A sharp decline in crude prices and production led to a huge slowdown in growth last year, which might take the UAE economy up by nearly five pct in 2010.

Analysts feel that it is possible for the UAE to achieve the growth target in 2010, projected by the government-controlled Emirates Industrial Bank (EIB), with the help by expansion in non-oil sectors, and the increase in oil prices and the UAE's crude output.

However, growth was predicted at 3.4 per cent by the London-based Economist Intelligence Unit (EIU).

The UAE's nominal gross domestic product (GDP) was projected at Dh942 billion in 2009 by EIB in a new study. It was higher by nearly 0.8 per cent over 2008, when the GDP stood at around Dh934.2bn in current prices.

The study claimed, "The UAE economy is one of a few economies that recorded real growth for the second year running in 2009 following the eruption of the global financial crisis. Such developments have laid the ground for the UAE economy to grow by between four and five per cent in 2010."

No details regarding the projections were given by EIB; however analysts specified that a predicted rise in the oil production of UAE will coordinate with higher crude prices to allow the country to attain that growth target.

Apart from this, they also predicted growth in trade, industry, services and other non-oil sectors in 2010.

Mohammed Asumi, a Dubai-based Gulf economist, said, "I believe the projected four to five per cent growth is achievable."