quoz. One night in one of the luxury hotels would cost six months' wages of one of the men who built it.

The World Bank reckons that the reconstruction of Iraq is going to cost $53bn. Here, along the strip of footballer-friendly sand that stretches 25 miles or so along the shores of the Persian Gulf, there is, at a rough estimate, about $100bn worth of projects either underway or planned for the near future. It is the equivalent of every single dollar invested in the United States from abroad last year; almost twice the foreign investment in China.

There's to be an underwater hotel ($500m). One indoor ski resort, with real snow and its own black run, exists already, a weird, looming presence on the city's southern skyline. There is to be a second, with a revolving mountain. Plans are mooted for a Chess City, with 32 tower blocks of 64 floors, each in the form of a chess piece. There's to be a 60-floor apartment block in the shape of Big Ben. One company selling flats is giving away a free Jag with each one. There will be a pyramid and a building called Atlantis that will cost $600m and include a "swim-with-the-dolphins encounter programme". An Aviation City and a Cargo Village, an Aid City and a Humanitarian Free Zone, an Exhibition City and a Festival City, a Healthcare City and a Flower City, a $4bn extension to the airport and another entirely new airport along the coast towards Abu Dhabi, for which no figures are available but you can take a guess at a few billion: six runways, annual capacity 120 million passengers, 12 million tonnes of cargo.

A group of five old Arab families control the entire emirate. The working and living conditions of the construction labourers and the domestic servants from south Asia are notoriously bad. Thirty-nine building workers died on sites last year, 22 of them simply by falling, as provision of slings and ropes is inadequate. The Dubai press is full of stories criticising companies for late payment, no payment, the confiscation of passports, imposition of penalties for minor infringements, the manoeuvrings of loan sharks and all the other expectable abuses of a poorly regulated employment system. The property laws are explicitly racist: no non-UAE national can own land outside the designated free zones. No foreign company can operate in the country without paying a UAE "sponsor" to be their local representative. No one except UAE nationals can get one of the plum jobs in a government department. Education and healthcare are free for all UAE nationals but no one else. The local press will never be seen to criticise the government and when, for example, I tried to interview the director of strategic planning in the offices of Dubai municipality, I was told I could only do so "if we have checked you out first and seen that what you will write will be favourable". Not much hybridisation there.

Brokeback Mountain is soon to open in Dubai cinemas, which it never could in Saudi Arabia. There is no problem with bikinis and sunbathing on the beaches. And on a more substantial level, there is a determined effort to de-monopolise the economy, to make market competition the driver for this new model world. Local customs must be respected: no loud music during Ramadan, no eating in front of Muslims on fast days, no possibility of making a political claim on the direction of the state. And in return for those limits, the state delivers a sense of wellbeing. That is the trade-off on which Dubai is relying. A booming market, with a consciously courteous social culture and a tight police system (panic buttons in the thousand gold shops in old Dubai bring the police in two minutes) deliver a better wage than would be available at home - all this in return for surrendering anything resembling a political right.

This is the Dubai sandwich: at the bottom, cheap and exploited Asian labour; in the middle, white northern professional services, plus tourist hunger for glamour in the sun and, increasingly, a de-monopolised western market system; at the top, enormous quantities of invested oil money, combined with fearsome social and political control and a drive to establish another model of what modern Arabia might mean in the post-9/11 world. That is the intriguing question: can Dubai do what Libya, Egypt, Palestine, Lebanon, Syria, Iraq, Yemen, or almost anywhere else in the Arab world you might like to mention, have failed to do? Is Dubai, in fact, the fulcrum of the future global trading and financial system? Is it, in embryo, what London was to the 19th century and Manhattan to the 20th? Not the modern centre of the Arab world but, more than that, the Arab centre of the modern world.

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