Business | Markets

Stock market crisis hits UAE hard

"We've gone from middle class to poverty," said one of the many UAE investors who has suffered life-changing losses with the financial shock that has gripped the country.

  • By Abbas Al Lawati and Rayeesa Absal, Staff Reporters
  • Published: 00:31 October 9, 2008
  • Gulf News

Dubai/Abu Dhabi: "We've gone from middle class to poverty," said one of the many UAE investors who has suffered life-changing losses with the financial shock that has gripped the country.

"Eighty per cent of all that I saved in the 27 years I worked for the government has been wiped off," said Umm Haitham, a Palestinian retiree. "I didn't know what was awaiting me when I invested. We're in a state of poverty."

Official intervention is urgently needed, she said.

"Trading needs to be stopped until the situation improves."

The turmoil facing the country's stock markets has taken a personal toll on investors big and small. While some have lost all they had, others have been hospitalised. "This is eating away at our lives and our health. We are in a dark tunnel and don't know where it is leading us," said Emirati investor Abdullah Saleh, an oil company executive. He lost more than Dh400,000. A high profile Emirati investor said his losses were "very high". "I couldn't take the shock and was hospitalised," he said.

A source close to him revealed that his loss was close to Dh15 million.

In the worst cases, people have lost their homes, their health and even families.

A 30-year Indian resident of Dubai said it was time to pack up and leave.

"I've lost 85 per cent of my life savings in the stock market, and no one can save us now. I've had enough," he said.

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