September 25, 2012
Abu Dhabi will make certain changes to its economic strategy, which is expected to grow by 3.9 per cent in 2012 against a much higher target set in its plan, in light of ground realities.
"The fundamentals of Abu Dhabi Economic Vision 2030, of course, are still there, because we are talking about the diversification of the economy and seeks more contribution of the non-oil sector to GDP," Department of Economic Development Abu Dhabi Undersecretary Mohammed Omar Abdullah told reporters in Abu Dhabi on Monday.
September 25, 2012
Abu Dhabi will make certain changes to its economic strategy, which is expected to grow by 3.9 per cent in 2012 against a much higher target set in its plan, in light of ground realities.
"The fundamentals of Abu Dhabi Economic Vision 2030, of course, are still there, because we are talking about the diversification of the economy and seeks more contribution of the non-oil sector to GDP," Department of Economic Development Abu Dhabi Undersecretary Mohammed Omar Abdullah told reporters in Abu Dhabi on Monday.
He said the strategy to achieve the targets set in Abu Dhabi Economic Vision 2030 could be changed.
"There could be some sorts of changes, diversions from the original plan," he hinted, adding that the idea was to change the tactics and revise the plan, rather than Vision 2030 itself.
The Economic Horizons of Abu Dhabi 2010-16 Report, based on projections and surveys prepared by DED Abu Dhabi, other departments and agencies, expected a lower-than-projected growth. However, the department forecasts that growth would accelerate to a 5.7 per cent on average in 2013-16. It predicted growth in non-oil GDP of 5.5 per cent this year, accelerating to an average of 6.5 per cent in 2013-16.
In Abu Dhabi Economic Vision 2030, the emirate is to achieve a seven per cent growth per cent per annum in 2010-15, and six per cent through 2030.
Abdullah said Abu Dhabi's economy posted positive growth at a time when other economies have achieved a slow or negative one. The department has prepared a number of plans for different strategic sectors, including an industrial plan in line with Vision 2030, he said. "Such a plan is to define the available opportunities and identify the challenges and turn them into opportunities."
Rashid Ali Al Zaabi, director of economic studies at the department, saw a growth in family consumption with 9.6 per cent (real prices) during 2012, and general growth continuing at 8.1 per cent during 2013-16 on the average, due to the rise in business activities and boost in per capita income.
These forecasts also factor in the consumers' trust indicator during the second quarter of 2012, which surged 130 points compared to 121 points during the same period a year ago. He said mega projects in the health, education, hydrocarbons and other sectors will give investments a great push.
The forecast indicates an increase in investments during 2012 (real prices) with 11.3 per cent, and at 8.7 per cent on the average during 2013-16.
According to the report, the general index of business atmosphere during the second quarter of 2012 ending June 30 grew by one per cent quarter-to-quarter to 56 points, reflecting bullish sentiments.
Courtesy: Khaleej Times
