Business conditions in Dubai improved at the strongest pace in five months during January, according to the latest Emirates NBD Dubai Economy Tracker Index.
The index is designed to provide an indicator of operating conditions in Dubai’s non-oil, private-sector economy. Overall, this segment of the economy rose to 56.0 on the index in January.
A reading of below 50.0 indicates the economy is generally declining, while a reading of above 50.0 signals growth, while a reading of 50.0 suggests no change at all. And according to Emirates NBD, wholesale and retail, travel and tourism, and construction, all grew faster than they had in December.
“The rise in the Dubai Economy Tracker Index signals a strong start to 2018, despite the introduction of VAT putting upward pressure on both input and output prices. The construction sector had a particularly strong month in January, and this supports our view that construction will be a key driver of Dubai’s growth this year,” said Khatija Haque, Head of MENA Research at Emirates NBD.
So what does this mean for you as a consumer? Well, non-oil, private-sector companies reported the fastest growth in business activity seen since July 2017, and the rate of expansion was bigger than average. That bodes well for job creation.
Indeed, on that, Emirates NBD said that job creation was stronger in January than it had been since November 2015. So, if you’re looking for a job in Dubai, there should be plenty of opportunity.
In terms of the strongest industries of the moment, Emirates NBD said that wholesale and retail performed best in January, registering on the index at 56.1. Travel and tourism registered at 55.7, while construction was rated at 55.2.