UAE sees 116% growth in FDI

WAM

Foreign Direct Investments (FDI) in the UAE witnessed significant growth in recent years, despite the challenges posed by the COVID-19 pandemic.

According to a report by the Ministry of Economy, during the past decade (2012 to 2021), FDIs in the country increased by 116 per cent, amounting to $20.66 billion in 2021 compared to $9.56 billion in 2012.

FDI inflows witnessed remarkable growth over the last decade, rising from $9.76 billion in 2013, $11.07 billion in 2014, $8.55 billion in 2015, $9.6 billion in 2016, and $10.35 billion in 2017, $10.38 billion in 2018, $17.87 billion in 2019, and $19.88 billion in 2020.

In light of this growth, the UAE was ranked 19th globally in the list of top 20 countries that attract FDIs, and the first in West Asia and the Middle East and North Africa region.

Moreover, the cumulative FDI balance received by the UAE also increased by 141.6 per cent from 2011 to 2021, rising from $71.02 billion to reach $171.56 billion last year, representing an increase of more than $100.5 billion over 11 years.

In recent years, all national economic sectors have continued attracting FDIs.

According to data from the Central Bank of the UAE, the manufacturing sector grew by 13 per cent, the healthcare sector by nine per cent, the information and communication technology sector by six per cent, the financial, banking and insurance sector by four per cent, the real estate sector by four per cent, the oil and gas sector by three per cent, and the services sector by two per cent, compared to 2020.

Meanwhile, the value of global FDI inflows amounted to $1.6 trillion, an increase of 64 per cent compared to 2020.

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