The UAE’s economy witnessed in 2023 strong growth, according to the country’s Minister of Economy, Abdullah bin Touq Al Marri. Preliminary data from the Federal Competitiveness and Statistics Centre shows positive trends across various economic indicators.
The UAE’s GDP stood at AED1.68 trillion ($457.38 billion) at constant prices in 2023, marking a 3.6 percent increase from 2022. The non-oil GDP reached AED1.25 trillion ($340.3 billion), reflecting a 6.2 percent growth compared to the previous year. These figures solidify the UAE’s position as the fifth-largest economy globally in terms of real GDP growth index. Additionally, the UAE ranks among the top 10 economies globally across various competitiveness indicators tied to GDP.
Strong economic indicators
Minister Al Marri attributed this remarkable performance to the leadership and directives of President His Highness Sheikh Mohamed bin Zayed Al Nahyan and His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai. The accomplished indicators and outcomes underscore the UAE’s progress in achieving the objectives outlined by the ‘We the UAE 2031’ vision, which aims to elevate the country’s GDP to AED3 trillion within the next decade and foster a shift towards a new economic model centred around diversity and innovation.
Achieving key development objectives
By the end of 2023, the contribution of non-oil sectors to the UAE’s GDP reached a record-breaking 74.3 percent, up 2.5 percent compared to 2022. This milestone supports the UAE’s developmental objectives and fosters a diversified and sustainable national economy.
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Resilient economic policies and strategies
The minister highlighted the implementation of resilient and ambitious economic policies and legislation to address global challenges, as well as strategic plans that promote economic diversification, support emerging sectors, and advance the new economy. These efforts have further strengthened the UAE’s economic position regionally and globally.
Sectoral highlights
Various economic sectors recorded substantial growth in 2023, including financial activities and insurance (14.3 percent), transport and storage (11.5 percent), construction and building (8.9 percent), and real estate (5.9 percent). The tourism sector also experienced a remarkable increase, with the total number of international visitors reaching approximately 31.5 million, a 25 percent increase compared to 2022, and hotel guests totalling 28 million, an 11 percent increase.
GDP growth at current prices
At current prices, the UAE’s GDP reached AED1.88 trillion in 2023, recording a growth rate of 2.3 percent. Non-oil GDP, also at current prices, amounted to AED1.43 trillion, achieving a growth rate of 9.9 percent and an increase of AED 128 billion compared to 2022.
Global competitiveness achievements
Alongside this exceptional GDP growth, the UAE has further solidified its position among the top 10 countries in the world in various global competitiveness indicators. The country ranked fifth worldwide in the Real Economic Growth Rate Index, sixth in GDP (PPP) per capita in the IMD World Competitiveness Yearbook 2023, and sixth globally in the GNI Index, as reported in the UNDP Human Development Index Report 2024.
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