The Central Bank of the UAE (CBUAE) claims that the robust real estate and tourism industries in Dubai and Abu Dhabi have contributed significantly to the growth of the UAE economy.
The UAE real estate market continued to do well from July to October 2023, according to the CBUAE, despite the ongoing unpredictability of the world and the tight monetary policies in place everywhere.
According to the Central Bank’s quarterly economic review 2023, residential transactions in Abu Dhabi saw a 56% YoY increase to AED67.8bn ($18.5bn) in the first nine months of 2023.
UAE real estate and tourism boost
In Q3, 2023, the average sales price of residential properties in Abu Dhabi increased by 3.2% over the same period the previous year, according to REIDIN.
Sales price rise picked up speed in October 2023, reaching 3.9% YoY.
Following a 0.5% YoY increase in Q2 2023, the average rent increased by 2.6% and 0.8% YoY in the third quarter and October 2023, respectively. The average rent continued its upward trajectory.
As a result, the average rental yield in Q3 2023 was 6.2%, which was essentially unchanged from 6.3% in October.
In addition, the airport saw 37,903 aircraft movements in Q3 2023, up 21.8% from Q3 2022.
Furthermore, Abu Dhabi now has 24 airlines serving 119 locations worldwide, indicating a significant expansion in the airport’s reach.
The most popular routes in the third quarter of 2023 were those to Kochi, Mumbai, and London.
Furthermore, the November 2023 opening of Terminal A at Abu Dhabi International Airport is anticipated to greatly increase the airport’s overall capacity.
After revising its initial estimate of 85 million passengers, Dubai Airports is now projecting 86.8 million for 2023.
According to this adjustment, Dubai International Airport is expected to see more passengers in 2019 than it did before the epidemic (86.3 million).
