The UAE economy maintained its upward trajectory in the first months of 2026, supported by the strength of the financial and banking sector alongside rising foreign trade and investment indicators, according to official data and local and international reports.

The country has further reinforced its position as a model of stability and flexibility in navigating evolving global economic conditions, strengthening its sustainable leadership at both regional and global levels.

According to the Central Bank of the UAE (CBUAE), total banking assets increased by 1.1 per cent in February 2026 to exceed Dhs5.472tn, compared to Dhs5.414 tn in January.

Total credit rose by 1.2 per cent to Dhs2.63tn, supported by an increase of Dhs20.6bn in domestic credit. Bank deposits grew by 1.9 per cent to Dhs3.4tn, while resident deposits increased by 1.7 per cent to Dhs3.098tn.

The financial system continued to show strong stability. At the beginning of March, the capital adequacy ratio stood at 17 per cent, while the liquidity coverage ratio exceeded 146.6 per cent, remaining well above international regulatory thresholds.

International rating agencies reaffirmed the UAE’s sovereign strength. Moody’s maintained its Aa2 rating with a stable outlook following its review on 30 March 2026.

S&P Global Ratings also affirmed the UAE’s sovereign credit rating at AA/A-1+ for both local and foreign currencies, with a stable outlook.

S&P highlighted the UAE’s strong fiscal and economic resilience, supported by consolidated government net assets estimated at around 184 per cent of GDP in 2026, while government liquid assets stood at approximately 210 per cent of GDP.

On the trade front, the UAE continued to advance its foreign trade strategy under the comprehensive economic partnership agreements (CEPA) programme, which targets non-oil trade of Dhs4tn by 2031.

During the first quarter of 2026, agreements were signed with the Philippines, Nigeria, the Democratic Republic of the Congo and Gabon.

The country also entered the world’s top ten merchandise exporters for the first time, ranking ninth globally according to the World Trade Organisation.

UAE’s foreign trade reached Dhs6tn in 2025

Total foreign trade reached Dhs6tn in 2025, up 15 per cent compared to 2024. Trade in services exceeded Dhs1.14tn for the first time, while non-oil merchandise trade rose 27 per cent to Dhs3.8 tn.

In investment markets, Mubadala Investment Company reported assets reaching Dhs1.4tn, with a cumulative return exceeding 10 per cent over five- and ten-year periods.

ADNOC also entered the list of the world’s 100 most valuable brands, remaining the UAE’s most valuable brand for the eighth consecutive year. Its brand value rose 11 per cent to US$21.13 bn, reflecting growth of more than 350 per cent since 2017.

Dubai advanced to seventh place in the Global Financial Centres Index, marking its highest ranking to date and reinforcing its position as a leading global financial hub.

Corporate expansion trends also pointed upward, with the number of registered companies in the UAE exceeding 1.45m by the end of February.

Dubai Chamber of Commerce added 2,709 new companies in March 2026.

In Sharjah, the Economic Development Department recorded a 1 per cent increase in issued and renewed licences in Q12026 compared to the same period in 2025.

In Ajman, authorities issued 1,617 new licences and 8,777 renewed licences, with renewed licences rising 7 per cent year-on-year, signalling steady business activity.

On the debt capital markets side, the UAE dirham-denominated Treasury bonds (T-Bonds) auction in March 2026 raised Dhs1.1 bn.

Demand was strong from primary dealers for tranches maturing in September 2027 and January 2031, with total bids reaching Dhs4.85bn, around 4.4 times the issuance size.

The National Centre of Meteorology (NCM) has forecast a stretch of increasingly unsettled weather across the United Arab Emirates, with a rise in temperatures expected to give way to dust, stronger winds, and possible rainfall by midweek.

According to the NCM, the country will experience fair to partly cloudy skies at the start of the period, with temperatures climbing steadily through the weekend. This warming trend is being driven by a combination of a surface low-pressure system extending from the east and a high-pressure system from the west, supported by an upper-level ridge.

Warm and calm conditions to start

Saturday’s outlook indicates generally stable weather, with light to moderate winds and calm sea conditions. “Residents can expect fair to partly cloudy skies throughout the day, with temperatures on the rise,” the report noted.

Temperature ranges will vary across the country, with coastal and island areas expected to see highs between 27°C and 32°C, while internal regions may reach between 32°C and 37°C. Mountainous areas will remain cooler, with highs ranging from 18°C to 24°C, a WAM report said.

Humidity levels are forecast to climb as high as 85 percent in coastal areas, while inland regions will remain relatively dry. Winds, blowing from the northwest to southwest, are expected to range between 10 and 25 km/h, with occasional gusts reaching up to 35 km/h.

Sea conditions are projected to remain slight in both the Arabian Gulf and the Sea of Oman during this initial phase.

Clouds gather ahead of change

By Sunday, conditions are expected to remain largely unchanged, with continued fair to partly cloudy skies and light winds. However, forecasters say a transition will begin on Monday, as cloud cover increases over coastal areas and islands, particularly during the night.

“The period will begin with fair to partly cloudy skies and a significant rise in temperatures through the weekend,” the report stated, adding that this pattern will gradually give way to more variable conditions.

Winds are expected to strengthen slightly by Monday, with sea conditions in the Arabian Gulf becoming moderate.

Dust, wind and rain likely midweek

A more noticeable shift is forecast from Tuesday onward, when conditions are expected to turn dusty and increasingly cloudy. Blowing dust may reduce visibility in several areas, particularly in open regions.

“There is a chance of light rainfall over some coastal regions,” the report said, noting that temperatures are likely to decrease, especially along the western coast.

By Wednesday, unsettled conditions are expected to persist, with cloudy skies, continued dust, and a possibility of rainfall across both western and eastern parts of the country. Winds may freshen further, reaching speeds of up to 40 km/hr, contributing to rough sea conditions in the Arabian Gulf, while the Sea of Oman is expected to remain relatively calm.

Authorities have urged residents to remain cautious as conditions evolve over the coming days. “Residents are advised to stay updated on weather developments, especially during periods of strong winds and dust, which may affect visibility and outdoor activities,” the NCM said.

The forecast highlights the potential for rapidly changing conditions, particularly midweek, when outdoor plans and marine activities may be impacted.

The UAE ranks among the leading global hubs for artificial intelligence, supported by strong adoption, rising talent inflows and expanding institutional backing, according to the AI Index Report 2026 issued by Stanford University’s Institute for Human-Centered Artificial Intelligence (HAI).

The report said the UAE continues to outperform expectations in AI adoption relative to its GDP per capita, placing it alongside markets such as Singapore in global comparisons.

It added that more than 80 per cent of employees in the UAE regularly use AI tools at work, with reported high levels of trust in the technology.

The UAE also ranked among the fastest-growing countries in AI engineering skills, with technical capability expanding faster than general AI awareness, the report said.

On talent flows, AI expertise in the country more than doubled between 2019 and 2025, while net talent inflow stood at about 4.40 per 10,000 LinkedIn members, placing it among global leaders in attracting AI professionals.

AI-related job postings accounted for around 2.87 per cent of total listings in 2025, reflecting rising demand for AI-skilled workers across sectors.

UAE’s National AI Strategy 2031 is a key driver

The report highlighted the UAE’s push to embed AI into education through its National AI Strategy 2031, with AI education made mandatory across all school levels from the 2025-2026 academic year.

The curriculum includes fundamentals such as data, algorithms, innovation and ethics.

It also pointed to Abu Dhabi’s Technology Innovation Institute as a key regional research hub, citing its work in advanced AI systems including the Falcon model series.
The report concluded that the UAE continues to strengthen its position as a global centre for artificial intelligence, driven by adoption, policy integration and workforce development.

Read: UAE among top emerging economies in AI readiness: report

talabat’s grocery arm, talabat mart, has signed a strategic agreement with UAE-based agricultural group Elite Agro Holding to source fresh produce directly from local farms, thereby strengthening domestic supply chains and reducing reliance on imports.

The memorandum of understanding establishes a direct farm-to-consumer channel allowing talabat mart to source fruits, vegetables and eggs from Elite Agro’s UAE farms, the companies said.

The partnership aims to shorten supply chains, improve delivery speed and enhance the availability of fresh produce across talabat mart’s network of dark stores, while supporting local farmers with more predictable demand.

“Through this partnership with Elite Agro, we are reinforcing our role as a key enabler within the UAE’s food supply ecosystem,” said Alix de Zelicourt, GM at talabat mart. “Direct sourcing from local farms allows us to deliver fresher products to our customers, supporting the long-term growth of the UAE’s agricultural sector.”

Elite Agro said the agreement would help integrate agriculture with digital retail infrastructure, improving efficiency and transparency across the food supply chain.

“This is not only about delivering fresh, premium products to consumers. It is about building a smarter, more resilient food model,” said Hassan Halawy, group CEO at Elite Agro Holding.

Elite Agro Holding. talabat agreement to improve route-to-market efficiency

The deal also includes joint demand planning and supply chain optimisation to scale locally sourced product ranges and improve route-to-market efficiency.

The initiative aligns with the UAE’s broader push to strengthen food security and expand domestic agricultural production as the country seeks to reduce exposure to global supply disruptions.

Demand for locally sourced and fresh produce has been rising in the UAE as consumers increasingly prioritise quality, transparency and faster delivery times in grocery retail.

In an era defined by rapid change, the ability of systems to maintain operational continuity through challenging periods is increasingly recognised as a key pillar of economic resilience and societal stability. Whether in education, healthcare, finance, or logistics, the capacity to absorb shocks across sectors and sustain core operations enhances institutional credibility, reinforces investor and market confidence, and ensures the UAE’s diversified economy continues to function under pressure.

With sectors like higher education, operational resilience is a must to maintain learning continuity. Universities operate on fixed academic timelines, guiding cohorts of students through programmes that directly influence career pathways and support national human capital development. Interruptions to this system can disrupt the progression of knowledge, delay assessments, extend graduation time, and undermine students’ engagement and confidence in their learning journey. Therefore, the education sector must be fully equipped to respond to disruptions at any time.

Smart education for academic continuity

The ecosystem of higher education in the UAE is designed to react swiftly without compromising academic quality. Universities across the UAE reflect the strength and preparedness of this system in practice. Following recent directives from the Ministry of Higher Education and Scientific Research (MoHESR) to shift to remote learning, institutions moved quickly to adapt, transitioning delivery without disruption to academic schedules. This response was enabled by established systems, digital capabilities, and governance frameworks that support operational continuity.

Over the past decade, global disruptions and regional volatility have reinforced the importance of moving early, coordinating fast, and keeping essential services running without delay. In the UAE, continuous investments in infrastructure, policy development, and institutional capacity play a key role in reinforcing the country’s competitive capabilities to maintain stability in the face of emergencies.

When the COVID-19 pandemic unfolded in 2020, the education sector was put to the test, encouraging institutions to adopt and improve distance learning methodologies. According to Cavendish Maxwell’s Education Market Report, over 1.2 million school and university students across the UAE entered their virtual classrooms after the UAE government’s announcement in 2020 that e-learning would continue until the end of the academic year. This transition was executed seamlessly, with institutions rapidly adapting to deliver programmes online, ensuring academic continuity and keeping students’ progression on track.

The UAE’s investment in digital infrastructure

The UAE has continued to invest in strengthening its digital education ecosystem through its National Strategy for Artificial Intelligence 2031, which aims to integrate AI into various sectors, including education, positioning the UAE as a leading hub for AI investment. The strategy aims to advance the integration of AI-powered learning platforms and tools, enhancing both the quality and accessibility of digital education across the UAE. It also establishes a clear mandate for institutions in both the public and private sectors to embed AI technologies within their curricula and digital infrastructure, ensuring alignment with national strategic priorities.

The rise of e-learning and blended models

E-learning has become an integral component of modern education, with many institutions increasingly integrating online platforms in recent years. Supporting personalised and inclusive educational experiences, e-learning caters to different learning styles through multimedia content, interactive tools, and flexible formats that allow students to learn at their own pace and revisit complex concepts when needed. It also enhances engagement through real-time feedback, assessments, and collaborative features that encourage active participation. Based on a five-year historical analysis, the UAE E-Learning and Digital Training Market was valued at USD 1.2 billion in 2025, driven by the increasing adoption of digital technologies in education, the rise of remote learning solutions, and the growing demand for upskilling and reskilling in the workforce.

Additionally, blended and hybrid learning models have further strengthened the education system’s ability to adapt, ensuring that education can continue effectively across different formats and circumstances. Collectively, these approaches provide institutions with the flexibility to shift between in-person and digital delivery, allowing students to remain engaged in their studies even in the face of unexpected challenges.

Safeguarding student well-being in times of disruption

During periods of uncertainty, students may struggle to maintain motivation and emotional balance, which can directly affect their ability to focus, learn, and perform academically. Universities must, therefore, place significant emphasis on safeguarding student well-being and ensuring a stable learning environment. Many institutions are increasingly prioritising mental health support through dedicated counselling services, well-being teams, and accessible support channels that allow students to seek help when needed. These services help cultivate a sense of community among students, supporting them to process stressful periods and pressures in a healthy way and remain mentally and emotionally equipped to succeed.

As the demands placed on education systems continue to evolve, the focus is increasingly shifting towards embedding continuity as a key principle rather than a reactive measure reserved for periods of disruption. This requires sustained coordination across institutions, supported by robust infrastructure, governance frameworks, and institutional readiness that together ensure the uninterrupted delivery of core academic functions.