Dubai Economy Set for 5% Growth in 2024

Dubai’s economy looks set to grow around 5% in 2024. This is according to Abdul Aziz Al Ghurair. He is the Chairman of Dubai Chambers. Al Ghurair spoke to the Emirates News Agency, known as WAM.

He predicts strong infrastructure and business environment will drive growth. An expected drop in interest rates will also help. Rates rose to 5-6% recently. But Al Ghurair believes they will decline by mid-year. While still higher than some countries, the rates remain low enough. They will still encourage business investment not relying solely on cheap borrowing.

The Chairman points to Dubai’s past successes. These have created conditions enabling current and future growth. Al Ghurair expects over 5% trade growth this year. He highlights major partnerships Dubai is building. These will boost trade flows.

Another key facilitator is DP World’s ports. Their global network provides export gateways to companies. It allows re-exports to diverse overseas markets.

In 2023, Dubai Chamber saw historic high license issuance. New licenses rose over 22% versus prior year. Al Ghurair also notes a substantial increase of large firms launching in Dubai. He attributes this to unmatched infrastructure and business environment.

These factors attract various companies. Local enterprises, global corporations, SMEs and digital disruptors are coming. Al Ghurair specifies a significant rise in digital companies setting up in Dubai. This aligns with the target for the digital economy. The aim is to contribute over 20% of GDP by 2031. Al Ghurair believes Dubai’s strong base will drive ascension now and in future. If his 2024 growth forecast is right, Dubai will remain vibrant for business. Expect ongoing expansion shaped by trade, partnerships and business development. While global headwinds persist, Dubai seems poised to chart steady growth this year.