UAE's economy to grow over 5% in 2025: UBS Wealth Management

Shutterstock

Michael Bolliger, Chief Investment Officer of Emerging Markets at UBS Global Wealth Management, stated that the UAE's GDP growth is expected to surpass 5 per cent in 2025.

Bolliger told the Emirates News Agency (WAM), during an online press briefing, that the optimistic growth outlook for the UAE economy aligns closely with recent estimates from the International Monetary Fund (IMF).

The IMF recently maintained its forecast for the UAE's GDP growth at 4 per cent in 2024, with an increase to 5.1 per cent projected for 2025.

Bolliger highlighted that several global factors play a role in shaping growth expectations for the economies of the Gulf Cooperation Council (GCC) countries, foremost among them oil production and OPEC decisions. Additional positive factors include stimulus announcements in China, monetary policy measures, and reductions in the reserve requirement rate, all of which are anticipated to drive markets and the global economy toward recovery.

He clarified that these factors will undoubtedly influence the UAE's economic performance both directly and indirectly, with expectations that the UAE economy will continue its growth momentum and maintain an upward trajectory.

Bolliger also noted that policy decisions by the United States Federal Reserve concerning monetary policy will be an influential factor on the global economy in the coming period, forecasting a decrease of approximately 150 basis points in interest rates by the end of 2025.

More from Business

Coming Up on Dubai Eye

  • The Score

    7:00pm - 9:00pm

    Hosted by Chris McHardy, The Score is your comprehensive guide to the world of sport.

  • The Night Shift with Mark Lloyd

    9:00pm - 11:00pm

    Musicians and music, entertainers and entertainment, industry gossip and songs selected by you, get ready to bring your night time to life! Every evening from eight, Mark Lloyd brings you an energetic mix of local and international content and contests, featuring an array of celebrity interviews and entertaining anecdotes. Get involved in the show and pick your favourite jukebox hits, every night from 8pm - 11pm.

BUSINESS BREAKFAST LATEST

On Dubai Eye

  • Is There Sufficient House Supply In UAE

    Dubai’s current population is more than double compared to almost twenty years ago, which now stands at 3.7 million. Lots of families are also moving to the UAE now. So what does it mean for the property market?

  • Noon's First Female Delivery Driver

    Glory Ehirim Nkiruka is Noon’s first ever female delivery driver. In her first ever interview, she explained why she loves her job, despite the heat!