The Report Dubai 2013

As the single most populous nation in Africa, Nigeria recently overtook South Africa as the largest economy on the continent. Natural resources, oil and gas in particular, comprise the country’s single largest revenue-earner but the 170m person economy also has seen significant activity in recent years into the industrial, financial, telecoms and – as of 2013 – power sectors. Hydrocarbons reserves have traditionally attracted the vast majority of domestic and foreign investment in Nigeria. Oil production capacity has remained at roughly 2.5m barrels per day (bpd) since the start of 2000, although output fell to 2.2m bpd on average in 2012. Still, the country has long operated below its true potential and government efforts in recent years have sought to increase local value addition, by boosting refining capacity and minimising theft and bunkering. The country’s banking sector has been through a significant shake-up as well, resulting in a far healthier and more robust financial industry, while reforms in the telecoms and agricultural sectors have strengthened medium-term prospects.

Although the emirate’s economic growth can be primarily attributed to its vast hydrocarbons resources, it has also made progress diversifying into new sectors such as manufacturing, tourism, aerospace, defence, finance and logistics. In addition to its economic investments, Abu Dhabi has also made major contributions to social welfare as well as infrastructure, which has been identified as the bedrock for future growth. The government has played a key role in the expansion of the security, aerospace and defence industry over the past decade in an effort to strengthen the UAE’s defence capabilities and as a means of boosting economic diversification. Despite challenges such as a high level of regional competition, most local defence and aviation firms expect to see continued expansion for years to come. The evidence suggests that the emirate has succeeded in nurturing new economic sectors and is on track to meet its goals. The oil and gas sector accounted for 56.5% of Abu Dhabi’s GDP at current prices in 2012, followed by construction (9.6%), manufacturing (5.9%) and real estate (4.4%).

Hydrocarbons revenues still form the bulk of Abu Dhabi’s GDP and while falling prices are a concern, the emirate has been moving steadily towards its economic diversification targets in line with Abu Dhabi Economic Vision 2030. The past 10 years has seen the non-oil sector expand strongly on the back of business-friendly government policies, as a result of which non-oil sector growth now outpaces that of the oil sector. Outside of hydrocarbons, construction and manufacturing represent the biggest GDP contributors in the emirate, with the construction sector poised to enter a period of renewed expansion and manufacturing identified as a key area for future growth, leveraging the emirate’s natural resources, growing downstream capabilities and strategic location. Elsewhere Abu Dhabi’s financial sector continues to assert itself and the expected 2015 launch of Abu Dhabi Global Market, the UAE’s second financial free zone, is expected to boost activity in the sector. Meanwhile visitor numbers to Abu Dhabi continue to rise, with around 3.5m arrivals in 2014, up 25% on the previous year. This growth is expected to continue as major infrastructure upgrades continue apace. These include the expansion of Abu Dhabi International Airport and the development of the 1200-km wide Etihad rail project.

Subdued oil prices prompted a trimmed federal budget for 2016 as the UAE, like other countries in the region, tightened its belt in response to falling hydrocarbons revenues. However, a sustained focus on economic diversification and targeted investment in Abu Dhabi’s key non-oil sectors in recent years means the emirate is well positioned to weather the storm. Looking forward, plans for future development are mapped out in Abu Dhabi Economic Vision 2030, a comprehensive economic policy document that aims to reduce dependence on oil and gas, thereby creating a more sustainable knowledge-based economy for the emirate and its inhabitants. Aided by hydrocarbons reserves that are among the world’s largest and substantial financial resources, Abu Dhabi has built up a strong foundation to become a regional leader and an increasingly important global player in a wide variety of sectors, including oil and gas, financial services, health care, aviation and renewable energy.

2013 saw the transition of power from the former Emir, Sheikh Hamad bin Khalifa Al Thani, to Sheikh Tamim bin Hamad Al Thani, his fourth son and second son with Sheikha Moza bint Nasser, a move unprecedented elsewhere in the Gulf but not unexpected in Qatar. With sustained, long-term economic growth, the highest per capita income in the world, a stable and well-capitalised banking sector, a sovereign wealth fund that is of true global significance and one of the largest reserves of natural gas just offshore, Qatar today has many advantages. It is clear that the country is in a strong position from which to continue its robust economic performance, and the years ahead will see a vast construction drive, in line with the principles of Qatar National Vision 2030 and catalysed by preparations for the 2022 FIFA World Cup. Oil and gas accounted for around 51.5% of Qatar’s economic output in 2013, while developing downstream facilities that add value to energy by-products, for example, has helped build a portfolio of petrochemicals, chemicals and fertiliser companies and looks set to see Qatar’s economic strength continue. With more than $222bn of projects in the pipeline, the construction sector’s growth has been forecast at 15% for 2014, while spending on infrastructure is set to reach $150bn in the run-up to the 2022 FIFA World Cup. Against this backdrop, Qatar looks set to continue offering a wide variety of opportunities for foreign investors.

This edition of the U.S. Geological Survey (USGS) Minerals Yearbook discusses the performance of the worldwide minerals and materials industries during year 2013 and provides background information to assist in interpreting that performance. These annual reviews are designed to provide timely statistical data on mineral commodities in various countries. This volume covers data from Asia and the Pacific. Each report includes sections on government policies and programs, environmental issues, trade and production data, industry structure and ownership, commodity sector developments, infrastructure, and a summary outlook. Audience: Government employees and contractors, as well as businesses and employees, all working in mineral-related trades, especially with interests in statistics about mineral commodities overseas, will find this resource invaluable. Check out our Minerals & Metals publications here: https://bookstore.gpo.gov/catalog/science-technology/minerals-metals Other print volumes in the Minerals Yearbook series are available here: https://bookstore.gpo.gov/catalog/science-technology/minerals-metals/minerals-yearbook

In recent years, the Emirate of Dubai has been placing a stronger emphasis on people’s well-being with the aim of making Dubai “an inclusive and cohesive society (...) that is the preferred place to live, work and visit and a pivotal hub in the global economy”. Within the education sector, KHDA and private schools have introduced a number of initiatives to help raise awareness, measure and support students’ and staff’s well-being.