GDP at constant prices Image Credit: Supplied

Dubai's economy grew 2.1 per cent year-on-year (YoY) in the first half of 2019. The emirate's gross domestic product (GDP) at constant prices reached Dh208.2 billion in the first six months of 2019, according to data published by the Dubai Statistics Centre (DSC).

Arif Al Muhairi, Executive Director of the DSC, said that the flexibility of Dubai’s economy and its business structure helped the emirate maintain its economic growth, despite the slowdown of the regional and global economy. He also said that the wholesale and retail sector supported the overall growth of the local economy thanks to Dubai’s strong infrastructure as it helped boost its re-export business and trade with countries both in the region and around the world. Al Muhairi further said that the trade sector posted a real growth of 3.3 per cent backed by higher external trade, and higher re-exports which grew by 3 per cent to reach Dh210 billion in the first half of 2019.

The wholesale and retail sector, which contributes 25.5% to Dubai’s GDP, grew 3.3 per cent YoY, while external trade grew by 17.7per cent to Dh76 billion.

The transport and storage sector grew by 6.2 per cent. The sector plays a vital role in Dubai’s economy since it is highly related to all other economic sectors.

Activity in the hospitality and restaurant sector, which contributed 5.1 per cent to GDP, grew 2.7 per cent. Total visitors to Dubai in the first half of 2019 reached 8.4 million, a 3.2 per cent growth compared to the same period in 2018, according to data from the Department of Tourism and Commerce Marketing.

Manufacturing activity, which contributed 9.5 per cent to Dubai’s GDP, grew by 0.3 per cent in the first half of 2019, compared to the same period in 2018.

Real estate activity also grew by 2.1 per cent in the first half of 2019 compared to the same period in 2018 and contributed nearly 7.4 per cent to the total GDP.

Adding to that, mining, construction, professional activities, administrative services, public administration, education, health, arts, entertainment, and other service activities and household activities grew 2% YoY, with a combined contribution of 23% to Dubai’s GDP.

Meanwhile, agriculture, electricity, gas, water, waste management, information and communication activities, as well as financial and insurance activity, declined by 1.4 per cent. YoY. Al Muhairi said that these sectors contributed 17% to the total GDP. The decline had a slight impact on overall growth.