Close Menu
economyuae.comeconomyuae.com
    What's Hot

    Dubai Airports launches next phase of accessibility strategy

    October 6, 2025

    Sam Altman and G42’s Peng Xiao to headline GITEX GLOBAL 2025 AI dialogue

    October 6, 2025

    GCC tourism sector projected to reach $371.2bn by 2034: GCC STAT

    October 6, 2025
    Facebook X (Twitter) Instagram
    Facebook X (Twitter) Instagram
    economyuae.comeconomyuae.com
    Subscribe
    • Home
    • MARKET
    • STARTUPS
    • BUSINESS
    • ECONOMY
    • INTERVIEWS
    • MAGAZINE
    economyuae.comeconomyuae.com
    Home » Non-oil economy powers Abu Dhabi’s diversification with 6.6% growth in Q2
    BUSINESS

    Non-oil economy powers Abu Dhabi’s diversification with 6.6% growth in Q2

    Arabian Media staffBy Arabian Media staffOctober 3, 2025No Comments4 Mins Read
    Facebook Twitter LinkedIn Telegram Pinterest Tumblr Reddit WhatsApp Email
    Share
    Facebook Twitter LinkedIn Pinterest Email


    Image: Getty Images

    The Statistics Centre – Abu Dhabi (SCAD) announced that the emirate’s real Gross Domestic Product (GDP) reached Dhs306.3bn in the second quarter of 2025, marking a 3.8 percent increase compared with Q2 2024.

    The non-oil economy grew 6.6 per cent year-on-year to a record Dhs174.1bn, accounting for 56.8 per cent of total GDP—the first time non-oil activity has exceeded half of GDP in a second quarter.

    Across the first half of 2025, Abu Dhabi’s economy recorded real GDP of Dhs597.4bn, up 3.63 per cent compared with H1 2024. Non-oil activities expanded 6.37 per cent to Dhs337.6bn, underscoring the emirate’s diversification momentum and policy-driven resilience.

    Leadership perspective

    Ahmed Jasim Al Zaabi, Chairman of the Abu Dhabi Department of Economic Development (ADDED), said: “The consistent growth of Abu Dhabi’s GDP over the past few years underscores the emirate’s position as a dynamic economic hub guided by an ambitious vision, a multi-dimensional strategy, and detailed roadmaps to accelerate economic growth and diversification.

    “Our non-oil sectors, which accounted for 56.8 per cent of GDP and achieved a 6.6 percent annual growth in Q2-2025 driven by key sectors such as manufacturing, construction, finance, real estate, and ICT, have emerged as leading drivers, underpinned by a globally competitive business ecosystem, and world-class infrastructure.

    “Our Falcon Economy is building a future-ready economy; one that is diversified, resilient, inclusive, and globally competitive. The consistency of our GDP results underscores the effectiveness of Abu Dhabi’s progressive initiatives and forward-looking policies. Our priority remains building an innovation-led, high value economy, that expands private sector opportunities and enable all segments of society to realise their full potential.”

    Abdulla Gharib Alqemzi, Director-General of SCAD, added: “The consecutive records achieved in Q1 and Q2 2025 highlight not only economic strength, but also the effectiveness of policy planning grounded in high-quality data. As the government advances its Dhs13bn digital strategy to become the world’s first AI-native government by 2027, SCAD is playing a central role in enabling this transition through timely, reliable, and integrated statistics. From population dynamics to sectoral performance, our data will continue to serve as a foundation for inclusive policymaking, innovation-driven development, and sustained economic progress.”

    Sector performance highlights

    • Manufacturing: Dhs30.1bn (+3.1 per cent YoY), its highest quarterly value on record. The Abu Dhabi Industrial Strategy has driven a 23 percent rise in industrial GDP since 2022 and a 19.4 per cent increase in industrial enterprises.

    • Construction: Dhs30bn (+9.7 per cent), supported by major infrastructure and housing projects. AI-powered Binaa platform reduced permit times by 70 per cent.

    • Finance and insurance: Dhs21.8bn (+10.3 per cent), reflecting Abu Dhabi’s position as a global financial hub. ADGM reported AUM growth of 42 percent in H1 2025, alongside a 47 per cent rise in new business licences.

    • Real estate: Dhs11.7bn (+10.2 per cent), with H1 transactions up 39 percent and FDI from 85 nationalities increasing 3.3 percent.

    • ICT: Dhs8.6bn (+6 per cent), the highest quarterly value yet, driven by the Dhs13bn Digital Strategy 2025–2027.

    • Wholesale and retail trade: Dhs16bn (+1.6 per cent), supported by consumer spending, tourism recovery, and non-oil trade growth of 34.7 percent in H1 2025.

    • Professional, scientific, and technical services: Dhs9bn (+10 per cent), highlighting demand for specialised knowledge-based services.

    • Transportation and storage: Dhs7.5bn (+7.5 per cent), boosted by logistics hubs like KLP21 at KEZAD.

    • Utilities: Electricity, gas, and water supply grew 12.5 percent, reflecting energy transition efforts.

    • Arts and recreation: +12 percent, reflecting renewed cultural momentum.

    Sustained economic trajectory

    The strong Q2 results follow record performance in Q1 2025, reaffirming Abu Dhabi’s consistent economic growth. Successive gains across manufacturing, construction, finance, real estate, and ICT underline the effectiveness of long-term diversification and digital transformation strategies.

    With the government advancing its ambition to become the world’s first AI-native government by 2027, Abu Dhabi continues to build a resilient, inclusive, and future-ready economy, anchored in innovation, investment, and sustainable growth.






    Source link

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Telegram Email
    Previous ArticleClient Challenge
    Next Article Oman Air cuts 1,100 jobs, streamlines fleet in cost-saving push
    Arabian Media staff
    • Website

    Related Posts

    Dubai Airports launches next phase of accessibility strategy

    October 6, 2025

    Sam Altman and G42’s Peng Xiao to headline GITEX GLOBAL 2025 AI dialogue

    October 6, 2025

    GCC tourism sector projected to reach $371.2bn by 2034: GCC STAT

    October 6, 2025
    Add A Comment
    Leave A Reply Cancel Reply

    Top Posts

    10 Trends From Year 2020 That Predict Business Apps Popularity

    January 20, 2021

    Shipping Lines Continue to Increase Fees, Firms Face More Difficulties

    January 15, 2021

    Qatar Airways Helps Bring Tens of Thousands of Seafarers

    January 15, 2021

    Subscribe to Updates

    Your weekly snapshot of business, innovation, and market moves in the Arab world.

    Advertisement

    Economy UAE is your window into the pulse of the Arab world’s economy — where business meets culture, and ambition drives innovation.

    Facebook X (Twitter) Instagram Pinterest YouTube
    Top Insights

    Top UK Stocks to Watch: Capita Shares Rise as it Unveils

    January 15, 2021
    8.5

    Digital Euro Might Suck Away 8% of Banks’ Deposits

    January 12, 2021

    Oil Gains on OPEC Outlook That U.S. Growth Will Slow

    January 11, 2021
    Get Informed

    Subscribe to Updates

    Your weekly snapshot of business, innovation, and market moves in the Arab world.

    @2025 copyright by Arabian Media Group
    • Home
    • Markets
    • Stocks
    • Funds
    • Buy Now

    Type above and press Enter to search. Press Esc to cancel.