Dubai Economy Grew 2.1% in the first half of 2019

According to recent data published by the Dubai Statistics Centre(DSC), the Dubai economy grew up to 2.1 per cent in the first half of 2019.

Arif Al Muhairi, Executive Director of the DSC stated that the flexibility of Dubai’s economy and its business structure helped the country retain its economic growth, in spite of the regional and global economy slowdown.

He also mentioned that the wholesale and retail sector plays a significant role in the overall growth of the local economy. Dubai’s strong infrastructure also promote the growth of its re-export business and bilateral trade.

Al Muhairi further quoted that the trade sector achieved an exponential growth of 3.3% backed by higher external trade, and higher re-exports by 3 per cent to cross Dh210 billion in the first half of 2019.

The wholesale and retail sector, which contributes 25.5 per cent to Dubai’s GDP crossed 3.3 per cent YoY, while external trade grew by 17.7 per cent to reach Dh76 billion.

The transport and storage sector flourished up to 6.2 per cent. This sector plays a crucial role in Dubai’s economy as it is closely related to all other economic sectors.

The hospitality and restaurant sector, which contributed 5.1 per cent to GDP, grew 2.7 per cent. According to the data by the Department of Tourism and Commerce Marketing, total visitors to Dubai in the first half of 2019 reached 8.4 million, a 3.2 per cent growth compared to the same time in 2018.

Manufacturing activity, which contributed 9.5% to Dubai’s GDP, grew by 0.3 per cent in the first six months of 2019, compared to the same period in 2018.

Real estate activity also grew by 2.1 per cent in the first half of 2019 compared to the same time in 2018 and contributed nearly 7.4 per cent to the total GDP.

Apart from that, mining, construction, professional activities, administrative services, public administration, education, health, arts, entertainment, household, and other service activities grew 2 per cent YoY, with a joined contribution of 23 per cent to Dubai’s GDP.

At the same time, agriculture, electricity, gas, water, waste management, insurance, finance, information and communication activities declined by 1.4 per cent. YoY. Al Muhairi said that these sectors contributed 17 per cent to the total GDP. This decline had a slight impact on the overall growth of the economy.

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