UAE: Abu Dhabi Economy

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Despite a sharp downturn in oil prices in the latter part of the year, Abu Dhabi’s economy maintained its solid pace of growth in 2014. Strong fiscal reserves, a low breakeven price of oil and an increasingly diversified economy should ensure expansion is maintained in 2015, though possibly at a slower rate than in past years. 

The past year was a good one for Abu Dhabi, both in terms of economic performance and its progress towards a more diversified economy – the principle goal of the Abu Dhabi Economic Vision 2030, formulated some five years ago.
A new free zone planned in Abu Dhabi could spur on further investment in the local economy.
New developments in the logistics sector, alongside an increase in non-oil trade, are expected to keep Abu Dhabi’s economy on track for moderate expansion in the coming year, with plans for further diversification set to deliver increasingly balanced growth.
Buoyed by positive growth in 2011, Abu Dhabi looks set to see a strong economic performance again this year. Though efforts to diversify the economy continue, high oil prices ensured that energy was the emirate’s strongest performer last year, even as non-oil sectors’ contribution to GDP increased.
In 2011 Abu Dhabi made significant progress towards its long-term goal of economic diversification, with major developments in the fields of industry, transport and tourism. While these are significant accomplishments, the government announced in late 2011 that it was reprioritising certain projects.

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