Non-oil sector boosting UAE economy

19/09/2011 - Dubai Investment News Posted by Neil King
Non-oil sector boosting UAE economy

Investors considering making moves in the UAE could be among those encouraged by recent reports regarding the region's economy.Data from Standard Chartered Bank has shown that Dubai's rebounding non-oil sector and increased oil production in Abu Dhabi will drive the UAE's economy over the coming months, the Khaleej Times reported.However, investors could be warned to display cautious optimism after the bank warned that spending on new projects will slow for the remainder of 2011.Indeed, the organisation lowered its GDP expectations for Abu Dhabi from four per cent to 3.4 per cent.Bank analysts Shady Shaher and Victor Lohle told the newspaper: "Spending on projects in Abu Dhabi has been slow, despite the large number of projects in the pipeline, and this looks unlikely to change this year."We estimate that the value of projects underway dropped to $16.3 billion in 2011 first-half from $18.7 billion in 2010 first-half."