Dubai’s economy bucks weak global trend

Oil now contributes less than one per cent to Dubai’s GDP, according to the Chairman of Dubai’s Economic Development Committee, in a statement released yesterday.

“The oil sector now makes up for less than one per cent of Dubai’s GDP, while varied initiatives have opened up unprecedented opportunities for global businesses in several nonoil sectors,” said Shaikh Ahmad Bin Saeed Al Maktoum, Second Deputy Chairman of The Executive Council and Chairman of the Economic Development Committee.

Dubai’s economy is expected to continue expanding over the next two years, according to Shaikh Ahmad, who said that the emirate had outperformed global economic growth and defied downward trends that prevailed worldwide in 2016.

The remarks came as Dubai Economy, the government agency, released the results of the annual Dubai Plan 2021 report, titled Dubai Pulse, which suggested that the economic performance of the emirate is better than other economies in the region.

Shaikh Ahmad added that Dubai’s stable macroeconomic environment, its diversification and sustainability policies, growth strategies and infrastructure initiatives continue to fuel “outstanding” economic performance even when the global economy faces headwinds.

Sector-wise, trade accounted for 28 per cent of Dubai’s GDP in 2016, followed by transportation and storage at 12 per cent and financial services at 11 per cent.