In 2025, the CBUAE expects the real GDP growth of the UAE to reach 6.2%.

It is expected that the United Arab Emirates' strong foreign trade performance will continue in 2024 and 2025, helping sustain the projected growth for the UAE’s real GDP in 2024 at 3.9 percent, with expectations for it to further accelerate to 6.2 percent in 2025, according to the Central Bank of the United Arab Emirates (CBUAE).

In its June 2024 Economic Quarterly Review, the apex bank stated that the country's non-hydrocarbon GDP growth is expected to remain strong at 5.4 percent in 2024 and 5.3 percent in 2025, with the hydrocarbon sector set to grow by 0.3 percent in 2024, followed by further expansion by 8.4 percent in 2025.

In the fourth quarter of 2023, the UAE economy expanded 4.3 percent YoY, above the 2.5 percent growth registered in Q3 2023. The quarterly increase is due to both non-hydrocarbon growth accelerating (which accounts for around 75 percent of GDP) and better performance of the hydrocarbon sector.

The consolidated fiscal balance in 2023 remained positive at AED85.6 billion, equivalent to 4.5 percent of GDP. Total revenue declined by 13.9 percent to AED526.1 billion (27.9 percent of GDP), with government expenditure increasing by 3.1 percent to AED440.5 billion (23.3 percent of GDP), according to the report. The fiscal sector remains sustainable and will be further strengthened as a result of the recently introduced corporate income tax.

Indicators point towards robust economic activity within the non-oil private sectors, the CBUAE said. As of April 2024, the UAE's Purchasing Managers' Index (PMI) was reported at 55.3, driven by continued business optimism on economic prospects. Dubai recorded a PMI of 55.1 in April 2024, reflecting persistent growth in the emirate's non-oil private sector.

The number of employees covered by the CBUAE Wage Protection System (WPS) and average employee salary increased by 7.5 percent and 9.4 percent YoY in April 2024, respectively. These positive readings for employment and wage growth point to robust domestic consumption and sustainable GDP growth going forward.

The real estate, tourism and hospitality sector, and transportation sectors collectively represent around 30 percent of the non-oil GDP, the report highlighted.

The number of residential real estate sales transactions in Abu Dhabi in January-April 2024 was estimated to have increased by 7.7 percent YoY. Growth was mostly driven by the sales of ready units, which increased by 24.9 percent YoY, while off-plan sales increased marginally by 0.8 percent YoY.

Data for Q1 2024 indicated that Dubai sustained its role as a top international tourism hub. The emirate's hotel occupancy rates stood at 83 percent, equal to the previous year's figures, while the average duration of stay per visitor was almost unchanged at 3.9 nights, yet there was a 2 percent YoY increase in the total occupied room nights, totaling 11.2 nights.

Furthermore, Dubai recorded an 11 percent rise in tourist arrivals in the first three months of 2024 compared to the same period last year, taking advantage of the revival of worldwide travel demand. During this period, the emirate welcomed 5.2 million international overnight visitors, an increase from 4.7 million tourists in the first quarter of the previous year.

Zayed International Airport welcomed over 6.8 million passengers in the first quarter of 2024, taking advantage of the top-tier facilities and services at its newly opened terminal in Abu Dhabi, emphasizing Abu Dhabi’s status as a major transportation hub, with a 36 percent increase in passenger numbers compared to the first quarter of 2023.

Dubai International Airport had an exceptional start in 2024, recording its busiest quarter ever, which highlights its importance as a global aviation hub and a major contributor to Dubai's economy. During the first quarter, there was a remarkable increase in passenger traffic, with 23 million travelers passing through its facilities. This represents an 8.4 percent rise compared to the same period last year, emphasizing its strong connection to key global markets and its role in strengthening Dubai's status as a prime destination for both tourism and business.

Dubai approved an ambitious AED128 billion project for a new passenger terminal at Al Maktoum International Airport to increase the size of Dubai’s main international airport five times, making it the largest in the world by size and capacity, capable of handling up to 260 million passengers annually, boosting its status as a global travel and tourism hub.