The UAE has secured the top rank in the Arab Economic Competitiveness Index, per the latest release by the Arab Monetary Fund (AMF). This marks the UAE’s position as the most economically competitive nation in the Arab world, according to the seventh edition of the AMF’s Arab Economic Competitiveness Report.
The report emphasises the UAE’s sustained progress across critical sectors, including its overall economy, investment attractiveness, and growing appeal. Specifically, the UAE claimed the top spot in the government financial sector index by ranking first in the deficit/surplus to GDP ratio and second in the tax burden index.
Moreover, the UAE leads among Arab nations regarding investment environment and attractiveness, securing the highest position in the economic freedom index across all sub-indices. Additionally, the country ranked highest in the infrastructure sector index, excelling in mobile phone subscriptions and population access to electricity and securing the second position in global transport and shipping percentages.
Regarding institutional and governance sectors, the UAE emerged as the top performer among Arab countries, demonstrating advanced rankings in administrative corruption and government efficiency indices.
The report underscores the efforts of various Arab countries to improve productivity and efficiency in goods production and focus on productive sectors through national strategies and visions. These strategies aim to enhance service sectors, business environments, and infrastructure to overcome competitiveness challenges.
At the core of these efforts lies a shared objective among Arab nations: achieving economic stability, sustainable growth, and enhanced living standards for their citizens. This involves a range of measures, from boosting investments in local industries to fostering favourable business environments for foreign capital.
Arab countries heavily invest in education and workforce training to equip their labour force with the necessary skills to thrive in productive sectors and service industries. Simultaneously, substantial infrastructure projects are underway to revamp transport networks, port facilities, and logistics services, enabling these nations to compete globally.
The AMF report anticipates that improving economic competitiveness and productivity will diversify Arab economies, generate job opportunities, drive sustainable economic development, and elevate living standards for citizens.