IMF forecasts UAE’s economy will grow 2.5 per cent in 2020

Business Bureau, Gulf Today

The International Monetary Fund (IMF) forecasts that the UAE’s economy will grow 2.5 per cent in 2020, a significant acceleration compared to the 1.6 per cent the institution estimated for 2019.

Much of that will be driven by growth outside the energy sector, as the IMF expects non-oil growth to accelerate to 3 per cent in 2020 from 1.6 per cent last year, driven by the World Expo 2020 and government growth initiatives.

First Abu Dhabi Bank (FAB), the UAE’s largest bank and one of the world’s largest and safest financial institutions, has published its 2020 Global Investment Outlook Report, ‘Shaping tomorrow, today’.

The report, written by the bank’s industry experts, examines the current global economic and investment environment, providing insights into key macro-economic trends.

According to the report, First Abu Dhabi Bank is expecting growth in 2020 for the UAE. FAB also expects global growth thanks to multiplier effects and as government spending picks up.

In fact, one of the latest-debated risks is the global acceleration in inflation. Consumer prices have lingered in the past decade, partly as a result of technological advances that have increased productivity and reduced some of the costs associated with intermediaries. The combination of monetary and fiscal policy acting together could shift the inflation dial globally.

Alain Marckus, Managing Director and Head of Investment Strategy and Investment Management -Elite and Private Banking, said: “The combination of improving global growth, alongside very low interest rates around the world, should continue to see risks assets do well in 2020. Ongoing global central bank accommodation also should see the emerging markets do well. The economic “long cycle” continues to be extended with opportunities available in value and income strategies, which we think will be the outperformers.”

FAB’s Global Investment Outlook 2020 can be viewed and downloaded here.

Meanwhile the first Abu Dhabi Bank (FAB), the UAE’s largest bank and one of the world’s largest financial institutions, has been recognised as the ‘Best Trade Finance Provider in UAE’ at the Bankers Association for Finance and Trade (BAFT) Annual Meeting 2020. FAB received the award at a ceremony in Frankfurt.

The awards recognise finance providers that have delivered excellent trade finance solutions by anticipating evolving trends, helping clients to mitigate risks and to succeed in their international business. FAB delivers bespoke solutions to help clients meet their trade and working capital requirements, increase their supply chain efficiency, mitigate counter party risks, improve working capital, and better manage cash flows and foreign exchange needs associated with trade transactions.

Commenting on the award, Manoj Menon, Head of Global Transaction Banking at First Abu Dhabi Bank, said: “We are delighted to have won this prestigious award and to be recognised as the UAE’s best trade finance provider. It is a testament to the solid transaction banking proposition we have at FAB across Cash Management and Trade, wherein we work closely with our clients in developing bespoke solutions to help them grow stronger.”

Global Finance relies on a multi-tiered assessment process, including input from industry analysts, corporate executives, and technology experts to select the best providers of trade finance. Winners are chosen based on a range of objectives and subjective criteria, including transaction volume, scope of global coverage, customer service, competitive pricing and innovative technologies.

FAB, the UAE’s largest bank and one of the world’s largest and safest institutions, offers an extensive range of tailor-made solutions, and products and services, to provide a customised experience. Through its strategic offerings, it looks to meet the banking needs of customers across the world via its market-leading Corporate and Investment Banking and Personal Banking franchises.

Headquartered in Abu Dhabi in Khalifa Business Park, the bank’s international network spans five continents, providing the global relationships, expertise and financial strength to support local, regional and international businesses seeking to do business at home and abroad.

In line with its commitment to put customers first, to Grow Stronger, FAB will continually invest in people and technology to create the most customer-friendly banking experience, and will support the growth ambitions of its stakeholders across countries in which the bank operates.

To empower its customers and clients to Grow Stronger, FAB initiated a powerful movement, which goes beyond banking.