The Statistics Centre – Abu Dhabi (SCAD) has recently published its GDP estimates report for 2022, indicating a significant growth rate of 9.3% compared to 2021, which makes Abu Dhabi the quickest-growing economy in MENA.
The emirate’s diverse sectors experienced a steady growth throughout 2022, which is mainly attributed to its strong economic structure, as well as a collective effort from both the public and private sectors. Abu Dhabi has sustained its competitive edge and international standing, while maintaining a stable macroeconomic climate, according to WAM.
The achievement of Abu Dhabi’s GDP growth is a result of its diversification strategy, which is being led by the Abu Dhabi Department of Economic Development (ADDED). The strategy has focused on developing a business-friendly environment, a robust regulatory framework, and exceptional infrastructure and connectivity to support sustainable and intelligent economic development.
Abu Dhabi has been implementing strategic measures to diversify its economy while maintaining a prudent fiscal policy, responding to market trends, and promoting foreign direct investment.
Moreover, the Abu Dhabi Industrial Strategy (ADIS), launched in June 2022, has played a significant role in diversifying the emirate’s economy. ADIS aims to make Abu Dhabi the most competitive industrial hub in the region by investing AED 10B across several programs, which are expected to double the size of the sector to AED 172B, create 13,600 jobs, and increase non-oil exports to AED 178.8B by 2031.
This initiative will enhance access to financing, ease of doing business, attract foreign direct investment, improve infrastructure and utilities, and facilitate partnerships with local and international entities.
Ahmed Jasim Al Zaabi, the Chairman of the Abu Dhabi Department of Economic Development (ADDED), said: “The continued strong performance of Abu Dhabi’s economy is a testament to the leadership’s farsighted vision and effectiveness of economic diversification strategy which champions public-private partnership and incentivizes foreign and domestic investments.”
“A forward-looking enabler, ADDED views Abu Dhabi’s achievements that have cemented its position as a preferred destination for business, investment, and talents as a foundation of the next phase of our development; ‘Economic Diversification 2.0’. That is why we are forging ahead with our plans to develop and implement policies and initiatives to address geopolitical, economic, scientific, and technological developments reshaping the economy.”
“Abu Dhabi’s ‘Falcon economy’ is characterized by growing, liberalized, and diversified economy, and driven by a strategic vision that places sustainability, social and human development at the top of its priorities, and we will further accelerate and enhance efforts to benefit from digital transformation, innovation, and advanced technology in economic and social plans.”
Abdulla Gharib Alqemzi, Acting Director General of the Statistics Centre – Abu Dhabi, said: “The Emirate of Abu Dhabi has achieved remarkable growth rates in its non-oil gross domestic product, registering a remarkable 8.4% increase by the end of 2022.”
This growth is credited to the wise leadership’s strategic policies that prioritize economic diversification, private sector engagement, and human capital investment. These measures have created a resilient economic environment capable of withstanding various challenges, strengthening Abu Dhabi’s position as a thriving global hub.
“In light of GDP 2022 estimates, all economic sectors displayed notable growth, particularly the major economic sectors. This exceptional performance indicates a promising and robust economy, laying a strong foundation for a prosperous future.”
The Statistics Centre – Abu Dhabi (SCAD) released its Gross Domestic Product (GDP) estimates for Q4 2022, reporting a 5.9% growth in real GDP worth AED 278.3B compared to the same period in 2021. Non-oil sectors contributed 50.2% of the total value, amounting to AED 139.6B. The non-oil sectors also experienced significant growth, with a total of AED 554.6B by the end of 2022, representing 50% of the GDP.
Real estate activities grew by 17.1% due to increased projects and international investment, while health and social work activities grew by 16.6%. Wholesale and retail trade activities saw a growth rate of 11.6%, reaching AED 58.6B and reflecting a thriving local market. The transport and storage sector grew by 10.9%, reaching AED 18.6B, while the accommodation and food service activities saw a growth rate of 11.9%, indicating a thriving tourism industry in Abu Dhabi.
In 2022, Abu Dhabi’s manufacturing sector experienced a growth of 9.7%, amounting to AED 90.8B and contributing 8.2% to the emirate’s GDP. This growth is expected to continue, driven by Abu Dhabi’s industrial strategy, which aims to boost economic growth and enhance the emirate’s international trade.
The construction sector in Abu Dhabi witnessed a growth rate of 7.6% in 2022, valued at AED 86B and contributing 7.8% to Abu Dhabi’s real GDP.
Abu Dhabi’s finance and insurance activities also experienced significant growth of 7.4% in 2022, reaching AED 62.4B and contributing 5.6% to the emirate’s GDP. The confidence of the global community in Abu Dhabi’s economic potential has positioned the emirate as a preferred destination for investors, entrepreneurs, innovators, and professionals worldwide.
