UAE set to be top GCC economic performer in 2024

UAE set to be top GCC economic performer in 2024

As the economy heads into 2024, a more favourable oil output quota for the UAE will mean that oil GDP becomes supportive to economic growth once more

Published: Thu 3 Aug 2023, 10:14 PM

The UAE is set to emerge as the best performing economy in the GCC in 2024 with an overall GDP growth of 4.0 per cent after navigating a soft 2023, according to forecasts made by Capital Economics.

As the economy heads into 2024, a more favourable oil output quota for the UAE will mean that oil GDP becomes supportive to economic growth once more. “With non-oil activity likely to hold up well too, we have pencilled in overall GDP growth of 4.0 per cent. This would make the UAE the best performing economy in the Gulf,” James Swanston, Middle East and North Africa economist at Capital Economics, said in a report.

The International Monetary Fund (IMF) has projected that the Emirates’ economy would expand at 3.9 per cent in 2024 as compared to 3.6 per cent this year regardless of geopolitical headwinds and uncertain global recovery prospects. The World Bank projected the GCC's second-biggest economy to grow at 3.3 per cent in 2023 driven by robust domestic demand, particularly across