U.A.E. Economy to Strengthen in 2026 and Beyond
A combination of economic projections and recently announced infrastructure projects have placed the U.A.E in a strong position to capitalise on its growing economy, and reinforce its status as a financial and tourism hub.
Below, we take a look at the latest headlines that will shape the country.
World Bank’s Strong U.A.E. Projection
The World Bank has forecast the U.A.E.’s economic growth to stand at 5% in 2026, rising slightly to 5.1% in 2027. This aligns with similar projections from the International Monetary Fund (IMF) and banks like Standard Chartered, as well as the Central Bank of the U.A.E.
The outlook reflects a resilient global economy that is weathering global trade uncertainty better than most others. Global growth is projected at a modest 2.6–2.7% over the same period, while the GCC is expected to perform at 4.4-4.6%.
Diversified Economic Growth
The U.A.E.’s nominal GDP is estimated to have reached $569 billion in 2025, with total foreign trade projected to approach $1 trillion by 2026. Non-oil sectors, growing at around 4.5%, are being powered by a population influx, a strong real estate market and continued strength in sectors like tourism, logistics, aviation and finance.
DIFC Zabeel District
Building on its status as a global financial hub, Dubai has just announced plans for a staggering AED 100 billion (approximately $27.23 billion) expansion of the Dubai International Financial Centre (DIFC). DIFC Zabeel District will add 17 million square feet of space and accommodate up to 125,000 professionals.
Abu Dhabi’s Robust Economy
Not to be left behind, Abu Dhabi is also enjoying robust economic growth, with IMF projections for the capital set at 5.8% this year. Fuelling this rise are investment-friendly platforms like ADGM, as well as infrastructure and cultural landmarks like the recently opened Zayed National Museum.
Disneyland Abu Dhabi
One such landmark is Disneyland Abu Dhabi. Disney CEO Bob Iger has revealed the site for the highly anticipated project (its seventh globally), situated on the northern part of the über-popular Yas Island, neighbouring attractions like Ferrari World. First announced in May 2025, the park is still in early stages and is expected to debut in the early 2030s.
Abu Dhabi Real Estate
A recent market reported has estimated that $1.6 billion (AED 5.88 billion) in private capital is targeting Abu Dhabi’s residential real estate, particularly in lifestyle and waterfront communities such as Yas Island, Saadiyat Island and Al Reem Island.
Etihad Rail
Etihad Rail has shared a first look at Abu Dhabi Station in Mohammed Bin Zayed City, a key stop on the UAE’s first passenger rail network launching in phases from 2026. The network will connect 11 destinations across the country, offering faster and more reliable travel.
Etihad Rail’s Impact on Real Estate
A recent study has asserted that, with sub-90-minute connections between major emirates, Etihad Rail is expected to reshape commuting patterns and, by extension, real estate across the country. The northern emirates, particularly Sharjah, Ajman and Umm Al Quwain, are expected to enjoy an unprecedented demand for homes from commuters who will now be able to live further away from their places of work in centres like Dubai.