The UAE’s real gross domestic product (GDP) reached AED 1.776 trillion in 2024, reflecting a 4% year-on-year growth, according to the latest figures released by the Federal Competitiveness and Statistics Centre (FCSC). The strong performance was primarily driven by the non-oil sector, which expanded by 5% to reach AED 1.342 trillion, accounting for 75.5% of the total GDP.
Oil-related activities contributed AED 434 billion, highlighting the UAE’s strategic pivot toward economic diversification.
Strategic Shift to a Non-Oil, Knowledge-Based Economy
Abdulla bin Touq Al Marri, Minister of Economy, said the GDP figures affirm the UAE’s economic momentum and signal progress in building a sustainable, diversified, and competitive economy. He attributed the growth to policies aligned with the vision of the country’s leadership and the broader goals of the ‘We the UAE 2031’ strategy.
“Under the leadership of President His Highness Sheikh Mohamed bin Zayed Al Nahyan, and guidance from His Highness Sheikh Mohammed bin Rashid Al Maktoum, we are advancing steadily toward our national vision. With each milestone, we move closer to achieving the target of AED 3 trillion GDP by the next decade,” Al Marri said.
Transport, Construction, and Financial Sectors Lead Growth
The transport and storage sector emerged as the fastest-growing contributor, expanding 9.6% year-on-year. The sector’s performance was bolstered by a surge in air travel, with UAE airports handling 147.8 million passengers in 2024, a nearly 10% increase.
Other key growth sectors include:
- Construction and Building: +8.4%
- Financial and Insurance Activities: +7%
- Hotels and Restaurants (Hospitality): +5.7%
- Real Estate Activities: +4.8%
Non-Oil Sector Breakdown
The breakdown of non-oil sector contributions to GDP reveals the continued broadening of the UAE’s economic base:
- Wholesale and Retail Trade: 16.8%
- Manufacturing: 13.5%
- Financial and Insurance Services: 13.2%
- Construction and Infrastructure: 11.7%
- Real Estate: 7.8%
Hanan Mansour Ahli, Managing Director of the FCSC, noted that the UAE’s economic model has shifted toward long-term sustainability and global competitiveness, with diversification no longer a strategy but an operational imperative.
“The 4% growth is a reflection of the UAE’s transformation into a knowledge-based economy. The focus on non-oil growth is not just a policy target, but a practical engine for national development and social well-being,” she said.
Outlook
The UAE’s continued investment in infrastructure, digital transformation, and AI, alongside strategic public-private partnerships, is expected to accelerate growth in the years to come. With global economic uncertainty and fluctuating energy prices, the UAE’s ability to sustain growth through non-oil sectors positions it as a resilient and forward-looking economy in the region.
–InputWAM
