S&P Global, Moody’s Investors Service, and Fitch Ratings — have all assigned strong sovereign credit ratings to the UAE
In a strong show of confidence in the United Arab Emirates’ economic resilience and prudent fiscal management, the world’s top three credit rating agencies — S&P Global, Moody’s Investors Service, and Fitch Ratings — have all assigned strong sovereign credit ratings to the UAE, underlining the country’s robust financial position and long-term economic prospects.
The UAE Ministry of Finance announced this week that the ratings, which come with a stable outlook across the board, reflect international recognition of the UAE’s sound fiscal policies, effective diversification strategies, and enduring macroeconomic stability.
S&P Global confirmed the UAE’s sovereign credit rating at “AA” with a stable outlook on 17 June 2025. Moody’s affirmed its “Aa2” rating, also with a stable outlook, in its annual review. On 24 June 2025, Fitch Ratings reaffirmed the UAE’s “AA-” rating, maintaining a similarly stable outlook.
This unified vote of confidence from the globe’s most respected rating agencies places the UAE among a small group of countries globally to have strong sovereign credit ratings from all three institutions, solidifying its standing as a stable and attractive economic hub.
Fiscal Vision Paying Off
Reacting to the announcement, H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum — First Deputy Ruler of Dubai, Deputy Prime Minister, and Minister of Finance — said the ratings are a direct reflection of “deep-rooted international confidence in the resilience of our national economy and the efficiency of our fiscal policies.”
He credited the leadership of UAE President Sheikh Mohamed bin Zayed Al Nahyan and Prime Minister Sheikh Mohammed bin Rashid Al Maktoum for steering the country through transformative economic reforms rooted in diversification, transparency, and long-term sustainability.
Sheikh Maktoum further highlighted the UAE’s drive to increase non-oil revenue, strengthen public sector efficiency, and develop high-potential sectors as part of its forward-looking financial strategy. He cited the development of the sovereign yield curve for the UAE dirham as a major achievement in enhancing market transparency and investor confidence.
Economic Diversification
The latest credit reports provide insight into the rationale behind the positive assessments.
S&P cited the UAE’s robust financial position, sizeable sovereign wealth fund, and stable political environment as major strengths. The agency also said that despite rising geopolitical tensions in the region, the UAE’s ample fiscal buffers and policy prudence mitigate external risks effectively.
Moody’s commended the UAE’s sustained efforts to develop non-oil sectors, such as tourism, manufacturing, and technology, and said the country continues to appeal to foreign investors and global talent. The agency noted that strong governance frameworks have helped shield the economy from regional turbulence.
Fitch, while acknowledging elevated geopolitical risks, said the UAE’s fiscal and external buffers — including significant reserves and a disciplined approach to government spending — provide a strong shield against external shocks.
Resilient Amid Global Uncertainty
The triple affirmation is especially notable at a time of global economic uncertainty, with many economies facing credit downgrades amid inflationary pressures, rising interest rates, and geopolitical instability. The UAE’s ability to maintain strong fiscal discipline while investing heavily in infrastructure, green energy, and industrial growth demonstrates a balanced and sustainable approach.
Moreover, the ratings come on the heels of strong non-oil trade growth. In the first quarter of 2025, UAE non-oil trade surged by 18% year-on-year, with exports rising by 32.5%, re-exports by 20.2%, and imports by 12.7%. Bilateral trade with major partners like China has exceeded $100 billion, further evidence of the UAE’s growing stature as a global economic player.
With these ratings, the UAE’s credibility in global capital markets is further enhanced, making it easier to attract long-term investment, secure favourable borrowing terms, and position itself as a stable destination for multinational corporations.
As the UAE continues to navigate a fast-changing global landscape, this triple endorsement from leading credit agencies is a milestone moment — signalling to the world that the Emirates is not only weathering regional and global storms, but charting a path of sustainable growth, fiscal prudence, and economic diversification with confidence.
