Dubai's economy generated Dh473 billion in real-terms output during the first half of 2026, a 2.3 per cent contraction from the Dh484 billion recorded over the same period last year, according to figures released by the Dubai Department of Economy and Tourism. Measured at current prices, GDP actually rose slightly, reaching Dh505 billion, up 0.2 per cent year-on-year.
Helal Almarri, director general of the department, said the figures reflect "the strength and adaptability of an economy built to navigate periods of significant global uncertainty," adding that several sectors kept expanding even as the emirate absorbed external shocks.
Healthcare was the standout performer, growing 14.3 per cent and posting the fastest expansion of any sector tracked in the report. Financial and insurance activities grew 8.8 per cent, lifting their share of Dubai's GDP from 12.5 to 14 per cent. Construction added 2.4 per cent, with value added reaching Dh33.2 billion as building activity continued across the emirate.
Not every sector shared in the gains. Wholesale and retail trade, Dubai's single largest sector at 20.5 per cent of GDP, contracted by 6 per cent, while transport and storage fell 7.4 per cent — a drop officials linked directly to disruption from the Iran war that began on February 28 and weighed on regional travel and trade flows through the first half of the year.
To cushion the impact, Dubai rolled out a Dh1.5 billion relief package in May. At the same time, the emirate is pressing ahead with Dh2.1 trillion worth of infrastructure projects spanning housing, aviation and transport, a pipeline officials describe as central to sustaining growth once near-term regional pressures ease.