UAE earns top sovereign credit ratings from Moody's, S&P, and Fitch in 2025
The UAE has secured strong sovereign credit ratings from the world's top three agencies – S&P Global (S&P), Moody's Investors Service (Moody's), and Fitch Ratings (Fitch) – reinforcing international confidence in its economy and fiscal resilience.
On June 17, S&P assigned the UAE a sovereign credit rating of 'AA' with a stable outlook. Moody's affirmed its 'Aa2' rating, also with a stable outlook, in its 2025 annual review. Fitch followed on June 24 with an 'AA-' rating, maintaining the stable outlook.
These consistent evaluations from all three major global credit agencies reflect the UAE's strong fiscal position, economic diversification efforts, and disciplined financial governance.
UAE credit ratings
The country now joins a small group of nations worldwide with favourable sovereign credit ratings from all three agencies.
Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister, and Minister of Finance, said: 'The affirmation of the UAE's strong sovereign rating by the world's top three international credit rating agencies, and their consensus on a stable outlook, reflects the deep-rooted international confidence in the resilience of our national economy and the efficiency of our fiscal policies.
'This is the result of a comprehensive economic vision led by His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, and closely followed by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE and Ruler of Dubai.'
Sheikh Mohammed said the UAE continues to implement economic policies grounded in diversification, transparency, and fiscal discipline, with a strong focus on increasing non-oil revenues and achieving financial sustainability.
This reflects the integrated performance of government entities and long-term strategic planning, which continue to reinforce the UAE's position as a flexible and credible global economic hub.
He added: 'At the Ministry of Finance, we remain committed to working closely with all government entities to enhance the efficiency of resource management, develop productive sectors, and improve the country's investment appeal.
'The development of the sovereign yield curve for the dirham was a major milestone in enhancing market transparency, providing investors with a reliable benchmark for pricing dirham-denominated debt instruments.
'This strengthens the UAE's presence on the global economic map and reinforces its ability to confidently navigate regional and international changes and challenges — by expanding the investor base and enhancing the country's reputation as a reliable and attractive destination in global capital markets.'
The individual reports from each agency highlight key strengths:
S&P: Cited the UAE's robust financial position and the strength of consolidated sovereign assets. It also noted that regional geopolitical tensions are likely to have limited impact due to the country's internal stability and sovereign wealth.
Moody's: Emphasised continued progress in non-oil revenue development and the UAE's attractiveness to foreign investors and talent, underpinned by sound policy frameworks.
Fitch: Recognised elevated regional risks but affirmed the UAE's capacity to absorb shocks, supported by strong fiscal and external reserves.
The ratings confirm the United Arab Emirates' ability to diversify revenue streams beyond hydrocarbons, maintain fiscal discipline, and manage risks effectively. These achievements have contributed to macroeconomic stability and sustainable growth across key sectors such as finance, trade, infrastructure, and innovation.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
35 minutes ago
- Zawya
Oil rises as draw in US crude stocks signals firm demand
TOKYO: Oil prices inched higher, extending gains from the previous day as a larger-than-expected draw in U.S. crude stocks signalled firm demand, while investors remained cautious about the Iran-Israel ceasefire and stability in the Middle East. Brent crude futures rose 12 cents, or 0.2%, to $67.80 a barrel by 0030 GMT. U.S. West Texas Intermediate (WTI) crude gained 20 cents, or 0.3%, to $65.12. Both benchmarks climbed nearly 1% on Wednesday, recovering from early-week losses after data showed resilient U.S. demand. "Some buyers are favouring solid demand indicated by falling inventories in U.S. weekly statistics," said Yuki Takashima, economist at Nomura Securities. "But investors remain nervous, seeking clarity on the status of the Iran-Israel ceasefire," he said, adding that market attention is now shifting to OPEC+ production levels. Takashima forecast WTI would likely return to the $60-$65 range, its pre-conflict levels. U.S. crude oil and fuel inventories fell last week as refining activity and demand rose, the Energy Information Administration (EIA) said on Wednesday. Crude inventories fell by 5.8 million barrels in the week ending June 20, the EIA said, exceeding analysts' expectations in a Reuters poll for a 797,000-barrel draw. Gasoline stocks unexpectedly fell by 2.1 million barrels, compared with forecasts for a 381,000-barrel build as gasoline supplied, a proxy for demand, rose to its highest since December 2021. On Saturday, Igor Sechin, the head of Russia's largest oil producer Rosneft, said OPEC+, which groups together the Organization of the Petroleum Exporting Countries and allies including Russia, could bring forward its output hikes by around a year from the initial plan. Meanwhile, U.S. President Donald Trump hailed the swift end to war between Iran and Israel and said Washington would likely seek a commitment from Tehran to end its nuclear ambitions at talks with Iranian officials next week. Trump also said on Wednesday that the U.S. has not given up its maximum pressure on Iran - including restrictions on sales of Iranian oil - but signalled a potential easing in enforcement to help the country rebuild. (Reporting by Yuka Obayashi; Editing by Sonali Paul)
The National
an hour ago
- The National
How Dubai's 20-minute city ambitions are becoming reality
Dubai's 20-minute city ambitions are a 'reality in the making' as the Metro expansion, alongside the promotion of walking, cycling and greener spaces help to change perceptions of urban life, experts say. The UAE can also learn from older cities' mistakes by dispensing with legacy systems to reimagine a new world. The topic was in sharp focus at the Mobility Live Middle East and Middle East Rail conferences which took place side by side on Tuesday and Wednesday in Dubai. While the 20-minute city concept is not new – European cities have been built based on people being close to services – the term has been coined for a new generation of urban planning. It is typically used to refer to having key daily needs – work, services, schools and shops – within a 20-minute radius and accessible without having to use a car. Martin Tillman, a founder of transport consultancy TMP Consult, said the shorter these distances are, the better in the Gulf summer, and the move towards this in Dubai is a 'reality in the making'. 'You've got a huge part of the population that needs to walk or cycle to get around the cities and they don't have the luxury of having an air-conditioned environment. Not everyone can afford a taxi,' he said. 'We can make it more comfortable with shading and misting and other features.' Closer look at Dubai Metro's Blue Line expansion Sources of inspiration High-density developments are important in this regard. Cities such as Hong Kong, Singapore and Kuala Lumpur in Malaysia use them effectively and incorporate public transport, walking and cycling infrastructure. Gulf cities can look to these for inspiration, and Dubai's Sustainable City, with its car-free streets, emphasis on sustainable transport and access to shops, reflects some of the components of the 20-minute city. Expo City Dubai, with its focus on cyclists and pedestrians, is another example. Dubai's 2040 urban master plan incorporates the concept and a 20-minute model city being built in Al Barsha 2. Dubai is also set to transform into a more pedestrian-friendly city with more than 3,000km of new walkways in plans announced in December. A larger challenge for planners is to incorporate schools and workplaces, and this is where high density also plays a role in the 20-minute city. 'The lower the density, the harder that process is to put in place,' said Mr Tillman, referring to how people drive to schools and workplaces if they are farther away. 'The higher the density, the easier it is to put in. Here, people like big, separate low-density residential developments but we're slowly moving away from that.' Mr Tillman said the weather is another reason to build higher-density developments. 'We try to make sure that those distances that need to be covered are climate-sensitive … to make it possible for people to walk, cycle and use sustainable transport for as long as possible.' He said many new developments are trying to include sustainable elements. Richard van den Dool, vice president of charge at Enrx, a green technology company based in Denmark, said his vision is about reclaiming the streets for people rather than cars. 'Cities that do it well make more public transport, reduce parking spots and create greener areas and make it liveable again,' he said. 'They want people back living in the city.' Impact of public transport Dubai's roads are still often congested amid a continued population expansion and the car's continuing allure. That is where better public transport comes in. Dubai's huge expansion of the Metro, the revamped and extended bus network and the UAE's forthcoming Etihad Rail passenger service could have a huge impact, creating developments around stations, cutting congestion and boosting the 20-minute city push. The Dubai Metro Blue Line will connect major existing and new residential districts, while an Etihad Rail station is being built at the heart of the Jumeirah Golf Estates expansion. 'We have a golden opportunity to intensify development around new stations,' said Mr Tillman. 'The key here is to make sure that Etihad Rail is not a standalone train system and Dubai Metro is not a standalone. We must make sure these are integrated.' Mr van den Dool, whose company works in inductive heating, charging and power transfer, said his vision was one of mobility where electrified cars, scooters or buses can be charged using infrastructure built into clutter-free streets. 'How would it look if all those cars needed to have a cable? It will be a spider web of poles and cables,' he said. Instead, his company's technology is already used in Europe to charge buses on wireless inductive plates at bus stops, for example, removing the need for fixed-point charging. He said it is feasible for an entire city's bus network to run on such a system. Dubai's Roads and Transport Authority has also tested wireless charging of electric vehicles and buses. Mr van den Dool said Dubai and the UAE had an opportunity to learn from legacy cities and not repeat the mistakes older cities made. 'They can be the showcase for the rest of the world,' he said. 'Call it the 15 or 20-minute city or whatever … it's about where we want to be in 10 years from now.'
Zawya
an hour ago
- Zawya
Tamkeen, Zoho launch new programme for Bahraini SMEs
Bahrain's Labour Fund (Tamkeen) has announced the launch of a new programme to support digital transformation for the local small and medium enterprises (SMEs) in partnership with Zoho, a leading global technology company. Unveiling the new programme, Tamkeen said it will provide enterprises with access to Zoho's solutions for a period of two years. This includes a licence to utilise Zoho's operating system for business, Zoho One, which offers over 50 integrated apps for business management, which will significantly enhance digital transformation efforts for these enterprises. The platform also offers a wide range of features including customer service management tools, sales automation, HR and finance management, marketing management, data analysis tools and more, said Tamkeen in a statement. This program is part of many initiatives that aim to facilitate local expansion for global organizations such as Zoho in the Kingdom of Bahrain in support from the Bahrain Economic Development Board as part of its role to attract investments to Bahrain to enhance economic diversification efforts in the Kingdom, it added. Speaking on the occasion, Tamkeen CEO Maha Abdulhameed Mofeez emphasized the importance of supporting Bahraini SMEs due to the vital role they play in boosting the national economy. "This agreement with Zoho is aligned with our commitment to empowering Bahraini SMEs to embrace technology and transform digitally to enhance their productivity and sustainability. We do that by partnering with large international and local entities that can enable digital transformation," she noted. "Furthermore, we believe that digital transformation in various enterprises across the Kingdom will provide quality opportunities for Bahrain's tech talent and enhance the Kingdom's position as a regional tech hub ready to attract investments from all over the world," she added. According to Tamkeen, the initiative is aligned with its strategic priorities for 2025, which focus on enhancing the position and competitiveness of Bahrainis in the private sector, equipping them with suitable skills for career development in the private sector and prioritizing enterprise growth, digitization as well as sustainability. It is also aimed at supporting the development of the ecosystem surrounding the labor market and private sector. "Our partnership with Tamkeen marks a significant step in our commitment to empowering Bahraini SMEs with world-class digital tools tailored to their unique needs,' said Hyther Nizam, President MEA at Zoho. "This collaboration reflects our broader regional expansion strategy and our commitment to transnational localism - investing locally and deeply integrating into the communities we serve," observed Nizam. Zoho said it has experienced a notable surge in demand for its product suite in the Middle East and Africa since 2020, making it one of the company's fastest-growing regions globally. Its top-selling products, including Zoho CRM, Zoho Books, and Zoho Creator, are available in multiple languages, such as Arabic, and English. Additionally, these Zoho products support Right-to-Left (RTL) functionality and integrate with both global and local payment gateway solutions. "By joining forces with Tamkeen, we are not only bringing global technology closer to local businesses but also contributing to the Kingdom's vision for economic diversification and digital innovation," he added. -TradeArabia News Service Copyright 2024 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
