The UAE economy will expand 2.1 per cent this year, driven by pandemic-mitigation measures that boosted recovery from the coronavirus-driven slowdown, latest data from the Central Bank of the UAE has shown.
While the growth estimate for this year is slightly lower than the 2.4 per cent projected in June, the Arab world’s second-largest economy is set grow at the much faster rate of 4.2 per cent in 2022, higher than an earlier 3.8 per cent forecast, the banking regulator said in its second quarter review.
“Economic activity in the UAE continued its recovery in the second quarter, with estimated Q2 growth reaching close to the pre-pandemic level,” the central bank said.
The faster pace of growth anticipated next year is the “result of the continued increase in public spending, banks’ credit outlook, higher employment and better business sentiment, as Dubai World Expo will continue to take place in Q1 2022”.
“Being a major tourism, transit and trade hub in the region, the UAE is also expected to benefit from the opening of travel restrictions and events such the Fifa World Cup.”
The central bank maintained its real non-oil growth – adjusted for inflation – at 3.8 per cent for 2021. It is expected to improve slightly to 3.9 per cent next year.
“The non-oil sector continued to improve in Q2 2021, benefitting from the recovery in global travel and pick up in local and global demand, while the country continued to be a leader in containing the spread of the virus,” the central bank said.
The UAE’s oil economy is projected to slow to 2 per cent in 2021, a main reason for the central bank's overall GDP growth forecast revision for 2021, it said.
However, the oil economy is expected to bounce back, accelerating 5 per cent in 2022, compared with an earlier 3.5 per cent estimate in June. This reflects “the expected increase in demand with majority of the world economies being vaccinated”, the bank said.
The UAE economy, which contracted 6.1 per cent in 2020 on the back of the global economic slowdown, has bounced back strongly, boosted by pandemic-mitigation measures and fiscal and monetary support from the government.
The Emirates has introduced economic stimulus worth Dh388 billion ($105.72bn) since the pandemic tipped the world economy into its worst recession since the 1930s. These packages include the central bank's Dh50bn Targeted Economic Support Scheme (Tess) to boost liquidity in the financial and banking sector, parts of which have been extended to June 2022.
A rapid, mass Covid-19 vaccination programme and widespread testing in the UAE has also boosted economic activity. More than 80 per cent of the UAE population is now fully vaccinated, while about 91 per cent of the people in the country have received one dose, government data last week showed.
“The UAE kept its top position globally since the beginning of the pandemic in the number of tests and in the distribution of the vaccine per capita,” the central bank said.
The real estate sector, a key component of the country’s economy, has also showed signs of recovery in the second quarter, with “residential real estate prices marking a second quarter of significant year-on-year increase in Abu Dhabi”, the bank said.
The average UAE PMI also increased by 11.3 per cent year-on-year in the second quarter of this year, “moving further up in the expansion zone”.
“The improvement reflects the better sentiment,” the central bank said.
Tips to stay safe during hot weather
- Stay hydrated: Drink plenty of fluids, especially water. Avoid alcohol and caffeine, which can increase dehydration.
- Seek cool environments: Use air conditioning, fans, or visit community spaces with climate control.
- Limit outdoor activities: Avoid strenuous activity during peak heat. If outside, seek shade and wear a wide-brimmed hat.
- Dress appropriately: Wear lightweight, loose and light-coloured clothing to facilitate heat loss.
- Check on vulnerable people: Regularly check in on elderly neighbours, young children and those with health conditions.
- Home adaptations: Use blinds or curtains to block sunlight, avoid using ovens or stoves, and ventilate living spaces during cooler hours.
- Recognise heat illness: Learn the signs of heat exhaustion and heat stroke (dizziness, confusion, rapid pulse, nausea), and seek medical attention if symptoms occur.
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More on animal trafficking
Sri Lanka's T20I squad
Thisara Perera (captain), Dilshan Munaweera, Danushka Gunathilaka, Sadeera Samarawickrama, Ashan Priyanjan, Mahela Udawatte, Dasun Shanaka, Sachith Pathirana, Vikum Sanjaya, Lahiru Gamage, Seekkuge Prasanna, Vishwa Fernando, Isuru Udana, Jeffrey Vandersay and Chathuranga de Silva.
HOW DO SIM CARD SCAMS WORK?
Sim swap frauds are a form of identity theft.
They involve criminals conning mobile phone operators into issuing them with replacement Sim cards, often by claiming their phone has been lost or stolen
They use the victim's personal details - obtained through criminal methods - to convince such companies of their identity.
The criminal can then access any online service that requires security codes to be sent to a user's mobile phone, such as banking services.
UAE currency: the story behind the money in your pockets
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%3Cp%3E%3Cstrong%3EDirectors%3A%3C%2Fstrong%3E%20Amit%20Joshi%20and%20Aradhana%20Sah%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ECast%3A%3C%2Fstrong%3E%20Shahid%20Kapoor%2C%20Kriti%20Sanon%2C%20Dharmendra%2C%20Dimple%20Kapadia%2C%20Rakesh%20Bedi%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%204%2F5%3C%2Fp%3E%0A
Who has been sanctioned?
Daniella Weiss and Nachala
Described as 'the grandmother of the settler movement', she has encouraged the expansion of settlements for decades. The 79 year old leads radical settler movement Nachala, whose aim is for Israel to annex Gaza and the occupied West Bank, where it helps settlers built outposts.
Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.
Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.
Coco’s Farm and Neria’s Farm
These are illegal outposts in the West Bank, which are at the vanguard of the settler movement. According to the UK, they are associated with people who have been involved in enabling, inciting, promoting or providing support for activities that amount to “serious abuse”.
UAE currency: the story behind the money in your pockets
Conflict, drought, famine
Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.
Band Aid
Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.
UAE currency: the story behind the money in your pockets
Western Region Asia Cup T20 Qualifier
Sun Feb 23 – Thu Feb 27, Al Amerat, Oman
The two finalists advance to the Asia qualifier in Malaysia in August
Group A
Bahrain, Maldives, Oman, Qatar
Group B
UAE, Iran, Kuwait, Saudi Arabia
