Dubai economy 'grows AED 10 billion in 2011'

30/05/2012 - Dubai Investment News Posted by Bob Brunskill
Dubai economy 'grows AED 10 billion in 2011'

Dubai is continuing to be a prosperous destination for those considering investing in property in the UAE, with a recent economic report proving the region is going from strength to strength.The emirate's economy - which is the second-largest in the country and one of the most diverse in the Gulf - gained around AED 10 billion (£1.7 billion) in 2011, as it continues to make headway after faltering in 2008.This increase in gross domestic product (GDP) was coupled with significant growth in the emirate's export market, which leaped by 44.3 per cent in 2011, according to Dubai Statistics Centre's executive director Aref Al Muhairi.Further data from the organisation revealed most non-oil markets recorded positive expansion, with trade proving to be a key driver, expanding by 5.8 per cent last year.And from AED 296.1 billion in 2010, the emirate's GDP inflated to AED 306.2 billion the following year."Our estimates show that trade remains a key driver in Dubai’s growth as it contributed by 30.7 per cent of the overall GDP and grew by 5.8 per cent … it contributed to GDP growth by 1.7 per cent," Mr Al Muhairi commented.The transport and communications sector was buoyed by 2.7 per cent, while hotels and restaurants saw a 13.9 per cent rise, contributing to GDP growth by 1.5 per cent.Mr Al Muhairi said the hospitality market's success is down to a large increase in the number of guest rooms available at establishments, with there now being a total of 53,828 keys in the emirate.This are 2,713 more now than in 2010, demonstrating the rapid rate at which the metropolis is growing.Mr Al Muhairi stated: "This was coupled with a surge in demand as the number of hotel guests increased by nearly ten per cent to 7.26 million in 2011 compared with 6.56 million in 2010."Finally, manufacturing - which takes up a 14.1 per cent portion of GDP - also soared.Indeed, its prosperity climbed by 11.7 per cent and contributed to 1.5 per cent GDP expansion.