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A Dubai recruiter has been fielding pleas from locally based bankers who can’t bear to part with their desert paradise, reports BusinessIntelligence Middle East.
The article quotes Matthew Gribble, a managing director at a local firm:
“Bankers working in Dubai enjoy tax-free salaries and higher bonuses than their counterparts in Europe and the U.S., Gribble said. In 2008, many were commanding ‘seven-figure basic salaries with 100% bonuses,’ Gribble said. In today’s market bankers coming to the region can expect ‘more reasonable’ packages, he said.”
And of course, Dubai also sports world-famous luxury and opulence.
But the coddled bankers may no longer have a choice: Deutsche Bank, Credit Agricole, and Citigroup are all pulling employees from the former boomtown.
No wonder: fees earned are down 42% in 2011. Deutsche Bank is moving its regional head of equity capital markets to London, and Citigroup pulling its Dubai-based head of equities to the U.K. as well. Credit Agricole is closing its Dubai merger group.
According to a quoted analyst, “Dubai never quite fulfilled its promise as a regional banking hub.” The region’s banks have cut 137,000 jobs in the last year according to Bloomberg.
Recent Middle Eastern uprisings and the Eurozone crisis have combined to slow deals and trading volume.
To see what might have been in Dubai, check out The Amazing Buildings Of Dubai That Never Were. (It may not be too late for the infamous ‘The World’ islands development: don’t miss the latest plan to save it.)