Much-needed consolidation

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The announcement of the merger of Dubai Holding’s three real estate entities with Emaar Properties is likely to be received with equal amounts of relief and concern.

The relief comes from the government finally pushing though consolidation in the bloated corridors of Dubai Inc. Personal and business rivalries in the government’s sprawling commercial arms helped Dubai’s expansion in the growth years but have exacerbated the ongoing bust.

Bungled execution is however raising as many questions as it answers. Hence the concern.