The United Arab Emirates, the second largest and one of the most stable economies of the Middle East, has come a long way over a decade in terms of development and holds a promising growth ahead. The same was echoed in the forecast of the rating agency, S&P Global. The company predicted that Dubai’s GDP growth is expected to pick up pace over the next three years (2019-2022), averaging about 2.5 percent growth. UAE is also one of the most resilient economies, which analysts believe would remain economically and politically stable over these years despite regional tensions. The Gulf nations owe it all to its visionary leadership, including Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai. Here are a few of the most prominent achievements of the country in the financial sector.
Diversification of economy
UAE has been a game-changer and a pioneer among its neighbours, to incorporate economic diversification and better business environment. It helped the nation in earning the top rank regionally in 2018 for ease of doing business. With opening its economy beyond the oil industry, UAE discovered its vast potential, which enabled it to compete with the developed global economies and become part of the world’s top 10 economies list by 2021.
Winning bid for Expo 2020
In 2013, UAE won the bid for one of the biggest event in the world of technology, the Expo 2020 at the 154th Bureau International des Expositions. UAE won the bid against strong rivals including Turkey’s Izmir, Brazil’s Sao Paolo, and Russia’s Yekaterinburg.
The UAE’s love for innovation and promotion of technology also helped it in getting the first rank among the Arab nations and 36 globally in the Overall Innovation Performance, as per Global Innovation index 2014.
UAE is among the few nations in the world who has made sustainable development an internal part of their economy. According to the annual report of the International Renewable Energy Agency (IRENA) for 2018, the global renewable sector employed 11 million people in 2018, compared to 10.3 million in 2017.
The Dubai Electricity & Water Authority (DEWA) is organizing the 21st Water, Energy, Technology, and Environment Exhibition (WETEX 2019) on 21 – 23 October 2019 to present UAE’s work towards the promotion of green and clean environment. It is said to be the largest exhibition since the inception of the event.
Stable and highly liquid banking sector
UAE banking sector released its annual report for 2018, which highlighted the growth in UBF activities. Its biggest achievement is its growth and stability, especially during the times when the world over banking institutions are tumbling. In December 2018, UAE’s total banking assets amounted US$780 billion, largest in the Arab world.
The UAE banking sector remains well-capitalized, highly liquid, sound, and stable, all of which reflects investor confidence in the economy. Its solid foundations provide financial stability to the country.
Stable manufacturing sector
The manufacturing sector of UAE is probably the rarest to show higher returns, contrary to the top economies of the world where the sector is down with a negative growth rate. The contribution of the manufacturing sector to the UAE’s non-oil GDP grew 2.5 percent to AED122 billion in 2018 from AED119.7 billion in 2017. The sector has maintained steady growth over the past five years.
The country’s new incentives ranging from offering 10-year residency visas for foreign investors and professionals (medical, science, technical fields) to 100% ownership of companies to foreign investors, helped in keeping the sector alive.
Governing with Artificial Intelligence
In 2017, the gulf country launched its first-ever Artificial Intelligence Strategy. It was the first of its kind in the world, making UAE the leading nation in the field of AI investments. The country also aims to use to this technology for governance to increase government efficiency and public trust.
Satellite and space program
In February 2019, UAE launched National Space Strategy 2030, which included 79 projects in the field of space science and research, manufacturing, assembly, and testing, as well as the commercial space services sector. In 2018, the country launched its first satellite fully built by young Emirati engineers. In the near future, the country would also be operating international space technology centers based in the UAE. Besides, the nation takes the global lead in terms of infrastructure, aviation facilities, public safety, and security and public faith in the government.