Abu Dhabi's non-oil economy grew 4.1pc in 2021, says report

Abu Dhabi's non-oil real GDP grew 4.1 per cent for the FY 2021, mainly driven by the government’s prudent economic and investment policies and the emirate’s speedy recovery from the pandemic, according to Statistics Centre - Abu Dhabi (SCAD). 

During the this year, several non-oil economic activities showed positive growth rates at constant prices, most notably the agriculture, forestry, and fishing activity, which expanded by 23.1% and the manufacturing activity which expanded by 21.7%, stated the SCAD statistical data that reflects rapid growth in most of Abu Dhabi's oil and non-oil activities at constant prices in 2021.

The health and social service activities grew by 19.7%, arts, entertainment and recreation by 17.3%, wholesale and retail trade by 15.3%, accommodation and food service activities by 14.7%, transportation and storage by 7%, and electricity, gas, water supply and waste management activities by 6.9%, it added. 

With this, the contribution of non-oil sector to Abu Dhabi’s real GDP has increased to 49.7%.

The results announced by SCAD at constant prices indicate that Abu Dhabi’s GDP at constant prices grew 1.9% in 2021 compared to the previous year, thus underscoring the effectiveness of economic policies, the robustness of Abu Dhabi's local economy and the recovery from Covid-19 crisis. 

In his comments on the estimates, Mohamed Ali Al Shorafa, the Chairman of Abu Dhabi Department of Economic Development (ADDED), said: "Abu Dhabi has managed to overcome the consequences of this extraordinary global situation, thanks to the prudent economic and investment policies set by our wise leadership, including several stimulus initiatives for business and household sectors."

"The initiatives helped the coronavirus-hit sectors to recover and expand while laying the groundwork for a robust economy that can overcome various challenges as well as formulating policies and legislation which keep pace with global changes and support ease of doing business," he stated. 

"These initiatives promoted a stimulating investment environment that can attract talent and innovative entrepreneurs, which is clearly reflected in the 2021 GDP results released by Statistics Centre - Abu Dhabi," he added.

Rashed Abdulkarim Al Blooshi, the undersecretary of ADDED, underscored the emirate’s economic performance during 2021, saying: "The emirate’s wise leadership has closely monitored the developments of the pandemic, and has taken the necessary actions to protect the impacted sectors to ensure a safe and stable transition to the post-Covid-19 phase. This was instrumental to maintain a rapid recovery of the economy and to achieve record growth rates."

"The performance of Abu Dhabi's economy, that made rapid strides for diversification, shows that it is moving from strength to strength, benefiting from a prudent administration that learns from past experiences in its endeavors to optimize opportunities. Although oil continues to be important mainstay for Abu Dhabi economy, the emirate pursues an ambitious strategy for diversification of the economic base and income sources to support its sustainable development plans," he remarked.

Ahmed Mahmoud Fikri, Director General of SCAD, said: "This strong growth in key economic activities confirms that Abu Dhabi has successfully navigated through the Covid-19 pandemic and is rapidly recovering from the repercussions, which stands in testimony to the sound planning, excellent performance, and the leadership’s clear vision, and proactive response to challenges, as seen in the massive and diverse stimulus packages it launched, with a significant and direct impact on the speed of economic recovery."

As per SCAD data, the mining and quarrying activity (including crude oil and natural gas) contributed approximately 50.3% of Abu Dhabi's real GDP in 2021. On the other hand, the non-oil activities contribute 49.7% of the GDP at constant prices in 2021, despite the remarkable rise of world prices during the same period. 

The growth proves the remarkable progress Abu Dhabi has made to diversify its economic base and sources of income in line with its ambitious strategic plans, it added.-TradeArabia News Service

Source: http://www.tradearabia.com/news/BANK_395086.html