How did Dubai’s economy perform in the first half of 2026?

Dubai: Dubai’s economy reached Dh473 billion in the first six months of 2026, with strong growth in banking, insurance, healthcare and construction helping the emirate navigate global economic challenges.

According to figures released by the Dubai Data and Statistics Establishment at Digital Dubai, the emirate’s real Gross Domestic Product (GDP) stood at Dh473 billion between January and June, compared with Dh484 billion during the same period last year.

This represents a 2.3 per cent decline in real terms. However, GDP measured at current prices rose slightly by 0.2 per cent to Dh505 billion, reflecting the different performance of economic sectors.

The figures, announced on Saturday, show that while some traditional sectors faced pressure, financial services, healthcare, technology and construction continued to expand.

Healthcare leads growth

Healthcare and social work activities recorded the fastest growth among the major expanding sectors, rising 14.3 per cent compared with the first half of 2025.

The sector’s economic contribution increased to Dh6.2 billion, up from Dh5.4 billion a year earlier.

Financial and insurance activities also performed strongly, growing 8.8 per cent to Dh65.9 billion.

The sector now accounts for 14 per cent of Dubai’s economy, compared with 12.5 per cent during the same period last year.

Construction grew by 2.4 per cent, contributing Dh33.2 billion, while information and communication activities expanded by 2.7 per cent to Dh24.7 billion.

Electricity, water supply and waste management activities recorded 5.4 per cent growth, while government services and education grew by 2.9 per cent and 1.2 per cent, respectively.

Which sectors contribute most?

Wholesale and retail trade remained Dubai’s largest economic activity, accounting for 20.5 per cent of GDP.

Financial and insurance services followed with 14 per cent, while real estate contributed 11.8 per cent and transportation and storage accounted for 10.7 per cent. However, not all sectors recorded growth.

Wholesale and retail trade declined by 6 per cent in real terms, despite increasing by 2 per cent at current prices. Transportation and storage fell by 7.4 per cent.

Real estate activity also declined by 2.5 per cent in real terms, although its value at current prices increased by 5.4 per cent to Dh65.1 billion. Manufacturing recorded a marginal real decline of 0.9 per cent.

The mixed performance reflects the impact of changes in the global economy, with growth in several service sectors helping to offset declines elsewhere.

Focus on investment

Helal Saeed Almarri, Director General of the Dubai Department of Economy and Tourism, said the results demonstrated the strength of Dubai’s economic foundations and its ability to respond to global uncertainty.

“The continued year-on-year growth achieved across a number of strategic and future-focused sectors demonstrates the strength and depth of Dubai’s economic fundamentals and the effectiveness of our continued focus on the sectors that will shape our long-term growth.”

He said Dubai would continue to focus on attracting investment, encouraging innovation and developing talent as part of the Dubai Economic Agenda, D33.

Hamad Obaid Al Mansoori, Director General of Digital Dubai, said the emirate’s diverse economy remained one of its biggest strengths.

He highlighted the growing importance of digital transformation and artificial intelligence in improving productivity and creating new economic opportunities.

Hadi Badri, Chief Executive Officer of the Dubai Economic Development Corporation, said continued growth in financial services and technology reflected investor interest in establishing and expanding businesses in Dubai.

He added that efforts were continuing to improve the business environment, strengthen access to markets and attract investment.

What does this mean for Dubai?

The latest figures highlight how Dubai’s economy is becoming increasingly diversified, with healthcare, financial services, technology and construction playing important roles alongside trade, transport and real estate.

Although overall economic output declined slightly in real terms during the first half of 2026, growth across several important sectors shows that economic activity remains broad-based.

Dubai is continuing to pursue its D33 economic agenda, focusing on investment, innovation, advanced technology and business expansion to support future growth.

Dubai economy: Key figures

• Dh473 billion: Real GDP in the first half of 2026

• Dh505 billion: GDP at current prices, up 0.2%

• 14.3%: Growth in healthcare and social work

• 8.8%: Growth in financial and insurance services

• 2.7%: Growth in information and communication

• 2.4%: Growth in construction

• 20.5%: Wholesale and retail trade’s share of Dubai’s economy