United Arab Emirates: 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the United Arab Emirates
IMF Staff Country Reports, February 1, 2019
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- United Arab Emirates: 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the United Arab Emirates
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Bibliographic details
- Published: February 1, 2019
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781484397251.002
Overview
- IMF Article IV Consultation finds the UAE has successfully weathered recent external shocks due to its large financial buffers, diversified economy, and strong policy response.
- The economy is starting to recover from the 2015–16 slowdown caused by a decline in oil prices.
- Growth momentum is expected to strengthen in the next few years, helped by higher oil output, increased public investment, and stepped-up structural reforms.
- Realizing the government’s Vision 2021 requires strong effort to foster productivity growth and increase the private sector’s role in the economy.
Economic outlook and key findings
- Recovery drivers:
- Higher oil output.
- Increased public investment.
- Stepped-up structural reforms.
- Vulnerabilities and strengths:
- Large financial buffers.
- Diversified economy.
- Strong policy response to shocks.
- Past shock:
- 2015–16 slowdown linked to decline in oil prices.
Fiscal policy, public finances, and recommendations
- Fiscal strategy:
- Gradual and growth-friendly fiscal consolidation should resume once the recovery gains momentum to ensure intergenerational equity.
- Key fiscal priorities highlighted:
- Raise spending efficiency.
- Continue diversifying revenues.
- Firmly anchor fiscal policy.
- Improve policy coordination and management of fiscal risks.
Structural reforms and private sector role
- Emphasis on:
- Fostering productivity growth.
- Increasing the private sector’s role in the economy to meet Vision 2021 objectives.
Publication and metadata
- Publication date: February 1, 2019
- Pages: 64
- Volume: 2019
- Issue: 035
- Series: Country Report No. 2019/035
- DOI: https://doi.org/10.5089/9781484397251.002
- Stock No: 1AREEA2019001
- ISBN: 9781484397251
- ISSN: 1934-7685
- Subjects: Expenditure, Financial institutions, Fiscal policy, Loans, Oil prices, Prices, Public debt
- Keywords: CR, Dubai government, GDP, Global, government, government of Abu Dhabi, government of Dubai, IMF staff estimate, ISCR, liability positions vis-à-vis nonresident, Loans, Oil prices, stimulus package, SWF investment income
United Arab Emirates: 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for the United Arab Emirates (February 1, 2019).
Content in this bundle
- Country Report