Abu Dhabi’s GDP rises to Dhs226b in Q1

ABU DHABI: Abu Dhabi’s gross domestic product (GDP), at current prices for Q1 2019 rose by 3.3 per cent to Dhs226 billion, compared to Dhs219 billion in the first quarter of 2018.

The Abu Dhabi’s GDP at constant prices rose to Dhs207 billion in the first quarter of 2019, compared to Dhs196 billion for the same quarter of 2018, a growth rate of 5.7 per cent, according to a report from Statistics Centre Abu Dhabi, SCAD.

Speaking on the occasion, Abdulla Ahmed Al Suwaidi, Acting Director-General of SCAD, said that the diversification policy adopted by the Abu Dhabi government has contributed to creating new tributaries for the national economy, which is now among the most highly developed economies in terms of readiness for production and development worldwide. The emirate has become a safe and attractive haven for the flow and strengthening of the national and foreign investment environment.

For his part, Rashid Abdul Karim Al Balooshi, Acting Undersecretary of the Abu Dhabi Department of Economic Development, DED, said, “The remarkable growth in Abu Dhabi’s economy during the first quarter of 2019 was driven by the growth in the oil sector, while non-oil activities continued to post steady growth rates, underscoring the ability of the emirate’s economy to stay strong.” “This is due to the numerous development projects currently being implemented by the emirate’s government in multiple value-add economic sectors,” he said.

The government is working to consolidate public-private partnerships through the launch of various programmes as part of the Ghadan 21 programme, a Dhs50 billion three-year initiative driving economic development, innovation, ease of doing business and liveability in the UAE capital. One of the key tenets of the programme is to develop infrastructure, including transportation, communication and urban development.

Al Balooshi pointed out that the emirate’s GDP growth for the first quarter of the year came amid a series of moves taken to stimulate the business enviroment, including an exemption from licence fees for two years, which contributed to the continued expansion of economic activity in all sectors across the emirate.

Abu Dhabi’s oil GDP also grew year-on-year at both current and constant prices, the report said.

At current prices, oil GDP made up 39.8 per cent of the emirate’s overall GDP in the first quarter of 2019, reaching Dhs89.9 billion, an 11.6 per cent increase from Dhs80.6 billion in the first quarter of 2018.

The oil GDP rate at constant prices also increased from Dhs94.7 billion in the first quarter of 2018 to Dhs106.8 billion in the first quarter of 2019, marking a rise of 12.8 per cent. It contributed 51.6 per cent of Abu Dhabi’s GDP during the first quarter of 2019.

Abu Dhabi’s Gross Domestic Product, GDP, at current prices, increased by 14.4%, from Dhs813.6 billion in 2017 to Dhs931.0 billion in 2018, according to Statistics Centre - Abu Dhabi (SCAD).

The rise in the GDP was driven by the increase of activity in the value added of ‘Mining and quarrying’ (including crude oil and natural gas) by 35.7% in 2018 to Dhs375.9 billion compared with 14.9% or Dhs277.1 billion in 2017. This increase in value added resulted from higher oil prices, noted SCAD in its national accounts report.

As a result, its contribution to the total GDP increased from 34.1% in 2017 to 40.4% in 2018.

‘Non-oil’ activities at current prices increased by 3.5% in 2018. These activities have seen positive growth rates since 2013. The strong increase in oil activities combined with lower growth rates in non-oil activities contributed to a decrease in the percentage share of non-oil activities in GDP from 65.9% in 2017 to 59.6% in 2018.

The results showed increases across most of the non-oil activities of GDP during 2018. Value added by ‘Manufacturing ‘ increased by 13.8% in 2018. While the ‘ Activities of Public administration and defence; compulsory social security’ increased by 6.4% in 2018, compared with 10.9% in 2017, followed by the ‘Transportation and storage’ activity, which increased by 4.0% in 2018, compared with a decrease by 6.4% in 2017.

GDP at constant 2007 prices increased by 1.9% in 2018 following a decrease of 0.9% in 2017. ‘Manufacturing’ activities grew at 5.9% in 2018 compared with 5.4% in 2017. While non-oil activities increased 0.6% in 2018 compared with 0.9% in 2017.

The main contributors to constant price non-oil activities in 2018, were ‘Construction’ with a share of 10.2% of the total GDP and ‘Financial and insurance’ activities with 7.3%. The ‘Manufacturing’ activity contributed 6.2 %, while ‘Wholesale and retail trade; repair of motor vehicles and motorcycles’ and ‘Real estate’ activities contributed by 3.9% and 4.2% respectively in 2018.

WAM