UAE economy poised for stronger growth in H2-23

Despite the geopolitical ramifications that the global economy is currently facing, the UAE economy is poised for stronger growth, recovery, and prosperity in the second half of this year, supported by a track record of economic successes that have fructified into the UAE's designation as an innovation-driven economy. The domestic economy's resilience, which has passed through the stage of recovery from the consequences of the Covid-19 pandemic, is reflected in the positive forecasts of international institutions and banks, including the IMF and World Bank. Such international recognitions speak for the UAE economy's durability in the face of global geopolitical turmoil and adverse economic conditions, therefore verifying the success of the UAE leadership's forward-looking vision. “The UAE is poised for positive economic growth as it is projected to achieve a 3.6 percent increase in its gross domestic product this year, driven by robust domestic activity,” said the International Monetary Fund, recently. Following an impressive growth rate of 7.9 percent in 2022, the UAE’s economy is expected to maintain its upward trajectory in 2023, benefiting from sustained tourism activity and higher capital expenditure, the IMF said in its 2022 Article IV assessment.