CBUAE maintains growth forecast unchanged at 4.3% for 2024

CBUAE maintains growth forecast unchanged at 4.3% for 2024

ABU DHABI: The Central Bank of the UAE maintained its growth forecast unchanged at 4.3% for 2024. In its quarterly economic review, the apex bank said that the UAE economy continued to grow at a solid pace in Q1 2023, “reflecting a strong performance of the non-oil sector, partially offset by a moderation in the oil segment of the economy. For 2023, growth has been revised down by 0.6 percentage points to 3.3%, reflecting oil production cuts agreed among OPEC+ members. The non-oil sector is expected to continue to support aggregate output, albeit at a more modest pace compared to 2022.” For 2024, the CBUAE maintained its growth forecast unchanged at 4.3%. Oil GDP After growing at 9.5% in 2022, with an average production of 3.1 million barrels per day, oil GDP growth in Q1 2023 is estimated to have moderated to 3.1% Y-o-Y, in line with the OPEC+ agreements. Starting in May 2023, OPEC decided to cut production by 144 thousand barrels per day for the UAE. This resulted in a downward revision of the expected GDP growth for 2023 to -0.3%, corresponding to an average daily output of 2,950 thousand barrels per day. The CBUAE projects the other