Dubai Economy Grows
The wholesale and retail sector, which contributes 25.5 percent to Dubai’s GDP, grew 3.3 percent.
Dubai’s economy grew 2.1 percent year-on-year (YoY) in H1-2019, with the emirate’s GDP reaching Dh208.2 billion at constant prices in the first six months of 2019, according to data published by the Dubai Statistics Centre (DSC).
Arif Al Muhairi, Executive Director of the DSC, stated that the flexibility of Dubai economy grows and its business structure helped the emirate maintain its growth, despite a slowdown in the regional and global economy. He highlighted that the wholesale and retail sector supported the overall growth of the local economy, thanks to Dubai’s strong infrastructure, which boosted its re-export business and trade with countries in the region and beyond. Al Muhairi further noted that the trade sector posted a real growth of 3.3% backed by higher external trade, with re-exports growing by 3 percent to reach Dh210 billion in the first half of 2019.
The wholesale and retail sector, contributing 25.5 percent to Dubai’s GDP, grew 3.3 percent YoY, while external trade increased by 17.7 percent to Dh76 billion. The transport and storage sector also demonstrated significant growth, rising by 6.2 percent, highlighting its vital role in Dubai’s economy, as it is highly interrelated with all other economic sectors.
Activity in the hospitality and restaurant sector, which contributed 5.1 percent to GDP, grew 2.7 percent. Total visitors to Dubai in H1-2019 reached 8.4 million, reflecting a 3.2 percent growth compared to the same period in 2018, according to data from the Department of Tourism and Commerce Marketing.
Manufacturing activity, contributing 9.5% to Dubai’s GDP, grew by 0.3 percent in H1-2019 compared to the previous year. Real estate activity also experienced a growth rate of 2.1 percent during the same period, contributing nearly 7.4 percent to the total GDP.
Moreover, sectors such as mining, construction, professional activities, administrative services, public administration, education, health, arts, entertainment, and other service activities collectively grew by 2 percent YoY, contributing 23 percent to Dubai’s GDP.
Conversely, agriculture, electricity, gas, water, waste management, information and communication activities, as well as financial and insurance services, experienced a decline of 1.4 percent YoY. Al Muhairi noted that these sectors accounted for 17 percent of the total GDP, with the decline having a slight impact on the overall growth. Overall, Dubai’s economy grows steadily, demonstrating resilience and adaptability in a challenging global landscape.
In conclusion, Dubai economy grows as it continues to leverage its strategic advantages and diversified sectors, ensuring a robust and sustainable economic future.