UAE Economy to Grow by 6.2% in 2025, Forecasts Arab Monetary Fund

UAE, 26 July, 2024 :  The UAE's economy is set to grow by 3.9% in 2024, rising to 6.2% in 2025, according to the Arab Monetary Fund's (AMF) latest Arab Economic Outlook report. The growth is driven by improvements in tourism, real estate, international trade, increased capital spending, and developments in high-tech industries.

The report highlights the UAE's strong economic fundamentals, supported by a dynamic non-oil sector, robust public and monetary policies, and strategic initiatives to enhance its position as a global trade and finance hub. Infrastructure development, a strong regulatory framework, and a focus on innovation and technology-based sectors also contribute to this growth.

In 2022, the UAE witnessed significant economic growth of 7.5%, thanks to a successful COVID-19 response, supportive financial measures, and a business-friendly environment. The fuel sector and tourism saw strong growth, with the economy achieving a 3.6% growth rate in 2023.

The AMF projects that Arab economies will improve in 2024, with a growth rate of 2.8%, rising to 4.5% in 2025. Major oil-exporting countries, including Saudi Arabia and Qatar, are expected to benefit from improved energy prices. Saudi Arabia's economy is forecasted to grow by 4.4% in 2024 and 5.7% in 2025, while Qatar's economy is expected to grow by 1.8% and 3.1% in 2024 and 2025, respectively. Other countries like Kuwait, Oman, and Bahrain also show positive growth projections for the coming years.

Source : www.zawya.com