Dubai sees fastest growth in non-oil private sector since 2015: report

The emirate of Dubai has been experiencing the fastest growth in the non-oil private sector since September 2015, Emirates NBD, the largest bank of the United Arab Emirates (UAE), said on Monday.

According to the bank's monthly survey, Emirates NBD Dubai Economy Tracker, which the lender conducts together with research firm Markit, the tracker index reached 52.7 in April, up slightly from 52.5 in March.

This highlights the fastest improvement in overall business conditions since November 2015, it said.

Khatija Haque, head of MENA Research at Emirates NBD, said "the improvement in the Dubai Economy Tracker in April is encouraging, particularly as it reflects new faster orders and output growth."

She added that the latest survey confirms Emirates NBD's view that Dubai's economy is growing in 2016, albeit at a slower rate than last year.

Dubai's economy derives only three percent from oil as the sheikhdom is a leading business metropolis for trade, logistics and tourism in the Middle East. About 90 percent of UAE crude is located in the emirate of Abu Dhabi.

Despite a rebound in business activity, the latest data signalled that job creation was relatively subdued across the private sector. The main exception was a solid rebound in employment growth among construction companies to its fastest in five months.

The inflation front remained calm, too. Average prices charged by Dubai companies, according to Emirates NBD, dropped for the fourth month running, led by travel and tourism.

Dubai attracted 14.2 million tourists in 2015, up 7.5 percent year on year. In the first three months of 2016, the solid up-trend continued, official tourism bodies said. Endit