According to the 2014 Global Investment Report issued by the United Nations Conference on Trade and Development (UNCTAD), the UAE is the second greatest recipient of foreign direct investment (FDI) in Western Asia. Foreign investors are mainly drawn by the country’s economic stability, the low energy costs the tax-free environment for companies, the absence of limitations on repatriation of profits and the Government’s openness towards a diversified economy. Among the most developed emirates is Dubai which is the second largest city in the country. The city currently hosts a great number of expatriates living and working or owning companies in Dubai.
The most developed industries in Dubai continue to remain the oil and gas and financial sectors. The banking sector has favorable rules for foreign investors setting up companies in Dubai. The real estate market also offers great investment potential to foreign citizens as the Government has created a very flexible regulatory environment for those purchasing properties in Dubai. The other industries offering investment possibilities are the services and agricultural ones which also benefit from special incentive schemes.
Dubai’s free zones are also one of the Emirates strongest attractions for foreign investors as there are no restrictions for opening companies in any of the city’s free zones. Dubai is home to more than 20 free zones at the moment and their number is still increasing.
Recently, the Government has launched the Dubai Smart City Program which offers foreign investors a modern infrastructure for company registration services.
Dubai is already known as a regional and global center for business and with the approaching Expo 2020 which will be hosted by the city, many opportunities for private investors are expected to be created. Foreign investors will have access to a wide range of sectors, among which construction, rental, retail and transport, are expected to be some of the most successful. The logistics and tourism sectors are also expected to expand during the next few years, according to The Report: Dubai 2015 issued by Morgan Stanley Capital International.
You can also watch the video below for more information on why Dubai is one of the most attractive Emirate for foreign investors:
For a complete picture of Dubai’s economy and future investment possibilities you can contact our agents in Dubai.