UAE Joins BRICS, Predicts 5.7% Economic Surge

• UAE Forecasts 5.7% Economic Growth Following BRICS Inclusion
• UAE Economy: Sustained Growth in 2024
• Revised Projections and Unexpected Factors
• Impact on BRICS Alliance and Global Power Balance

UAE Forecasts 5.7% Economic Growth Following BRICS Inclusion

The United Arab Emirates (UAE) anticipates a 5.7% economic boost post its admission to BRICS. The economic surge is likely to continue through 2024, along with lower inflation projections. UAE was among six nations integrated into the inaugural BRICS' expansion attempt along with Saudi Arabia, Egypt, Ethiopia, Iran, and Argentina. However, with Argentina's refusal to accept its invitation, only five countries will be inducted into the rapidly expanding economic alliance in 2024.

UAE Economy: Sustained Growth in 2024

Throughout 2024, the escalating significance of the BRICS alliance will continue to garner attention. The maiden expansion initiative by BRICS, aimed at amplifying geopolitical implications, already has one of the member nations reaping its advantages. As per UAE's Central Bank, UAE's economy is predicted to surge by 5.7% in 2024, when it becomes a part of the BRICS alliance. The forecasts also indicate a decline in inflation for 2024 and at the end of 2023.

Revised Projections and Unexpected Factors

Originally, UAE had anticipated a 4.3% increase in the economy. However, this estimate has been revised following its inclusion in the BRICS alliance. These amended projections appear to be influenced by an unforeseen rise in overall oil production anticipated to occur this year. Interestingly, the Central Bank has also adjusted its growth decrease for 2023 to 3.1%, a slight drop from the earlier stated 3.3%.

Impact on BRICS Alliance and Global Power Balance

In the forthcoming year, UAE is set to play a crucial role in the BRICS alliance. As a result, enhanced cooperation is foreseen to occur in 2024. Consequently, these developments and their resulting impact should continue to shift the global power balance.

Edited by Jonathan Stoker