x Abu Dhabi, UAEMonday 22 January 2018

Dubai economy tipped to grow 5%

Dubai's economy is 'robust' and will grow over the coming few years, according to a body which represents businesses in the Emirate.

Dubai's economy is "robust" and will grow by as much as 5 per cent this year, according to a body that represents businesses in the emirate.

Abdul Rahman Saif Al Ghurair, the chairman of Dubai Chamber of Commerce and Industry, said Dubai's economic growth rate could accelerate to 6 per cent next year.

That is better than the IMF country forecast that sees GDP growth of 3.3 per cent this year in the UAE, rising to 3.8 per cent next year.

The Dubai chamber expects economic expansion to be fuelled by the trade, tourism and logistics sectors, which have posted the strongest growth this year and will continue to do so over the next few years, he said.

However, the construction and property industries, which were among the hardest-hit by the last global downturn, are "less strong".

"In Dubai, these were always support sectors, even during the height, to main sectors like trade and tourism," said Mr Al Ghurair.

Chamber of Commerce data shows that members' exports and re-exports grew 17.1 per cent to Dh162.1 billion (US$44.13bn) in the first eight months of this year, compared with Dh138.4bn during the same period last year.

Trade links with countries in emerging markets has helped the emirate to offset the impact of instability in global markets, he said.