Dubai ranked world’s top destination for attracting Greenfield FDI

Dubai has been ranked the world’s No.1 destination for Greenfield Foreign Direct investment (FDI) projects for the fourth successive year, according to the Financial Times Ltd.’s ‘fDi Markets’ data.

In 2024, Dubai attracted AED52.3 billion ($14.24 billion) in estimated FDI capital, a 33.2% 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.

Dubai attracted a record-breaking 1,117 Greenfield FDI projects in 2024, the highest in its history. Dubai also achieved a historic milestone in FDI attraction with 1,826 announced FDI projects, an 11% increase from 1,650 projects in 2023, according to DET’s Dubai FDI Monitor. This marks the highest number of total announced FDI projects ever recorded by the emirate. A total of 58,680 estimated jobs were generated through FDI in 2024, a 31% increase from 44,745 jobs in 2023.

Sheikh Hamdan Bin Mohammed Bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister and Minister of Defence, and Chairman of The Executive Council of Dubai, said Dubai’s emergence as a frontrunner in the global investment landscape has been inspired and guided by the visionary leadership of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister, and Ruler of Dubai.

“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. 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. This success is the result of a strategic vision that keeps pace with economic and technological transformations, aligned with the ambitious objectives of the Dubai Economic Agenda D33 to double the size of the emirate’s economy by 2033 and establish it as one of the world’s top three urban economies.”

Sheikh Hamdan Bin Mohammed further said: “This latest FDI rankings across key areas mark yet another key milestone in Dubai’s development journey. Even amid economic headwinds elsewhere, Dubai continues to rise as a global magnet for investment, enterprise, and talent, offering stability, world-class infrastructure, and a dynamic business environment. We remain committed to fostering a culture of innovation, enhancing economic competitiveness, and building an exceptional ecosystem that empowers businesses and investors to achieve growth and prosperity. Driven by our bold aspirations, we are resolute in strengthening Dubai’s position as the city of the future and a global hub for the brightest minds and most pioneering enterprises.”

Dubai’s forward-looking strategies have transformed the emirate into a global hub for FDI, with the city’s attractive business environment, favourable regulations, infrastructure, and strategic location making it a preferred destination for investors. In 2024, the city was ranked fourth globally for attracting Greenfield FDI capital, up from fifth position in 2023, while also claiming the top spot in the Middle East and Africa (MEA) region, marking a significant leap in its investment appeal, according to the Financial Times Ltd’s ‘fDi Markets’ data.

The city also advanced from fourth to third globally in terms of jobs created through inward FDI in 2024, securing the top position in MEA. Dubai experienced a surge in talent attraction across key sectors such as business services, software IT services, real estate, transportation/warehousing, financial services, industrial equipment, consumer products, and communications. This highlights the city’s dynamic business environment, strategic economic policies, and ability to draw skilled professionals, reinforcing its position as a top destination for investment and innovation.

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 MEA.

Highlighting Dubai’s robust economic environment and sustainable growth, the 2024 FDI performance is the result of transformational projects and strategies launched within the Dubai Economic Agenda D33, which aims to further consolidate Dubai’s position as a leading global city for business and leisure. With a 6.2% global market share and a 55% share of the Middle East’s total Greenfield FDI projects, Dubai continues to set the benchmark for investment excellence and economic dynamism.

Helal Saeed Almarri, Director General of the Dubai Department of Economy and Tourism (DET), said: “Our ability to consistently attract capital amid shifting global dynamics is a testament to the visionary leadership and strategic foresight of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, as well as the city’s economic strength and our commitment to fostering a future-ready investment ecosystem.

The influx of new capital also 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. Looking ahead, Dubai remains committed to setting new benchmarks in global competitiveness through forward-thinking regulations, cost-effective energy solutions, and strategic global partnerships, as we continue building an ecosystem that empowers businesses to thrive. Our focus on innovation, startup incubation, and digital-first infrastructure ensures that Dubai will continue to be the destination of choice for those seeking growth, opportunity, and success in the global economy. Together, we are shaping a city that stands as the world’s best place to visit, live, work and invest in.”

The fDi Markets data shows that Dubai ranked No.1 globally across Greenfield FDI projects, capital, and jobs created through FDI attraction in clusters such as consumer goods, industrial, and transportation/warehousing; the sectors of food and beverages and tourism FDI; and other categories of cybersecurity and e-commerce. By attracting high value FDI and creating jobs across multiple industries, Dubai has solidified its status as a premier hub for business expansion, further establishing itself as a global centre for trade, technology, and innovation-led growth.

The city was also ranked No.1 in attracting Greenfield projects in sectors and functions including financial services, headquarters, real estate, and artificial intelligence (AI). Dubai’s share of global FDI projects in Advanced Information Technologies (AIT) increased from 7.3% in 2023 to 8% in 2024, reinforcing its position as the world’s top destination for AIT-related FDI projects.

Hadi Badri, CEO of the Dubai Economic Development Corporation (DEDC), the economic development arm of DET, said: “In securing a record number of Greenfield FDI projects during 2024, Dubai is continuing its drive to build a dynamic, opportunity-rich environment.

This achievement reflects not only the optimism of global investors but also the strength of our foundations and long-term vision. At the heart of this success lies a commitment to fostering collaboration across industries, delivering state-of-the-art solutions, and embracing a diversified economic model.

Inspired by the ambitious goals set forth in the D33 Agenda, we are focused on pioneering initiatives that pave the way for sustainable growth. With steadfast support from our visionary leadership and stakeholders, Dubai is charting a course toward becoming a global benchmark for innovation, inclusivity, and enduring value creation.”

In terms of investment types for FDI projects into Dubai, New Forms of Investments (NFIs) saw an impressive 23% increase, reflecting investors’ growing confidence in innovative approaches to capital allocation, while reinvestments surged by 98%, highlighting sustained investor confidence and business expansion within the emirate. Venture capital-backed FDI increased by 39%, reinforcing Dubai’s position as a thriving hub for startups and high growth ventures, and mergers and acquisitions (M&As) rose by 8%, demonstrating strong corporate interest in strategic partnerships and market consolidation.

Dubai FDI Monitor revealed that the top five source countries for FDI capital accounted for 63% of the total estimated flows into Dubai in 2024. India was the top source country with the highest total estimated FDI capital into Dubai, accounting for 21.5%, followed by the United States (13.7%), France (11%), United Kingdom (10%), and Switzerland (6.9%). In terms of total announced FDI projects into Dubai, the top five source countries accounted for almost 55% with the United Kingdom (17%), followed by India (15%), the United States (14%), France (4.5%), and Italy (4%).

In 2024, the top five sectors accounted for 53% of the total estimated FDI capital flows into Dubai, and the top five sectors by FDI projects accounted for 68% of the total announced FDI projects. Based on FDI capital, the leading sectors were hotels and tourism (14%), real estate (14%), software and IT services (9.2%), building materials (9%), and financial services (6.8%). For FDI projects, the top sectors were business services (19.2%), food and beverages (16.5%), software and IT services (14.3%), textiles (9.6%), and consumer products (8.3%).

According to UN Trade and Development, the global FDI outlook for 2025 points to moderate growth, driven by economic stability, technology advancements, and geopolitical shifts. Dubai’s FDI outlook for 2025 remains positive amid global uncertainties and shifting economic dynamics. The city is expected to continue attracting significant investment, particularly in high tech and innovation-driven sectors. With strong investor interest in long-term, inflation-resistant assets, Dubai’s favourable regulatory environment and investment incentives will help it remain attractive to private equity and sovereign investors.

WAM