The UAE economy is expected to grow at an average of 4.5 percent in 2014 and that oil contribution to the Gross Domestic Product (GDP) is projected to be around 30 percent, Sultan bin Saeed Al Mansouri, Minister of Economy, said on Tuesday.
He stated that most of the economic growth was primarily fuelled by non-oil sectors which means broader economic diversification in consistent with the vision of President His Highness Sheikh Khalifa bin Zayed Al Nahyan and Vice President and Prime Minister and Ruler of Dubai His Highness Sheikh Mohammed bin Rashid Al Maktoum for building a more diversified economy with less dependence on oil.
Al Mansouri affirmed that fundamentals of the UAE macro economy and micro economy were strong and that the diversified, resilient economy has weathered various challenges.
Al Mansouri, also Chairman of Securities and Commodities Authority, said that UAE stock market indices were witnessing up and down trends, adding that these fluctuations were common, and calling on investors to take informed decisions based on sound economic analyses, market fundamentals and performance and projected growth of listed companies.
He indicated that profits of national listed companies grew 28 percent to AED 48 billion in the first nine months of the year as compared to AED 37.3 billion in the same period last year.
He noted that cycle of stock prices slump was not confined to the UAE stock market but also reached to various regional and international markets.
Oil sector share in the listed companies, he said, is limited as compared to other sectors like banks and real estate.
He noted that the decline in world oil prices could have positive impact on some sectors including industries that use oil heavily in production of their services , transportation, aviation, shipping and handling and logistics.
Source : WAM News Agency for United Arab Emirates
