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Future Ready Decarbonization: An Economic Angle to UAE's Carbon Shift

As the world transitions to a low-carbon economy, the UAE has the opportunity to meet its climate goals while driving significant local economic benefits. This white paper highlights the additional economic value the UAE can unlock when the private sector, especially the buildings and industrial sectors, invests in home-grown carbon-removal projects instead of purchasing credits overseas.
map marker United Arab Emirates | 26 June 2025
Reading Time : 15

From an economic perspective, the UAE’s Long-Term Strategy (LTS) for achieving net zero estimates a potential GDP boost of 630 billion AED, equivalent to an additional 1.8% between 2022 and 2050. This growth is expected to be further enhanced by increased exports stemming from the development of innovative technologies and industries, including green cement and aluminium, hydrogen, and direct air capture (DAC) technologies.

These advancements could contribute an extra 400billion AED, bringing the total projected GDP growth to 1.03 trillion AED, or an additional 3% over the same period. The LTS also aims to generate an average of 160,000 new jobs annually between 2025 and 2050, while securing the future of an additional 40,000 existing jobs. With the added impact of export-driven growth, the total number of jobs supported could reach up to 270,000.

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