The United Arab Emirates (UAE) has seen a significant increase in its projected real gross domestic product (GDP) growth for 2022, according to the Central Bank of the UAE (CBUAE). In its Q3 review, the bank revised its prediction for the year’s real GDP growth from 6.5% to 7.6%, citing strong performance in non-oil sectors such as tourism, hospitality, real estate, and manufacturing.
The non-oil GDP is also expected to experience growth in 2022, with a predicted increase of 6.1% compared to the previous estimate of 4.3%. The oil GDP, on the other hand, is anticipated to see a growth of 11%.
The overall real GDP has continued to grow at a strong pace in Q3, following significant growth in the first half of the year. This can be attributed to a rise in oil production, an improvement in the real non-oil GDP, and the removal of most COVID-19-related restrictions. The recovery of the global travel and tourism industry, the boom in the real estate and construction sectors, and the expansion of manufacturing activities have also contributed to the growth.
In addition to revising its projection for real GDP growth in 2022, the CBUAE also revised its expectation for 2023, predicting a growth of 3.9% for the year. The non-oil GDP is expected to see a 4.2% increase during this time.
