The latest
The UAE recorded real economic growth of 6.2% in 2025, bringing gross domestic product to about AED 1.9 trillion, according to data from the Federal Competitiveness and Statistics Centre.
Non-oil sectors remained the main driver of growth. They expanded by 6.8% and reached about AED 1.5 trillion, reinforcing their role as the core engine of the UAE economy.
Details
• Construction was the fastest-growing sector in 2025, rising 11.1%.
• Finance and insurance grew 10.4%, followed by real estate at 7.9% and transport and storage at 7.8%.
• Trade remained the largest contributor to non-oil GDP, with a 16.9% share.
• Financial services followed with 13.2%, then construction at 12.9% and manufacturing at 12.8%.
• UAE Economy Minister Abdullah bin Touq Al Marri said the figures reflect the country’s progress in building a diversified and sustainable economic model.
• The minister had previously said non-oil activities now account for about 77% of the UAE economy.
Challenges in 2026
The UAE enters 2026 from a position of strength, but early signs of slower momentum are emerging.
Economic reports say non-oil private-sector growth slowed in April to its weakest pace since February 2021, with some activity affected by regional tensions, especially in tourism, trade and shipping.
Financial institutions and analysts have also warned that a prolonged conflict could weigh on growth expectations, particularly if uncertainty in the region hits travel demand and hotel occupancy.
What to watch
The UAE’s 2025 performance gives it a clear buffer heading into a more difficult year.
But 2026 will be a different test. Economic diversification gives the country a strong base, yet continued instability in the Gulf could pressure the sectors that now form the backbone of its non-oil economy, from tourism and shipping to services.
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