The real world rarely intrudes on the artificial playground of Dubai. And last night, the global financial collapse seemed far behind as one of the most outlandish architectural extravagances of recent times opened with a £15m celebration in the company of A-list stars and a feast of 4,000 lobsters.

For the 2,000 guests, it was a heady cocktail of sunshine and as much champagne and oysters as they could wish for. Kylie Minogue was given her very own fiscal stimulus, a £2m cheque to perform at the party thrown by South African tycoon Sol Kerzner, 73, to launch the Atlantis Palm Jumeirah hotel.

The 1,539-room luxury hotel is built on a palm-shaped artificial island.