The UAE economy expanded by 3% in real terms in the first quarter of 2026, with total output reaching AED 485 billion in constant prices, according to the Federal Competitiveness and Statistics Centre. The headline story of the quarter was the strength of the country's non-oil sectors.
Non-oil GDP rose 4.8% year on year and now accounts for 79.4% of the national economy, up from 78% a year earlier. That rising share reflects the UAE's sustained push to diversify away from hydrocarbons and build resilience against regional uncertainty.
Sector performance highlights
Financial and insurance services led the way with 17.3% year-on-year growth. Construction advanced 8.1%, health and social services grew 7.7%, and information technology expanded 5.9%. Professional services rose 4.9%, real estate activity increased 4.8%, and wholesale and retail trade added 2.6%.
Officials said the results demonstrate the success of policies designed to strengthen non-oil contributions and lift global competitiveness. The "We the UAE 2031" vision targets doubling national GDP to AED 3 trillion by the end of the decade.
Foreign trade continued to underpin diversification, with non-oil exports climbing 23.9% to AED 452.8 billion in the first half of 2026.
Source: The Corporate Group
