Dubai’s economy picks up speed, promises stronger Q2 2019

Dubai: Signalling growing investor confidence in Dubai, new business licenses issued in the emirate during the first four months of 2019 increased 35% compared to the same period of 2018 according to a report issued by the Department of Economic Development (DED).

DED issued 9,489 new licences during January-April 2019 as Dubai continued to accelerate in line with the emirate’s strategic plan to evolve into a sustainable economy driven by productivity and innovation.

The Business Confidence Index in Dubai also climbed to 117.8 points in the first quarter of 2019 compared to 116.4 points during the same period of 2018, according to a DED survey. Companies participating in the survey said they anticipated higher profits and selling prices in the second quarter of 2019, largely due to seasonal demand. The manufacturing sector was the most optimistic on volumes, profits and employment and overall, larger companies have stronger expectations for Q2 2019 compared to small and medium enterprises.

Data from the Dubai FDI Monitor of the Dubai Investment and Development Agency (Dubai FDI) in DED indicated a total FDI inflow of Dh22.2 billion into Dubai as of the end of the first quarter of 2019 compared to Dh7.3 billion during the same period of 2018.