UAE's real GDP expected to grow by 5.3% in 2024- S&P Global

Posted on February 12, 2024   |  

S&P Global Ratings predicts UAE's real GDP to rise by 5.3% in 2024, up from 3.4% in 2023.

In 2023, UAE banks saw big profits because they needed less money set aside for potential losses, earned more from interest, and had more cash from deposits than loans.

This year, UAE's economy will expand thanks to more oil production and other industries like hotels, property, and finance.

Some UAE banks made a lot of money in 2023 because they lent more when interest rates were going up, and didn't need to set aside much for possible losses.

More profits came from other business activities, like deals and trading, which were busier in 2023.

With interest rates expected to stay up, UAE banks should keep making good profits because they earn more from interest and don't have to worry much about possible losses.