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,...

UAE President appoints brothers as deputy and his son as crown prince of Abu Dhabi

UAE President

State media reported on Wednesday that Prince Khaled, the eldest son of United ArabEmirates President Sheikh Mohammed bin Zayed Al Nahyan, has been proclaimed the crown prince of Abu Dhabi, the oil-rich capital of the Gulf state, along with his siblings.

Prince Mohammed named his brother Sheikh Mansour as vice president of the UAE, alongside Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum, last year after leading the OPEC oil producer on behalf of the United States for years.

This appeared to further consolidate authority in Abu Dhabi, the political capital of the UAE federation of seven emirates due to its enormous oil resources. The commercial and touristic center of the Gulf is Dubai.

Sheikh Tahnoun bin Zayed Al Nahyan, the UAE's national security adviser who oversees a vast economic empire, and Hazza bin Zayed Al Nahyan were named by Sheikh Mohammed as deputy rulers of Abu Dhabi.

He maintained "some power-sharing balance, but mainly inside (Abu Dhabi's) Al Nahyan clan" by appointing important brothers to new positions, according to Cinzia Bianco, research fellow at the European Council on Foreign Relations, on Twitter.

Sheikh Khaled's selection as crown prince mirrors a trend in most Gulf Arab countries, including Saudi Arabia, towards straight lineage - sons over brothers - for succession.

Since Sheikh Mohammed's father established the UAE federation in 1971, Abu Dhabi has presided over it.

According to observers, Sheikh Mohammed, also known as MbZ, has been preparing his son for leadership roles in the business, government, and the security sector, including intelligence.

Before taking over after his brother's death last May, MbZ had been the de facto ruler for years. This was at a period of poor relations between the UAE and the United States over what was viewed as the latter's withdrawal from the region.

As the UAE and Bahrain established connections with Israel in 2020 to form a new anti-Iran axis in the region, he oversaw a realignment of the Middle East while still interacting with Tehran to defuse tensions with an eye toward economic interests.

Additionally, the UAE has strengthened connections with China and Russia.

The nation, which has less than 10 million citizens, takes pride in its economic and political stability. Millions of expatriate workers live there, making up the majority of the workforce, and it has one of the highest per-capita income levels in the world.

Sheikh Khaled was appointed as president of Abu Dhabi's executive council by MbZ in a separate decree on Wednesday, marking the most recent restructuring at significant organizations in the emirate, one of the richest state investors in the world.

Sheikh Tahnoun was appointed chair of Abu Dhabi Investment Authority, one of the biggest sovereign wealth funds in the world, earlier this month. The second-largest sovereign wealth fund in Abu Dhabi, Mubadala, appointed Sheikh Mansour to the position of chairman. 

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