Abu Dhabi's GDP rises 3.3% in Q1 2024, driven by non-oil sector growth

Abu Dhabi’s gross domestic product (GDP) witnessed a 3.3 percent growth during the first quarter of 2024. This increase is largely attributed to the strong performance of transportation, construction, financial, and accommodation and food services sectors.

Non-oil GDP saw a substantial rise of 4.7 percent in the first quarter of 2024.

According to the Statistics Centre - Abu Dhabi (SCAD), non-oil activities now contribute 54.1 percent to Abu Dhabi’s overall economy, the highest level since 2015. The non-oil economy reached a quarterly value of AED 154.7 billion in Q1 2024, while the total value of the emirate’s economy, including both oil and non-oil sectors, stood at AED 286 billion.

Ahmed Jasim Al Zaabi, Chairman of the Abu Dhabi Department of Economic Development (ADDED), highlighted the 3.3 percent GDP growth and 4.7 percent rise in the non-oil sector in early 2024 as part of Abu Dhabi’s strategy to attract global talent, businesses, and investments.

The financial activities sector grew by 9.7 percent, bolstering the non-oil economy’s contribution to 54.1 percent of the total GDP in Q1 2024.

Abdulla Gharib Alqemzi, Acting Director General of SCAD, said, “Our competitive investment climate continues to attract foreign investments, especially in major activities like construction, which contributed 8.8 percent to the economy, exceeding AED 25 billion in value.”

Construction activities grew by 9.5 percent in Q1 2024 compared to the same period last year, making up 8.8 percent of the overall economy. This sector has seen consistent quarterly growth of 22.6 percent over the past decade, with the number of real estate units in Abu Dhabi reaching 754,555 since 2011.

The finance and insurance sector also saw a 9.7 percent growth in Q1 2024 compared to the same quarter last year, contributing 7 percent to the economy. The added value of this sector has increased by 39 percent over the past decade, reaching AED 20 billion in Q1 2024.

Additionally, telecommunications, and accommodation and food services grew by 5.9 percent and 6.2 percent, respectively, in Q1 2024 compared to Q1 2023, highlighting the emirate’s efforts to boost the tourism sector’s GDP contribution. Transport and storage activities grew by 14.4 percent in the first quarter of 2024.

Manufacturing activities saw a growth rate of 1.7 percent in Q1 2024 compared to the same period last year, contributing 8.7 percent to the GDP, with a total quarterly value exceeding AED 24.8 billion — a 102 percent increase over the past decade.

Abu Dhabi’s continuous growth rates are the result of strategic initiatives focused on economic diversification, industrial sector development, and encouraging foreign investments, reflecting in the high performance of the non-oil GDP, which exceeded 9.1 percent in 2023.