Page 335 - MOE ENGLISH PR REPORT - SEPTEMBER 2024 (Part 2)

9/19/24, 11:57 AM
https://www.bizpreneurme.com/uaes-gdp-totals-aed-430bln-in-q1-2024-with-3-4-per-cent-growth/
UAE’s GDP totals AED 430bln in Q1 2024 with 3.4 per cent growth – Bizpreneur Middle East
Hanan Ahli: GDP growth represents the flexibility of UAE’s economic sectors
H.E. Hanan Ahli, Managing Director of the Federal Competitiveness and Statistics Centre, said: “The
financial and economic data and indicators endorsing the growth of the UAE’s GDP Q1 2024 reflect
the resilience of the country’s vital economic sectors. It highlights the effectiveness of the concerted
efforts to implement the directives of the wise leadership to enhance sustainable economic
diversification, reduce dependence on oil, promote investments, and attract capital and innovative
and emerging projects to the country.”
She added that the UAE’s advanced rankings in multiple global economic competitiveness indicators
can be attributed to several factors, including the stability of the financial system, the strength of the
national economy, and the effectiveness of economic legislation and policies applied in the country,
besides their ability to adapt to changes and face regional and global challenges.
Non-oil economic activities showcase highest growth
Based on the data released by the Federal Competitiveness and Statistics Centre, financial and
insurance activities have emerged as the leading non-oil economic sector contributing to the UAE’s
GDP growth, with a remarkable growth of 7.9 per cent. This growth can be attributed to the
significant increase in the local credit granted to the private sector, which led to a six per cent growth
and positively impacting the rebound of non-oil economic activities. Following closely behind in the
second place are transportation and storage activities, which saw a growth of 7.3 per cent. This
growth was driven by a notable increase in the number of travellers at the country’s airports during
the first three months of this year, reaching 36.5 million travellers, a growth rate of 14.7 per cent
compared to the same period last year. The UAE’s ports have demonstrated exceptional
performance during this time, with Dubai’s international ports witnessing a 3.7 per cent growth in the
number of containers handled, while Abu Dhabi’s ports experienced a 36 per cent increase in cargo
handling volume on an annual basis.
Ranking third, construction and building activities experienced a growth rate of 6.2 per cent in line
with the several development projects initiated by the UAE government in early 2024. They saw a
substantial rise in the government’s public capital expenditures, reaching AED 4.8 billion, compared
to that of Q1 2023.
The restaurant and hotel sector secured the fourth spot with a 4.6 per cent growth during the first
quarter of 2024 compared to the corresponding period in 2023. Moreover, the UAE emerged at the
forefront of global tourism landscape, attracting a substantial number of tourists from around the
world. In particular, Dubai witnessed a remarkable influx of 5.18 million international tourists,
representing an 11 per cent increase as compared to the corresponding period in 2023. Abu Dhabi
also maintained its exceptional performance in key tourism indicators, including the average hotel
occupancy rates and revenue per available rooms.
Non-oil economic activities contribute significantly to non-oil GDP
Trade activities made the largest contribution to the non-oil GDP, accounting for 16.1 per cent.
Manufacturing activities come in second at 14.6 per cent, with financial and insurance activities
ranking third at a rate of 13.4 per cent. Construction and building activities contribute 11.8 per cent,
followed by the real estate activities with a contribution of 7.1 per cent.
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