UAE economic growth in 2025 will reach five per cent, according to a new forecast from Standard Chartered Bank. The outlook reflects strong fundamentals, rising investor confidence, and steady inflation levels.
The bank confirmed that the UAE’s projected 2025 economic expansion will surpass the Central Bank’s estimate of 4.4 per cent. However, it still falls just short of the 5.4 per cent growth forecast for 2026. This gradual rise underscores the strength and resilience of the country’s economy.
Standard Chartered also predicts that the current account balance will stand at seven per cent of GDP in 2025. The figure may increase to eight per cent next year and ten per cent by 2027. These projections support the bank’s confidence in UAE economic growth 2025 and suggest a strong external financial position.
Manpreet Gill, Chief Investment Officer for Africa, the Middle East, and Europe, explained that the Gulf region continues to attract long-term investors. Despite short-term geopolitical risks, he emphasized that the broader UAE economic outlook stays positive.
Oil prices will play a key role in shaping the outlook. Standard Chartered expects West Texas Intermediate crude to average around $65 per barrel over the next year. While short-term spikes may occur due to geopolitical tensions, the overall market remains oversupplied. Opec+ countries still hold enough spare capacity to manage unexpected disruptions.
Meanwhile, reforms and policy consistency continue to support
UAE growth outlook for 2025. The government has focused on economic diversification, infrastructure development, and foreign investment. These steps help shield the economy from oil market volatility.
The UAE also strengthens its global position as a financial and business center. Clear strategies, modern infrastructure, and growth in the non-oil sector all contribute to economic stability. These factors reinforce the positive trajectory for the UAE economy’s performance in 2025.
The forecast signals steady growth, sound policy, and a confident path forward. While other regions face uncertainty, the UAE stands out with strength, consistency, and opportunity.
