On 30th January, the top-notch leaders of the UAE attended a brainstorming session to reduce dependency on oil sector. In order to combat the issue, the leaders launched a four-pronged strategy which will develop a sustainable economy. Abu Dhabi Crown Prince Mohammad Bin Zayed and Dubai ruler Shaikh Mohammad participated in the panel sessions which are focused on economic diversification.
In the year 1980, total GDP of UAE was AED 555 billion where oil sector contributed 79% and non-oil sector 21%. In 2014, the total GDP was AED 1.154 trillion with oil sector forming 31% and non-oil sector 69%. According to the Dubai ruler, UAE’s GDP is estimated to be at AED 1.5 trillion in 2015 with non-oil sector contributing 70% to the economy. He says that the UAE will further increase the contribution of non-oil sector.
Four teams have been formed and each will include ministers, experts and senior officials to propose new ideas and discuss initiatives to reduce dependency on oil sector.
Financial stability Working Group:
Shaikh Mohammad will preside over the working group to ensure financial sustainability and employ government resources in order to contribute to the post-oil economy.
Community Working Group
Shaikh Bin Zayed will chair the working group. The group will ensure sustainability of social welfare for Emirati families and diversify their income sources.
Human Capital Working Group
This group will be headed by Shaikh Saif Bin Zayed and is aimed to nurture, pull in and manage talent and innovative minds.
Economy Working Group
The group will be chaired by Shaikh Zayed and will focus on building an economy built on innovation and state-of-the-art technologies.
While other Gulf countries reeling under the falling oil prices, UAE is in a very good position as its economy is not dependent only on oil sector. The four-pronged approach is likely to fetch positive results and help achieve the goal.