World Bank Forecasts Strong Non-Oil Sector to Propel UAE's Economic Growth in 2024

UAE's GDP set to rise by 3.9% in 2024, driven by increased oil production and global economic recovery, per World Bank's Spring 2024 Gulf Economic Update.

Oil output to grow by 5.8%, while non-oil sectors like tourism and manufacturing to expand by 3.2%, supporting overall growth.

The report notes UAE's sustained strategic spending growth, emphasizing commitment to sustainable, green, and digital development. It highlights a 9.1% GDP current account surplus, boosted by non-oil exports, investments, and trade agreements. GCC countries, including UAE, show strong financial reserves due to oil, gas, and non-oil export expansion.

The report stated that the UAE approved a US$10 billion investment in tourism infrastructure and initiated the establishment of a large public-private partnership portfolio worth US$10.9 billion.

The report pointed out that the UAE is actively pursuing a series of structural measures and strategic investments to diversify its economy and enhance industrial capabilities. Key initiatives include Abu Dhabi's US$10 billion investment in tourism infrastructure, ADNOC Gas's US$13 billion gas expansion plan both globally and locally over the next five years, and the approval of a large public-private partnership portfolio worth US$10.9 billion in Dubai.

The report confirmed that the UAE also experienced a recovery in employment to pre-pandemic levels. Additionally, the Emiratisation strategy is being reinforced with a new budget of US$1.74 billion aimed at integrating 36,000 citizens into the private sector by 2024.

News Source: Emirates News Agency