Moody's Investors Service has maintained the UAE’s "Aa2" long-term local and foreign currency issuer ratings with a “stable outlook” as the Emirates continues to strengthen economic diversification efforts and boost non-oil sector growth.
“Aa” ratings are considered be of high quality and subject to very low credit risk. "Aa2" is the third highest rating on Moody's scale.
“The affirmation reflects our expectation that the debt burden of the federal government will remain very low, supported by its long-standing adherence to a balanced budget policy and its limited spending needs due to fiscal decentralisation,” the rating agency said late on Thursday.
It also takes into account Moody’s expectation of continued strong support from the government of Abu Dhabi, which plays a pivotal role in the UAE federation, it said. “We expect the UAE's credit profile to continue to benefit from Abu Dhabi's very strong balance sheet, which supports the sovereign’s capacity to absorb shocks,” Moody’s said.
“Although the UAE is exposed to longer-term carbon transition risks and persistent regional geopolitical tensions, effective policymaking mitigates these challenges, including by advancing economic diversification.”
The UAE’s economy grew by 3.8 per cent during the first nine months of 2024, driven by a strong expansion in non-oil sectors.
Real gross domestic product of the Emirates for the nine-month period to the end of September rose to Dh1.32 trillion ($359.4 billion). The non-oil economy grew by 4.5 per cent annually to Dh987 billion, accounting for nearly 75 per cent of the country's economic activity, while the oil sector made up the rest, state news agency Wam reported this month.
The UAE, the country with the Arab world's second-largest economy, has been focusing heavily on diversifying away from oil by developing sectors such as technology, manufacturing, tourism, trade and innovation. The country has introduced several reforms including longer-stay residence visas as well as new visa categories to attract more talent.
Last September, the UAE Central Bank said it expected the country's economy to grow by 4 per cent last year, an increase from its June estimate of 3.9 per cent, on the back of a boost from its non-oil sector. Growth will also be supported by economic agreements the country has signed with its global trade partners, the regulator said at the time.
The UAE's non-oil foreign trade also hit a record Dh3 trillion last year − up 14.6 per cent year-on-year.
The Comprehensive Economic Partnership Agreements with various nations, from Colombia to Australia, have contributed Dh135 billion to the Emirates’ non-oil trade with partner nations, an increase of 42 per cent compared to the previous year, Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, said in February.
Cepas are created to reduce tariffs and remove bottlenecks that hamper trade. This programme is projected to increase national exports by 33 per cent and add more than Dh153 billion to the economy by 2031.
Moody’s said on Thursday that the stable outlook reflects efforts by the federal government to “expand non-hydrocarbon revenue streams, promote the development of non-hydrocarbon sectors and improve attractiveness of the UAE for foreign investment and talent”, strengthening the country’s overall credit profile.
“This potential upside is balanced by downside credit risks embedded in the UAE's exposure to regional geopolitical tensions that could disrupt the economy's strong diversification momentum and weigh on its longer-term growth prospects,” the agency said.
The UAE government's revenue in the first half of 2024 surged 6.9 per cent on an annual basis to Dh263.9 billion or 26.9 per cent of GDP, driven by a substantial 22.4 per cent year-on-year increase in tax revenues, according to the government data.
Meanwhile, persistent regional geopolitical tensions remain a latent tail risk, notwithstanding the UAE's efforts to nurture good relations across the entire Middle East region, Moody’s said. “An escalation of third-country tensions into a military conflict could disrupt the UAE's ability to produce and export oil, including through the Strait of Hormuz, while increasing perceptions of risk and instability in the region that could weaken its long-term economic diversification prospects.”
It added that the geopolitical risks are partly mitigated by Abu Dhabi's very large government financial assets that support the government's capacity to absorb shocks.
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MATCH INFO
Uefa Champions League semi-final:
First leg: Liverpool 5 Roma 2
Second leg: Wednesday, May 2, Stadio Olimpico, Rome
TV: BeIN Sports, 10.45pm (UAE)
South Africa World Cup squad
South Africa: Faf du Plessis (c), Hashim Amla, Quinton de Kock (w), JP Duminy, Imran Tahir, Aiden Markram, David Miller, Lungi Ngidi, Anrich Nortje, Andile Phehlukwayo, Dwaine Pretorius, Kagiso Rabada, Tabraiz Shamsi, Dale Steyn, Rassie van der Dussen.
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Uefa Champions League semi-final, second leg result:
Ajax 2-3 Tottenham
Tottenham advance on away goals rule after tie ends 3-3 on aggregate
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Juliot Vinolia’s checklist for adopting alternate-day fasting
- Don’t do it more than once in three days
- Don’t go under 700 calories on fasting days
- Ensure there is sufficient water intake, as the body can go in dehydration mode
- Ensure there is enough roughage (fibre) in the food on fasting days as well
- Do not binge on processed or fatty foods on non-fasting days
- Complement fasting with plant-based foods, fruits, vegetables, seafood. Cut out processed meats and processed carbohydrates
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1. Maiden Special Weight, Santa Anita Park, June 5, 2016
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Engine: Dual-motor all-wheel-drive electric
Range: Up to 610km
Power: 905hp
Torque: 985Nm
Price: From Dh439,000
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Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
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- 600-seat auditorium
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- An elevated football field that doubles as a helipad
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Daniella Weiss and Nachala
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Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.
Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.
Coco’s Farm and Neria’s Farm
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Dr Afridi's warning signs of digital addiction
Spending an excessive amount of time on the phone.
Neglecting personal, social, or academic responsibilities.
Losing interest in other activities or hobbies that were once enjoyed.
Having withdrawal symptoms like feeling anxious, restless, or upset when the technology is not available.
Experiencing sleep disturbances or changes in sleep patterns.
What are the guidelines?
Under 18 months: Avoid screen time altogether, except for video chatting with family.
Aged 18-24 months: If screens are introduced, it should be high-quality content watched with a caregiver to help the child understand what they are seeing.
Aged 2-5 years: Limit to one-hour per day of high-quality programming, with co-viewing whenever possible.
Aged 6-12 years: Set consistent limits on screen time to ensure it does not interfere with sleep, physical activity, or social interactions.
Teenagers: Encourage a balanced approach – screens should not replace sleep, exercise, or face-to-face socialisation.
Jordan cabinet changes
In
- Raed Mozafar Abu Al Saoud, Minister of Water and Irrigation
- Dr Bassam Samir Al Talhouni, Minister of Justice
- Majd Mohamed Shoueikeh, State Minister of Development of Foundation Performance
- Azmi Mahmud Mohafaza, Minister of Education and Minister of Higher Education and Scientific Research
- Falah Abdalla Al Ammoush, Minister of Public Works and Housing
- Basma Moussa Ishakat, Minister of Social Development
- Dr Ghazi Monawar Al Zein, Minister of Health
- Ibrahim Sobhi Alshahahede, Minister of Agriculture and Minister of Environment
- Dr Mohamed Suleiman Aburamman, Minister of Culture and Minister of Youth
Out
- Dr Adel Issa Al Tawissi, Minister of High Education and Scientific Research
- Hala Noaman “Basiso Lattouf”, Minister of Social Development
- Dr Mahmud Yassin Al Sheyab, Minister of Health
- Yahya Moussa Kasbi, Minister of Public Works and Housing
- Nayef Hamidi Al Fayez, Minister of Environment
- Majd Mohamed Shoueika, Minister of Public Sector Development
- Khalid Moussa Al Huneifat, Minister of Agriculture
- Dr Awad Abu Jarad Al Mushakiba, Minister of Justice
- Mounir Moussa Ouwais, Minister of Water and Agriculture
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Defence review at a glance
• Increase defence spending to 2.5% of GDP by 2027 but given “turbulent times it may be necessary to go faster”
• Prioritise a shift towards working with AI and autonomous systems
• Invest in the resilience of military space systems.
• Number of active reserves should be increased by 20%
• More F-35 fighter jets required in the next decade
• New “hybrid Navy” with AUKUS submarines and autonomous vessels
