The World Bank has predicted that the UAE’s Gross Domestic Product (GDP) will grow by 2.8% by the end of this year, 2023. The non-oil sector is expected to achieve strong growth of 4.8% due to the strength of local demand, particularly in the tourism, real estate, construction, transportation, and manufacturing sectors.
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In a press conference held in Dubai to announce the “Non-Communicable Diseases and the Health-Economic Burden in Gulf Cooperation Council (GCC) Countries” report, the bank stated that the UAE’s current account balance is expected to increase to 11.7% in 2023. The report also predicted that the UAE will achieve a surplus in public finances of 6.2% in 2023, according to a report published by WAM.
As per the report, the economy of the GCC is expected to grow by 2.5% in 2023 and 3.2% in 2024, following the notable growth of the region’s GDP, which reached 7.3% in 2022, due to the strong increase in oil production.
In March, the World Bank forecasted the UAE’s GDP to grow at 4.3 percent in 2024, driven by oil and non-oil exports. The real estate and construction sectors, as well as a vibrant manufacturing sector, such as refineries and aluminum production, are the key drivers of strong performance, noted the report.
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