UAE economy primed for stronger growth in H2 2023

UAE economy primed for stronger growth in H2 2023

Despite the geopolitical ramifications that the global economy is currently facing, the UAE economy is poised for stronger growth, recovery, and prosperity in the second half of this year, supported by a track record of economic successes that have fructified into the UAE’s designation as an innovation-driven economy, reported state news agency, . The UAE economy’s strength and recovery from the aftermath of the Covid-19 pandemic are evident in the positive projections made by international institutions and banks including the (IMF) and . “The UAE is poised for positive economic growth as it is projected to achieve a 3.6 per cent increase in its gross domestic product this year, driven by robust domestic activity,” said the IMF, recently. Following a growth rate of 7.9 per cent in , the UAE’s economy is expected to maintain its upward trajectory in 2023, benefitting from sustained tourism activity and higher capital expenditure, the IMF said in its 2022 Article IV assessment. Similarly, the World Bank has forecasted a 2.8 per cent growth in the UAE’s real GDP for 2023. The non-oil sector is expected to experience robust expansion of 4.8 per cent, primarily driven by strong domestic demand in key sectors such as