In the first three months of 2023, the Abu Dhabi’s booming economy hit a 9-year high

The booming Abu Dhabi economy has reached a 9-year high and GDP hit USD 75.3B in Q1 2023, according to the official Statistics Centre data. Such indicators were driven by the high performance of non-oil economic activities in the emirate.

Currently the UAE capital is distinguished by the fastest-growing economy in the Middle East region. As stated by the Statistics Centre – Abu Dhabi (SCAD), Abu Dhabi’s Gross Domestic Product (GDP) rose by 3.9% in Q1 2023, in comparison with the same period in 2022.

The statistics show a significant 6.1% increase in non-oil GDP in Q1 2023. The main reasons for this are the incredible performances in construction, transportation and storage, wholesale and retail trade, as well as financial and insurance services.

The non-oil GDP (at constant prices) exceeded the highest quarterly value of the last 9 years and reached AED 146B (USD 40B) in Q1 2023. In the first quarter of 2022, this sector reached AED 137.7B (USD 37.5B). These outstanding results have brought the significant contribution of non-oil activities to the total GDP to its highest level in 8 years, at 52.8%.

The emirate of Abu Dhabi is further opening its diversified economy to the world and attracting foreign investors, entrepreneurs, businesses and start-ups from around the world. According to the data by the Statistics Centre – Abu Dhabi, construction activities in the emirate have achieved the highest quarterly growth rates in 9 years during Q1 2023 and Q4 2022 in a row. The growth rates constituted 14.4% and 14.5% respectively, compared to the corresponding periods in last year.

In Abu Dhabi, the construction sector is highly attractive among both local and foreign investors. The emirate demonstrates high completion rates, with a notable rise of 37% in the number of new completed buildings. The construction sector contributed 8.5% towards the gross domestic product of the UAE capital during Q1 2023.