Tourism and transport behind robust Dubai economic growth

Dubai’s economy expanded by an annual 3.3 per cent in the first nine months of last year, driven by growth in tourism and transport, official data showed.

The emirate’s accommodation and food services industry recorded 11.1 per cent growth, while the transport and storage services sector surged 10.9 per cent, the Dubai Media Office said yesterday.

“This success is the result of the harmonious collaboration between all of Dubai’s economic stakeholders, including its public and private sectors,” said Sheikh Hamdan bin Mohammed, Crown Prince of Dubai.

“It is also a reflection of Dubai’s favourable economic climate, robust world-class infrastructure, pro-business regulations and deep talent pool, which together consistently draw in a diverse array of investors and entrepreneurs from all corners of the globe.”

Dubai has maintained growth momentum since bouncing back from the pandemic-driven slowdown.

Its GDP expanded by 3.2 per cent annually in the first half of last year to Dh223.8 billion ($60.9 billion), driven by growth in sectors such as transport, trade, financial services, accommodation and food services, property, information and communication, and manufacturing, official data released in October showed.

The transport and storage sector, which includes land, sea and air transport and logistics, contributed 13.1 per cent to Dubai’s GDP in the first nine months of last year, injecting Dh42.9 billion into the emirate’s economy.

The accommodation and food services sector accounted for 3.4 per cent of the emirate’s economy, or Dh11.1 billion, the Media Office said.

“Our success is also a result of the continuous, collaborative efforts between the public and private sectors. Together, we are working within a unified framework to realise the objectives of the Dubai Economic Agenda D33,” said Helal Al Marri, director general of Dubai’s Department of Economy and Tourism.

“Our focus is not only on maintaining the current momentum but also on further strengthening an environment that enables businesses to thrive.”