Dubai Set For 5% Economic Growth In 2023, Says Al Ghurair

Abdul Aziz Abdulla Al Ghurair, Chairman of Dubai Chambers, has forecasted a promising outlook for Dubai's economy, projecting an approximate 5 percent growth for this year. This optimistic prediction is anchored in Dubai's strong infrastructure, attractive business climate, and an anticipated dip in interest rates from mid-year onwards. Speaking at the annual media briefing by Dubai Chambers, Al Ghurair shared insights with the Emirates News Agency (WAM) about the economic landscape and future prospects.

Al Ghurair pointed out that despite recent hikes, interest rates, which have soared to between 5 and 6 percent, remain comparatively lower than many other countries. This scenario, he believes, lays a solid foundation for the emergence of robust companies that do not solely depend on low-cost liquidity and borrowing. He underscored the importance of past achievements in fostering a growth-oriented and productive work environment for both current and future endeavors.

Further emphasizing Dubai's economic dynamics, Al Ghurair projected over a 5 percent growth in the emirate's foreign trade. This expectation is supported by extensive partnerships being established, highlighting the crucial role of DP World's ports in boosting exports and re-exports across different regions. Their global efficiency in providing logistical services to a wide array of companies was noted as a key factor in this anticipated growth.

Reflecting on the performance of Dubai Chamber in 2023, Al Ghurair revealed a significant milestone with new licences issued increasing by over 22 percent compared to the previous year. This surge underscores a substantial growth in the establishment of large companies within Dubai. The emirate's comprehensive infrastructure and integrated business environment have been pivotal in attracting a diverse spectrum of companies ranging from local enterprises and global corporations to small and medium-sized businesses and digital firms.

Al Ghurair also highlighted the remarkable uptick in the formation of digital companies in Dubai. With an ambitious aim for the digital economy to contribute over 20 percent to Dubai's overall economy by 2031, this sector's growth is seen as instrumental in shaping the emirate's economic future. The strategic focus on digitalization underscores Dubai's commitment to fostering innovation and embracing technological advancements to drive economic development.

In summary, Dubai's economic landscape is poised for significant growth, driven by strategic initiatives and a conducive business environment. The insights shared by Abdul Aziz Abdulla Al Ghurair paint a promising picture of resilience and progress, with digital transformation and global partnerships at the forefront of this dynamic evolution.

With inputs from WAM