Michael Bolliger, Chief Investment Officer of Emerging Markets at UBS Global Wealth Management, projected that the UAE’s GDP growth would exceed 5 percent by 2025.
This aligns with the latest estimates from the International Monetary Fund (IMF), which forecasts a rise in the UAE’s GDP growth from 4 percent in 2024 to 5.1 percent in 2025.
Bolliger attributed this optimistic outlook to multiple global economic factors, including oil production levels and decisions by the Organization of the Petroleum Exporting Countries (OPEC). Additional stimuli, such as economic policy shifts in China, monetary easing, and reductions in reserve requirements, are anticipated to support the global recovery, positively influencing the GCC region, including the UAE.
“These global factors will impact the UAE’s economic performance both directly and indirectly,”
Bolliger explained, emphasizing that the UAE is likely to sustain its growth momentum over the coming years.
He also pointed to the U.S. Federal Reserve's policy as a key factor shaping international markets. UBS expects the Fed to reduce interest rates by approximately 150 basis points by the end of 2025, which could further support global economic stability and bolster growth prospects in the UAE and other emerging markets.
With supportive international and domestic factors, the UAE’s economy appears set for robust growth, marking a positive outlook for the region's economic resilience.
News Source: Emirates News Agency
