Dubai Secures Global Top Spot for Third Year in Attracting Greenfield FDI Projects

18 Feb 2022
Dubai Secures Global Top Spot for Third Year in Attracting Greenfield FDI Projects

Dubai has solidified its status as the global leader in attracting foreign direct investment (FDI), according to data from Financial Times Ltd’s “fDi Markets.” For the third consecutive year, Dubai ranked first worldwide in Greenfield FDI project attraction in 2023. The city excelled across various sectors, including consumer goods, energy, e-commerce, and tourism, attracting significant FDI capital and creating numerous job opportunities.

This accomplishment aligns with the ambitious objectives of the Dubai Economic Agenda D33, launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister, and Ruler of Dubai. The agenda aims to double Dubai’s economy by 2033, reflecting the city’s robust economic growth and appeal to global investors.

In 2023, Dubai welcomed 1,070 global Greenfield FDI projects, surpassing Singapore and London by substantial margins. Over the past five years, Dubai’s share of such projects has more than tripled, reaching 6 percent in 2023.

Dubai’s attractiveness as a headquarters destination was also underscored, ranking first globally for HQ FDI projects for the second consecutive year. Additionally, the city saw a rise in job creation through inward FDI, further enhancing its economic landscape.

H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum emphasized Dubai’s ability to continually generate opportunities for global businesses, emphasizing its stability, advanced infrastructure, and dynamic business environment.

Helal Saeed Almarri, Director-General of Dubai Department of Economy and Tourism (DET), credited Dubai’s sustained leadership in global FDI to visionary guidance and successful collaborations with stakeholders and international partners.

Looking ahead, Dubai is committed to enhancing its global competitiveness and business ecosystem, fostering sustainable growth through advanced policy frameworks and dynamic attraction initiatives aligned with the D33 Agenda.

According to “Dubai FDI Monitor” data, the emirate witnessed significant growth in announced FDI projects in 2023, particularly in Greenfield FDI, new forms of investments, and mergers and acquisitions. The surge in job creation was notable in sectors such as retail, business services, and manufacturing.

The technology sector in Dubai also flourished, with a majority of projects classified as high and medium-tech. Dubai maintained its prominence in key technologies such as artificial intelligence, FinTech, and cloud computing, reflecting its status as an essential destination for emerging businesses and investment.

Despite global fluctuations in FDI flows, Dubai attracted substantial FDI capital in 2023, with notable contributions from countries like Canada, the United States, and Saudi Arabia. The financial services sector remained the top recipient of FDI capital, followed by business services and consumer products.

The data underscores Dubai’s resilience and attractiveness to investors, highlighting its strategic advantages and commitment to sustaining growth and innovation across various sectors.