The United Arab Emirates central bank said on Wednesday it expects real GDP growth to reach 4.2% next year, up from its earlier forecast of 3.3%, the state news agency (WAM) reported. The central bank had projected real GDP growth to reach 5.4% in 2022.
The central bank estimated the non-oil GDP growth will reach 3.9 percent in 2023 compared with previous estimates of 3.3 percent, while the oil GDP growth will reach five percent in 2023 compared with earlier estimates of 3.4 percent.
CBUAE expects a continued increase in public spending, a positive outlook for credit growth, higher employment, and better business sentiment, as Dubai
World EXPO continues to take place in Q1 2022. Furthermore, being a major tourism, transit, and trade hub in the region, the UAE is expected to benefit from the removal of travel restrictions and events such as the FIFA World Cup which is planned to take place in Qatar in Q4 2022.
The IMF expects the UAE economy to grow by 3% this year after it expanded by 2.1% in 2021. The UAE’s non-oil economy has benefited from public spending, credit growth, and improving business sentiment, and its hosting of the Dubai World EXPO has boosted tourism. The economy of Dubai represents a gross domestic product as of 2018 of US$102.67 billion.
GDP in the United Arab Emirates is expected to reach 400.00 USD Billion by the end of 2021, according to Trading Economics global macro models and analyst’s expectations. In the long-term, the United Arab Emirates GDP is projected to trend around 425.00 USD Billion in 2022, according to our econometric models.
The non-oil GDP growth rose to 5.3 percent in 2021 and is expected to reach 4.3 percent in 2022, in light of sustainable government spending, a positive outlook for loan growth, and the improvement in business sentiment, according to the estimates of the central bank. The report highlights the results achieved in terms of the UAE’s economic activity, which has begun to flourish again as a result of the country’s overall economic support measures and its success in containing the financial and economic challenges resulting from the Covid-19 fallout.
The oil GDP growth is anticipated to grow eight percent in 2022 due to the expected recovery in global demand, as well as the recovery of the transport and travel sector, and production increase of Opec member countries.
