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9/12/25, 4:02 PM UAE Economy Grows 3.9% in Q1 2025 on Strong Non-Oil Sector - Bizmart Media

UAE Economy Grows 3.9% in Q1 2025 on Strong Non-Oil

Sector

By Bizmartmedia
September 7, 2025

The UAE economy growth 2025 figures show continued resilience, with real GDP rising 3.9% year-on-year in Q1 to
$123.8 billion (AED 455 billion), according to official data from WAM. The expansion was fueled by strong momentum
in non-oil sectors, which climbed 5.3% to $95.8 billion (AED 352 billion).

Non-Oil Activities Lead Growth

Non-oil activities contributed a record 77.3% of GDP, underscoring the country’s successful diversification strategy.
Oil activities accounted for the remaining 22.7%. Manufacturing was the top performer, growing 7.7%, followed by
finance, insurance, and construction, each at 7%. Real estate expanded 6.6%, while trade activities rose 3%.

The trade sector made the largest contribution to non-oil GDP at 15.6%, followed by finance and insurance at 14.6%,
and manufacturing at 13.4%.

Government’s Economic Vision

Minister of Economy and Tourism Abdullah bin Touq Al Marri highlighted that these results confirm investor
confidence in the UAE’s business environment. He added that the robust performance aligns with the goals of the We the
Emirates 2031 vision, which aims to raise GDP to $816.7 billion (AED 3 trillion) by the next decade.

Recent Business Activity

In August, the S&P Global UAE Purchasing Managers’ Index (PMI) rose to 53.3, up from July’s 52.9. The index
reflected faster growth in output levels, marking the strongest expansion in six months. Businesses cited stronger sales,
ongoing projects, and growing demand in local markets as key drivers.

Outlook

With UAE economy growth 2025 led by manufacturing, finance, and real estate, the country is proving its resilience
amid global economic uncertainty. Continued investment in diversification, infrastructure, and innovation supports the
nation’s trajectory toward its long-term Vision 2031 targets.

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