In a significant milestone showcasing the sustained momentum of economic growth in Dubai, driven by the leadership’s vision and effective integration across various key sectors, the economy of Dubai expanded by 4% in the first quarter of 2025 compared to the same period last year, reaching a total Gross Domestic Product (GDP) of AED 119.7 billion.
Key Sectors
According to Dubai’s Data and Statistics Authority, the growth in GDP achieved in the first quarter of this year is attributed to advancements in various essential sectors forming the backbone of the emirate’s economy. The human health and social work sectors experienced the highest growth rate of 26% compared to the same period last year. The real estate sector recorded a growth of 7.8%, while financial services and insurance grew by 5.9%. Additionally, accommodation and food services grew by 3.4%, and transport and storage activities saw a growth of 2%.
The growth in GDP for the first quarter of this year signals a continuation of the success experienced in 2024, where the emirate’s economy grew at a current price rate of 5.8%, totaling AED 541 billion, with a real growth rate of 3.2%, amounting to AED 443 billion, propelled by outstanding performance in trade, real estate, financial services, transport, and industry, which contributed to nearly 78% of the overall growth for the year.
Data Serving the Economy
Younis Al Nasser, CEO of Dubai’s Data and Statistics Authority, stated: “In an era of digital technology and artificial intelligence, data and statistics serve as a true reflection of reality and an effective tool for predicting the future. In this context, the results from the first quarter of 2025 truly reflect the comprehensive development witnessed in Dubai across various vital sectors, providing an accurate picture of the economic trajectory to assist policymakers, researchers, and stakeholders in shaping their future strategies and making informed decisions. Our commitment at the Dubai Data and Statistics Authority is to strengthen cooperation with relevant entities to ensure that data serves everyone at all levels, recognizing its importance in achieving the government’s higher goals and the future directions of our esteemed leadership.”
On the other hand, Hadi Badri, Executive Director of the Dubai Economic Development Department, emphasized that “Dubai continues to foster sustainable and diverse economic growth while enhancing its global attractiveness, as entrepreneurs, investors, and businesses seek a stable and transparent business environment. The performance of Dubai from 2024 through the first quarter of 2025 reflects the ongoing momentum towards achieving the objectives of the Dubai Economic Agenda D33, thanks to the visionary outlook of wise leadership and the successful collaboration between the public and private sectors. As we aim to accelerate growth, we are focusing on executing more strategic initiatives and building local and international partnerships, which will open new horizons and support avenues for innovation, as well as turn ideas and plans into remarkable success stories.”
Health Sector
The human health and social work sectors reached a value of AED 1.9 billion during the first quarter of this year, achieving a growth of 26% compared to the first quarter of the previous year, contributing 1.5% to the emirate’s total GDP and driving growth by 0.3 percentage points.
Real Estate Activities
The real estate sector, a cornerstone of the emirate’s economy, experienced a growth of 7.8% during the first quarter of 2025, contributing 7.5% to the GDP with a total value of AED 9.0 billion, thus propelling economic growth by 0.6 percentage points.
Financial and Insurance Activities
The financial sector saw a real growth of 5.9% compared to the same period last year, reaching a value of AED 16 billion, an increase from AED 15.12 billion in the first quarter of the previous year, contributing 13.4% to the overall economy and driving growth by 0.8 percentage points.
Accommodation and Food Services
Accommodation and food services recorded a growth rate of 3.4%, bringing its value to AED 4.9 billion, contributing 4.1% to the GDP and driving economic growth by 0.14 percentage points.
Information and Communications
The information and communications sector grew by 3.2%, achieving a value of AED 5.3 billion, contributing to economic growth by 0.14 percentage points, and accounting for 4.4% of the emirate’s GDP.
Wholesale and Retail Trade
The wholesale and retail trade sector contributed 23%, with a value of AED 27.5 billion compared to AED 26.3 billion for the same period in 2024, reflecting a growth rate of 4.5%, thus boosting overall economic growth by 1.03 percentage points. The trade sector supports all other sectors of the economy by providing diverse goods for various purposes, whether as inputs, intermediaries, or final consumption.
Manufacturing Activities
The manufacturing sector achieved a growth rate of 3.3%, with a total value of AED 8.7 billion during the first quarter of the current year, compared to AED 8.4 billion during the same quarter of the previous year, contributing 7.3% to the GDP and driving economic growth in the emirate by 0.24 percentage points during the first quarter of 2025.
Transport and Storage
The transport and storage sector grew by 2% compared to the same period last year, with a value of AED 15.7 billion compared to AED 15.4 billion in the first quarter of 2024. It contributed 13% to the emirate’s economy, driving growth by 0.27 percentage points. This sector includes all activities related to land, water, and air transport services for people and goods, as well as handling, storage, and postal services, with air transport being the most significant contributor due to its output size.
Other Activities
Other sectors contributed 26% to the GDP in the first quarter of 2025, recording a growth of 1.9% compared to the same period last year, thereby driving growth by 0.5 percentage points.
It is noteworthy that the Dubai Data and Statistics Authority is currently working on expanding the survey base and re-estimating the time series of GDP and other economic indicators as part of its transformation plan to adopt updated international classifications and implement international recommendations to better meet the needs of data users.