2024-02-29 22:04:36
The UAE economy continues its strong performance, driven by the recovery of basic sectors such as tourism, retail, real estate, and business prosperity, in addition to the improvement in oil markets and the continuation of economic diversification plans well.
The country is expected to record economic growth exceeding 5% during 2024, according to forecasts by many national and international institutions and specialized economic reports.
The momentum of the UAE economy is supported by positive expectations for the global oil market in light of the trends of increasing production in addition to the distinguished economic performance of the non-oil sectors.
International reports indicated that the positive openness adopted by the UAE to the global economy has strengthened its capabilities and ability to expand intra-trade with many countries of the world, in addition to the country’s efforts to strengthen comprehensive economic partnership agreements, which has consolidated its position as a global center for trade, especially in terms of linking Asia and Africa. .
Positive outlook
According to the latest expectations of the Central Bank, the ceiling for economic growth in the country will reach 5.7% for the year 2024, significantly higher than previous expectations of achieving growth of regarding 4.3%.
The bank attributed the raising of expectations to the positive outlook towards the OPEC group’s announced plans to increase oil production during the current year, which will push oil economic growth to 8.1% during 2024.
The Central Bank explained that at the same time the performance of the non-oil economic sectors, led by the financial services, insurance and construction sectors, in addition to real estate, is witnessing remarkable growth, as the initial expectations for the growth of the sector during the past year 2023 were regarding 5.9%, while the current year is expected to achieve growth of regarding 4.7%. .
Global superiority
The expected growth rate in the UAE exceeds the global rate, according to monitoring by many international institutions, as Standard & Poor’s International Credit Ratings Agency expects the country’s gross domestic product to grow by more than 5% in 2024, which exceeds the rate that the agency expects for the global economy, which is 2.8%.
The agency’s expectations are based on the positive performance achieved by the UAE economy in 2023, as the gross domestic product rose by more than 3%, including growth of approximately 6% for the non-oil sector, driven by clear business momentum, especially from Dubai in basic sectors such as hospitality, wholesale and retail trade, and financial services. .
Strong indicators
In turn, OPEC confirmed in its monthly indicators that the UAE economy will continue the expected activity during 2024 to achieve a remarkable level of growth compared to the levels achieved during previous years, indicating the presence of strong indicators of growth momentum, as the non-oil sector showed strong growth throughout 2023, and This dynamic is likely to extend until the end of this year, with a clear expansion that will strengthen the sector and, in turn, expand the job market.
It added in its data distinguished indicators for basic sectors, including the real estate sector, especially in Dubai, which is achieving effective performance supported by real estate sales that have reached their highest levels over the past decade, in addition to the tourism sector, which is witnessing a recovery with an estimated share of regarding 16% in the country’s gross domestic product.
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