Today's Edition
MAYS IBRAHIM (DUBAI)
The UAE is accelerating its economic diversification, with plans to increase non-oil sectors' share of the economy to 80% within the next five to six years, said Abdulla bin Touq Al Marri, Minister of Economy and Chairman of the General Civil Aviation Authority (GCAA).
His remarks were made at the World Government Summit (WGS), during a panel discussion delving into structural developments and economic diversifications across the GCC states.
Currently, non-oil sectors account for 75% of the UAE's economy, a significant rise from 69-70% in 2020, according to Al Marri.
The Minister also highlighted the UAE's focus on "new economies" to advance its diversification vision across various sectors such as healthcare, agriculture, fintech, digital commerce and AI.
While traditional sectors like tourism, aviation and retail continue to grow steadily, the focus should be on integrating new technologies and industries into both traditional and emerging economic sectors to fuel future growth across the UAE and GCC, he added.
The UAE's shift aligns with broader economic transformation initiatives across the GCC, where member states have outlined their strategic visions for sustainable growth and global competitiveness.
These include: We the UAE 2031; Saudi Vision 2030; Bahrain Economic Vision 2030; Kuwait Vision 2035; Qatar National Vision 2030; and Oman Vision 2040.
According to Jasem Albudaiwi, Secretary General of the GCC, the region's progress is the result of decades of strategic planning and leadership.
"If we call the late leaders of the GCC in 1981 the founding fathers, I think we can call the leaders now in the GCC the transformation fathers. They are leading these six countries to a level that we maybe did not think we would reach that fast," he said during the panel discussion.
Faisal Al Ibrahim, Saudi Arabia's Minister of Economy and Planning, noted that GCC countries have long been committed to transforming their economies, breaking free from the reliance on oil, nurturing emerging sectors, and building new economies.
Al Ibrahim stressed that the long-term focus of GCC nations has been on "unlocking human capital potential" and creating opportunities that benefit the entire population.
This strategy has contributed to impressive growth in non-oil sectors, outpacing global GDP growth forecasts, according to Al Ibrahim.
"There is something that's very unique about the GCC and the people of the GCC, which is this adoption of a growth mindset that makes people from around the world always see the GCC as a place that is like no other in terms of relentless optimism," he noted.
Shaikh Salman bin Khalifa Al Khalifa, Bahrain's Minister of Finance and National Economy, pointed out three key drivers of transformation in the region: human capital, infrastructure, and the regulatory environment.
He noted the GCC's investment in education, health and providing opportunities to create a globally competitive workforce.
"We are blessed today in the GCC region with having arguably the finest human capital, pool of human capital on a global level," he said.
The Bahrain Minister also highlighted the region's robust infrastructure, tailored to support emerging technologies like AI, cloud computing and data centres.
