Dubai experienced a 3.3 percent increase in its real Gross Domestic Product (GDP) during the initial nine months of 2023, underscoring its economic vigor, resilience, and robust growth potential. This accomplishment is a testament to the city’s sustainable development strategies, emphasizing its ongoing dynamism as a key global economic force.
From vibrant tourism centers to technology-driven communication networks, Dubai’s economic landscape showcases the depth and diversity of its diversification efforts. Notably, accommodation and food services activities demonstrated an impressive 11.1 percent growth, solidifying Dubai’s global standing as a tourism leader. Additionally, transportation and storage services surged by 10.9 percent, emphasizing the emirate’s role as a significant international logistics hub. The information and communications sector experienced a 4.4 percent increase, highlighting Dubai’s dedication to adopting cutting-edge technologies and nurturing a thriving knowledge economy. This multifaceted growth across various sectors provides compelling evidence of Dubai’s economic stability and adaptability.
H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of Dubai Executive Council, commended Dubai’s sustained economic appeal, attributing the success to the visionary directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum. Sheikh Hamdan emphasized the collaborative efforts of Dubai’s economic stakeholders, both public and private, reflecting the city’s favorable economic climate, world-class infrastructure, business-friendly regulations, and a deep talent pool that consistently attracts diverse global investors and entrepreneurs.
The latest growth figures align with the ambitious goals of the Dubai Economic Agenda D33, aiming to double the city’s economic growth and position it among the world’s top three urban economies by 2033. Sheikh Hamdan reiterated the focus on strategic partnerships, innovation, investment frameworks, and enterprise enhancement to reinforce Dubai’s standing as a leading global economic hub in the next decade.
Dubai’s economic engine witnessed vibrant activity in the first nine months of the previous year, as per the latest data from the Dubai Data and Statistics Establishment. Real estate saw a 4 percent surge, financial and insurance activities rose by 2.7 percent, and the knowledge economy excelled with a 2.6 percent increase in education. The multifaceted growth across sectors underscores Dubai’s commitment to long-term development strategies.
Helal Saeed Al Marri, Director-General of Dubai’s Department of Economy and Tourism, highlighted the continuous collaborative efforts between the public and private sectors, aiming to achieve the objectives of the Dubai Economic Agenda D33. The focus is on creating sustained and attractive investment opportunities across key sectors, laying a robust foundation for the next decade.
Younus Al Nasser, Chief Executive of the Dubai Data and Statistics Establishment, emphasized the significance of real-time data in reflecting Dubai’s economic reality, attracting investors seeking a promising future in a rapidly developing economic environment.
Hadi Badri, Chief Executive Officer of the Dubai Economic Development Corporation, Dubai Department of Economy and Tourism, stressed that Dubai’s economic performance is a reflection of effective policies and initiatives. Looking ahead, the goal is to solidify Dubai’s position as a top strategic priority for global business decision-makers in 2024, ensuring the emirate remains at the forefront of economic innovation and international investment.
Accommodation and Food Sector Records 11.1% Growth
Dubai’s accommodation and food services sector experienced a notable 11.1% growth in the initial nine months of 2023, underscoring the city’s exceptional tourism appeal. The value added by these activities surged from AED 10 billion in the same period of 2022 to AED 11.1 billion in 2023. Contributions to GDP also saw an increase, rising from 3.1% in 2022 to 3.4% for the corresponding period in 2023. This expansion aligns with Dubai’s ongoing efforts to establish itself as a premier global hub for events, conferences, and tourist engagements.
Transportation and Storage Sector Sees 10.9% Expansion
Dubai’s transportation and storage sector witnessed substantial growth of 10.9% during the initial nine months of 2023. The sector’s value rose from AED 38.7 billion in 2022 to a robust AED 42.9 billion in 2023. The contribution to GDP also increased from 12.2% to 13.1% during the same comparative periods, reflecting the sector’s development fueled by advanced infrastructure and vigorous economic activities.
ICT Activities Increase by 4.4%
The Information and Communication Technology (ICT) sector, serving as a fundamental driver across various fields and sectors, experienced a 4.4% growth. The value of ICT activities rose from AED 14.3 billion in the initial nine months of 2022 to AED 15 billion during the same period in 2023, contributing significantly to digital transformation initiatives and investments in the knowledge economy.
Real Estate Activities Expand by 4%
Dubai’s real estate market maintained its upward trajectory with a solid 4.0% growth in added value during the first nine months of 2023, reaching AED 26.8 billion. This growth reflects sustained demand for both residential and investment opportunities, affirming Dubai’s allure as a global real estate destination.
Finance and Insurance Sector Achieves 2.7% Growth
The financial and insurance sector in Dubai, a key contributor to the economy, posted a growth of 2.7%, reaching AED 37.3 billion in the first nine months of 2023. This growth underscores Dubai’s commitment to cultivating a dynamic and diversified financial ecosystem, ensuring its position as a leading global financial hub.
Education Sector Expands by 2.6%
The education sector contributed to social and economic development with a growth of 2.6%, increasing the value added from AED 5.7 billion in the first nine months of 2022 to AED 5.8 billion during the same period in 2023.
Manufacturing Sector Shows 2.2% Growth
Despite global competition, Dubai’s manufacturing sector exhibited resilience, achieving a 2.2% growth and elevating its value to AED 27.4 billion in the first nine months of 2023. This steady progress highlights the emirate’s adaptability and commitment to fostering diverse industries.
Electricity, Water, and Waste Management Activities Grow by 2.2%
Dubai’s critical industries—electricity, water, and waste management—saw a 2.2% growth, reaching AED 10.9 billion in the initial nine months of 2023. This growth reflects increasing demand for services in this sector.
Growth Across Various Sectors
According to figures from the Dubai Data and Statistics Establishment, several other activities demonstrated growth. Professional, scientific, and technical activities expanded by 1.9%, construction activities rose by 1.6%, and wholesale and retail trade activities expanded by 1.5%. This multifaceted progress lays the foundation for Dubai’s sustained development and future success.
