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9/12/25, 4:01 PM UAE Economy Grows 3.9% in Early 2025, Led by Non-Oil Sectors
6.6% and trade by 3%.

When looking at the share of each sector within non-oil GDP, trade was the largest
contributor at 15.6%. Finance and insurance came next with 14.6%, while manufacturing
industries made up 13.4%.

Minister Highlights Economic Strength

Abdullah bin Touq Al Marri, Minister of Economy and Tourism, said the results prove the strength and
resilience of the UAE’s economy. He explained that the strong performance reflects both investor
trust and the confidence of the international community in the UAE’s business environment.

The minister also pointed out that non-oil activities now account for 77.3% of the real GDP, a
record high. This aligns with the “We the Emirates 2031” vision, which aims to grow the country’s
economy to $816.7 billion (AED 3 trillion) by the next decade.

Business Activity in August

The UAE’s non-oil business activity also showed growth in August 2025. The seasonally adjusted
S&P Global UAE Purchasing Managers’ Index (PMI) rose to 53.3, up from 52.9 in July, which had
been the lowest level in 49 months.

A PMI score above 50 indicates business growth. The increase in August was driven by stronger
output levels midway through the third quarter. The report noted that this was the fastest pace of
activity growth in six months, slightly better than the long-term average.

Key Drivers Behind the Growth

Businesses surveyed pointed out several reasons for the improvement. These included:

Higher sales volumes, showing stronger demand in the market.

Ongoing projects, which boosted production and services.

Stronger local market conditions, helping companies maintain steady growth.

Outlook for the UAE Economy

Overall, the UAE continues to show strong economic performance in 2025, thanks to
its diversification away from oil. Sectors such as manufacturing, finance, real estate, and
trade are becoming increasingly important in driving the country’s growth.

With a growing share of non-oil GDP, the UAE is well on track to meet its 2031 economic vision. If
this momentum continues, the country is likely to maintain its position as one of the most dynamic and
attractive economies in the region.

Published: 8th September 2025

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