(MENAFN) Economic growth will be weaker in the UAE as in other oil-rich GCC nations on account of low oil prices, according to a forecast, Khaleej Times reported.
The UAE is expected to grow 2.3 percent in 2015, slowing from 4 percent in 2014, says Bank of America (BofA) in a research note.
The oil price plunge was triggered on June 15, 2014, from USD115 a barrel riding on fears of slowing economic growth in China and oversupply created by non-Opec oil producer Russia. Since then, oil prices have decreased 52 percent. Higher oil prices had supported economic growth across the oil-rich region in the past five years.
"The GCC macro story is likely to have peaked if oil prices stay low for long," says BofA in a research note.
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