Abu Dhabi: The UAE has been ranked 10th globally as a leading destination for inbound foreign direct investment (FDI) in 2024, with inflows reaching an unprecedented AED 167.6 billion (USD 45.6 billion), according to the United Nations Conference on Trade and Development (UNCTAD) World Investment Report 2025.
According to Emirates News Agency, the UAE Foreign Direct Investment Report 2025, released by the Ministry of Investment, underscores the nation's success in attracting capital across strategic sectors, affirming its status as a premier global investment destination. Despite an unstable global landscape, the UAE has demonstrated exceptional performance in drawing foreign investments.
His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, and Ruler of Dubai, highlighted the country's accomplishments under the leadership of His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE. The UAE's global ranking in FDI inflows for 2024 underscores its reputation as a land of opportunities for innovative businesses and bold ideas.
The UAE accounted for 37% of all FDI inflows into the region, with AED 167 billion (USD 45 billion) in foreign investments over the past year, marking a 48% growth compared to the previous year. The country also ranked second globally, after the United States, in newly announced FDI projects. The UAE aims to attract AED 1.3 trillion in FDI over the next six years.
Despite a global slowdown in greenfield FDI project growth, the UAE achieved a 2.8% increase, with AED 53.3 billion (USD 14.5 billion) in announced greenfield FDI projects in 2024. The UAE ranked second globally in attracting greenfield FDI projects, with 1,369 new projects announced.
The Ministry of Investment plays a pivotal role by enabling investment in key sectors and fostering a competitive environment for global capital. The ministry continues close collaboration with government entities, investment promotion agencies, private sector companies, and international partners to enhance the UAE's investment value proposition.
Annual FDI inflows have risen significantly, from AED 31.6 billion (USD 8.6 billion) in 2015 to AED 167.6 billion (USD 45.6 billion) in 2024, with cumulative FDI stock reaching USD 270.6 billion. This reflects a 10.5% compound annual growth rate from 2015 to 2024.
Mohamed Hassan Alsuwaidi, Minister of Investment, stated that the unprecedented level of FDI inflows reflects the strategic choices of UAE leadership. The UAE remains committed to developing a regulatory and legislative framework aligned with national priorities to attract global capital.
The UAE's investment ecosystem, characterized by stability, transparency, trade openness, and ease of doing business, has become a global model. The National Investment Strategy 2031 sets ambitious goals to cement the UAE's position as a leading global FDI destination.
Key economic sectors have contributed to the growth of announced greenfield FDI projects, with software and IT services leading in project values. The energy sector attracted AED 4.8 billion (USD 1.3 billion) in greenfield FDI, advancing the UAE's goal to triple renewable energy production capacity by 2030.
Supportive investment policies and strategic partnerships have solidified the UAE's position as a primary destination for foreign capital in the region. The country continues to attract top global talent, supported by full foreign ownership, a competitive corporate tax rate, and streamlined licensing procedures.
The UAE ranks fifth globally in attracting highly skilled talent and third in attracting AI talent, reinforcing its status as a hub for professionals and innovators. Global partnerships and significant investments in digital transformation, such as the Microsoft and G42 joint venture, further enhance the investment landscape.
The National Investment Strategy 2031 aims to double annual FDI inflows by 2031, targeting AED 2.2 trillion cumulative FDI. The strategy focuses on sectors like advanced manufacturing, renewable energy, and IT, emphasizing sustainability and innovation to drive economic growth.