UAE Economy On Track Despite Regional Tensions, Top Financial Expert Says

2026-02-02 02:29:33

(MENAFN- Khaleej Times)

Emirates NBD Wealth Management noted that the UAE's real GDP surpassed its 5% growth forecast, with non-oil foreign trade topping $1 trillion in 2025

PUBLISHED: Mon 2 Feb 2026, 5:35 PM

By:
Waheed Abbas

A top economist on Monday likened the UAE to Switzerland for its stability, remaining one of the Middle East's safest nations despite regional volatility.

Speaking at the launch of the Annual Global Investment Outlook for 2026, Maurice Gravier, group chief investment officer at Emirates NBD Wealth Management, said Switzerland maintained neutrality and avoided war even as neighboring countries were embroiled in decades of conflict.

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“Switzerland thrived like no other country, despite not having natural resources and not having access to the sea; nothing compared to the assets that the UAE has. For me, if you are diplomatically wise, and there's no question about the wise policies of the UAE, you can thrive despite having lots of troubles around. You have to avoid going into a direct conflict,” Gravier told Khaleej Times during the launch of the annual report.

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As reported by Khaleej Times on January 26, the UAE's Ministry of Foreign Affairs has categorically stated that it will not allow the use of its airspace, territory, or waters for any military operations against Iran.

The Middle East is once again witnessing heightened geopolitical tensions between the US and Iran, as President Donald Trump has threatened Tehran on multiple occasions over the past few months to bring the Persian country to the negotiating table.

The US and Israel attacked Iran last year, targeting its missile and nuclear sites and killing several senior military officials.

Markets are increasingly concerned about the growing tension between the two countries. As a result, some airlines have suspended operations to parts of the Middle Eas.

“Of course, if the US strikes Iran, we will see a spike in the oil prices and uncertainties,” he said.

According to Emirates NBD Wealth Management, the UAE's real GDP was projected to grow by 5 per cent last year and ultimately performed even better.

He said everything appears to be on track for the UAE economy, as its non-oil foreign trade surpassed the $1 trillion mark in 2025.

“We see all planets being absolutely aligned for the UAE and the GCC as a whole. We are not concerned about the current review. For oil prices, our forecast is for an average of $60 for the brand in 2025. We are still very bullish on the regional economy, especially in the UAE, because of this AI advantage and this global connection that no other country has,” he added.

Emirates NBD Wealth Management projected in its latest report, titled 'Eyes Wide Open,' that non-oil activity in 2026 will see a modest slowdown across the bloc. However, this is largely due to base effects following several years of higher-than-average growth after the Covid-19 pandemic.

“We forecast weighted average non-oil growth of 4.4 per cent in 2026, down from an estimated 4.8 per cent in 2025, with the UAE, Saudi Arabia, and Qatar set to be the outperformers once again,” it said.