UAE economy on track for 4.8% expansion

The UAE is projected to achieve solid economic growth of 4.8% in 2025, positioning it as the fastest-growing economy in the Gulf region. This performance highlights the nation’s resilience and steady investor confidence despite global economic challenges.

Abu Dhabi is expected to play a major role in this growth, with its GDP forecasted to rise around 6%. The increase is supported by higher oil production as OPEC+ eases output cuts and a strong surge in the real estate market. Property transactions in the capital have grown by more than 40% in the first half of the year, driven by strong demand and a growing population.

Beyond oil, the UAE’s non-oil sectors such as tourism, finance, and real estate are also contributing significantly to economic expansion. These industries continue to attract both regional and international investors looking for stability and long-term returns.

Josh Gilbert, Market Analyst said the UAE provides a rare balance of growth and stability. “Corporate earnings remain resilient, IPO activity is strong, and equity markets like the ADX and DFM are near record levels. These fundamentals, coupled with investor confidence, make the UAE an attractive market even in volatile conditions.”

The UAE’s IPO market continues to perform strongly, with several 2025 listings oversubscribed, showing high investor trust in the nation’s corporate sector. Government investment, rising dividends, and a young, expanding population further add to the economy’s strength.

The road ahead

The nation’s strong performance and policy stability reinforce its position as a leading investment destination in the region. With continued diversification, forward-thinking governance, and investor-friendly reforms, it remains on course to drive economic growth across the Gulf in 2025.

At One Investments, we focus on connecting buyers with premium projects across Dubai that cater to modern lifestyle needs. Every opportunity is carefully selected to meet international standards while ensuring the trust and transparency that investors value.

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