The Central Bank of the United Arab Emirates (CBUAE) revised up its projections for the country’s Gross Domestic Product (GDP) growth, which is expected to reach 4.2 percent in 2023, compared with its previous forecast of 3.3 percent.
In its Annual Report for 2021, the CBUAE estimated the non-oil GDP growth to reach 3.9 percent in 2023, compared with previous estimates of 3.3 percent.
The oil GDP growth will reach 5 percent in 2023, compared with earlier estimates of 3.4 percent, said the report.
The report noted the UAE’s economic activity gathered pace due to UAE’s economic support measures and its success in containing the financial and economic challenges due to COVID-19 fallout.
The CBUAE projected the GDP growth to reach 5.4 percent in 2022, after the growth jumped to 3.8 percent in 2021.
The non-oil GDP grew at 5.3 percent in 2021, and is expected to reach 4.3 percent in 2022, in light of sustainable government spending, positive outlook for loan growth and the improvement in business sentiment.
The oil GDP growth is anticipated to grow 8 percent in 2022, due to the expected recovery in global demand, the transport and travel sector, and production increase of OPEC member countries.