UAE Non-Oil Business Activity Surges to Nine-Month High in December

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 The United Arab Emirates' non-oil private sector recorded its fastest expansion in nine months in December 2024, buoyed by strong domestic demand and increased business activity, according to the latest S&P Global Purchasing Managers’ Index (PMI) report. PMI Highlights Robust Growth The seasonally adjusted UAE PMI climbed to 55.4 in December from 54.2 in November, signaling robust growth well above the 50.0 threshold that separates expansion from contraction. This marked the third consecutive monthly increase, underscoring sustained recovery in the non-oil sector. Key drivers of growth included a notable rise in new business activity. The new orders subindex rose sharply to 59.3 in December from 58.0 in the previous month, reflecting strong domestic demand. Challenges Amid the Growth While domestic demand flourished, export growth slowed, with the export orders subindex dropping to a seven-month low. Additionally, businesses faced mounting backlogs due to capacity constraints,...

How will the UAE-Israel peace deal impact the Middle East?

 When it was made official that the United Arab Emirates and Israel will be opening its border for each other and will be normalising the relationship, the majority of converge that this announcement got had words like landmark or historic or breakthrough attached to it. This was because of the scale of change this will bring in the region.

A lot of countries like Iran, Turkey and Qatar have condemned this move which either means that they lack the understanding of how beneficial this deal is or its merely serving their selfish motives.

For as long as we can remember, the middle east has always been a disputed territory. Be it the ottoman struggles or the oil wars, the Middle East has seen agents of proxy wars installed within the region. But finally, there is an attempt to establish peace so that one of the longest battles of this territory against Israel comes to an end. Where is the harm in it? The first time any country made peace with Israel's existence was in the 1970s and since then there are only two nations who willfully acknowledge the presence of the Jewish state---Jordan and now, UAE.

The peace agreement also known as Abraham Accords mean the exchange of business relations, tourism, direct flights, scientific cooperation, and, in time, full diplomatic ties at the ambassadorial level. The agreement will also mean that the regional security will be given the top priority and anti’s like Iran and its proxies will be dealt with in a stronger way.

The UAE is making efforts to maintain peace in the region by agreeing to normalise diplomatic ties in the sense that with the accords in place, Israel will have immediately drop the plans of West Bank annexation and the Palestinian land live free. This will give time and scope to Israel and Palestine to come on terms with each other and start the process of negotiation.

The Crown Prince of the UAE Mohammed bin Zayed has also expressed that even though the two countries have agreed to normalise the ties, it is not cost free for Israel as they will have to now prioritise peace and dignity of the Middle East before anything. Impact of this deal is evident from the fact that a country like Turkey, that funds and supports terrorism, uses adverse situation of other countries to its benefit, has threatened the UAE that with the deal in place it will remove its ambassador from Abu Dhabi. What can be made out of this? All the countries that have been under the radar because of their constant support to terror groups do not align with this agreement where the objective is peace.

The UAE has very smartly agreed to normalising ties where it has also kept its conditions in place and ensured peace in the region. In a recent development, Bahrain has also followed the footsteps of the UAE in normalising the ties with Israel. 

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