UAE economy to grow by 5% in 2024, minister reiterates

The UAE’s economy is projected to grow by 5 percent in 2024, a leading member of the government has reiterated.

In an interview with Emirates News Agency, also known as WAM, Minister of the Economy Abdulla bin Touq Al-Marri said that more than 73 percent of the national economy is now non-oil, a historic first for the country.

His projection is in line with recent assessments by the Ministry of Finance and S&P Global, which forecast growth of 5.7 percent and 5 percent, respectively.

“This achievement reflects the confidence of the private sector and investors around the world in the UAE’s investment environment,” Al-Marri said.

The minister added that the private sector is a key pillar in the new economic and investment landscape and is at the heart of global changes and challenges.

“In implementation of the directives of the wise leadership, the UAE has identified the most sustainable and flexible economic sectors, which have reached more than 16 sectors, including health technology, agriculture, education, financial services, artificial intelligence, and other sectors that contribute to the sustainability of economic sectors and enhance the strength of the national economy,” Al-Marri highlighted.

Earlier this month, the Undersecretary of the Ministry of Finance Younis Haji Al Khoori said that the entity’s expectations come despite prevailing global economic challenges, including international financial slowdown and difficult monetary conditions.

In statements to WAM at the time, he explained: “Our efforts to diversify the economy and promote sustainable growth have proven effective. The country expects non-oil GDP growth to reach 5.9 percent in 2023 and to grow by 4.7 percent growth in 2024.”

In January, Tatiana Leskova, associate director of corporate ratings at S&P Global, also said to WAM that the growth in the UAE’s gross domestic product, particularly in Dubai, will be driven by strong momentum in the hospitality, wholesale, retail, and financial services sectors.

S&P Global had previously forecasted that the global GDP is projected to expand by 2.8 percent in 2024.

Leskova further noted at the time that UAE’s output expanded by over 3 percent in 2023, at a moment when the global economy showed minimal growth.

Meanwhile, the International Monetary Fund has also previously conjectured a 4 percent growth in the UAE’s GDP.