Dubai GDP Snapshot & Real Estate Outlook (Q1 2025)

Economy on Track

• GDP reached AED 119.7 billion (~USD 32.6 billion) in Q1 2025, marking a solid 4%
  year-on-year growth.

• Real estate emerged as a key growth driver—sector growth at 7.8%, contributing
  AED 9 billion, or 7.5% of the emirate’s total GDP.

What It Means for Investors

• Outperformance Potential: The real estate sector is growing nearly twice as fast as
  the broader economy—demonstrating strong demand, investor confidence, and
  robust fundamentals.

• Continued Momentum: GDP and property market performance are interlinked.
  Sustained economic growth has bolstered real estate appeal, while healthy real
  estate activity further fuels economy-wide momentum.

Sector Comparison — Q1 2025

Bottom Line for Real Estate Investors

• A Strong Sector Amid Strong Fundamentals

Real estate’s above-average growth reflects its resilience and investor appeal. With
GDP rising steadily, property stands on a firm foundation for both capital growth and
yield

• Diversified Economy, More Confidence

Dubai’s broader economic diversification—from health to finance to trade—
enhances market stability, lowering sector-specific risks for property investors.

• Timing Looks Right

With real estate growing faster than key sectors and economic sentiment positive,
the moment is ripe for both strategic entry and portfolio expansion.

(Gulf News, Economy Middle East, Entrepreneur)