UAE economic recovery depends on non-oil sector
06 Nov 2014
(MENAFN) According to the IMF, the UAE economy, which is the Arab world’s second largest, is recovering well from the global financial crisis, with the support of construction, logistics and hospitality but remains threatened by low oil prices, Arab News reported.
The UAE economy is expected to grow 4.25 percent this year, down compared to a growth by 5.2 percent in 2013, while the non-oil growth is forecasted at 5.5 percent, with expectations that this sector will play a major role in the country’s economic growth especially if oil prices continued with their current decline in prices.
The growth in the country’s economy is also going to be supported by the ongoing public projects in Abu Dhabi and the continued strength in Dubai’s services sectors.
Another sign of recovery was Dubai’s announcement that it has repaid USD1.93 billion raised from Islamic bonds known (sukuk) and renewed its commitment to pay back billions of dollars in debt on time.