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UAE Economy Achieves Strong Growth Driven by Non-Oil Sectors
The United Arab Emirates (UAE) recorded significant growth in its real GDP, increasing by 3.8% during the first nine months of 2024, compared to the same period in 2023. The GDP reached AED 1.322 trillion, driven by strong performance in the non-oil sectors, which grew by 4.5%, reaching AED 987 billion. This growth highlights the success of the country’s economic diversification strategy.
Non-oil sectors contributed 74.6% to the UAE’s real GDP, underscoring the growing importance of these sectors in supporting economic growth. In contrast, the oil sector contributed 25.4%.
Abdullah bin Touq Al Marri, UAE Minister of Economy, stated that the continuous growth of the local economy is a testament to the success of the country’s policies and strategies aimed at enhancing economic diversification, facilitating diverse business activities, and stimulating the expansion of new economy sectors. These efforts are central to achieving sustainable economic and social development. The UAE has focused on building an innovative economic model based on best global practices, capable of adapting to global economic changes and challenges.
Real Estate Sector Surpasses Europe
The Minister added that national efforts continue to increase the contribution of non-oil sectors to the local economy, develop flexible and competitive economic regulations, enhance economic openness to the world, and build fruitful partnerships with key regional and global markets. This aligns with the “We Are the UAE 2031” vision, which aims to raise the country’s GDP to AED 3 trillion by the next decade and solidify its position as a global hub for the new economy.
Hanane Mansour Ahli, Director of the Federal Competitiveness and Statistics Centre, noted that the data from the centre showed that the growth in the UAE’s GDP during the first nine months of the past year reflects the country’s strong economic performance and clear future vision, focusing on promoting sustainable economic growth supported by non-oil sectors.
Key Growth Areas
Several economic activities saw significant growth during the first nine months of 2024 compared to the same period in 2023. Notably, transport and storage activities grew by 7.9%, driven by the strong performance of passenger traffic and flights at UAE airports, which saw more than 103 million passengers, marking a growth rate of nearly 20%. The construction sector grew by 7.4% due to increased investments in urban infrastructure projects. Financial and insurance activities grew by 6.8%, government activities by 5.0%, and the restaurant and hotel sector by 4.9%.
In terms of contributions to non-oil GDP, trade ranked first with a contribution of 16.5%, followed by manufacturing with 15.1%, and financial and insurance activities at 12.1%. The construction sector contributed 11.7%, and real estate activities accounted for 7.6%.
Overall GDP Performance
In nominal terms, the UAE’s GDP reached AED 1.486 trillion during the first nine months of 2024, marking a growth of 6% compared to the same period in 2023. The nominal non-oil GDP at current prices stood at AED 1.137 trillion, reflecting a growth of 6.6%.
Non-oil activities contributed 76.5% to the nominal GDP, while oil activities accounted for 23.5%.