06/02/12

UAE Economy to grow 4%

Economy Minister Sultan Al Mansouri announced the UAE is set to grow by 4% during 2012, positive forecasts in contrast to various growth predictions given by economists.

The Dubai Economic Council said in a forecast that Dubai’s real GDP, which accounts for nearly a third of the UAE economy, is projected to grow by around 4.1 per cent in the first quarter of 2012 while inflation could remain as low as 1.5 per cent. This is positive news for the Dubai property market as Dubai property continues to report a very gradual upward curve, following the effects of the economic downturn.

Al Mansouri was quoted stating: “Under the circumstances, this is healthy, this is good,”. The Oxford Business Group also reported confidence in the UAE’s strong economic performance in 2012, positive news for the Dubai’s property market

National Bank of Abu Dhabi’s group chief economist Dr Gokkent stated UAE’s nominal gross domestic product, or GDP would rise to $344 billion in 2012 from $340.1 in 2011 as the GCC economy would reach $1.36 trillion.

On UAE’s stance with regard to International Monetary Fund’s (IMF) initiative to boost its resources by $500 billion from its members, the UAE minister said the UAE was not part of the issue for the time being.

Saudi  Prince Turki Al Faisal suggested that the tipping point of economic power is now well and fully heading towards the East and the Middle East.

Source: Khaleej Times