Abu Dhabi GDP grows 10.5% in 2022

The financial system of the oil-rich Abu Dhabi, which has confirmed crude oil reserve of 97 billion barrels, has recorded 10.5 p.c development within the first 9 months to a file Dh830 billion in 2022, in response to a press release by Statistics Centre – Abu Dhabi (SCAD).

Non-oil sectors contributed 50.3 p.c to Abu Dhabi’s Gross Home Product (GDP), with a rise of Dh39 billion in comparison with the identical interval in 2021 to succeed in Dh417.3 billion in complete by the tip of Q3 2022.

“By way of the supply of an enabling knowledge-based financial system and a resilient financial framework, Abu Dhabi continued to develop in leaps and bounds on the finish of Q3 2022 throughout its varied sectors due to the collaborative efforts of varied authorities and personal sector organisations. Abu Dhabi strengthened its worldwide standing and maintained its competitiveness and macroeconomic stability, SCAD stated in a press release.

Abu Dhabi has launched quite a few initiatives lately because it focuses on diversifying its financial system away from oil, selling its non-oil financial actions, sustaining a prudent fiscal coverage and progressively responding to the market wants and tendencies to improve the regulatory and authorized frameworks to encourage international direct funding and promote its home investments.

In 2022, Fitch Rankings affirmed Abu Dhabi’s Lengthy-Time period International-Forex Issuer Default Ranking (IDR) at ‘AA’ with a Secure Outlook. The ‘AA’ ranking displays Abu Dhabi’s excessive GDP per capita and robust fiscal and exterior metrics – authorities debt is among the many lowest of Fitch-rated sovereigns’ and sovereign internet international property (SNFAs) among the many highest. The ranking is constrained by excessive dependence on hydrocarbons, a reasonably weak, however bettering, financial coverage framework and low governance indicators in contrast with friends’.

Ahmed Jasim Al Zaabi, Chairman of the Abu Dhabi Division of Financial Growth (ADDED), stated:“Abu Dhabi’s sturdy financial system continues to show its superiority pushed by our management’s clear imaginative and prescient, its capacity to draw international direct investments and agile insurance policies that enabled our financial system to realize the strongest development within the area.

“Abu Dhabi, with its world-renowned cosmopolitan life-style and unparalleled infrastructure, is the vacation spot of alternative for international traders and expertise. The non-public sector performs a vital function in supporting the financial system’s continued development, and we are going to proceed to prioritise sustainable financial insurance policies to broaden the funding panorama.”

Abu Dhabi’s actual property sector skilled an exponential 20.3% development in comparison with the identical interval the earlier 12 months. The expansion was as a result of rise in actual property actions through the first 9 months of 2022, as traders have been drawn to Abu Dhabi’s famend waterfront and island communities, comparable to Saadiyat Island, Yas Island, Al Reem Island and Al Raha Gardens.

The lodging and meals companies sector in Abu Dhabi achieved a development fee of 20.2 p.c within the first 9 months of 2022. In Abu Dhabi’s tourism sector, resort occupancy charges, amongst different key indicators, have reached a two-year excessive. In 2022, Abu Dhabi hosted a complete of 4.1 million in a single day resort visitors, a rise of 24 p.c on the earlier 12 months. Lodge occupancy charges reached 70 p.c, properly above the Center East common of 63.6 p.c which makes Abu Dhabi amongst high tourism locations within the area in 2022.

The sturdy development is being pushed by elevated consciousness throughout worldwide and home markets of Abu Dhabi’s providing of leisure and sporting occasions, cultural and heritage experiences, and main worldwide partnerships.

 Throughout the first 9 months of 2022, the wholesale and retail commerce sector reached AED45 billion, with a 17.4% enhance in comparison with the identical interval in 2021. This sector accounted for five.4 p.c of Abu Dhabi’s nine-month GDP.

 The transportation and storage sector noticed an added worth of Dh14 billion within the first 9 months of 2022, recording a development of 11.4 p.c. This sector, which boosted the emirate’s GDP by 1.7 p.c, covers the transportation of passengers and cargo through rail, highway, water, or air, and associated storage actions. Abu Dhabi Airports reported that the Emirate’s airports had been utilized by a mixed complete of 15.9 million passengers in 2022.

 The manufacturing actions within the Emirate witnessed a development fee of 8.1 p.c, with a contribution of 8. p.c to the GDP through the first 9 months of 2022. The manufacturing sector is anticipated to double in measurement by 2031 with the newly introduced Abu Dhabi Industrial Technique to strengthen the Emirate’s place because the area’s best industrial centre. Abu Dhabi authorities just lately introduced that it’ll make investments Dh10 billion throughout quite a few formidable industrial packages to greater than double the dimensions of the emirate’s manufacturing sector to Dh172 billion by 2031.

The brand new technique will increase Abu Dhabi’s commerce with worldwide markets, with the goal of accelerating the Emirate’s non-oil exports by 143 p.c to Dh178.8 billion by 2031.

 Abu Dhabi’s monetary sector grew by 6.9 p.c within the first 9 months of 2022 in comparison with the identical interval in 2021, with a worth of Dh28 billion. The sector accounted for five.5% of the GDP.

The rising confidence of the worldwide neighborhood and the financial development potential has made Abu Dhabi a most popular vacation spot for traders, businessmen, entrepreneurs, innovators, and different professionals from completely different elements of the world to the “Capital of Capital”.

Additionally printed on Medium.