The Organisation of the Petroleum Exporting Countries (Opec) said the UAE's economy continues to demonstrate robust growth, particularly within non-oil sectors such as real estate, tourism, and manufacturing.

 

In its Monthly Oil Market Report (MOMR) for August 2024, housing, water, electricity, gas, and other fuels – constituting over 40 percent of the Consumer Price Index (CPI) – saw a slight increase, reaching 6.7% YoY in June, up from 6.6% in May.

 

Food and beverage inflation remained relatively stable, with a minor increase to 2.4% YoY in June, up from 2.3% YoY, in May. In terms of international economic relations, the UAE Central Bank recently signed currency swap agreements with Ethiopia, the Seychelles, and Indonesia. These agreements are designed to facilitate cross-border transactions and enhance payment system cooperation.

 

Additionally, the UAE finalised a Comprehensive Economic Partnership Agreement (CEPA) with Mauritius, which is aimed at eliminating tariffs and boosting trade.

 

This CEPA further strengthens the UAE's business and diplomatic ties in Africa and is expected to support economic diversification efforts, particularly in the non-oil sector.

 

The country's robust economic policies and strategic international partnerships place it in a strong position to sustain its upward trajectory and further diversify its economy.