The International Monetary Fund (IMF) predicts that the UAE’s real GDP would rise at a healthy 7.7% in 2027, up from 6.2% in 2025, before slowing to 3.5% by 2031. During a news conference in Dubai, Dr Jihad Azour, Director of the IMF’s Middle East and Central Asia Department, emphasised the UAE’s proactive approach to regional issues. Since the outbreak of violence in the region, the UAE has implemented several measures to protect its residents, communities, and economy. These steps included developing alternative trade routes and shifting trade flows in both the oil and non-oil sectors to ensure the continued movement of goods and commodities.
Azour said these actions, combined with other countries’ efforts to diversify oil export routes, have helped mitigate the economic impact of disruptions such as the closure of the Strait of Hormuz. This strategy has also boosted regional economic activity. Looking ahead to 2027, Azour voiced hope about the restoration of steady economic development. He attributed this to the UAE’s methodical actions to strengthen the economy and mitigate the crisis’s local effects.
He emphasised that restoring oil and gas production and exports to pre-crisis levels is a vital component of the recovery. He emphasized that diversifying export channels and developing new transit routes remain top priorities for the UAE and surrounding Gulf states to reduce risk and stabilize trade flows.
Also Read:
Delivering Effective Legal Assistance in the UAE with InTrouble: Alexander Kopenkin
