Analysts say the Middle East economy is still strong despite oil shortages and geopolitical unrest due to higher-than-expected non-oil GDP growth in the United Arab Emirates and Saudi Arabia.
According to the most recent PwC Middle East Economy Watch, a stronger-than-expected non-oil GDP performance in 2023 and Purchasing Manager Indicators (PMI) in Saudi Arabia and the United Arab Emirates, which are firmly in expansionary territory in early 2024, support the expectation that the non-oil sector’s growth will continue.
The UAE has accomplished “a historic first” as the non-oil sector now accounts for 73% of the nation’s GDP, marking a turning point in the country’s national solid economy’s diversification effort. The second-largest economy in the Arab world is expected to grow by up to 5.0 percent in 2024, according to Minister of Economy Abdullah bin Touq Al Marri. “This achievement reflects the confidence of the private sector and investors around the world in the UAE’s investment environment,” the minister stated.
According to Richard Boxshall, partner and chief economist at PwC Middle East, oil demand is a significant factor in the expansion of Middle Eastern nations that export oil. “However, robust non-oil sector growth is anticipated to offset these effects.
Also Read:
World Central Kitchen’s Humanitarian Initiatives in Gaza are Appreciated by Sheikh Abdullah.
UAE: The Sharjah Tower Fire Claimed The Life of a Filipina Foreigner