• S&P anticipates broad economic stability in the Emirate over the next two to three years
  • The stable outlook reflects the agency’s view that Ras Al Khaimah Government’s prudent fiscal management and fiscal buffers will provide space for policy maneuvering amid geopolitical developments

Ras Al Khaimah, UAE: International credit ratings agency S&P Global affirmed Ras Al Khaimah’s rating for 2026 at ‘A/A-1’ with a ‘stable’ outlook, anticipating broad economic stability in the Emirate over the next two to three years.

U.S.-based S&P Global, one of the ‘Big Three’ credit-ratings agencies, stated that the Emirate’s stable outlook reflected the agency’s expectation that Ras Al Khaimah Government’s prudent fiscal management and fiscal buffers would provide space for policy maneuvering amid geopolitical developments.

The report highlighted “continuity in government policy”, ensured by the Emirate’s legislative and executive systems, as a key factor in the decision to affirm the rating, noting that some progress has been observed on the government’s long-term commitment to establishing strong economic institutions, such as the RAK Statistics Center. Ras Al Khaimah has maintained an ‘A range’ credit rating since 2008.

A spokesperson for Ras Al Khaimah Government said: “Affirming Ras Al Khaimah’s rating and stable outlook for 2026 reflects global confidence in our Emirate’s ability to navigate geopolitical developments, guided by the wise and forward-looking leadership of His Highness Sheikh Saud bin Saqr Al Qasimi, UAE Supreme Council Member and Ruler of Ras Al Khaimah. The Emirate, with its robust infrastructure, has thoroughly proven its resilience in challenging times. Ras Al Khaimah continues to execute its plans to ensure its growth and prosperity.”

The international credit ratings agency forecasts that Ras Al Khaimah Government will maintain a conservative fiscal policy and run fiscal surpluses averaging 3% of GDP over the 2026-2029 period.

The report underlines the Emirate’s capacity to adjust its expenditure as a factor in its ability to navigate uncertainty, citing the successful measures it had implemented during the COVID-19 pandemic as an example.

Furthermore, the government’s strong net asset position partly mitigates fiscal risks from contingent liabilities, predicting that the government’s interest burden will remain under 5% of government revenue due to its small debt stock.

Ras Al Khaimah, the northernmost of the UAE’s seven Emirates, is home to a thriving and diversified economy with growth recorded and projected across all industries. The Emirate’s GDP composition is split over a variety of sectors, boosting its ability to attract and retain talent and businesses, from SMEs to large international companies.

About Ras Al Khaimah

Ras Al Khaimah (RAK), the fourth largest Emirate in the UAE, is distinguished by its natural diversity, rich history and forward-thinking vision under His Highness Sheikh Saud bin Saqr Al Qasimi. With a commitment to sustainable development, economic prosperity, social development and innovation, RAK has become an ideal place to live, work and invest.

Strategically located between East and West – with one third of the world’s population within four hours’ flying time – RAK is a gateway to the Middle East and beyond. Its economy is diverse, with no single sector accounting for more than 27% of GDP. RAK offers a business-friendly environment with customizable services, competitive operating costs, 100% foreign ownership, zero personal income tax and one of the world’s lowest corporate tax rates. With world-class infrastructure, RAK is home to over 50,000 companies, including industry leaders such as RAK Ceramics and Julphar. RAKEZ and Innovation City support dynamic growth across industrial, manufacturing and digital sectors, backed by a future-focused economy validated by ‘A’-range credit ratings for 15+ years from Fitch and S&P.

RAK has a multicultural society of 0.4 million people from 150 countries, offering a high quality of life, accessible luxury living and a serene coastal lifestyle, with bold hospitality projects led by signature luxury global brands, such as Wynn, Four Seasons, Nobu, Waldorf Astoria and Ritz-Carlton. Projects such as RAK Central will redefine the commercial and residential landscape, while its natural beauty (UAE’s highest mountain, beaches and deserts) and rich cultural heritage – dating back 7,000 years – further enhance RAK’s universal appeal.

With year-round sunshine, straightforward business set-up, a competitive cost of living and high quality of life, Ras Al Khaimah offers limitless opportunities.  

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