Worst behind, UAE economy returning to growth | GulfNews.com

Worst behind, UAE economy returning to growth | GulfNews.com:

"The UAE has been resilient to the impact of the prolonged oil price slump. Following the recent rise in oil prices to over $60 (Dh220) per barrel, there is a sense that the worst is behind the UAE’s economy and confidence is gradually returning, according to Institute of International Finance (IIF). “We expect non-oil growth to pickup to 2.7 per cent in 2018 and 3 per cent in 2019, driven by private consumption and non-oil exports, as fiscal consolidation eases and global trade improves. The deceleration in headline growth last year was due to the oil production decline,” said Garbis Iradian, Chief Economist, Mena, IIF. The UAE possess large financial buffers estimated at around $800 billion (Dh2.6 trillion), safe-haven status, excellent infrastructure, and a relatively diversified business-friendly economy, which will help the country cope with lower oil prices. Further progress in diversification into non-hydro-carbon trade and financial servicesis expected to mitigate the adverse impact of lower oil prices. Non-hydrocarbon GDP accounts for only 30 per cent of total GDP, and oil exports for slightly less than 40 per cent of total exports."



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