Stay up to date with the latest market news
The International Monetary Fund (IMF) recently concluded a mission to the UAE, releasing its findings on the state of the UAE economy. According to research, the IMF suggested that the economy was “at a turning point” on the back of substantial of Expo 2020 investment being completed by the end of this year. New investment plans from government bodies and stimulus packages are expected to accelerate as oil prices inch higher.
The IMF predicts that the UAE’s economic growth could exceed 2% this year and approach 3% in 2020-21. It stated that structural reforms, consolidation in public and private sectors, including some large commercial banks, and a slight increase in interest rates have all contributed to the adjustment in the economy. Weaker external demand and heightened geopolitical tensions resulted in slower non-oil growth – 1.3% in 2018 – while the overall economy grew at 1.7%.
The report added that sustaining strong growth after Expo 2020 will depend on the performance of non-oil sectors, the reforms introduced and the stimulus packages. To this effect, the IMF recommended reducing public sector share to encourage more private-sector players to help boost growth. This, along with strengthening the opportunities for SMEs and encouraging more Foreign Direct Investment (FDI) should be the priorities.
Additionally, the recent adoption of the federal debt law was also welcomed by the IMF. It added that the issuance of local-currency government securities should proceed in order to establish a benchmark yield curve.
Cavendish Maxwell is the MENA region’s leading firm of property consultants and chartered surveyors. If you are looking for professional real estate consultation or advice on property related matters, please view our services.
Stay up to date
|The _ga cookie, installed by Google Analytics, calculates visitor, session and campaign data and also keeps track of site usage for the site's analytics report. The cookie stores information anonymously and assigns a randomly generated number to recognize unique visitors.
|This cookie is installed by Google Analytics.
|Set by Google to distinguish users.
|A variation of the _gat cookie set by Google Analytics and Google Tag Manager to allow website owners to track visitor behaviour and measure site performance. The pattern element in the name contains the unique identity number of the account or website it relates to.
|Installed by Google Analytics, _gid cookie stores information on how visitors use a website, while also creating an analytics report of the website's performance. Some of the data that are collected include the number of visitors, their source, and the pages they visit anonymously.
|This cookie is set by the GDPR Cookie Consent plugin to store the user consent for the cookies in the category "Statistics".