UAE: Non-Oil Sector Contribution Reaches All-Time High Of 77%

The contribution of the non-oil sector in the UAE's GDP reached a new record high of 77.3 per cent for the first time in the country's history in the first quarter of 2025, according to preliminary estimates issued by the Federal Competitiveness and Statistics Center.

“The contribution of non-oil economic activities to the real GDP has reached a new record level, reaching 77.3 per cent for the first time in the country's history, which reflects the momentum of economic diversification enjoyed by the UAE and confirms the effectiveness of national policies and strategies aimed at building a knowledge- and innovation-based economic model,” said Abdullah bin Touq Al Marri, Minister of Economy and Tourism.

As part of the“We the UAE 2031” vision, he said, the aim is to raise the country's GDP to Dh3 trillion by the next decade.

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The latest data released on Sunday revealed that the UAE's real GDP grew 3.9 per cent in the first quarter of 2025, led by non-oil sectors, which grew 5.3 per cent.

The country's GDP reached Dh455 billion at the end of the January-March 2025 period, with non-oil GDP accounting for Dh352 billion, with manufacturing, finance, insurance, and construction sectors leading the growth.

Al Marri said the figures confirm the strength and resilience of the national economy and its ability to continue its exceptional growth path.

“They also confirm the success of the comprehensive development model adopted by the country. They reflect the confidence of investors and the international community in the UAE's business and investment environment, which has become a global model to emulate in adopting advanced economic policies and developing a legislative infrastructure that stimulates growth,” said Al Marri.

Hanan Mansour Ahli, director of the Federal Competitiveness and Statistics Center, emphasised that the UAE's GDP growth during the first quarter of this year confirms the efficiency of the UAE's economic model. She also added that it reflects the UAE government's success in implementing the leadership's directives to develop economic sectors on a sustainable basis and intensify economic diversification efforts to ensure the continued development and growth of the country's GDP.

She stated that the growth of non-oil GDP by more than 5 per cent reflects the UAE's directions and vision to establish an advanced and diversified economic model, enabled by technology and innovation. This model provides a stimulating environment for business sectors and individuals with ideas to transform their visions into successful companies and projects that contribute to the UAE's evolving economic landscape.

Manufacturing sectors grew 7.7 per cent during January-March 2025, followed by the finance and insurance and construction sectors, which both achieved growth of 7.0 per cent. Real estate activities grew by 6.6 per cent, and the trade industry by 3.0 per cent.

Among the economic activities that contributed most to non-oil GDP during the first quarter of 2025, the trade sector ranked first, contributing 15.6 per cent, while the finance and insurance sector came in second, contributing 14.6 per cent. Manufacturing industries followed with 13.4 per cent, while the construction sector contributed 12.0 per cent and real estate activities 7.4 per cent.

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