Dubai's Economy Grows 2.8% in Q1, Continuing Strong Momentum from 2022
Dubai's economy demonstrated its resilience and sustained robust momentum by achieving an annual growth rate of 2.8 per cent in the first quarter of this year, amounting to Dh111.3 billion ($30.3 billion).
Dubai's Economy Sustains Robust Growth, Outpacing Leading Economies
This impressive growth builds upon the emirate's substantial expansion of 4.4 per cent in 2022. Outshining other leading economies, Dubai's growth surpassed the seasonally adjusted output of Organisation for Economic Cooperation and Development countries, with the European Union and the US economy growing by 1.1 per cent and 1.8 per cent, respectively.
Dubai's Crown Prince Praises Resilience and Trade Sector's Global Significance in Economic Growth
Sheikh Hamdan bin Mohammed, Crown Prince of Dubai and Chairman of The Executive Council, praised the city's remarkable achievements and highlighted its strong fundamentals and resilience. He attributed Dubai's consistent growth to its investment-friendly environment, robust infrastructure, and business-enabling ecosystem. The recently introduced Dubai Economic Agenda D33, aimed at doubling the emirate's economy in the coming decade, serves as a strategic springboard for further value creation and growth ,Dubai's trade sector played a pivotal role in contributing to the economy's upward trajectory, growing by 1.2 per cent in the first quarter, injecting Dh25.5 billion into the economy. Accounting for 22.9 per cent of the economic output, the trade sector's performance is indicative of the emirate's global commercial significance.
Dubai's Transportation and Finance Sectors Fuel Impressive Economic Growth
The transportation and storage sector emerged as a standout performer, exhibiting remarkable growth of 10.3 per cent in the first quarter compared to the same period last year, contributing Dh15.6 billion to the economy. Activities related to land transport, maritime transport, postal services, air transport, and related supporting services all contributed to the sector's outstanding performance , Dubai's financial and insurance activities also made significant strides, expanding by 3.2 per cent in the first quarter, accounting for approximately 13 per cent of the gross domestic product and adding Dh14.2 billion to the economy. This demonstrates the emirate's flourishing financial sector and its growing role as a regional financial hub.
Dubai's Thriving Sectors Drive Economic Growth and Global Status
The accommodation and food services sector also experienced remarkable growth, expanding by 5.6 per cent in the first three months of the year, adding Dh4.5 billion to the economy. With a surge in international visitors, Dubai's tourism industry remains a vital contributor to the emirate's economic growth , Helal Al Marri, director general of Dubai's Department of Economy and Tourism, expressed his satisfaction with the accelerated momentum across various sectors. Comprehensive strategies focused on economic diversification, entrepreneurship, talent attraction, and investment promotion have played a pivotal role in fueling the emirate's growth and solidifying its status as a top global city , Dubai's real estate activities also witnessed a positive uptick, growing by 2.4 per cent, with the sector contributing 7.4 per cent to the economy. The surge in property sales reflects the continuing appeal of Dubai's real estate market to investors and buyers alike , As Dubai's economy continues to thrive and expand, the city's dedication to implementing comprehensive strategies and fostering collaborative efforts across sectors will undoubtedly serve as key drivers for its future growth and development.