The Business Climate General Index in the Emirate of Abu Dhabi rose slightly by 0.1 point in the first quarter of 2013 compared to the fourth quarter of 2012, as it registered 55 and 54.9 points respectively, reflecting a continued optimistic outlook by economic enterprises about the performance of Abu Dhabi’s economy at the beginning of 2013.
This was the result of the concrete efforts made by the Government and the announced pumping of AED 330 billion in capital projects for the period 2013-2017 in various sectors to strengthen partnerships with the private sector.
According to the results of the Business Climate Index, released by the Studies Directorate of Abu Dhabi Department of Economic Development for the first quarter of 2013, the outlook of business establishments towards the prevailing economic conditions had improved, as well as their assessment of the performance of their establishments during the first quarter of this year, as compared to the fourth quarter of 2012.
Although the improvement was minimal, it showed that Abu Dhabi’s economy grew over time despite the severe turbulence in the global economy, especially in light of the continuing Euro-zone crisis and the suffering of the US economy from declining levels of performance.
The index also confirmed the stability of the business environment in Abu Dhabi at the beginning of 2012, stimulated with a package of facilities and government legislation which increased participation from the private sector, and contributed to increasing the capacity to attract foreign investments.
This was furthered by launching productive projects in multiple sectors such as industry, oil and gas, technology and services. A surveyed sample of economic establishments stated that their performance was influenced during the first quarter of 2013 by inflation, and expectations of continued high prices during the second quarter of the same year.
Opinion poll results however reflected significant improvement in the economic performance of enterprises during the first quarter of 2013, with rising inventory levels, and considerable enhancement in prices of product, as a result of improved domestic demand in the Emirate of Abu Dhabi, and increased volume of sales, especially in foreign markets, compared with survey results of the fourth quarter of 2012.
According to the Abu Dhabi Statistics Centre, non-oil commodity exports surged during January 2013, by (4.4%) to AED 37 million, compared to December 2012. This corresponds with the poll results, reflecting high levels of optimism among economic establishments about demand for their products during the survey period.
