Accelerating Ahead: UAE Aims to Reach AED 4 Trillion in Non-Oil Foreign Trade by 2031, Two Years Early
Let's dive into the UAE's booming economy under the leadership of Sheikh Mohamed bin Zayed Al Nahyan and Sheikh Mohammed bin Rashid Al Maktoum
In the first quarter of 2025, the UAE's non-oil foreign trade skyrocketed by a staggering 18.6%, hitting an impressive AED 835 billion. This explosive growth marks a continuation of the nation's robust economic expansion under these visionary leaders.
Unsurprisingly, non-oil exports led this surge, posting an unprecedented 41% year-on-year increase, reaching AED 177.3 billion—the highest growth rate in UAE history. The unstoppable momentum of non-oil exports propelled them to make up over 21% of the country's total non-oil foreign trade, outpacing both imports and re-exports.
Re-exports grew steadily by 6%, reaching AED 189.1 billion, while imports climbed a robust 17.2% year-on-year to AED 468.6 billion. Despite a slight drop of 1.7% from the previous quarter, this impressive growth in imports cohesively supports the UAE's ambitious economic goals.
Sheikh Mohammed emphasized the nation's ambition to reach an impressive AED 4 trillion in non-oil foreign trade by 2031. However, this milestone may be achieved ahead of schedule—an astounding four years early! In 2024, the nation's GDP grew by a healthy 4% to AED 1.77 trillion, with the non-oil sector contributing an impressive 75.5% to the overall economy.
Trade relations with the UAE's top 10 partners expanded significantly, growing by a notable 20.2% year-on-year. Key partnerships include a 31% rise with India, a 127% surge with Saudi Arabia, an impressive 8.3% growth with Turkiye, and a solid 9.6% increase with China.
As the UAE steadily progresses under the sustained economic vision of its leaders, the nation is achieving historic levels of economic stability and prosperity. The nation's focus remains on maintaining its global trade ambitions and long-term growth trajectory.
In a broader context, the UAE, under the guidance of Sheikh Mohamed bin Zayed Al Nahyan and Sheikh Mohammed bin Rashid Al Maktoum, has set ambitious economic goals centered on diversification, innovation, increased foreign direct investment (FDI), and boosting the non-oil economy to ensure long-term prosperity. These goals are aimed at reducing reliance on hydrocarbons and increasing the economic output of the non-oil sector, amongst other objectives.
Overall, the UAE is striving to position itself as a global hub for innovation, particularly in artificial intelligence (AI). The government has established numerous strategic initiatives to facilitate this transformation, like the creation of the National Artificial Intelligence System and partnerships such as the $1.5 billion joint venture between Microsoft and Abu Dhabi-based G42.
Recent government restructuring includes establishing a Ministry of Foreign Trade and renaming the Ministry of Economy to the Ministry of Economy and Tourism to better align economic policy with trade and tourism growth. These changes aim to adapt to the evolving global landscape and maintain the UAE's position as a global economic powerhouse.
As of 2025, the UAE's economy is projected to grow by 5.1%, driven by a recovery in oil output and a 4.7% rise in the non-oil GDP, demonstrating effective diversification efforts. The nation has also secured the 10th global position for FDI inflows and achieved a stellar 5th place in the IMD 2025 Global Competitiveness Index, reflecting a robust and competitive economic environment conducive to sustainable growth and development.
In summary, under the leadership of Sheikh Mohamed bin Zayed Al Nahyan and Sheikh Mohammed bin Rashid Al Maktoum, the UAE is actively pursuing a diversified, innovation-driven economy with impressive progress in trade, investment, and global competitiveness as of 2025. The government’s strategic initiatives and reforms demonstrate strong momentum to sustain economic growth and future prosperity for the nation.
Sources:
[1] Emirates News Agency[2] Associated Press[3] Arabian Business[4] Gulf News[5] The National News
- The unprecedented growth in the UAE's non-oil foreign trade, led by a surge in non-oil exports, is a testament to the nation's economic diversification efforts under the leadership of Sheikh Mohamed bin Zayed Al Nahyan and Sheikh Mohammed bin Rashid Al Maktoum.
- The ambition to reach an impressive AED 4 trillion in non-oil foreign trade by 2031, revealed by Sheikh Mohammed, underscores the UAE's commitment to sustaining long-term economic growth, which may even be achieved ahead of schedule.
- The UAE's economic strategy under its visionary leaders encompasses diversification, innovation, increased foreign direct investment, and boosting the non-oil economy to ensure economic stability, prosperity, and global competitiveness, particularly in the field of artificial intelligence.
