UAE economy to grow faster than global average in 2023: Al Marri

The year 2022 witnessed a significant economic upturn, with a growth rate of 7.6 per cent, the highest since 2007, primarily fuelled by surging oil, gas prices

Waheed Abbas

Published: Tue 23 May 2023, 7:17 PM

Last updated: Wed 24 May 2023, 12:03 AM

The UAE’s economic growth has exceeded expectations as the country joined the 7 per cent growth club, said Abdulla bin Touq Al Marri, UAE Minister of Economy.

The UAE’s economy expanded at 7.6 per cent last year, which was among the highest anywhere in the world, including a 6.6 per cent expansion in the non-oil sector.

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“Our goal is to double the economy by 2031 in line with 2031 Vision. In 2023, IMF forecast economy will grow by 3.5 per cent, higher than the global average of 2.8 per cent,” Al Marri said during the inauguration of the Harvard Business School Club – The House.

According to GlobalData, a leading data and analytics company, the year 2022 witnessed a significant economic upturn, with a growth rate of 7.6 per cent, the highest since 2007, primarily fuelled by surging oil and gas prices.

“To make the economy less vulnerable to external shocks, it remains crucial for the government to persist in its endeavour to diversify the economy. Abu Dhabi’s plan to invest $2.7 billion to double the size of the manufacturing sector by 2031, and the adoption of UAE Circular Economy Policy 2031 which focuses on manufacturing, food, green infrastructure, and sustainable transport, reflects the government’s urge to transform to a more diversified economic base,” said Indrajit Banerjee, economic research analyst at GlobalData.

Banerjee added that even though the UAE's economic growth outlook for 2023 faces challenges, the ongoing diversification efforts and development projects aimed at strengthening the economy will play a vital role in reducing its vulnerability to external shocks.

While talking about the Harvard Business School think-tank, he said, "The House embodies the spirit of entrepreneurship and leadership that is the heart of UAE’s economic vision. It will serve as a thriving ecosystem where remarkable individuals can come together and connect and learn from one another and contribute to the economic development of the UAE and the region. The House is a symbol of commitment to fostering collaboration, nurturing talent and driving innovation. It will be a platform for knowledge exchange, mentorship, the partnership.”

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