DUBAI – The United Arab Emirates' economic growth is expected to accelerate to up to 3.2 per cent this year and no further major restructuring of Dubai debt is seen, the Gulf country's economy minister said on Saturday. The UAE economy is expected to lag its Gulf peers this year as banks in the world's third-largest oil exporter remain reluctant to lend due to a $23.5 billion debt restructuring by conglomerate Dubai World (DBWLD.UL). "We have heard different numbers (about 2009 gross domestic product growth)," Economy Minister Sultan bin Saeed al-Mansouri told a news conference. "The good news is that it was positive 1.3 per cent and we expect GDP growth for 2010 to be around 3 per cent," he said. Mansouri said UAE's open economy was likely to be affected by the euro zone debt crisis but the impact was hard to quantify at the moment. "I do not see any direct effects (of the euro zone crisis) right now, looking at banks' exposures," he said after a presentation of the government's 2009 economic report. The OPEC member's real GDP is seen growing by 2.0-3.2 per cent, depending on oil prices, which are expected to move between $75 and 85 a barrel in 2010 and 2011, Mansouri said. "I feel very comfortable with oil at $80 (a barrel)," he said, adding that GDP growth was most likely to reach 2.5 per cent this year, echoing his April remarks. Benchmark US crude futures fell to $73.97 a barrel on Friday, posting their worst monthly loss since December 2008. The ministry has been sticking to the 1.3 per cent GDP growth estimate for 2009 in past months, while analysts saw contraction of 1.4 per cent. Analysts polled by Reuters expected the UAE economy to grow by 2.5 per cent this year.
