With 1,323 new greenfield FDI projects in 2023, the UAE ranked second globally, only behind the US, a 33% increase from the previous year. These projects spanned sectors such as software, IT services, renewable energy, and business services, reflecting a broad diversification.
Record-Breaking FDI Inflows
Total FDI inflows reached a record AED 167.6 billion (US$45.6 bn) in 2024, positioning the UAE as the 10th largest FDI receiver globally. Greenfield projects made up a significant portion—second highest globally—raising AED 53.3 billion in capital alone.
Why the UAE’s business-friendly environment attracts investors: Zero personal income tax, simplified firm setup, and full foreign ownership in numerous industries
Strategic location & infrastructure: Freezones, world-class ports, aviation hubs, and seamless links across three continents.
Strong governance & policy alignment: Initiatives like NextGen FDI, robust intellectual property laws, and visa incentives attract global talent and businesses.
Implications for the GCC and UAE
In 2024, 37% of the FDI inflows into the area went to the UAE (reddit.com +15 gulfnews.com +15 gulfbusiness.com +15). Its leadership in economic diversification is reaffirmed by its recognition as a global centre for software, IT, renewable energy, and business services. With greenfield inflows eclipsing global averages, the UAE continues to set benchmark trends in strategic investment growth.
