The UAE is moving ahead with steady steps to become one of the most sustainable countries globally, placing sustainable development on the top of its priorities. As part of the efforts to achieve this ambitious goal, the UAE government has launched several strategic plans and initiatives to promote circular economy and sustainable development. The adoption of a circular economic model has therefore become a priority, given its many capabilities in enhancing the utilization of natural resources, reducing production expenses, and contributing to environment protection and conservation of natural resources.    

The country’s move to expedite transformation towards a circular economy is aimed at ensuring long-term sustainable development in line with the global efforts in this respect, along with improving the quality of life for its people. However, this transformation requires considerable changes in methods and practices of production and natural resources consumption. Furthermore, it calls for the reduction of waste and promotion of waste recycling to minimize environmental footprint and take advantage of the potential opportunities to achieve sustainable growth.

Being a major driver of sustainable development with high profitability and added value, circular economy is a main area of focus on the UAE’s national agenda. The numerous benefits of circular economy include promotion of environmental-friendly manufacturing, recycling, rationalization of energy consumption and generation of new employment opportunities in recycling sectors. Apart from these, it helps maintain natural capital, cut down construction expenses, drives development and investments, and significantly supports innovation in the areas of sustainability and resource conservation.

Furthermore, circular economy is one of the three main economic models that are considered as the future of cities, along with data economy and sharing economy. The move to adopt this model also falls in line with the global efforts to enhance economic diversification and promote sustainable development.

The UAE’s growing focus on this economic and development transformation is further reflected by the country’s strategic economic visions and plans, particularly the UAE Vision 2021; Abu Dhabi Economic Vision 2030; Dubai Industrial Strategy 2030; UAE Strategy for the Future; and the Abu Dhabi Environment Vision 2030.

Specialized studies in this field indicate that the adoption of circular economy will enable the UAE to generate savings of up to USD 28 billion (AED 102.8 billion) within the period from 2020 to 2030, distributed into USD 7.2 billion in built environment, USD 11 billion in transportation systems, and USD 9.8 billion in housing. According to the survey conducted by Strategy&, the UAE would be able to reduce carbon emissions by 23 million tons (MT) within the aforementioned period – including 1.3 MT in built environment, 4.5 MT in transportation systems, and 17 MT in housing.