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3/13/25, 2:40 PM UAE consolidating its position as strategic destination for FDI – UAE Business and Travel Insights – TotalUAE.com

UAE consolidating its position as strategic

destination for FDI

BY CONTENT ADMIN

ABU DHABI, 1st March, 2025 (WAM) – The UAE has solidified its position as one of the world’s most
preferred investment destinations, successfully attracting foreign direct investments that have boosted its
cumulative balance.

In 2024, the UAE issued 200,000 new economic licences across various economic activities, with more than 1.1
million companies and economic institutions operating in its markets.

According to data from the Ministry of Investment, the total new and announced capital inflows of foundational
Foreign Direct Investment (FDI) in 2023 reached $16 billion, reflecting the UAE’s status as a preferred
destination for international investors.

The UAE continues to attract significant foundational investments from various countries, highlighting its
dynamic business environment and strategic economic initiatives that create job opportunities, drive innovation,
and support sustainable growth. The country’s vibrant investment landscape serves as a key driver of economic
expansion and capital inflows, reinforcing its position as a leading global investment hub.

Abdullah bin Touq Al Marri, Minister of Economy, told the Emirates News Agency (WAM) that the UAE is
committed to providing a competitive legislative environment for new economy sectors. Over the past six years,
the country has developed and issued more than nine key economic legislations aimed at expanding businesses
and projects in new economy sectors within its markets.

He further noted that, over the past four years, the UAE has issued more than 30 laws, regulations, and economic
policies, including new legislation for family businesses, e-commerce, cooperatives, consumer protection,
commercial transactions, trademarks, copyright, and related rights.

The primary sectors driving foundational investment growth in the UAE include business services, software, and
IT services, which have generated numerous job opportunities and attracted substantial capital inflows.

Sectors such as financial services, industrial equipment, transportation, and storage have also played a significant
role in foundational investment growth, leading to a 7.5% increase in total jobs created, a 31% rise in announced
projects, and a 37% surge in total announced foundational foreign direct investment inflows.

Emerging sectors, including renewable energy, electric vehicles, and cloud computing, have made significant
contributions to the UAE’s economic growth and created major investment opportunities.

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