Report: Dubai's economy contracts 2.3% in the first half of the year

Data shows that Dubai's real GDP fell by 2.3% year-on-year in the first half of the year. High inflation weighed on real growth in the wholesale and retail sector, with trade activity down 6% at constant prices. The real estate sector fell 2.5% at constant prices. Transportation and storage dropped 7.4%. Construction grew 2.4% in real terms. Financial and insurance services grew 8.8%, raising their contribution to GDP to 14%, up from 12.5% in the same period last year. Hadi Badri, CEO of Dubai Economic Development Corporation, said: "The 8.8% growth in the finance and insurance sector, combined with the continued expansion of the information and communications industry, has consolidated Dubai's position as a hub for capital, businesses and innovation. Growth in other high-value-added sectors reflects the diversity and resilience of the overall economy."