UAE GDP Projected to Grow 3.9% in 2024 as Non-Oil Sector Drives Recovery

The UAE economy is transitioning from a period of resilience to a phase of accelerated recovery, with the Central Bank of the UAE (CBUAE) projecting a gross domestic product (GDP) growth of 3.9% for 2024. This growth follows a 3.6% expansion recorded in 2023, driven primarily by the robust performance of the non-oil sector. Non-Oil Sector Performance The non-oil GDP is forecast to expand by 5.4% in 2024. This trajectory is supported by sustained activity in key industries, including real estate, tourism, and financial services. Current data indicates that the non-oil sector continues to be the primary engine of economic diversification, maintaining a growth rate above 5% for the second consecutive year. The Central Bank’s Quarterly Economic Review further anticipates a sharper acceleration in 2025, with overall GDP growth expected to reach 6.2%. This projected surge is attributed to an expected 8.4% increase in the oil sector’s GDP, alongside a consistent 5.3% growth in the non-oil segment. Trade and Fiscal Indicators The UAE’s fiscal position remains strong, characterized by a surplus in the current account. Increased foreign direct investment and high trade volumes have…