Skip to content Skip to Search
Skip navigation

UAE economy to grow 4.2% in 2024, says central bank

The UAE flag flies at the Dubai International Finance Centre. Removal from the grey list should increase investors' trust in the UAE and draw FDI Reuters
The UAE flag flies at the Dubai International Finance Centre. Non-oil GDP growth is forecast to reach 4.7 percent in 2024 and 2025

The UAE’s gross domestic product (GDP) is expected to expand by 4.2 percent in 2024, further growing to 5.2 percent in 2025, the Central Bank of the United Arab Emirates (CBUAE) said in its quarterly economic review.

The bank maintained its estimate for 3.1 percent growth in 2023.

Non-oil GDP growth is forecast to reach 4.7 percent in 2024 and 2025, while oil GDP growth is expected at 2.9 percent in 2024 and 6.2 percent in 2025.

The Emirate’s consolidated fiscal balance for the first nine months of 2023 posted a surplus of AED61 billion, or 4.4 percent of GDP. Total revenues amounted to AED370 billion, while expenditures reached AED309 billion.

The central bank sees the federal corporate tax to further strengthen government finances, aiding in revenue diversification.

In addition, the continued strength of the non-oil private sector indicated robust economic activity, as the UAE’s purchasing managers’ index (PMI) reached 56.6 in January 2024, driven by ongoing business confidence in the economy.

Sustained demand and sales, continuous expansion in the production sector and growth in new projects and investment activities support this optimism.

Dubai’s PMI reached 56.6 in January, indicating sustainable growth in the emirate’s non-oil private sector, the central bank said.

Economic growth boosted employment numbers as private sector employment rose by 3.1 percent in the fourth quarter of 2023 and average wages jumped by 7.4 percent year on year.

Last month Ministry of Finance data showed that UAE government revenues reached AED156 billion ($42 billion) for the fourth quarter in 2023, resulting in the Gulf state recording a federal surplus of AED25 billion ($6.8 billion) over the period.

Latest articles

Adnoc sought advice from investment banks on buying a significant stake in BP, a media report said

UAE’s Adnoc explored acquiring BP

Abu Dhabi National Oil Company (Adnoc) explored the possibility of acquiring British oil major BP but abandoned the plan as it did not fit into its strategic growth objectives, a media report said.  The talks did not advance beyond the initial stages, Reuters reported, citing informed sources.  The UAE state oil company also sought advice […]

Nature, Undersea cables account for as much as 90 percent of Europe-Asia telecommunications, Water

Iraq and Kuwait team up for European telecom corridor

Iraq’s Informatics and Telecommunication Public Company, a division of the Ministry of Communications, has signed an agreement with Kuwait’s Zajil Telecom to create a telecommunications corridor from the Gulf region to Europe, transiting through Iraq and Turkey. The new route will pass through Iraqi sea and land ports. Iraq’s minister of communications Hayam Al-Yasiri said […]

An artist's impression of part of the Diriyah Square development

Diriyah Square planned for historic Riyadh district

A public space featuring 400 retail outlets and 100 restaurants and cafes is planned for the historic Riyadh district of Diriyah. Diriyah Square will be announced next week at the World Retail Congress in Paris and aims to attract a combination of international retail brands and local artisans.  Diriyah Gate Development Authority group CEO Jerry […]

Turkish crude steel output rose 25% year on year to 3.2 million tonnes in January

Turkish steel in the black but EU rules rankle

Turkey’s steel industry has rebounded strongly from a weak 2023, despite facing new emissions standards and competition for important markets.  Crude steel output rose 25 percent year on year to 3.2 million tonnes in January, with domestic consumption of finished steel reaching 3.5 million tonnes, a 20 percent increase.  Exports were also up, increasing 23 […]