DSC Observed an Increase of over AED 3 BN in Q1 of 2015
Dubai Statistics Center (DSC) Observed an Increase of over AED 3 BN in Q1
An added value of 90 AED 90 BN to Dubai's Economy
Dubai's economy achieved an increase of 3.9% during the first quarter of this year, compared to the same period last year, at a GDP at the fixed rates amounting to AED 88.7 BN, with an increase of AED 3.3 BN.
Arif Obaid Al Muhairi, Executive Director of DSC, advised Al Bayan that the emirate's economy continued its growth at an outstanding rate and that the logistic activities played a very important role in supporting the emirate's total growth, due to its high capacity, enabling it to cope with the modern trends and cover the development needs in both its operative and productive processes. This led to its achievement of positive results and supporting domestic economy, especially in the transport sector and its relevant services.
The Highest Contribution Comes from Wholesale, Retail and Repair
He also pointed out that the GDP estimates at the fixed prices during the first quarter of this year showed that the wholesale, retail trade and repair services are still the highest activities contributing to the emirate's economy, as they represented 26.9% of the GDP, with a growth rate of 3%, to amount to AED 23.9 BN, hence pushing the overall economy to a growth rate of 0.8 PP.
The commercial activities continues to get ahead of the rest of the activities as regards its contribution to the GDP, which is in line with the emirate's strategic role as a focal center for trade exchange and re-exporting in the region, in the light of the competitive business environment and the effective policies, regulations and governance systems that provide a distinguished atmosphere for business processes.
Transport, Warehousing and Telecommunications
Al Muhairi pointed out that the activity of transport, warehousing and telecommunications achieved a growth rate of 5.7%, pushing the overall economy to a positive growth rate of 0.9 PP, hence occupying the second position as regards relative importance, contributing 61% of the GDP and achieving an added value of AED 14.2 BN. He added that this performance came as a result of a growth in the productivity of air transport sector, which realized – according to the data – a 4.8% growth compared to the same period last year.
4.1% Growth in Manufacture
He also asserted that the total Dubai GDP as per the fixed rates showed that the manufacture activity achieved a 4.1% growth, as the added value for this activity in the first quarter of this year reached about AED 11.9 BN against AED 11.5 BN for the same period last year, hence manufacture contributing 13.4% of the GDP and pushing the overall economy to a growth of 0.6 PP.
Moreover, forging and metallurgic industries as well as electric appliance manufacture and its maintenance have a distinct performance and accordingly they became amongst the most important industries in the field of manufacture, the production of which is directly related to technology and modern techniques.
9.2% for Hotels and Restaurants
The GDP estimations showed that the hotel and restaurant activity reflected a remarkable growth rate of 9.2%, as the added value of this activity in the first quarter of this year amounted to AED 5 BN, against 4.5 BN for the same period last year. This came as a result of the high touristic attraction of Dubai and the great accompanying development in hotels, high rise spas as well as the expansion in the restaurant activity and the great variety it witnesses.
Al Muhairi stated that the first quarter of this year witnessed a great expansion in the touristic structure, as the number of hotels increased by 7.7% and the rental apartments by 8%, compared to the same period last year. The number of hotel rooms increased to 68,673 by the end of this year's first quarter and the rental apartments increased to 25,544 during the same period.
4.4% Growth in Real Estate and Business Servies
Al Muhairi also indicated that the real estate and business services activities in the emirate achieved the same positive result the other sectors and economic activities achieved, as it made a growth rate of 4.4% and an added value of AED 12.4 BN, hence contributing 13.9% to the emirate's GDP; accordingly, this activity keeps its ranking in the third place as regards its contribution to the GDP.
10.5% for Electricity
The emirate's financial project sector achieved a growth rate of 3.4%, hence pushing the emirate's overall economy positively by 0.4 PP, with an added value of AED 11.1 BN and contributing 12.5% of the emirate's GDP.
"As regards the other economic activity, the preliminary results show that the increase in the electricity, gas and water achieved a remarkable growth amounting to 10.5%, pushing the emirate's overall economy positively by 0.2 PP, due to the increase in the number of subscribers benefitting from these services", commented Al Muhairi.