UAE hopeful of 5-6pc economic growth in 2022 and beyond-min
The United Arab Emirates (UAE) is hoping the economy will grow by 5 percent to 6 percent this year as it recovers from the pandemic, and by the same pace over the next few years to help double the economy by 2031, its economy minister said on Wednesday.
“The whole world is recovering and I think we are in a recovery phase after the pandemic, (but) predicting growth as well this year is a challenge,” Abdulla Bin Touq Al Marri told Reuters on the sidelines of the “Investopia” conference in Dubai, referring to the Russia-Ukraine war and oil prices.
When asked if the economy will grow by 5 percent to 6 percent in 2022 as well, he said “that’s what I hope, we are very ambitious, very positive… We want to double our economy by 2031.”
The IMF expects the UAE economy to grow by 3 percent this year after it expanded by 2.1 percent in 2021.
Emirates Development Bank contributes Dhs1.91bn to UAE’S GDP
Emirates Development Bank (EDB) said that as part of a new strategy that it launched in March 2021, it has contributed Dhs1.91bn to the UAE’s GDP growth.
The strategy included direct and indirect financing of 1,350 SMEs across priority sectors, and the launch of a new Credit Guarantee platform, which mobilised more than Dhs332m of capital to SMEs, according to news agency WAM.
The figures were released during a recent EDB Board meeting. The new strategy focuses on the growth and development of large corporations and SMEs in five key sectors: manufacturing, advanced technology, infrastructure, healthcare and food security. EDB has said that it will facilitate direct and indirect lending totaling Dhs30bn by 2025, which is expected to support more than 13,500 companies.
EDB’s Chief Executive Officer, Ahmed Mohamed Al Naqbi, said at the board meeting that EDB had launched a large corporate banking division in less than a year and a digital banking app focused on SMEs and start-ups. In its first six months, over 1000 digital banking accounts were registered.
76.5PC companies registered growth during expo 2020: report
Around 76.5 percent companies registered growth in their businesses during Expo 2020, while 73.5 percent managed to build new business relations during the world’s greatest show, according to a report commissioned by Dubai Chamber of Commerce.
In terms of services provided by Dubai Chamber during the event, 70.6 percent of respondents to the survey conducted as part of the report said they benefitted from networking, 47 percent benefitted from the Global Business Forum series and 47 percent benefitted from B2B meetings.
Titled, ‘Business Integration for Growth, Digital Transformation and Global Partnerships’ the report was developed by the Chamber in collaboration with Oxford Business Group.
In total, Dubai Chamber of Commerce organised 98 events during Expo 2020 Dubai, which were attended by more than 25,000 participants from over 130 countries. The Global Business Forums on Africa, ASEAN and Latin America saw the most participation, as the high-level forums were joined by government and business leaders, who attended in person and virtually.
The 12th edition of the World Chambers Congress and a series of Thematic Business Forums were also hosted by the Chamber, which were attended by chamber and industry leaders. The events identified global challenges and highlighted innovative solutions to drive sustainable economic growth.
Qatar’s economy grows 2pc in q4 of last year
The Qatari economy achieved a real growth rate – constant prices – of 2 percent in the fourth quarter of 2021 year-on-year, according to data issued by the Planning and Statistics Authority.
The quarterly GDP at constant prices reached QR166.242bn in Q4 of 2021 compared to the estimate of QR136.062bn in Q4 of 2020, recording an increase of 2 percent. When compared to Q3 of 2021 revised estimate of QR167.772bn, a decrease of 0.9 percent is also recorded.
The quarterly GDP at current prices in Q4 of 2021 is estimated at QR174.266bn. This represents an increase of 29.3 percent compared to the estimate of Q4 of 2020.
The nominal gross value added (GVA) estimate of Mining and Quarrying activities is estimated at QR63.639bn in Q4 2021, which shows an increase of 63.7 percent over the estimate of Q4 2020 placed at QR38.879bn. Compared to the previous quarter Q3 2021 revised estimate at QR67.812bn, a decreased of 6.2 percent in the GVA of this sector is recorded.
The real GVA of these activities is estimated at QR61.253bn in Q4 2021, which shows an increase of 1.3 percent compared to the estimate of QR60.456bn in Q4 2020. Compared to Q3 2021 revised estimate QR62.685bn, a decrease of 2.3 percent in the real GVA of this sector is also recorded.
Fitch affirms Bahrain at ‘b+’; outlook stable
Bahrain’s ratings are supported by strong financial backing from partners in the GCC, the high level of economic development and a robust macroeconomic outlook. Weak public finances, high fiscal dependence on oil revenue, low levels of FX reserves and political constraints on fiscal reform all weigh on the ratings, although fiscal consolidation has made significant progress since the launch of the 2018 Fiscal Balance Programme (FBP), which was refreshed with additional measures in late 2021.
The general government budget deficit narrowed significantly in 2021, to 9.4percent of GDP from 17.1percent of GDP in 2020, owing to the rebound in global oil prices and partial recovery of the domestic economy following the Covid-19 induced recession of 2020. The official 2021 state budget deficit was smaller, at 7.4percent of GDP, because Fitch (as well as the IMF) includes an estimate of extra-budgetary spending. For 2022, we forecast that the deficit will narrow further to 3percent of GDP (close to balance on the official government measure), helped by oil prices, fiscal reform and further economic normalisation, before widening to 3.4percent of GDP in 2023.