The UAE's real GDP reached Dh430 billion in the first quarter of 2024, marking a 3.4% increase compared to Q1 2023, as announced by Minister of Economy Abdulla bin Touq Al Marri.

He also highlighted that the UAE’s non-oil GDP experienced a 4% rise in the same period, with financial and insurance sectors seeing 7.9% growth, Gulf News reports.

The Ministry added that strong tourism inflows contributed to a 4.6% increase in restaurant and hotel activities, according to the Federal Competitiveness and Statistics Centre’s (FCSC) growth figures published on Monday.

“The preliminary estimates of the UAE’s GDP growth in the first quarter of 2024 reflects the UAE’s commitment to fostering economic diversification focused on knowledge economy sectors, as the country’s real GDP reached Dh 430 billion in Q1 2024,” Al Marri stated.

“Under the guidance of UAE leaders, the country adopted an innovative economic model that supports its future vision, along with effective national economic strategies, enhancing openness to the world, promoting partnerships, and transitioning towards an economic model based on flexibility and innovation,” he added.

The strong performance of the national economy aligns with the economic goals of the 'We the UAE 2031' vision, which aims to increase the country's GDP to Dh3 trillion within the next decade.

Furthermore, trade activities made the largest contribution to the non-oil GDP, representing 16.1%. Manufacturing followed at 14.6%, while financial and insurance activities ranked third, contributing 13.4%.

Construction and building accounted for 11.8%, and real estate activities contributed 7.1%.

According to data from the FCSC, financial and insurance activities have become the top non-oil economic sector driving the UAE's GDP growth, recording a 7.9% increase.

“This growth can be attributed to the increase in the local credit granted to the private sector, which led to a 6% growth and positively impacting the rebound of non-oil economic activities,” the Ministry said. The transportation and storage activities ranked second, with 7.3% growth. 

“This growth was driven by a notable increase in the number of travellers at the country’s airports during the first three months of this year, reaching 36.5 million travellers, a growth rate of 14.7% compared to the same period last year,” the Ministry added.