Dubai has retained its position as the world’s leading destination for greenfield foreign direct investment (FDI) projects for the fourth successive year, according to a statement issued by the Government of Dubai Media Office, citing Financial Times Ltd.’s ‘fDi Markets’ data.
In 2024, Dubai attracted AED52.3 billion ($14.24 billion) in estimated FDI capital, a 33.2 percent increase from AED39.26 billion ($10.69 billion) in 2023, marking the highest FDI value ever recorded in a single year for the emirate since 2020.
It attracted a record 1,117 greenfield FDI projects in 2024 — the highest in its history — followed by Sharjah and Abu Dhabi.
Dubai also achieved a historic milestone in FDI attraction with 1,826 announced FDI projects, an 11 percent increase from 1,650 projects in 2023, according to the Dubai Department of Economy and Tourism’s FDI Monitor.
“Dubai’s ability to steadily consolidate its status as a leading global destination for foreign direct investment reflects its commitment to delivering exceptional value to investors worldwide,” His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister and Minister of Defence of the United Arab Emirates, and Chairman of The Executive Council of Dubai said in the press statement.
“The city’s ranking as the world’s No. 1 destination for attracting greenfield FDI for the fourth consecutive year is a testament to its ability not only to set new global benchmarks for sustained, rapid growth but also to continuously evolve its investment proposition in response to changes sweeping the international market.”
Dubai’s growth mindset has transformed the emirate into a global hub for FDI, with its government consistently relaxing visa regulations in order to encourage business and traveler influx. That, along with the city’s attractive business environment, and strategic location making it a preferred destination for investors.
For the third consecutive year, Dubai was also ranked No.1 globally in the attraction of Headquarter (HQ) FDI projects, with 50 projects in 2024.
Regionally, Dubai was No.1 in greenfield FDI projects, capital, and jobs in the Middle East and Africa region, added the press statement.
Dubai accounts for a 6.2 percent global market share and a 55 percent share of the Middle East’s total greenfield FDI projects, added the press statement.
Dubai FDI Monitor revealed that the top five source countries for FDI capital accounted for 63 percent of the total estimated flows into Dubai in 2024.
India topped the list with the highest total estimated FDI capital into Dubai, (21.5 percent), followed by the United States (13.7 percent), France (11 percent), United Kingdom (10 percent) and Switzerland (6.9 percent).
In terms of total announced FDI projects into Dubai, the top five source countries accounted for almost 55 percent with the United Kingdom (17 percent), followed by India (15 percent), the United States (14 percent), France (4.5 percent), and Italy (4 percent).
Types of investments
New forms of investments (NFIs) saw an impressive 23 percent increase, reflecting investors’ growing confidence, while reinvestments surged by 98 percent, highlighting sustained investor confidence and continued business expansion within the emirate.
Venture capital-backed FDI increased by 39 percent, reinforcing Dubai’s position as a thriving hub for startups and high growth ventures, and mergers and acquisitions rose by 8 percent, demonstrating strong corporate interest in strategic partnerships and market consolidation.
His Excellency Helal Saeed Almarri, Director General of the Dubai Department of Economy and Tourism, commented on the development, stating, “The influx of new capital underscores the confidence that investors, multinational corporations, and global talent place in our resilient ecosystem, bolstered by the collaborative spirit of public-private partnerships and the transformative goals of the Dubai Economic Agenda, D33”.
Key sectors
In 2024, the top five sectors accounted for 53 percent of the total estimated FDI capital flows into Dubai.
Based on FDI capital, the leading sectors were hotels and tourism (14 percent), real estate (14 percent), software and IT services (9.2 percent), building materials (9 percent), and financial services (6.8 percent).
For FDI projects, the top sectors were business services (19.2 percent), food and beverages (16.5 percent), software and IT services (14.3 percent), textiles (9.6 percent), and consumer products (8.3 percent), as per the statement.
According to the UN Trade and Development, Dubai’s FDI outlook for 2025 remains positive amid global uncertainties and shifting economic dynamics.
The emirate is expected to continue attracting significant investment, particularly in high tech and innovation-driven sectors.
Copyright Business Recorder, 2025
