The UAE is projected to see its real GDP grow by 3.9 percent in 2024, up from the previous forecast of 3.7 percent made in January 2024. In 2025, the UAE’s real Gross Domestic Product (GDP) is expected to expand further to 4.1 percent.
According to the World Bank‘s latest Global Economic Prospects report, growth in the broader Middle East and North Africa (MENA) region is also anticipated to pick up, reaching 2.8 percent in 2024 and accelerating to 4.2 percent in 2025.
Read more: UAE’s non-oil sector grows 6.7 percent in Q4 2023: OPEC
The economies of the Gulf Cooperation Council (GCC) countries are forecast to strengthen, with growth reaching 2.8 percent in 2024 and 4.7 percent in 2025, the paper noted.
Additionally, the report projects that oil-exporting economies will grow by 2.9 percent in 2024 and 4.2 percent in 2025, while oil-importing economies are expected to deliver growth of 2.9 percent in 2024 and 4 percent in 2025.
Modest global economic growth ahead
According to the same report, global economic growth is projected to remain steady at 2.6 percent in 2024 before edging up slightly to an average of 2.7 percent in 2025 and 2026.
However, this level of growth is well below the 3.1 percent average that was seen in the decade prior to the Covid-19 pandemic.
Therefore, while the global economy is expected to stabilize for the first time in three years in 2024, the report indicates that the level of growth will be relatively weak compared to recent historical standards.
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