Dubai-Mubasher: Dubai’s private sector saw a sustained recovery in growth momentum on the back of improving business conditions in the travel and tourism, and wholesale and retail sectors.
The seasonally adjusted Emirates NBD Dubai Economy Tracker index slightly rose to 54.6 in June from 54.5 in May due to an accelerated expansion of incoming new work, according to a survey.
Wholesale and retail was the best performing sub-sector (headline index at 58.2), followed by travel & tourism (54.1). On the other hand, there was a modest upturn in construction sector business conditions (51.5).
“The improvement in the Dubai Economy Tracker index in June is underpinned by strong growth in new orders and output. The recovery in the travel and tourism sector last month is particularly encouraging as this sector had been relatively soft in previous months,” according to Khatija Haque, head of MENA research at Emirates NBD.
Growth in wholesale and retail activity, coupled with a rise in travel and tourism sector, helped to offset a weaker expansion of construction output, the survey highlighted.
“However, we note that the expansion has not led to increased employment, suggesting that firms are becoming more efficient in their operations,” Haque added.
