News

Dubai Metro: world-class standards

Dubai Metro: world-class standards



Dubai Metro yields $18bn for economy

October 2018

Accumulated benefits of Dubai Metro in the period between its establishment in 2009 and end of 2016 reached Dh66 billion ($18 billion) compared to accumulated capital and operational costs of about Dh41 billion, that is, the cost-benefit ratio reached 1.6 by the end of 2016, a report said.

Dubai Roads and Transport Authority (RTA) has carried out a comprehensive study on the Economic Impact of the Dubai Metro Project, including both its Red and Green Lines, in collaboration with Henley Business School, University of Reading, one of the longest-established universities in the UK. The study analysed the direct and indirect economic benefits of the Metro and calculated the internationally recognised economic indicators in this regard.

Mattar Al Tayer, director general and chairman of RTA, said: “At a time when RTA celebrates the ninth anniversary of Dubai Metro, this study underlines Dubai’s keenness to invest in improving and widening its infrastructure, since it is the backbone of driving the competitiveness of cities and countries.

“The infrastructure in general and roads in particular play a massive role in supporting economic, social and tourist activities, boosting the integration of the local economy, and enhancing GDP. The Dubai Government is aware of the importance of investment in infrastructure, and the Government has therefore consistently maintained this policy. As a result, the emirate’s investments in roads and transport infrastructure have touched Dh100 billion.”

“Such a trend has been rewarded with clear dividends that have propelled the competitiveness of the Emirate and the UAE in general, making Dubai a global benchmark for the quality of infrastructure. The remarkable roads network of the emirate was instrumental in the UAE achieving Number One ranking in the quality of roads worldwide for four years in a row (2014-2017), according to the Global Competitiveness Reports of the World Economic Forum. The sustained improvement of roads, as well as transit systems and services witnessed by Dubai since the establishment of the RTA in 2005 have generated savings of as much as Dh125 billion in the cost of fuel and time,” added Al Tayer.

The study examined the capital and operational costs of the Metro and matched them to the financial benefits of the project in the form of tariff revenues, increase in operational jobs, and appreciation in the value of properties in the surroundings of the Metro stations.




More Stories



Tags