New housing projects in Abu Dhabi generate important economic waves: report
Industry observers indicate that as a result of new housing and real estate developments in Abu Dhabi, the emirate’s construction industry has surged, employment created, and the economy strengthened in general as a result of economic diversification.
Construction and other non-oil sectors were boosted by the real estate market, while the fixed capital formation in the UAE is projected increase to Dh5.9 billion in 2006 from Dh5 billion in the previous year according to a statistics revealed by the Information Centre of the Abu Dhabi Chamber of Commerce and Industry, reported in Gulf News. The economic diversification of the emirate’s economy, furthermore, has been stunning as a result of such growth.
"The corresponding figures for the entire UAE were Dh92.2 billion in 2006 and Dh84.8 billion in 2005, representing a projected increase of 20 per cent this year," the report stated.
Combined growth in the sector during 2004-2006 was expected to reach 45 per cent, the report pointed out, while the non-oil industrial sector of Abu Dhabi is projected to increase at the rate of 11 per cent in 2006 at Dh40 billion.
The increase in the activity in the construction and other sectors generated employment for 519,000 workers in 2005, and is expected to go up to 542,000 in 2006 in the entire UAE.