Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

UAE economy to gain steam in 2014  Join our daily free Newsletter

MENAFN - Khaleej Times - 04/12/2013
No. of Ratings : 0
Add to Mixx!


(MENAFN - Khaleej Times) The UAE economy is poised to gain new momentum in 2014 with three key sectors - including huge non-oil sector investments, the buoyant trade and services sector, and the booming tourism industry - primarily driving the upswing in the country's gross domestic product to 4.5 per cent from 4.4 per cent in 2013, Standard Chartered said on Tuesday.

The bank, predicting a better 2014 across the world with the global economy picking up steam to rise to 3.5 per cent from 2.7 this year, and "inflation staying benign", estimated that non-oil project spending in Abu Dhabi would reach 34 billion in 2014 in line with the emirate's long-term development and diversification goals.

The second driver is Dubai's core trade and services sector that would continue benefiting from strong regional dynamics, "as bulging GCC fiscal surpluses drive long-term infrastructure and diversification projects", Standard Chartered said in the Global Focus 2014 report "Rising East, emerging West". In 2013, Dubai's non-oil trade, which was up 16 per cent (184 billion) in the first half, will end up almost 14-16 per cent higher than in 2012. "For 2014 we expect overall trade to grow 12-15 per cent. Driving this growth will be Dubai's position as a gateway to 55 per cent of trade inflows to the GCC through its ports," Standard Chartered said. The bank expects investment levels in the region to remain strong, driving demand for capital goods imports and benefiting the emirate's logistics and trade sectors.

"The growth in trade across different geographies is another driver; data from the Dubai Chamber of Commerce and Industry shows that trade with Africa in the past five years increased from six per cent as a share of Dubai trade to 10 per cent. This represents a move from 10 billion to close to 30 billion in trade, which makes Africa Dubai's fastest-growing market."


Dubai's tourism sector, the third key growth driver, is likely to have another strong year. "Hotel occupancy rates and tourist inflows to Dubai are very strong. In the first half of 2013, the number of tourists in Dubai reached 5.5 million, an 11 per cent increase over 2012. Dubai's hotels reported 7.9 million visitors in the first nine months of 2013, up 9.8 per cent versus the same period in 2012."

Dubai's hotel occupancy rates reached 81 per cent from 75.5 per cent in the same period last year. Dubai has total 81,492 hotel rooms as of the first half 2013, which means the growth in occupancy is impressive: room stock in Dubai was almost 43,419 in 2009, when occupancy rates were around 68.8 per cent.

Bank economists believe inflation as one of the challenges that should be on policy makers' radar in 2014. "While a spike to the levels of 2006-08 is very unlikely, we believe inflation will begin to rise in 2014. In Dubai, residential prices rose by 38 per cent for apartments and 24 per cent for villas, with rents up by 20 per cent and 17 per cent, respectively, in 2013 first half."

In Abu Dhabi, the property market will benefit from increased demand as project investment drives jobs, further supported by directives that will bring more Abu Dhabi government employees back to the emirate. Overall inflation remains relatively low, with inflation as of September 2013 up 1.26 per cent compared with the same month in 2012.

"We expect inflation in the UAE to pick up to around 4.2 per cent in 2014 as the housing component [39 per cent of the inflation basket] better reflects market conditions."

The bank believes that the hydrocarbon sector is unlikely to directly contribute to real GDP growth in 2014."


 


Khaleej Times




  MENA News Headlines
 Dec 11 2016 - Demonstrators in UK call for greater Syria interventionMENAFN
(MENAFN) Demonstrators led by human rights activist Peter Tatchell disrupted a speech by the British Labour Party leader Jeremy Corbyn on Saturday, calling for a more forthright stand against the ...

 Dec 11 2016 - US-backed alliance launches 'phase two' of Raqqa campaignMENAFN
(MENAFN) A US-backed alliance of Arab and Kurdish fighters announced on Saturday 'phase two' of its campaign for the Islamic State group's Syrian bastion of Raqqa.In detail, Syrian Democratic Forces ...

 Dec 11 2016 - UK shows 'Profound concern' for people of YemenMENAFN
(MENAFN) Boris Johnson has spoken of his "profound concern" for people in Yemen and said that "force alone" will not bring stability to the country.But the foreign secretary said he understood the ...

 Dec 11 2016 - UAE investigators probe Ohio student killed by policeMENAFN
(MENAFN) Abu Dhabi police are travelling to the US state of Ohio to "participate in the investigation" into the death of an Emirati student who was shot by police.In detail, Ohio officials say that ...

 Dec 11 2016 - Dubai Masters suspended after death of caddieMuscat Daily
(MENAFN - Muscat Daily) The first round of the Dubai Ladies Masters, the season-ending championship of the Ladies European Tour, was suspended Wednesday after the death of a caddie. Austrian ...

 Dec 11 2016 - Ex-Real players on tax fraud chargesMuscat Daily
(MENAFN - Muscat Daily) Spanish prosecutors have brought tax fraud charges against three former Real Madrid players, Xabi Alonso, Ricardo Carvalho and Angel di Maria and opened investigations into ...

 Dec 11 2016 - Okaka's Watford brace deepens Everton gloomMuscat Daily
(MENAFN - Muscat Daily) Italian striker Stefano Okaka's first two Watford goals inspired a 3-2 comeback win over Everton on Saturday, leaving Ronald Koeman's side with one win in 10 Premier League ...

 Dec 11 2016 - Bayern regain top spot as Leipzig lose unbeaten recordMuscat Daily
(MENAFN - Muscat Daily) Robert Lewandowski netted twice as Bayern Munich returned to the top of the Bundesliga on Saturday with a 5-0 win over Wolfsburg after RB Leipzig lost their unbeaten record. ...

 Dec 11 2016 - Messi double brings Barca reliefMuscat Daily
(MENAFN - Muscat Daily) Lionel Messi struck twice as Barcelona recorded their first win in four La Liga games to close to within three points of Real Madrid at the top of La Liga with a 3-0 win at ...

 Dec 11 2016 - Kohli drives India to 'golden' lead over EnglandMuscat Daily
(MENAFN - Muscat Daily) Captain Virat Kohli smashed a sensational unbeaten 147 to propel India into the lead on the third day of the fourth Test against England in Mumbai on Saturday. The Indian ...

more...


 





Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Search News
Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help