Oil country prices falling, says Rics

Oil-rich countries are seeing their property prices fall rapidly as a consequence of the recent plunge in the value of the commodity, the Royal Institution of Chartered Surveyors (Rics) has stated.

The Rics global property survey has identified significant falls in some of the world's leading oil producers, which have suffered as the global recession has taken its toll on oil prices.

Among these, the UAE has seen 85 per cent more surveyors expecting prices to fall than rise, whereas there had been a positive balance of 45 per cent in the previous quarter.

Such a trend could mean that now and the near future offer good prospects for investors, who may be able to buy at cheaper prices before seeing values rise when the world economy recovers and demand for oil increases.

This week saw the conclusion of the Abu Dhabi Economic Forum, in which officials have expressed optimism that the emirate will weather the economic storm.

Mohamed Jabber, the vice-president of Morgan Stanley, said the world economy will be in a "stability phase" by 2010, with China the first nation to emerge, Zawya.com reports.