# UAE's GDP per capita from $23,000 to $28,500, Grew by 28.5% and gained $30 billion



## smussuw (Feb 1, 2004)

UAE economy to gain $30 billion in 2005

Dec 20, 2005 - 01:00 -

Abu Dhabi, 20 Dec. 05 (WAM)--The UAE's economy is expected to gain a staggering $30 billion in nominal terms in 2005 to become the third largest economy in the Middle East and Central Asia, according to projections by the International Monetary Fund (IMF).

The country's gross domestic product peaked at around USD104.2 billion in 2004 after rocketing by more than 17 percent over the 2003 GDP of USD88.5 billion.

In 2005, the GDP is projected to swell by nearly $30 billion or 28.5 percent to a record USD133.8 billion and will continue its expansion to reach USD150.9 billion in 2006.

IMF figures for the economies of 32 countries in the Middle East and Central Asia showed the UAE's GDP ranked third after Saudi Arabia and Iran and accounted for nearly 9.2 percent of the total GDP of the 32 countries listed by the IMF.

The situation is in contrast with two decades ago, when the UAE had one of the smallest economies in the region as its oil production was relatively low and the country has just embarked on a massive programme to diversify its economy.

Experts said the rapid growth in the UAE's economy was a result of a sharp increase in its crude production, steady expansion in the non-oil sector, the increase gas output and the construction of new petrochemical and refining projects.

Diversification programmes in the UAE have largely paid off in terms of reduced reliance on crude exports as the oil sector's share of the GDP has plummeted to only around a third from more than two thirds in early 1980s. As a result, the UAE's economy is gradually becoming less vulnerable to oil price fluctuations.

Although most other regional economies are projected to rise sharply in 2006 because of expectations oil prices will stay high, the UAE will still maintain the third largest economy in the Middle East and Central Asia, according to the IMF.

A breakdown showed Saudi Arabia was the dominant economic power in 2005, with a GDP of around $314.2 billion. Iran's GDP was put at USD203.3 billion.

In 2006, the GDP of these two countries is projected to climb to around USD349.4 billion and USD242.2 billion respectively.

But in per capita terms, the UAE was expected to remain in the second place after Qatar given its high GDP and relatively small population compared to that of Saudi Arabia and Iran. Independent estimates put the UAE's per capita income at around USD23,000 in 2004 while it is predicted to jump to nearly USD28,500 in 2005.

Given its smaller population and a sharp increase in LNG exports, Qatar has remained the richest country in the region in terms of per capita income, which peaked at around USD39,000 and is projected to swell to a record USD45,000 this year.

In its latest annual review for the UAE, the IMF sounded optimistic about the country's economic prospects in the medium run.

" The medium-term outlook remains favorable based on current expectations that world oil prices will remain high and the UAE's oil production will increase steadily to more than 3 million barrels per day by 2010," it said.

" Real non-hydrocarbon GDP growth is projected to remain robust as the economy gains traction from the ongoing productivity enhancing structural reforms, improved investment regime, and a more streamlined business climate. During 2006-10, both the fiscal and external current account balances are projected to continue to register large surpluses averaging about 22.5 percent and 17 percent of GDP, respectively." It noted that with an oil production close to capacity at about 2.5m bpd, the UAE currently ranks as the 9th largest crude oil producer and 6th largest net oil exporter worldwide. But it added that the country's role in the global oil market will "certainly increase further in the future, as its oil reserves amount to 10 percent of the world total." WAM/AZ 12 12 CCCCQQE

http://www.wam.org.ae/servlet/Satel...WamLocEnews&cid=1134808318079&p=1041492777827


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## smussuw (Feb 1, 2004)

this is beyond my expectation :shocked:


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## Dubai-Lover (Jul 4, 2004)

this is incredible
from 2003 to 2006 it almost doubled!!!!!!


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## smussuw (Feb 1, 2004)

and our GDP per capita is now $28,500

yay am happy

:banana: :banana: :banana:


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## docc (Jun 30, 2004)

I am no economist, so can perhaps someone explain to me like i am a 10 year old (which i am btw), what GDP means and how it affects us and the economy. I can google it but the thing is that they get into all kinda complexities, so would appreciate if someone just explained it to me.

Thanks.


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## DonQui (Jan 10, 2005)

how evenly is it distributed?

:?


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## smussuw (Feb 1, 2004)

docc said:


> I am no economist, so can perhaps someone explain to me like i am a 10 year old (which i am btw), what GDP means and how it affects us and the economy. I can google it but the thing is that they get into all kinda complexities, so would appreciate if someone just explained it to me.
> 
> Thanks.


GDP stands for Gross Domestic Product. In a simply way and according to my understanding, it is everything being produced in a year.

GDP per capita is the GDP/population which gives the average for each citizen.


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## docc (Jun 30, 2004)

Hmmm, so that means $28,500 per person? Now when i say "per person", what exactly am i supposed to be referring to and why should i be happy or disappointed if this amount increases or decreases? How does this affect me in day-to-day life?

Thanks for the explainations.


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## smussuw (Feb 1, 2004)

docc said:


> Hmmm, so that means $28,500 per person? Now when i say "per person", what exactly am i supposed to be referring to and why should i be happy or disappointed if this amount increases or decreases? How does this affect me in day-to-day life?
> 
> Thanks for the explainations.


hmmm, am not an economist either but I know that the GDP per capita shows how wealthey the country is.


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## dubaiflo (Jan 3, 2005)

OMG that must be among the top 3 in the world?
anybody for a list? 
don't know exactly.
unbelievable, this is more than anyone could expect...


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## dubainico (Jun 27, 2004)

Does UAE GDP per Capita include all guest workers or do we have to see this number in a separate way?


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## docc (Jun 30, 2004)

Hmmm, thanks for trying anyway. I will look it up and post here when it makes sense to me which might be around the time the UAE GDP reaches $50,000


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## luv2bebrown (Nov 4, 2004)

dubainico said:


> Does UAE GDP per Capita include all guest workers or do we have to see this number in a separate way?


it includes all citizens and legal residents


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## DUBAI (Aug 24, 2004)

smussuw said:


> hmmm, am not an economist either but I know that the GDP per capita shows how wealthey the country is.


It actualy shows growth, in terms of the econmoies size. essentialy, the population of the UAE earen't this much for the country in this time.

but its unclear whose included... so in reality it maybe less depending on who they included in the population figures.


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## Ben_Burj (Aug 28, 2005)

dubaiflo said:


> OMG that must be among the top 3 in the world?
> anybody for a list?
> don't know exactly.
> unbelievable, this is more than anyone could expect...


Here is the list http://www.cia.gov/cia/publications/factbook/rankorder/2004rank.html
Number one is Luxembourg with $ 58,900, also currency exchange rate can make the ranking change from year to year.


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## smussuw (Feb 1, 2004)

^ I thought he meant the growth rate.


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## dubaiflo (Jan 3, 2005)

i do.
nevertheless it is true exchange rates have a lof of effects on that list, imagine the euro, it was less than one dollar now it is 1.23...


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## DUBAI (Aug 24, 2004)

well, i think its the other way round. national productivity, and trade surpluss/defecit effecting the exchange rate.


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## Admiror (Apr 23, 2005)

Well here is the list 

Not very encouraging though ....UAE at no 62  

And look who is no.1 :eek2: Lord O Lord


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## Admiror (Apr 23, 2005)

Oops..forgot to include the list.....thast useful isn,t it ?

Here we go then

http://www.cia.gov/cia/publications/factbook/rankorder/2003rank.html


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## Dubai-Lover (Jul 4, 2004)

look at germany, #181 hno:

once iraq is calm and a government comparable to dubai's is in charge and the country is not torn apart anymore it can easily built up something bigger than dubai
could also easily be the richest nation in the world

they have history, history, history, nice landscapes
when the cities start to be built up again and oil is being produced it will give the middle east an incredible push
iraq has the biggest oil reserves worldwide, most of them untouched


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## juiced (Aug 18, 2004)

The European Union is a country ?? hno:


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## Bikes (Mar 5, 2005)

Dubai-Lover said:


> look at germany, #181 hno:
> 
> once iraq is calm and a government comparable to dubai's is in charge and the country is not torn apart anymore it can easily built up something bigger than dubai
> could also easily be the richest nation in the world
> ...


Monaco #200, doesnt mean anything.


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## docc (Jun 30, 2004)

What was the reason US went after Iraq again?


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## smussuw (Feb 1, 2004)

CIA fact book was always wrong and outdated :cheers: 

The estimation for the UAE there is 5.7% while it was actually 17% last year. Qatar's growth was in the 20s% and there its only 8% there.

UAE's GDP there is $68 billion while it actually passed $100 billions last in 2004.


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## Ben_Burj (Aug 28, 2005)

Bikes said:


> Monaco #200, doesnt mean anything.



Exactly it is also about sustainability. Finland comes first as the must competitive economy in a recent survey but they still don’t have a 10% growth. 

Plus if I have 10 euro in my pocket and tomorrow earn 50 euro this 500% growth. But if I already have 1 million in my bank account and earn 100,000 then this is only 10% growth.


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## Bikes (Mar 5, 2005)

Ben_Burj said:


> Exactly it is also about sustainability. Finland comes first as the must competitive economy in a recent survey but they still don’t have a 10% growth.
> 
> Plus if I have 10 euro in my pocket and tomorrow earn 50 euro this 500% growth. But if I already have 1 million in my bank account and earn 100,000 then this is only 10% growth.


Thats it, exactly


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## Dubai-Lover (Jul 4, 2004)

Dubai GDP posts 16pc growth; tops $37 billion 
Posted: Saturday, December 31, 2005

Dubai

Dubai’s economy grew around 16 per cent in 2005 and is estimated to reach Dh136 billion ($37.02 billlion), according to a statement from the Dubai Department of Economic Development (DED). The emirate’s economic growth would continue its steady pace and is expected to touch the Dh150 billion mark in 2006, a statement said.

The growth rate is higher than that of China, acknowledged to be one of the fastest growing economies in the world today with a growth rate of 8.5 per cent, said a DED statement.

Emphasising that 2005 had witnessed a consolidation of Dubai’s meteoric growth, Mohamed Ali Alabbar, director general, DED, reiterated that Dubai’s economy is sustainable over the long term.

“At current prices, Dubai’s GDP has recorded a significant increase and is estimated to reach Dh136 billion in 2005 up from Dh118.4 billion in 2004,” said Alabbar. “When compared to Dh62.3 billion in 2000 and Dh44.7 billion for the year 1996, this puts the accumulated annual growth of Dubai’s economy in the last decade at among the highest rate of growth in the world,” he explained.

Alabbar underlined the remarkable success of the diversification policy, which has been consistently adopted by the emirate in the 80’s and has been supported by the DED, which first developed strategic plan in 1997. “The non-oil GDP grew by 14.92 per cent in 2005 and is estimated to reach Dh128.4 billion, up from Dh11.7 billion in 2004 and Dh92.5 billion in 2003. Compared with figures for 1996 when the non-oil GDP was only Dh38.17billion, this shows a record rise of 236 per cent in the last decade,” he said.

“Dubai’s economy has continued to grow at a significant pace in the last few years as a result of the innovative and forward looking strategies of the government,” said Alabbar. “The establishment of transparent policies that support and encourage private enterprise has generated greater confidence in the economy,” he said.

“In formulating these policies, the Government of Dubai has always received extensive support from the private sector, which has come forward with innovative initiatives and suggestions, to further develop the business environment in the emirate,” said Alabbar acknowledging the contribution of the private sector to Dubai’s economic growth. 

Alabbar added that in addition to the constant growth of non-oil sectors, high oil prices have also contributed to Dubai achieving steady growth rates.

“Backed by consistently high oil prices, Dubai’s oil GDP grew by 18 per cent over last year’s Dh6.7 billion and is estimated to touch Dh7.9 billion, although the contribution of oil to Dubai’s overall GDP has remained close to the 2004 levels at 5.8 per cent,” said Alabbar. “In turn, the contribution of the non-oil sector to the emirate’s GDP was 94.20 per cent in 2005,” he added.

Alabbar noted that the government initiatives had enabled a continuous inflow of foreign capital - a trend that is expected to be maintained with the prevailing lucrative return on investment in key sectors. 

He pointed out that the department, in addition to main economic sectors, will focus towards setting up a viable industrial sector, which is the real evidence of true economic growth, through the establishment of industrial incubators.


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## dubaiflo (Jan 3, 2005)

immense 

smussuw use this for your signature 
5.8% oil btw, less and less...
really unbelievable...


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## smussuw (Feb 1, 2004)

Al Abbar is drunk

He already said that Dubai's GDP was 98 billion dirhams last year. How did it jump to 118.4 billion dirhams?

The real thing is that Dubai's GDP jumped from 98 billions to 136 billion. That means Dubai's growth is 38% this year.


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## smussuw (Feb 1, 2004)

*Dubai's GDP registered 16.7 per cent growth touching AED 100 billion in 2004*

Mr. Mohamed Ali Alabbar, Director General, Department of Economic Development (DED), Government of Dubai, described the year 2004 as 'a golden year,' asserting that most of Dubai's economic sectors had broken previous growth records in the year.

Statistics compiled the by DED suggest that the Emirate's GDP rose historically by 16.7 per cent in 2004 to touch almost AED 100 billion, as measured by current prices.

Affirming that 2004 had been one of the best periods for the UAE economy in general and Dubai in particular, *he said that he anticipated this strong growth to continue throughout 2005, predicting that Dubai's GDP would touch the AED110 billion mark and achieve 10 per cent growth at current prices.*

'At current prices, Dubai's GDP has recorded a phenomenal increase to AED98.1 billion in 2004 up from AED84.1 billion in 2003,' said Mr. Alabbar. 'When compared to AED62.3 billion in 2000 and AED41.2 billion for the year 1995, this puts the accumulated annual growth of Dubai's economy in the last decade at 10 per cent, the highest rate of growth in the world,' he explained.

'The phenomenal growth in 2004 is the result of several factors, including the ambitious initiatives launched by HH General Sheikh Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and UAE Defence Minister,' said the DED Director General. 'The Government of Dubai's unlimited support for the private sector coupled with dramatic increase in local spending, the constant growth of non-oil sectors and the sustained high oil prices have all contributed to Dubai achieving record growth rates,' he added.

Mr. Alabbar pointed out that last year's performance indicators also reflected the success of the economic diversification policy of the Emirate. He said the policy had added maturity and vitality to the economy by enabling it to develop resistance to any unforseen circumstances faced by one or other sectors and asserted that the momentum would be sustained for many years to come.

'The expansion and development in the non-oil sectors have played a pivotal role in the growth of the Emirate's GDP, despite the sustained high oil prices,' he said. 'Although oil contribution to the GDP grew 10.9 per cent in 2004, the corresponding growth of 17 per cent in the contribution of non-oil sectors enabled Dubai's GDP to reduce its dependency on oil to 6 per cent in 2004 down from 7 per cent in 2003,' he added.

'Measured by current prices, the contribution of non-oil sectors to the emirate's GDP has increased from AED 78.22 billion representing 93.4 per cent in 2003, to AED 91.5 billion representing 94.3 per cent in 2004. This is a significant increase when compared to AED 55.9 billion in 2000 and AED 34 billion in 1995,' he said.

Mr. Alabbar noted that the positive growth in 2004 was clearly reflected in the continuous inflow of foreign capital - a trend that is expected to be maintained with the prevailing lucrative return on investment in key sectors. In addition, the aggressive initiatives by the government and large companies in the Emirate have helped local and international interest rates to stabilize at low levels, encouraging private investments and offering opportunities for a wide spectrum of segments.

'Economic indicators showed a quantum leap in the construction sector for the third year in line, making it one of the key elements of growth besides trade, tourism and aviation,' said Mr. Alabbar. 'The growth in cross sector relations has further vitalized these sectors with the increase in tourist numbers having a positive impact on trade and services, tourism and trade benefitting from the continuous growth in the services sector and the exceptional growth of the construction sector creating similar positive impact on trade, services and banking,' he added.

According to DED estimates, the construction sector achieved the highest growth rate among Dubai's GDP components for 2004, registering 29 per cent growth and lifting its contribution to AED11.1 billion up from AED 8.6 billion in 2003. When compared to the sector's contribution of AED5 billion in 2000 and AED3.4 billion in 1995, the figures offer a clear indication of the increasing number of quality real estate developments by public and private sectors in the Emirate.

The real estate sector itself achieved the second highest growth rate, with 22 per cent growth in returns, which increased to AED10.3 billion in 2004 compared to AED 8.4 billion in 2003. Comparative figures for 2000 and 1995 stand at AED 6 billion in and AED 4.3 billion respectively.

Mr. Alabbar praised the record 16.6 per cent growth rate in the industrial sector, with its contribution to the Emirate's GDP increasing to AED 15 billion compared to AED 12.9 billion in 2003, thus making it the second largest individual contributor. He said the growth was a result of the continuous effort by the government to diversify its income resources and establish a strong industrial base capable of meeting local needs and best utilizing Dubai's strong trade relations with external markets. He pointed out that the industrial sector's contribution to Dubai's GDP had been just AED10 billion in 2000 and AED4.6 billion in 1995.

Telecommunications, transport, travel and freight sector succeeded in enhancing its lead position as the largest contributor to the emirate's GDP, growing by 19.3 per cent to AED16.24 billion in 2004 from AED13.6 billion in 2003. The Trade sector alone grew by 14.7 per cent from AED12.9 billion in 2003 to AED14.8 billion in 2004.

The contribution of the financial sector increased to AED9.8 billion in 2004 from AED8.6 billion in 2003, a growth rate of 13 per cent. In the tourism sector the hospitality and catering alone achieved 16.4 per cent growth in 2004 to AED4.4 billion from AED3.7 billion in 2003, while the governmental services sector contribution grew four per cent from AED7.2 billion to AED7.5 billion.

Mr. Alabbar said he estimated the economic growth to continue throughout 2005 supported by the high confidence in the local economy by investors from inside and outside the region. He also said the government's commitment to develop and enhance business, with major public and private sector partnerships would provide new opportunities for growth and investment.

He expected that economic activity in 2005 would see a continuing trend from the previous year resulting in the establishment of a several emerging companies in addition to expansion plans being implemented by established private and public joint companies.


*What did I tell u about Al Abbar being drunk?* 
He predected that Dubai's GDP will be 110 in 2005 and now he says that Dubai's GDP in 2004 was 118, howz that? :sleepy:


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## Dubai_Steve (Jan 11, 2005)

*Dubai economic growth is faster than in China*

Dubai’s economy grew by about 16 per cent in 2005 and the Gross Domestic Product (GDP) is estimated to reach AED136 billion (some US$37 billion), according to the Dubai Department of Economic Development (DED).

This rate of growth is expected to beat that of China, acknowledged to be one of the fastest growing economies in the world today with a growth rate of 8.5 per cent. 

Director General of Department of Economic Development, Mohamed Ali Alabbar, said the Emirate’s economic growth would continue its steady pace and is expected to touch the AED150 billion mark in 2006. 

He said: “At current prices, Dubai’s GDP has recorded a significant increase and is estimated to reach AED136 billion in 2005 up from AED118.4 billion in 2004. When compared to AED62.3 billion in 2000 and AED44.7 billion for the year 1996, this puts the accumulated annual growth of Dubai’s economy in the last decade at among the highest rate of growth in the world.” 

He continued: “The non-oil GDP grew by 14.92 per cent in 2005 and is estimated to reach AED128.4 billion, up from AED111.7 billion in 2004 and AED92.5 billion in 2003. Compared with figures for 1996 when the non-oil GDP was only AED38.17billion, this shows a record rise of 236 per cent in the last decade.”


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