ISLAMABAD (PPI) - Pakistan Economy Watch (PEW) on Monday said that flight of capital from Pakistan is on the rise and around five billion dollars are illegally transferred to Dubai for investment in the realty business every month. This transfer of huge funds is one of the reasons behind sluggish growth which is due to the political uncertainty since November 2007. Pakistani banks have left with only three billion dollars deposited by account holders. Speaking at a meeting, Dr. Murtaza Mughal, President of Pakistan Economy Watch said that estimates suggest some one trillion and 88 billion dollars have been invested in real estate business in Dubai so far. The bonanza has resulted in misbalancing demand-supply mechanism which has resulted in a drop by 5-6 percent in the prices. The prices of property in Dubai may drop further. He said that out of 30,000 gigantic construction machines across the globe, some 24 percent are working in Dubai. Abu Dhabi is also flexing muscles to become part of the game. On the other hand the real estate business in slipping in Qatar, says a press release. "90 percent mega construction projects are owned by Pakistanis in Ajman and now our people have become top investors in Dubai," he said. Dr. Murtaza Mughal said that a mafia comprising bankers, money changers and known builders are facilitating flight of capital from Pakistan. The post 9/11 steps of United States of America to eradicate hundi/hawala business have dented them to some extent but could not stop their business. These elements book stalls in expositions are openly make deals. Increasing cement exports and high price of building material at home, lack of proper control and facilities for the construction sector has pushed many major builders to transfer business to Dubai while rest are thinking on the same lines. Some 3000 businessmen have shifted to Dubai permanently which is not good omen for an economy worth 160 billion dollars. Dr. Murtaza Mughal informed that 6.5 to 7.5 bank interest rates in a time when inflation is at 18-22 percent have made Dubai darling on the investors which has pushed prices 80 percent high since 2007. He said lack of opportunities in Pakistan is pushing many to start business overseas which is a very dangerous trend. Now some builders are also eying Malaysia as another top destination for investment opening another venue for flight of capital from Pakistan. Property can be bought in UAE on 10 percent down payment on buyback guarantee but the innocent investors are not aware of the fact that a slight reversal in the boom, about 15 per cent, will cause a collapse and all guarantors will disappear in thin air. Masses will, thus, be relieved of their hard-earned money. He said that State Bank of Pakistan is aware of the flight of capital, which has touched new heights now, but only few half-hearted step have been taken coupled with some warning that are not enough. He warned the investors that in the last decade Singapore had experiences same situation and a collapse resulted in 80 percent drop in prices of real estate in which people lost billions. Big fish of are now active to squeeze the remaining middle class investors, he said and demanded Government to stop them from milking commoners. Dr. Murtaza Mughal said that Government could ask Malaysia and countries in Gulf to ban investment by Pakistanis temporarily and try to improve internal situation to stop flight of capital.