Powering Growth: Abu Dhabi’s Non-Oil Economy Soars 9.1% in 2023
Abu Dhabi’s non-oil gross domestic product (GDP) surged by 9.1% in 2023, marking a significant milestone in its economic diversification journey, as reported by the Statistics Centre-Abu Dhabi (SCAD).
Key Highlights | Abu Dhabi’s Non-Oil Economy
Record-breaking GDP Performance
In 2023, Abu Dhabi achieved its highest GDP value in a decade, amounting to Dh1.14 trillion, despite facing various challenges and global market fluctuations.
Leading Sectors
The growth in the non-oil economy was primarily driven by remarkable advancements in the construction, finance and insurance, and transportation and storage sectors, collectively contributing over 53% to the total GDP.
Continued Expansion
During the fourth quarter of 2023, Abu Dhabi’s economy expanded by 4.1% compared to the same period in 2022, with the non-oil sectors experiencing a remarkable growth rate of 10.4%.
Economic Diversification Initiatives
Abu Dhabi’s impressive economic performance can be attributed to its strategic initiatives aimed at diversifying the economy. Key efforts include the development of industrial, finance, and tourism sectors, along with promoting foreign investment and encouraging private sector participation.
Testimonial
Ahmed Jasim Al Zaabi, Chairman of the Abu Dhabi Department of Economic Development, lauded the proactive approach adopted by Abu Dhabi, highlighting the success of the “Falcon Economy” in navigating the dynamic global economic landscape.
Sectoral Growth Analysis
Construction
Construction activities witnessed a remarkable surge of 13.1% in 2023, contributing 8.5% to the emirate’s GDP.
Manufacturing
Manufacturing activities saw substantial growth, with the sector’s added value reaching Dh101 billion, the highest non-oil contributor to the GDP.
Finance and Insurance
The finance and insurance sector registered the highest growth rate at 25.5%, reflecting growing international confidence in Abu Dhabi’s economy.
Wholesale and Retail Trade
Wholesale and retail trade activities recorded a growth of 7.9%, underscoring Abu Dhabi’s position as a preferred business destination.
Abu Dhabi’s robust economic growth in 2023 signifies the success of its economic diversification strategy. With a focus on innovation, talent development, and global expansion, Abu Dhabi continues to emerge as a leading global economic powerhouse.
