United Arab Emirates Consumer & Retail Report Q4 2017
The UAE's consumer outlook will remain stable, growing at a sustainable pace over our fiveyearoutlook to 2021. This is on the back of a more optimistic non-oil economy, coupled with a largewealthy consumer base supporting consumer spending. However, the removal of a range of subsidies willraise the country's inflationary pressures.
The UAE's economic growth will slow over 2017, with our Country Risk team revising down real GDPgrowth forecasts to 2.2% in 2017 from a previous 2.8% ( slower than the 3.0% expansion seen in 2016).
This is on the back of weaker-than-expected oil prices and production cuts. Nonetheless, we remainoptimistic on the consumer outlook of the country with real private consumption growth forecast to reach6.0% in 2017.