Contribution to GDP of Dubai UAE Q1 2021, by industry

In the first quarter of 2021, the wholesale and retail sector remained the largest contributor to the gross domestic product (GDP) of the emirate of Dubai in the United Arab Emirates (UAE), accounting for about 22.7 percent. Meanwhile, the financial services and insurance sector and the transport and storage sector followed at 11.9 and 11.7 percent, respectively.

Global economic hub

The United Arab Emirates, the second-largest Arab economy after Saudi Arabia in 2021, is home to key business hubs and financial centers, Dubai and Abu Dhabi. With the government’s strategic initiatives to support a growing environment for budding businesses, Dubai and Abu Dhabi have become the world’s most attractive business destinations for both local and foreign entrepreneurs. As of 2022, UAE was ranked among countries with the most competitive economy by the International Institute for Management Development, based on economic performance, government efficiency, business efficiency, and infrastructure.

Road to sustainability

The UAE economy has been historically heavily dependent on oil for its economy, as extractive industries remained the leading driver of the Emirates’ GDP in 2020. However, the UAE has been taking active initiatives towards a “green economy for sustainable development” by diversifying its economy away from oil. The UAE Energy Strategy 2050 sets an aim of 50 percent renewables in the energy mix by 2050, the majority of which would likely stem from photovoltaic systems.