DUBAI: Consumer spending in the UAE is forecast to top $261 billion (SR978.75 billion) by 2021, expanding at a compound annual growth rate (CAGR) of 7.5 percent over the next five years, the Dubai Chamber said in a report.
“The UAE’s consumer market is largely being driven by a fast-growing population with relatively high incomes, which are key economic fundamentals that support a robust long-term outlook for spending growth in the country,” said Hamad Buamim, the president and chief executive of Dubai Chamber, said in a statement on Sunday.
Dubai Chamber’s projection was based on a Euromonitor International report, which showed that the UAE consumer expenditure per household in 2016 amounted to around $103,000, the highest compared with neighboring Gulf countries.
Bahrain was second highest with $96,000 in household spending.
Buamim also pointed out a growing number of global brands and online retailers are taking advantage of the UAE’s predominantly young and diverse population, which are considered tech-savvy consumers.
The country’s booming tourism market continues to drive consumer spending, especially within the retail, tourism, hospitality and transport sectors, he added.
Housing expenditure for UAE consumers was pegged at $75.7 billion, or about 41 percent of total expenditure, last year while spending for food and non-alcoholic beverages reached $24.8 billion and transport expenditure at $16.7 billion.
Communication spending is expected to have the fastest growth by 2021, with a CAGR of 10.2 percent, thanks to a high penetration rate of smartphones and other digital devices in the country.
The growing popularity of mobile applications, and the emirate’s adoption of smart city solutions are also expected to boost spending in this area, Dubai Chamber said.
Health goods and medical services would be the second-fastest growing sector at an expected CAGR of 8.2 percent, followed by hotels and catering at 8.1 percent.
“High incomes, changing lifestyles, and increased health consciousness are expected to fuel consumer demand for goods and services in family-focused spending categories, such as education, and transport, as well as premium household products and services,” Dubai Chamber said.
UAE consumer spending to top $261 billion by 2021
UAE consumer spending to top $261 billion by 2021
King Abdulaziz Airport among world’s busiest after record-breaking 2025
RIYADH: King Abdulaziz International Airport has achieved a new historical milestone, reaching 53.4 million passengers in a single year.
This is the highest number ever recorded at a Saudi airport since the beginning of air travel in the Kingdom, placing it among the world’s mega airports in terms of passenger traffic, according to the Saudi Press Agency.
The airport handled a total of 310,000 flights and 60.4 million bags, representing a 12 percent increase compared to 2024. It also handled 9.57 million Zamzam water containers and 2,968 cargo flights.
This achievement reflects the airport’s qualitative transformation and its position as a regional hub and national gateway connecting the Kingdom to the world. It also highlights its role in facilitating the movement of visitors and pilgrims, promoting tourism in line with the goals of Vision 2030, diversifying the economy, and providing a distinguished travel experience.
For his part, CEO of Jeddah Airports Co. Mazen Johar, affirmed that reaching 53.4 million passengers confirms the airport’s high operational readiness and represents a pivotal milestone for moving to the next phase, in preparation for doubling this number, God willing, in the coming years.
He pointed out that this national achievement would not have been possible without the grace of God Almighty, followed by the directives of the wise leadership and the continuous follow-up from the minister of transport and logistics, the president of the General Authority of Civil Aviation, and the CEO of Airports Holding Co.
He explained that King Abdulaziz International Airport is strengthening its position as a major aviation hub in the region through expansions, increased capacity, and improved services, supporting the objectives of the aviation program and aligning with the goals of the Kingdom’s Vision 2030.
The CEO of Jeddah Airports Co. expressed his gratitude to the partners in success from various government and private sectors for their fruitful cooperation through a collaborative work system that contributed to providing the best services.
