Skip to content Skip to Search
Skip navigation

World Bank raises UAE’s economic growth outlook

Real GDP growth projection for the UAE was revised to 3.9 percent this year, up from 3.7 percent Rodrigo
Real GDP growth projection for the UAE was revised to 3.9 percent this year, up from 3.7 percent

The World Bank has raised its UAE economic growth forecast for 2024 and 2025, citing robust non-oil sector growth and higher oil output.

The real GDP growth projection for the Gulf state was revised to 3.9 percent this year, up from its previous forecast of 3.7 percent in January, the World Bank said in its latest economic update for the Middle East and North Africa (Mena) region.

Similarly, the economic growth outlook for the UAE has been revised to 4.1 percent in 2025, compared to the earlier forecast of 3.8 percent.

The current account surplus is anticipated to reach 8.4 percent in 2024 and 8.3 percent in 2025, with a surplus of 5.1 percent in the fiscal balance by the end of 2024 and 4.8 percent the following year.

In the broader Mena region, growth is forecast to reach 2.7 percent this year, returning to the low growth rates seen in the decade preceding the global pandemic. However, growth is expected to rebound to 4.2 percent in 2025.

The GCC economies – Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE – are projected to see improved growth, reaching 2.8 percent in 2024 and 4.7 percent in 2025.

This increase is primarily driven by increased oil output resulting from the phased removal of oil production cuts and robust expansion in the non-oil sector propelled by diversification efforts and reforms.

The World Bank said the GDP per capita in the Mena region is expected to grow modestly to 1.3 percent in 2024 from 0.5 percent in 2023, driven primarily by the GCC economies.

Latest articles

Tourism to contribute $64bn to UAE’s economy in 2024

The tourism sector’s contribution to the UAE’s economy is expected to reach AED236 billion ($64 billion) in 2024, accounting for 12 percent of the overall GDP, a senior government official has said.  The sector contributed AED220 billion to the GDP last year, accounting for almost 12 percent of the overall economy, Khaled Al Midfa, chairman of Sharjah […]

Helmet, Adult, Male

Saudi Aramco’s $10bn share sale slated for next month

Saudi Aramco’s anticipated share sale is expected to take place next month, according to a media report. The offering is projected to raise nearly $10 billion and will be listed on the local stock exchange, Reuters reported, citing unnamed informed sources.  The sources said details may still change, but the process continues. In September 2023, […]

Indoors, Restaurant, Cafeteria

Hong Kong’s airport lounge operator targets Saudi expansion

Hong Kong’s airport lounge operator, Plaza Premium Group (PPG), has earmarked $100 million to expand across the Middle East, focusing on Saudi Arabia. The regional expansion is part of its three-year $300 million global expansion plan. The funds will be allocated to opening lounges, establishing an airport concierge service with white-glove service, opening innovative dining outlets and exploring […]

Russians Turkey Istanbul Bridge

Russians rush from Turkey as costs and restrictions bite

Rising costs, increased difficulties in obtaining residency permits and tighter enforcement of restrictions on the number of foreign nationals who can live in popular regions are prompting an exodus of Russian citizens from Turkey.  The number of Russian nationals holding Turkish residence permits has plunged to just over 96,000 as of May 16, down from […]