The UAE’s real GDP is projected to grow by 3.9 per cent in 2024 and expand to 4.1 per cent in 2025, according to the World Bank’s latest Global Economic Prospects report. In April 2024, the World Bank raised its forecast for real GDP growth in the UAE to 3.9 per cent in 2024, compared to its January forecast of 3.7 per cent.
Growth in the Middle East and North Africa is expected to pick up to 2.8 per cent in 2024 and 4.2 per cent in 2025. Growth in Gulf Cooperation Council (GCC), countries is forecast to strengthen to 2.8 per cent in 2024 and 4.7 per cent in 2025.
The economies of oil exporters are projected to grow by 2.9 per cent and 4.2 per cent in 2024 and 2025 respectively, while those of oil importers are forecast to deliver a growth of 2.9 per cent and 4 per cent in 2024 and 2025 respectively.
The UAE economy grew 3.3 per cent in the first nine months of 2023, preliminary GDP data from the Federal Competitiveness and Statistics Centre showed last month.
Non-oil GDP surged 5.9 per cent in the same period, representing about 74 per cent of the overall GDP contribution as UAE accelerates plans to diversify its economy away from hydrocarbons and draw foreign investment. Sectors including financial services, construction, and transport and storage recorded strong growth in the nine months to September last year, the figures showed.
Growth in 2023 was expected to slow sharply from 2022 across the Gulf region as oil production cuts for OPEC+ members, lower crude prices, and global economic headwinds weighed on the oil sector.
- With input from WAM, Reuters
