The UAE has captured 45.4% of the total foreign direct investments (FDIs) flowing into the Arab states.
The UAE has emerged as a leading global destination for investment, capturing 45.4% of the total foreign direct investments (FDIs) flowing into the Arab states, amounting to AED248.3 billion ($67 billion) in 2023, according to the World Investment Report 2024 by the UN Conference on Trade and Development (UNCTAD).
The country has strengthened its position as a prominent player in the global economy, evidenced by the record growth in FDI inflows, which increased by 35% to top AED112.6 billion in 2023, reported the Emirates News Agency, WAM.
The UAE’s success in attracting FDIs is attributed to its enabling environment, flexible policies, and competitive landscape that facilitate diverse business activities and pioneering startup projects. Advanced investment legislation and incentives further boost FDI inflows. Notably, amendments to the Commercial Companies Law, allowing foreign investors to establish and fully own companies, led to the creation of over 275,000 new companies within a year and a half, bringing the total to over 788,000 companies by the end of 2023.
The UAE continues to collaborate across various government and private sectors to achieve the goals of the ‘We the UAE 2031’ vision, aiming to double GDP to AED3 trillion and increase foreign trade to AED4 trillion.
In 2023, the UAE ranked second globally after the United States in greenfield FDI project announcements, with 1,323 new projects registered, marking a growth rate of approximately 33% compared to the previous year.
