The UAE’s economy continued its upward trajectory in the first quarter of 2024, with an increase in non-oil GDP. This strong performance highlights the country’s growing economic diversification and resilience in navigating global challenges.

Abdulla bin Touq Al Marri, UAE Minister of Economy, emphasized the resilience and vitality of the national economy in the first quarter of 2024, as indicated by preliminary GDP growth estimates from the Federal Competitiveness and Statistics Centre (FCSC).

The country’s real GDP reached $117.16 billion in the first quarter of 2024, reflecting a 3.4% increase compared to the same period in 2023, with non-oil GDP rising by 4%.

Abdulla bin Touq Al Marri, UAE Minister of Economy, attributed this growth to the UAE’s innovative economic model, which aligns with its future vision. This model is supported by strategies that foster global partnerships, openness, and a focus on flexibility and innovation.

He emphasized that these positive economic results advance the goals of the “We the UAE 2031” vision, which aims to increase GDP to $816.78 billion within the next decade.

Hanan Ahli, Managing Director of the FCSC, attributed the country’s strong performance in global competitiveness indicators to the stability of its financial system, a robust economy, and effective legislation.

Financial and insurance activities were the top contributors to non-oil GDP growth, expanding by 7.9%, fueled by a 6% increase in local credit to the private sector. Transportation and storage followed, growing by 7.3%, supported by a 14.7% rise in airport passengers, which reached 36.5 million in Q1 2024.

UAE ports also experienced significant activity, with Dubai’s ports handling 3.7% more containers and Abu Dhabi’s ports increasing cargo volume by 36%. Construction and building activities grew by 6.2%, reflecting government development projects and increased public capital expenditure to $1.3 billion.

The restaurant and hotel sector grew by 4.6% year-on-year, with Dubai welcoming 5.18 million international tourists, marking an 11% increase. Abu Dhabi also reported strong tourism performance, with hotel occupancy and revenue per room improvements.

Trade activities were the largest contributors to non-oil GDP, accounting for 16.1%, manufacturing at 14.6%, financial and insurance activities at 13.4%, construction at 11.8%, and real estate at 7.1%.

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