Economy: Travel and tourism sector's contribution to the country's GDP grew by 60.2% in 2022

The Economic Integration Committee held its second meeting for 2023, chaired by Minister of Economy Abdullah bin Touq Al Marri, and in the presence and membership of the Minister of State for Foreign Trade, Dr. Thani bin Ahmed Al Zeyoudi, and Their Excellencies representatives of local economic development departments in all emirates of the country.

The committee discussed a range of vital economic topics, including reviewing the legislation supporting the growth of the new economy sectors in the country, in addition to cooperation between the concerned federal and local authorities to complete these laws, and the committee also discussed enhancing the efforts of the Ministry of Economy and its partners in the file of combating money laundering and combating the financing of terrorism.

During his opening speech at the committee, Minister of Economy Abdullah bin Touq Al Marri reviewed the most prominent indicators of economic growth achieved by the UAE thanks to the vision and directives of the wise leadership during 2022, including the increase in the gross domestic product of the national economy to reach constant prices of AED 1.62 trillion, achieving a positive growth of 7.6%, while at current prices it reached AED 1.86 trillion, an increase of more than AED 337 billion from 2021, achieving a growth of 22.1%, so that the country recorded exceptional and strong economic performance in various fields. Economic and commercial sectors and activities, despite the economic fluctuations witnessed by the world.

Minister of Economy Abdullah bin Touq Al Marri pointed out that the tourism sector is one of the main sectors that led the growth of the UAE economy during the past year, as the contribution of the tourism and travel sector to the GDP increased by 60.2% during 2022, reaching about AED 167 billion, and its contribution is expected to reach by the end of 2023 by about AED 180.6 billion, a growth of 8.3% over 2022, and the spending of international visitors in the country during 2022 reached 117.6 billion. AED 65.3% increase from 2021, while domestic tourism spending jumped to AED 46.9 billion in 2022, a growth of 35.7% compared to 2021, according to a report issued by the World Travel and Tourism Council. He explained that these indicators confirm the importance of the tourism sector in enhancing the growth and competitiveness of the national economy, and supporting the sustainable development process of the country in light of the goals of the next fifty years.

Bin Touq stressed that the UAE's economic legislative environment has witnessed qualitative leaps that have contributed to enhancing the investment climate, creating a competitive, flexible and sustainable business environment, and supporting opportunities and enablers for the business community, investors and entrepreneurs, through the issuance of many economic legislations and policies in accordance with international best practices, in a way that supports achieving the national goal of the "We are the UAE 2031" vision by obtaining the first place in the world in developing proactive legislation for new economic sectors, in a way that consolidates its position as a leading global center for trade. Investment.

He added, "The committee continues its work rapidly to complete the development of the national economic register in all emirates of the country based on the latest practices followed in this regard, in cooperation with the concerned federal and local authorities, in a way that contributes to strengthening the economic system to become more competitive and integrated, by building an integrated database of companies registered in the country, and developing sectoral economic policies based on comprehensive, accurate and continuous data."

In this context, the committee reviewed what has been achieved in the stages of developing the national economic register, which included two phases, the first linking the data of licenses of companies and institutions issued by local issuers in the various emirates of the country, and the second stage linking the data of licenses of companies and institutions from free zones, as well as linking the data of all types of licenses from all registration authorities in the country and free zones.

The Committee also discussed the latest developments in the state's mutual evaluation file on the national strategic plan for combating money laundering and combating the financing of terrorism, and followed up on the progress of the operational plan for company registrars, which is witnessing concerted national efforts to strengthen the system of procedures for the beneficial owner of private sector enterprises, in order to achieve compliance with legislation, decisions and regulations related to anti-money laundering and combating the financing of terrorism and the financing of illegal organizations, and taking into account the best international standards and practices and the results and requirements of the Financial Action Task Force (FATF).

During the meeting, Bin Touq praised the efforts of the working groups from the Ministry of Economy and the Economic Development Departments in achieving the objectives of the National Strategic Plan to combat money laundering and combating the financing of terrorism.

The committee reviewed a set of new proposals for the Commercial Arbitration Law, in order to enhance the flexibility and competitiveness of the business and investment environment in the country in accordance with the best international practices followed in this regard.
The committee is also working to enhance cooperation with the concerned federal and local authorities for the mechanisms of implementing Federal Decree-Law No. (37) of 2021 regarding the commercial register, with the aim of supporting the competitiveness of the economic system in the country and the ease of doing business.