The Emirates market has seen some significant developments, ranging from political decisions to corporate acquisitions. Here’s a rundown of the latest happenings that are shaping the financial landscape in the UAE.
GCC economy set for 4% growth in 2025 amid global uncertainty
The GCC (Gulf Cooperation Council) region is projected to grow by 4% in 2025, reflecting its resilience amid global economic uncertainty. This growth is a significant rebound from the 1.8% growth recorded in 2024, according to the ICAEW Economic Insight report.
The region’s GDP is forecast to expand by 3.3% this year, with oil production playing a key role in driving this growth. Despite the global geopolitical tensions and the U.S. protectionist policies under President Donald Trump, the GCC remains largely sheltered from external tariff impacts.
The non-energy sectors in the GCC, including tourism, manufacturing, and infrastructure, are projected to see growth of 4.4% in 2025, up from 3.9% in 2024. Saudi Arabia and the UAE are expected to lead non-oil sector growth with 5.8% and 4.8% growth, respectively.
The report highlights that oil production will gradually increase from April, helping to boost the energy sector’s growth to 3.2%, reversing two years of contraction. The UAE’s oil production is expected to reach 3.5 million barrels per day, supporting its 4.8% growth in the oil sector.
Hassana acquires 40% stake in Saudi bottled water giant Berain
In another strategic development, Hassana Investment Company, the investment arm of Saudi Arabia’s General Organization for Social Insurance (GOSI), has acquired a 40% stake in Berain Water Company, one of the largest bottled water companies in Saudi Arabia. This acquisition from Mohammed Abdulaziz Al-Rajhi & Sons Investment Company (Rajhi-Invest) marks the beginning of a long-term partnership between Hassana and Rajhi-Invest.
This acquisition is aligned with Hassana’s investment strategy, which focuses on acquiring businesses in the consumer sector with stable cash flows. Berain is a well-established brand, offering a wide range of bottled water products across Saudi Arabia. With three state-of-the-art factories and 24 storage and warehousing facilities across major cities, Berain is poised to continue its growth trajectory in the Kingdom’s FMCG (fast-moving consumer goods) sector.
This move signals confidence in the Saudi bottled water market, which has a strong demand for such products, particularly given the growing population and increasing health consciousness among consumers.
Key takeaways:
- Hassana Investment acquires 40% stake in Berain Water Company
- Berain operates with three factories and 24 storage facilities
- The deal marks the beginning of a long-term strategic partnership
Saudi Arabia issues exploration licences to tap $2.5tn mineral resources
On the mining front, Saudi Arabia is looking to further diversify its economy beyond oil by tapping into its $2.5 trillion mineral resources. The Ministry of Industry and Mineral Resources has announced that local and international companies have been awarded exploration licences for mineral belts in the Jabal Sayid and Al Hajjar regions, covering 4,788 square km.
This initiative is part of Saudi Arabia’s broader Vision 2030 plan to develop the mining sector as a key pillar of its economy. By opening up these new mineralised belts, Saudi Arabia aims to harness its abundant gold, copper, and zinc resources. The Kingdom is offering various incentives to attract international companies, including 100% foreign ownership and up to 75% financing of capital costs through the Saudi Industrial Development Fund (SIDF).
This strategic move is expected to generate significant interest from global mining firms, further boosting the Kingdom’s non-oil economy.
Key takeaways:
- Saudi Arabia’s mineral resources valued at $2.5 trillion
- 100% foreign ownership allowed for mining companies
- Exploration licences granted for 4,788 sq km of land
Trump, Sheikh Tahnoon advance UAE-US $1 trillion economic ties
In a significant diplomatic development, US President Donald Trump met with Sheikh Tahnoon bin Zayed Al Nahyan, Deputy Ruler of Abu Dhabi and UAE National Security Adviser, to discuss strengthening UAE-US relations.
The talks focused on advancing cooperation in key areas such as artificial intelligence, energy investments, and economic development. The UAE and the US are working towards a $1 trillion economic partnership that spans sectors like aerospace, technology, energy, and healthcare.
The discussions also highlighted the UAE’s ambitions to lead in AI research and development, with investments like the $1.5 billion partnership between Microsoft and Abu Dhabi’s G42, and the Condor Galaxy, the world’s largest and fastest AI supercomputer.
This partnership is set to foster greater technological collaboration and open doors for further US investments into the UAE, while also strengthening economic ties between the two nations.
Key takeaways:
- UAE-US bilateral trade: $34.4 billion in 2024
- Damac Properties’ $20 billion investment in U.S. data centres
- UAE’s G42 partnered with Cerebras Systems to create Condor Galaxy
ADIB launches the 2025 financial education programme to foster financial literacy
In line with its commitment to economic sustainability and financial literacy, Abu Dhabi Islamic Bank (ADIB) has launched its 2025 Financial Education Programme. The initiative aims to empower individuals across the UAE with essential financial knowledge, covering topics such as investment, entrepreneurship, and fraud awareness.
The programme will be accessible in both Arabic and English and will target individuals of all ages, from children as young as seven years old to pre-retirement adults. ADIB’s goal is to make financial literacy more accessible and inclusive, with the programme’s success in 2024 having already engaged over 1,000 participants.
Through partnerships with key government institutions like the Ministry of Community Development and several universities, ADIB is extending its reach across the Emirates. This initiative aligns with the UAE’s broader goals of empowering citizens and fostering a more financially informed society.
Key takeaways:
- ADIB’s 2025 Financial Education Programme launched
- 1,000 participants engaged in 2024
- Sharia-compliant financial education available in Arabic and English
Conclusion
The UAE share market news today highlights a mix of local and international developments that are reshaping the economic landscape. From the anti-dumping duties on Chinese aluminium imports to strategic investments in Saudi Arabia’s bottled water sector, and UAE-US economic ties advancing in areas like AI and energy, the market is witnessing significant moves.
Additionally, the launch of ADIB’s Financial Education Programme showcases the UAE’s commitment to fostering financial literacy and empowering its people with the knowledge to make informed financial decisions.
As the UAE continues to diversify its economy and strengthen its international relationships, these developments point towards a promising future for the region’s economic growth.
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