IMF Raises UAE 2027 Economic Growth Forecast to 7.7%

The International Monetary Fund projected that the economy of the United Arab Emirates will grow by 7.7% in 2027, marking a 2.4 percentage point increase over its April forecasts. The projection was announced during a press conference organized by the Dubai International Financial Centre.

IMF officials attribute the growth to the country's advanced infrastructure, technological capabilities, and financial buffers. The organization noted that the UAE is well-positioned to leverage artificial intelligence, which is expected to add approximately 0.5 percentage points to annual economic growth.

In its October 2026 Regional Economic Outlook for the Middle East and Central Asia, the IMF suggested that AI adoption could increase growth across the broader region by 0.1 to 0.6 percentage points. Additionally, the IMF expects average inflation across Gulf Cooperation Council countries to decline to 2.4% in 2027 and approximately 2% from 2028 onwards.