Economic growth in the United Arab Emirates is forecasted to hit 2.25 per cent for this year, according to the nation’s energy minister.
The Minister, Mohammed bin Dhaen Al-Hamli, also commented on the renewal of optimism in the nation since the end of the worldwide economic crisis.
The dampening in credit seen across the world brought an end to the boom headed by oil and real estate in the UAE, a nation with the third highest oil exports in the world. This was the first economic downturn seen since 1993. Also, the debt difficulties in Dubai have been a burden for the second largest economy in the Arab world.
The figures stated by Hamli land on the more conservative end of the scale when considering the Ministry of the Economy’s expectations for the UAE. The Ministry forecasted a growth in GDP between 2.0 and 3.2 per cent for this year, with a projected oil price of $75 to $85 per barrel.
A September media poll of analysts found that forecasts had increased to 2.4 per cent for GDP growth in the UAE. This rise in expectations came once the debt restructuring of Dubai World was settled, looking after the $24.9 billion burden.
Last year the UAE economy declined by 2.5 per cent, according to International Monetary Fund. US crude prices, which are the benchmark, steadied at about $86.50 per barrel this week.Paul Holdsworth, Staff Writer, Gulf Jobs Market News