IMF raises forecast for UAE’s GDP to 4.8% in 2025, 5% in 2026

October 14, 2025 / 11:35 PM

Sharjah 24 – WAM: The International Monetary Fund (IMF) has revised its forecast for the UAE’s real GDP growth to 4.8% in 2025, up from its previous projection issued in April. The IMF also maintained its 2026 forecast at 5%, consistent with earlier estimates.

Global and regional growth trends

According to the IMF’s latest World Economic Outlook (WEO), global economic growth is expected to slow slightly—from 3.3% in 2024 to 3.2% in 2025, and 3.1% in 2026. Growth in advanced economies is projected at around 1.5%, while emerging market and developing economies are expected to grow just above 4%.

Middle East and Central Asia to see stronger growth

In the Middle East and Central Asia, growth is forecast to accelerate from 2.6% in 2024 to 3.5% in 2025, and 3.8% in 2026. The 2025 projection marks an upward revision of 0.5 percentage points compared to April’s estimate.

Policy recommendations from the IMF

The WEO also issued a call to action for global policymakers, urging them to restore economic confidence through transparent and sustainable measures. It emphasized the need for fiscal buffer rebuilding, preservation of central bank independence, and renewed efforts on structural reforms, alongside trade diplomacy and macroeconomic adjustments.