Factories corner 12% non-oil GDP

United Arab Emirate’s manufacturing sector is growing strong as it contributed 12.1 percent to Abu Dhabi’s non-oil gross domestic product in 2018 to rank first among 17 major industries, according to a top economic official. WAM

ABU DHABI (WAM) — Manufacturing activities contributed 12.1 percent to Abu Dhabi’s non-oil gross domestice product in 2018, ranking first among 17 major activities, according to a top official in the UAE capital.

“Activities in Abu Dhabi’s manufacturing sector have increased over the recent years, ranking second in terms of growth rate, at 5.9 percent, in 2018,” Rashid Abdul Karim Alblooshi, Undersecretary of Department of Economic Development-Abu Dhabi, said in statements marking the UAE capital’s hosting of the 18th session of the General Conference of the UN Industrial Development Organization.

“Foreign investors have continued to flock to the domestic manufacturing industry over the recent years. The volume of FDI (foreign direct investment) inflows to manufacturing in 2018 which was estimated to have grown at 20.3 percent. It ranked second in terms of relative importance after the construction sector,” he noted.

The upsurge in the manufacturing sector’s performance was due to high growth rates of major industries in 2018 such as the non-metallic mineral products, 19.5 percent, and basic pharmaceutical products,13.8 percent, he indicated.

“Abu Dhabi was ranked 69th in 2018 in the Innovation Cities Index of Think Now 2, an Australian company specializing in innovation research and studies, garnering a total score of 43 points.

The capital has also been named an ‘Innovation Hub.’ Moreover, Abu Dhabi ranked 2nd globally as the best city to live, work, and do business in, according to Ipsos City Index 2017.

“These achievements are the result of the emirate’s investment-friendly environment and attractive incentives for industrial investment. We can see clearly that the Abu Dhabi Government prioritizes, among other things, the industrial sector as part of its move to boost the economic contributions of the local non-oil sectors according to Abu Dhabi Economic Vision 2030. As a result, a myriad of opportunities in the field of research, development, innovation, and trade is continuously being generated,” the official explained.