The economy of the United Arab Emirates will experience real growth of 2.7 percent in 2000 and 3.4 per cent in 2001, after falling by 8.1 percent in 1998 and by 0.1 percent in 1999, according to an economic report whose results were published by the OPECNA Bulletin.
According to the report, the oil sector's contribution to the country's GDP will rise to 24 percent in 2000 and to 24.6 percent in 2001, after maintaining a 23.5 percent in 1998 and a 23 percent share in 1999. Still, it will remain below its 33.3 percent average share from the 1995-97 period.
Boasting one of the most liberal business environments in Gulf region, the UAE will remain one of the key markets for business and investment in the Gulf Cooperation Council, the report said. Foreign debt will expand during 2000 and 2001, but will remain at a rate of less than a third of GDP. Consequently, the UAE’s debt service ratio will remain low at less than 6 percent.
The growth in oil exports will pick up towards the end of the forecast period, the report stated, while non-oil exports will post more modest growth. – (Albawaba-MEBG)
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