The UAE is the most diversified economy in the GCC, according to the 2025 Global Economic Diversification Index (EDI).
The findings highlight the critical need for commodity-dependent nations, particularly those reliant on oil and gas, to implement policies that mitigate the risks of relying on natural resources and look towards more sustainable economic growth.
First published in 2022, the EDI provides a comprehensive measure of economic diversification across countries, offering data and evidence-based policy tools. The index examines government revenue, output and trade and allows countries to assess their economic diversification and compare their performance with peers.
The 2025 edition of the EDI analysed 115 countries over 24 years, using publicly available indicators to ensure transparency. Among the key findings were the US, China and Germany maintaining their top three positions globally, while in the GCC the UAE led the region in the trade sub-index, while the UAE and Bahrain topped the output sub-index.
Gulf Economist Staff Writer