Regional stock market indices Regional currency rates Dubai to introduce 3-5% VAT in 2009 Dubai Customs Authorities (DCA) will be introducing a 3-5% Value Added Tax (VAT) in the first quarter of 2009. This will replace the existing 5% customs duty. A spokesman for the DCA dismissed reports by the IMF expecting 2% inflation as a result of the new measure, highlighting that real inflation will be around the acceptable 0.5% range. He further stressed the positive economic growth that other countries experienced as a result of adopting the VAT system. DCA predicts other Gulf Cooperation Council nations to follow suit after signing unilateral free zone trade agreements with the US. GCC investing in $18B of iron ore processing factories The Gulf Cooperation Council Countries (GCC) are investing $18 billion to build 46 iron ore processing factories. The move is seen as vital in meeting the excess demand for steel
