The Middle East continues to cement its position as one of the world's fastest growing amusement and leisure markets, after two separate developments were unveiled this month.

The emirate is set to welcome The Pearl of Dubai, which has been pegged as the world's largest underwater theme park.

Set in the shallow waters of The World Islands development off the coast of Dubai, the attraction been modelled after the mythical lost city of Atlantis and inspired by the look of the Hollywood films Pirates of the Caribbean and Avatar, according to Reef Worlds, the Los Angeles-based underwater tourism design company developing the project.

The five-acre park will be accessible to swimmers and divers of all ages and levels who can view the site near the surface of the sea by snorkelling or explore it deeper underwater by scuba diving.

On dry land, meanwhile, the Dubai government has given the green light for the Mall of the World. Covering 743,000sq.m, the world's largest shopping centre will come complete with a theme park, theatres and 100 hotels – all housed under a climate-controlled dome.

It will also hold 7km of thoroughfares based on London's Oxford Street, a 'Broadway' theatre district and facilities for 'medical tourists'.

Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum said: "The growth in family and retail tourism underpins the need to enhance Dubai's tourism infrastructure as soon as possible.

This project complements our plans to transform Dubai into a cultural, tourist and economic hub for the two billion people living in the region around us – and we are determined to achieve our vision."

Developer Dubai Holding has not revealed how much the project would cost or when it would open.