According to UAE Minister of Economy Abdullah bin Touq Al Marri, the UAE’s GDP would grow by 7.6 percent in 2022, more than double the expected 3 to 4% growth. “When the Central Bank (of the UAE) and all of the country’s financial institutions declared in March last year that the UAE’s GDP would rise at a rate of 3 to 4%. Now, and this has yet to be reported, we are looking at a (growth rate of) 7.6 percent,” Al Marri added.
Foreign Direct Investment inflows were $9 billion in 2018, down from $20 billion the previous year. This is doubling. “The UAE is in the business of doubling, and that’s something to consider,” the Minister remarked at the start of Investopia 2023. In conjunction with the Abu Dhabi Department of Economic Development, Abu Dhabi is holding the second edition of Investopia, with the subject “envisioning opportunities in times of transition.”
According to the Minister, at least 26 new Comprehensive Economic Partnership Agreements (CEPAs) are in the works to increase economic variety and foreign investment. “CEPAs have already been inked with India, Indonesia, and Israel.” “We are also in the process of signing agreements with Turkey, Cambodia, Georgia, and Vietnam,” Al Marri stated.
The UAE Minister of Economy, who is also the Chairman of Investopia, stated that many initiatives had been done to diversify the economy and move it away from being reliant on oil and gas. In 1970, the oil and petrol sectors accounted for 70% of the UAE’s GDP.” Today, it is only 30%,” he noted. “Major economic sectors are seeing a steady increase in the flow of investments, and some national enterprises are forming alliances with foreign firms,” the Minister stated.
Al-Marri further stated that the 100% company ownership law for mainland enterprises has resulted in 300,000 new businesses and improved economic circulation. “We recorded Dh2.2 trillion in commerce,” the Minister continued. He also commended the recently launched resident visas – golden, green, and freelancer – for attracting a huge number of newcomers to the country. “All of this movement has aided economic growth,” he said.
The UAE’s foreign trade will reach 2.2 trillion dirhams ($599 billion) in 2022, rising 17% year on year, and it has inked bilateral trade treaties with India, Israel, and Indonesia. Discussions with Turkey and others are currently underway. In addition, the UAE will host the United Nations’ flagship COP28 climate summit at the end of the year.