The Arabian Gulf region will be among the world’s top four SuperYacht markets within 5-10 years, according to a global transport finance expert.
Addressing delegates at Middle East Money & Ships - the region’s conference for maritime financiers, insurers, lawyers, banks and investors - which was held in Dubai this week – Hugo Modderman, Representative of Frankfurt’s DVB Bank, said although the Gulf’s SuperYacht industry is not yet fully developed, the scenario will change in the long-term.
“The Gulf has a strong maritime tradition that dates back over 200 years and it’s natural that it develops its relationship with the sea. This region currently has over 130 yachts in service which is almost 5 per cent of the world fleet.
“The UAE and Qatar in particular have strong links with the marine industry and I see demand on the rise particularly from these countries.”
Modderman said that by 2015, the Gulf will follow more mature SuperYacht markets such as the USA, Russia and Europe.
“I also see demand from other GCC countries such as Oman and Bahrain,” added Modderman.
“The main issues surrounding SuperYachts in this region are the quality of construction which determines its retail value and the high quality of maintenance.“
He also added that in SuperYacht financing, the biggest challenge is finding the right client who cares about the asset and has a steady income from a reliable source.
Middle East Money & Ships, which is organised by Seatrade, closes at the Grand Hyatt, Dubai tonight (Tuesday, December 12). The conference attracted a powerful speaker line up, addressing the latest issues impacting maritime development, including investment risks, environmental impact and energy transportation in both oil and LNG sectors.
The conference is sponsored by NITC, NSCSA, Det Norske Veritas, Emarat Maritime, International Tanker Management, LMG/Cooper Gray and Lloyd’s Register. It’s fully endorsed and supported by Dubai Maritime City and DP World.
