Non-oil economic activity in the United Arab Emirates (UAE) grew by 3.1 per cent from a year earlier in the first quarter, slowing slightly from 3.4 per cent in the final quarter of 2017, the central bank estimated on Tuesday.
Overall economic activity, which includes oil output, grew by 1.2 per cent in the first quarter, accelerating from 0.1 per cent in the previous quarter.
The central bank raised its forecast for gross domestic product growth in 2018 to 2.7 per cent from its previous forecast of 2.5 per cent.
Citing better prospects for the global economy, the bank lifted its prediction for the UAE’s non-oil GDP growth to 3.9 per cent from 3.6 per cent. But its forecast for oil GDP was cut marginally because of lower than expected oil output in the first quarter of this year.
For next year, the central bank expects overall GDP to expand 3.1 per cent on the back of 4.3 per cent growth in the non-oil economy and a 0.1 per cent uptick in oil GDP.
The UAE’s residential real estate market continued to decline in the first quarter of this year, with prices dropping 4.2 per cent from a year earlier in Dubai and 7.8 per cent in Abu Dhabi, the central bank said.