UAE economy hits one of fastest growth rates in the world, says Central Bank

UAE economy hits one of fastest growth rates in the world, says Central Bank

The UAE economy will pick up pace and grow at a faster pace next year as both oil and non-oil sectors would perform better, according to Central Bank’s annual report released on Wednesday.

The UAE's gross domestic product (GDP) grew at 7.6 per cent last year, one of the fastest growth rates in the world. The growth rate is likely to slow down to 3.9 per cent this year but the pace will pick up again next year and GDP is projected to expand at 4.3 per cent, showed the Central Bank of UAE’s (CBUAE) annual report.

“Real-oil GDP is projected to grow by 3 per cent and 3.5 per cent in 2023 and 2024, respectively. The uncertainty surrounding these projections is high, as they depend on the evolution of the Russia-Ukraine conflict, the heightened risk of a global slowdown, and the possibility of further Opec+ cuts to oil production,” the report said.

While non-oil GDP growth is estimated to have accelerated to 6.6 per cent in 2022 from 5.8 per cent in 2021 due to a variety of factors, including the removal of most Covid-19-related restrictions and resulting recovery in global travel and tourism, the real estate and construction sectors, expanding manufacturing