UAE Secures Strong Sovereign Ratings From Leading Global Credit Rating Agencies

The United Arab Emirates (UAE) Ministry of Finance announced that the world's top three credit rating agencies—Fitch Ratings, S&P Global, and Moody's Investors Service—have assigned sovereign credit ratings to the UAE. This move underscores ongoing international confidence in the UAE's economic strength and fiscal policy sustainability.

On 17 June 2025, S&P Global assigned a "AA" rating with a stable outlook for the UAE. Moody's affirmed an "Aa2" rating with a stable outlook in its 2025 review. Fitch also confirmed an "AA-" rating with a stable outlook on 24 June 2025. These ratings highlight the UAE's advanced fiscal standing and position it among a select group of countries with strong sovereign credit ratings from all three major agencies.

H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister, and Minister of Finance, stated: "The affirmation of the UAE’s strong sovereign rating by the world’s top three international credit rating agencies, and their consensus on a stable outlook, reflects the deep-rooted international confidence in the resilience of our national economy and the efficiency of our fiscal policies. This is the result of a comprehensive economic vision led by His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, and closely followed by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE and Ruler of Dubai."

The UAE remains committed to economic policies focused on diversification, transparency, and fiscal discipline. The aim is to increase non-oil revenues and achieve financial sustainability. This approach reflects integrated government performance and strategic planning that bolster the UAE's status as a credible global economic hub.

H.H. added: "At the Ministry of Finance, we remain committed to working closely with all government entities to enhance the efficiency of resource management, develop productive sectors, and improve the country’s investment appeal. The development of the sovereign yield curve for the dirham was a major milestone in enhancing market transparency, providing investors with a reliable benchmark for pricing dirham-denominated debt instruments. This strengthens the UAE’s presence on the global economic map and reinforces its ability to confidently navigate regional and international changes and challenges — by expanding the investor base and enhancing the country’s reputation as a reliable and attractive destination in global capital markets."

S&P's report highlights that geopolitical tensions are expected to have limited impact due to UAE's large sovereign wealth and internal stability track record. The agency also noted strong financial positions supported by consolidated sovereign assets.

Resilience Amid Geopolitical Risks

Moody's report emphasises efforts to diversify non-oil revenue sources while supporting non-oil sector development. Despite regional geopolitical tensions, effective policy frameworks help mitigate these challenges through advancing economic diversification.

Fitch acknowledged elevated geopolitical risks but affirmed that substantial fiscal and external buffers support UAE's ability to withstand short-term disruptions effectively.

The ratings confirm UAE's capability to diversify revenues beyond oil while maintaining sound fiscal discipline. These factors contribute positively to economic stability across various sectors.

This achievement further boosts international investor confidence in UAE as a secure business destination. It highlights success in balancing fiscal stability with economic growth.

With inputs from WAM