Dubai’s aviation sector powers economic growth, contributing 27% to GDP

The aviation industry continues to be a driving force in Dubai’s economic landscape, contributing 27% to the emirate’s GDP in 2023, according to a newly released economic impact study from Emirates Group and Dubai Airports. Compiled by global research firm Oxford Economics, the report highlights aviation’s central role in economic growth, underscoring the sector’s direct, indirect, and tourism-related impacts on Dubai’s financial landscape. The sector’s contributions are expected to reach nearly one-third of the emirate’s GDP by 2030, fueled by expanding infrastructure, rising passenger numbers, and global connectivity.

In 2023, the aviation sector contributed AED 137 billion (USD 37.3 billion) in gross value added (GVA), with AED 94 billion attributed to core aviation activities and an additional AED 43 billion from tourism facilitated by the aviation sector. This significant economic impact supported over 631,000 jobs across Dubai, representing one in five jobs within the emirate. With Dubai’s ongoing investment in aviation infrastructure, employment is expected to grow, with forecasts projecting 816,000 aviation-linked jobs by 2030 as the sector continues to evolve as a core economic pillar.

The sector’s anticipated growth is aligned with the D33 Economic Agenda, a comprehensive plan spearheaded by His Highness Sheikh Mohammed bin Rashid Al Maktoum, which seeks to position Dubai as one of the world’s top five logistics hubs and add 400 destinations to its global trade and tourism network. Dubai’s connectivity makes it an essential player on the international stage for trade, investments, and tourism. As part of this agenda, Dubai International and Al Maktoum International at Dubai World Central (DWC) are undergoing major expansions to increase capacity, support passenger growth, and sustain long-term economic impact.

Al Maktoum International’s AED 128 billion expansion project at Dubai World Central, anticipated to be completed in phases over the next decade, will be five times the size of Dubai International, eventually accommodating 260 million passengers annually. The project will feature over 400 aircraft stands and state-of-the-art facilities designed to enhance the passenger experience and operational efficiency. Although the airport’s economic impact is not yet included in the main results of the study, its construction phase alone is projected to add AED 6.1 billion to Dubai’s GDP by 2030, alongside supporting 132,000 jobs.

Aviation-facilitated tourism also remains integral to Dubai’s economy, with international visitors spending an estimated AED 66 billion in 2023. Visitors spent an average of AED 4,300 on hotels, restaurants, attractions, and shopping, and their stays averaged 3.8 nights. This spending accounted for 8.5% of Dubai’s GDP, supporting 329,000 jobs in tourism, hospitality, and other sectors reliant on aviation-driven tourism. Of this economic output, AED 23 billion was generated by visitors arriving via Emirates, solidifying the airline’s importance in Dubai’s tourism economy.

With aviation-facilitated tourism spending forecast to grow over 40% by 2030, the industry will continue to be a significant contributor to Dubai’s financial resilience, generating AED 63 billion in gross value added. This future growth will support approximately one in eight jobs across Dubai, further embedding the aviation sector as a cornerstone of the city’s economic vitality.

Dubai’s aviation sector exemplifies a global model for leveraging connectivity and infrastructure to drive economic diversification, reinforcing the emirate’s status as a leading center for logistics, trade, and tourism. The full Oxford Economics report, titled The Economic Impact of Aviation in Dubai, is available for further insights into the long-term economic trajectory of Dubai’s aviation sector.