Page 285 - MOE ENGLISH PR REPORT - SEPTEMBER 2024 (Part 2)

9/19/24, 5:06 PM UAE GDP grows 3.4% in Q1, driven by non-oil sector | Decypha

UAE GDP grows 3.4% in Q1, driven by non-oil sector

Arab News: The UAE’s gross domestic product reached 430 billion dirhams
($117 billion) in the first quarter of 2024, marking a 3.4 percent year-on-year
growth.
Economy Minister Abdulla Al-Marri highlighted that the preliminary estimates
from the Federal Competitiveness and Statistics Center emphasize the vitality
of the UAE economy and its ability to sustain growth, as reported by Emirates
News Agency, also known as WAM.
The non-oil sector played a significant role in this expansion, with a 4 percent
increase contributing substantially to the overall economic performance.
Al-Marri attributed this success to the UAE’s adoption of an innovative economic model, guided by the nation’s leadership. “The UAE
has embraced an innovative economic model that aligns with its future vision, supported by effective national strategies, global
openness, and a focus on flexibility and innovation,” Al-Marri stated, according to WAM.
These results align with the UAE’s long-term vision, We the UAE 2031, which aims to elevate the national GDP to 3 trillion dirhams
within the next decade. This commitment to sustainable growth is reflected in the performance of key sectors such as finance,
transportation, construction, and tourism.
Hanan Ahli, managing director of the Federal Competitiveness and Statistics Center, noted the substantial contributions of these
sectors. “The financial and economic data from Q1 2024 demonstrate the resilience of the UAE’s vital economic sectors,” Ahli said.
She added that the UAE’s strong global economic competitiveness is supported by a stable financial system, robust economic
fundamentals, and effective policy frameworks.
In the first quarter of 2024, financial and insurance activities emerged as the leading non-oil sector, growing by 7.9 percent, fueled by
a 6 percent rise in local credit extended to the private sector. The transportation and storage sector also showed impressive growth,
with a 7.3 percent increase, supported by a 14.7 percent rise in passenger traffic through UAE airports, which saw 36.5 million
travelers. Additionally, Dubai’s international ports handled 3.7 percent more containers, while Abu Dhabi’s ports experienced a 36
percent increase in cargo volume.
Construction and building activities grew by 6.2 percent, largely due to increased public capital expenditures, totaling 4.8 billion
dirhams in the first quarter, compared to the previous year. The restaurant and hotel sector expanded by 4.6 percent, bolstered by an
11 percent rise in international tourists visiting Dubai, which welcomed 5.18 million visitors. Abu Dhabi also experienced strong

tourism performance, with increases in hotel occupancy rates and revenue per available room.
In terms of non-oil GDP contributions, trade activities led with a 16.1 percent share, followed by manufacturing at 14.6 percent, and
financial and insurance activities at 13.4 percent. Construction and real estate activities contributed 11.8 percent and 7.1 percent,

respectively.
https://www.arabnews.com/node/2570658/business-economy

Arab News.com Contribution Time: 09-Sep-2024 21:33 (GMT)

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