Sharjah Records A Robust 6.5% Economic Growth In 2023, Fueled By Diversification

Sharjah's Department of Statistics and Community Development (DSCD) has reported significant growth in the emirate's gross domestic product (GDP) for 2023. Preliminary estimates indicate a 6.5 percent increase, reaching approximately AED145.2 billion, compared to AED136.4 billion in 2022. This follows a 4.9 percent growth from 2021, underscoring Sharjah's robust economic momentum.

The newly revealed figures are based on estimates from a comprehensive economic survey conducted from 2017 to 2023. This data highlights Sharjah's competitiveness and its status among the region's fastest-growing and most diverse economies. Non-oil sectors also experienced substantial growth, reaching AED142.5 billion in 2023, up from AED133.1 billion in 2022, marking a 7.1 percent increase.

In a detailed breakdown of the preliminary GDP components for 2023, the ‘wholesale, retail trade, repair of motor vehicles and motorcycles’ sector emerged as the primary economic driver. This sector accounted for 24 percent (AED34.8 billion) of the total GDP output, highlighting its crucial role in stimulating economic activity and job creation.

The ‘manufacturing’ sector contributed 16.7 percent (AED24.3 billion) of the total GDP, attributed to a diverse production base and active contributions to advancing the emirate's industrial and knowledge economy. The ‘construction’ sector also played a significant role, collectively contributing AED72.5 billion along with wholesale and retail trade.

The ‘agriculture, forestry, and fishing’ sector recorded the highest growth rate at 19.1 percent, reflecting efforts to enhance food security and sustainability. This was followed by the ‘accommodation and food services’ sector at 17.5 percent growth and the ‘financial and insurance’ sector, which saw a 12.3 percent increase.

The ‘electricity, gas, water supply, and waste management’ sector also showed solid growth of 7.8 percent. Other sectors such as ‘construction’, ‘manufacturing’, and ‘human health and social work’ registered positive growth rates of 7.7 percent, 7.6 percent, and 7.1 percent respectively.

Balanced Economic Growth

Sheikh Mohammed bin Humaid Al Qasimi, Chairman of DSCD, commented on the preliminary estimates: "The results showcase a strategic transformation in Sharjah's economic landscape, hastening the drive towards diversification and reliance on non-oil sectors." He emphasised that these sectors are fundamental pillars for a more sustainable economy.

The Chairman added that sustainable development requires balanced resource distribution across various sectors. The noticeable increase in non-oil sectors indicates Sharjah's balanced economic growth and progress towards an integrated economic model.

The preliminary estimates were based on comprehensive economic survey results from 2017 to 2023, including all independent bodies and the public sector. This approach adheres to globally recognised methodologies and classifications, reflecting the economic indicators for activities and sectors within the emirate for 2023.

With inputs from WAM