The real GDP of Abu Dhabi grew by 5.7% in the 1sr quarter of 2019, mainly driven by growth in the oil sector according to the emirate’s statistic department.
The GDP of emirate totaled Dhs207 billion which is equivalent to $56.4 million in the quarter as compared to Dhs196 billion in the year-ago period, informed the Statistics Centre Abu Dhabi.
The capital of the United Arab Emirates, Abu Dhabi has the largest reserves of hydrocarbon amongst the 7 emirates.
Billions of dollars are being invested by the emirate in tourism, industry, and infrastructure for the diversification of its economy away from oil.
The growth in the economy of Abu Dhabi during the 1st quarter of 2019 was mainly driven in the oil sector, whereas, the non-oil activities persisted to post steady growth rates, Rashid Abdul Karim al Balooshi stated who is acting under-secretary of the Abu Dhabi Department of Economic Development. Oil GDP of Abu Dhabi grew 12.8 Percent year-on-year to Dhs106.8 billion, accounting for 51.6 percent of the GDP of the emirate in the 1st quarter of 2019.
It was said earlier this year by the Rating Agency Moody that the re-imposition of the Organization of the Petroleum Exporting Countries production cuts late last year has inhibited the near-term outlook for production of hydrocarbons in Abu Dhabi.
Even though Moody’s stated a ramp-up in the production before the announcement of the cuts has given rise to a production allocation for 2019, to some extent larger than last year’s production.
The United Arab Emirates, the 3rd largest oil producer in OPEC, behind Iraq and Saudi Arabia, pumps around 3 million barrels per day. It has planned to boost the output to 4M Barrels per day by 2020. Abu Dhabi National Oil Co produces most of that oil.