Sharjah’s economy shows robust 6.5% growth in 2023

Wholesale and retail trade led the emirate’s GDP, accounting for a 24% share

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The GDP figures reinforce Sharjah’s status as a leading commercial and industrial hub in the region. — Supplied photo

Published: Wed 22 May 2024, 4:04 PM

Sharjah’s gross domestic product (GDP) expanded at 6.5 per cent in 2023 to Dh145.2 billion, compared to 136.4 billion in 2022, data showed on Wednesday.

Sharjah’s Department of Statistics and Community Development (DSCD) said the figures are based on estimates from the comprehensive economic survey conducted from 2017 to 2023, indicating Sharjah’s robust economic momentum and competitiveness, bolstering its status among the region’s fastest-growing and most diverse economies.

Non-oil sectors also saw significant uptick, reaching Dh142.5 billion in 2023, up from 133.1 billion in 2022, marking a 7.1 per cent increase, reflecting the emirate’s economic diversification and investment in alternative sectors, further enriching the local economic structure. The wholesale, retail trade, repair of motor vehicles and motorcycles, manufacturing and construction sectors collectively contributed Dh72.5 billion, reinforcing Sharjah’s status as a leading commercial and industrial hub in the region.

Among GDP components, the wholesale, retail trade, repair of motor vehicles and motorcycles sector was the primary economic driver, accounting for 24 per cent (Dh34.8 billion) of the total GDP output. Meanwhile, the manufacturing sector contributed 16.7 per cent (Dh24.3 billion) of the total GDP, attributed to the diverse production base and active contributions to advancing the emirate’s industrial and knowledge economy.

Agriculture, forestry, and fishing recorded the highest growth rate at 19.1 per cent, illustrating efforts to enhance food security and sustainability. This was followed by the accommodation and food services sector at 17.5 per cent growth and the financial and insurance sector, which saw a 12.3 per cent increase. The electricity, gas, water supply, and waste management sector also showed a solid growth of 7.8 per cent.

Other sectors such as construction and human health and social work also registered positive growth rates of 7.7 per cent and 7.1 per cent, respectively. These figures indicate a comprehensive growth in non-oil sectors, boosting the diversification of the local economy and supporting the ongoing development of the emirate, while also enhancing resilience against future economic challenges

Balanced economic growth

Sheikh Mohammed bin Humaid Al Qasimi, Chairman of DSCD, said: “The results showcase a strategic transformation in Sharjah’s economic landscape, hastening the drive towards diversification and reliance on non-oil sectors, which are fundamental pillars for a more sustainable and thriving economy. This development not only bolsters the economy’s resilience in facing global fluctuations but also solidifies Sharjah’s status as an attractive investment hub that offers a dynamic business ecosystem and abundant growth prospects.”