For the third year in a row, the oil sector’s contribution to GDP in the UAE has decreased at constant prices, reflecting the government’s policy of reducing reliance on the oil economy.
According to figures from the Federal Competitiveness and Statistics Center, the non-oil sector’s contribution to UAE’s GDP in 2021 was around 72.3 percent, up from 71.3 percent in 2020.
In comparison to their growth rates in 2019 and 2020, seven key non-oil sectors experienced exceptional growth in 2021.
In 2021, sectors like hospitality (21.3 percent), wholesale and retail (14.1 percent), and “health and social services” (13.8 percent) accounted for the largest growth, compared to the same period in 2020.
According to the report, the country’s GDP exceeded international forecasts, increasing by 3.8 percent at constant prices in 2021 to reach 1,492,639 billion dirhams.
Meanwhile, GDP increased by 13.5 percent at current prices in 2021 compared to 2020, one of the strongest growth rates in the region and globally, reaching 1,489,080 million dirhams.
The findings show that in 2021, key sectors experienced remarkable growth, outpacing not only 2020 but even 2019 – or pre-pandemic.
This strongly signals that the UAE economy has made significant progress in recovering from the repercussions of the Covid-19 pandemic and has entered a period of sustained economic growth.
Furthermore, the UAE’s GDP growth was the fastest among surrounding countries in 2021, according to the research.