Great leadership: past, present and future

The UAE has achieved economic prosperity for its citizens, and has also strengthened its position on the global economic map while the economy has remained strong despite the financial crisis that engulfed the world during the second half of the year 2008.

General Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, said December 2 will remain live on the memory of the UAE people for ever.

Priority to development of human capital, says General Sheikh Mohammed

"Achievements and results the UAE has made locally, regionally and internationally are compelling proof of the sound policy and deep vision of President His Highness Sheikh Khalifa bin Zayed Al Nahyan which judiciously mobilised resources and energies to serve national interest, achieve progress, prosperity and maintain security, peace and stability.

"Employment of science and knowledge to serve targets of sustainable development is the best way to help our State reach the qualitative production which does not primarily rely on oil to generate income," he said.

"The UAE gives special attention and high priority to development of human capital...the nation is striving significant efforts to launch major initiatives and investment to develop innovative solutions in clean energy and address challenges in that respect," he added.

"The UAE is seeking to establish its profile as a regional and global centre for future energy solutions through initiatives to develop clean energy products and conserve the environment. The UAE has reserved an advanced place at the international renewable energy industry map.
 

UAE is the 2nd largest economy in Arab World, says Minister of Economy

On October 14, 2010, Sultan bin Saeed Al Mansouri, the Minister of Economy, announced that the UAE now has the second largest economy in the Arab World. Gross Domestic Product, GDP, a mere Dh6.5 billion in 1971, had reached Dh914.4 billion in 2009, thanks to a policy of economic diversification and an open market. As an example of the diversification, he noted that whereas the oil sector in 1971 had accounted for 70 per cent of GDP, it had fallen to 29 per cent in 2009. Growth of up to 3.2 per cent is predicted by the Ministry for 2010.

The minister cited a number of reports on the UAE's global economic status. It had, he said, been ranked 20th globally on the index of the World Economic Forum in terms of its fiscal development during 2009 and had also maintained its rank as the first among Arab countries, the 18th worldwide and the first in the Middle East and North Africa in "The Global Enabling Trade Report 2009" of the WEF, which covers 121 developed and developing countries.

A World Bank report on trans-national trade had also ranked the UAE 14th out of 181 countries, with the country also being ranked 6th, 9th, 10th, 21st and 25th in terms of infrastructure, institutions, market efficiency, competence and innovation respectively, he said.

The International Monetary Fund (IMF) has confirmed that the macroeconomic indicators seemed positive during the year 2009, reflecting the recovery of the UAE economy from the consequences of the global financial crisis. The IMF has predicted growth in GDP of 3 per cent in 2010 and 4.3 per cent in 2012 with the non-oil sector growing by one percent in 2009 and 3 per cent in 2010 and 4 per cent in 2011.

The UAE's non-oil foreign trade volume for 2009 was approximately Dh660.4 billion. Of this, imports accounted for Dh447.4 billion, re-exports Dh147.7 billion and non-oil exports Dh65.3 billion.

The 2010 budget, the largest ever at Dh43.627 billion, was in balance for the sixth consecutive year. Progress in the banking sector during 2009 provided evidence that the economy had been able to cope with the effect of the international economic crisis. Central Bank assets rose from Dh193.7 billion at the end of 2008 to Dh209.3 billion at the end of 2009.

The foreign assets of banks operating in the country increased from Dh1,447.9 billion at the end of 2008 to Dh1,521 billion at the end of the year 2009. During the same period, deposits increased from Dh912.2 billion to Dh982.

Fifty two banks are now operating in the UAE, with a total of 755 branches. Of these, the 24 national banks account for 674 branches. The volume of the banks' total assets grew from Dh1.52 trillion by the end of 2009 to Dh1.54 trillion at the end of June 2010.

Industrial development: The UAE's industrial sector has succeeded in attracting substantial new investment, from inside the country, from elsewhere in the Gulf states and from abroad. New products have also proved able to compete with foreign products, both locally and abroad, in sectors such as energy, aviation, aluminium and chemicals and basic industries.

The annual report of the Ministry of Economy said that by the end of 2009, there were a total of 4,644 small industrial enterprises with a total capital of Dh81,465 million, producing a range of goods, such as food, beverages and tobacco, textiles and readymade garments, wood ware and furniture, paper, printing and publishing, chemical industries, non-metallic mineral products, machines, equipment and metallic industries.

Foreign aid

Since its establishment, the UAE has been an active provider of development assistance and humanitarian aid, from which over 100 countries have benefited. In June 2010, the first annual report on overseas aid, "UAE Foreign Aid - 2009" was released by the Office for the Co-ordination of Foreign Aid, OCFA.

This showed that, since the UAE was created, it has provided over Dh163 billion in various forms of foreign aid.

In 2009, around Dh9 billion was provided to more than 90 countries, with about 95 per cent of that figure being as grants.

Headed by Sheikh Hamdan bin Zayed Al Nahyan, the Abu Dhabi Ruler's Representative in the Western Region, the office is intended to rationalise the aid-giving sector, to promote collaboration between donor organisations and to help in long-term planning.

According to the OCFA report, there are 21 donor organisations in the country, including the Zayed Charitable and Humanitarian Foundation, the Khalifa bin Zayed Al Nahyan Charitable Foundation, the Mohammed bin Rashid Al Maktoum Charity and Humanitarian Establishment, the Abu Dhabi Fund for Development and the UAE Red Crescent Authority.

Substantial private donations are also provided by Sheikh Khalifa bin Zayed and Sheikh Mohammed bin Rashid, among others.

The UAE is also an active participant in a wide range of regional and international aid-giving agencies.
 

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