UAE current account surplus quadruples in the year
The United Arab Emirates' current account surplus quadrupled to Dh112.7 billion, $30.7bn in 2011 as both crude and non-oil exports soared, according to the Central bank's annual report.
The surplus rose to 8.5 per cent of Gross Domestic Product (GDP) last year from 2.4 per cent, or Dh26.6bn, in 2010, according to a Reuter’s calculation. Last year's outcome is smaller than the International Montary Fund (IMF) estimate for a surplus of 9.2 per cent of GDP, released following regular consultations with the country in February and March. A Reuter’s poll in March showed analysts expecting the UAE's hydrocarbon export revenue of $110bn in 2012.
The value of UAE hydrocarbon exports surged nearly 50 per cent to Dh409.9bn last year, $111bn. Crude accounted for 81 per cent of hydrocarbon exports of the UAE.
In the non-oil sector, exports saw a surge of 22 per cent to Dh228.0bn, while re-exports rose 23 per cent to 396.5bn. The net balance on the UAE capital and financial account turned negative in 2011, reaching Dh60.4bn, which indicates a net outflow of capital from the Gulf country, the central bank said. Direct investment went up by 40 per cent to Dh28.2bn in 2011. Remittances sent by expats rose to Dh41.2bn last year from 38.8bn in 2010.