Today's Edition
AMEINAH ALZEYOUDI (ABU DHABI)
The UAE continues to solidify its standing as one of the most dynamic economies in the Middle East, distinguished by its consistent growth, political stability, and ambitious development objectives, according to the BTI 2026 Country Report.
The study emphasises how diversification initiatives, technology investment, and growing international alliances helped the UAE maintain a strong economic trajectory between 2023 and early 2025.
With a population of about 10.9 million and a high Human Development Index (HDI) of 0.940, the nation is among the best in the world for development metrics.
Strong foreign direct investment (FDI) inflows, a thriving real estate market, and a continuous increase in non-oil sectors have made the UAE economy one of the most competitive in the region. As a result of years of deliberate diversification, over 70% of the country's GDP is now produced outside of the oil sector.
To increase non-oil revenues and bring the nation in line with international economic norms, the government has implemented measures such a 15% minimum tax on large multinational firms.
In order to establish itself as a world leader in cutting-edge technology, the UAE is also making significant investments in digital transformation and artificial intelligence. The goal of initiatives like "Zero Government Bureaucracy" is to boost public services and increase efficiency.
Through trade deals and strategic alliances with nations like Egypt, India, Turkiye and Australia, the UAE continues to increase its influence on the global scene. In addition to diplomatic involvement in regional and international affairs, the country's foreign policy increasingly emphasises economic and technological collaboration.
The study highlights the UAE's expanding diplomatic role by citing its participation in international mediation efforts, such as coordinating prisoner exchanges between Russia and Ukraine.
The UAE is well-positioned for future success thanks to its practical policy approach and emphasis on innovation and sustainability. The UAE is anticipated to continue to be a major regional and international actor in the years to come thanks to its sound administration, robust economy, and well-defined strategic vision.
