The UAE has created 16 catalysts that have helped to attract foreign direct investment, FDI, according to relevant national statistics for the end of 2017.
Along with its political, economic, social and security stability, the country’s geographic location, competitiveness, free-market policies, encouragement for the private sector, and attractive investment environment have enabled it to lead a list of countries that attract FDIs.
The country also has modern and advanced facilities and infrastructure, as per the highest international standards, as well as a range of laws and legislation that are in line with global developments, which create an attractive financial environment for the business sector.
The catalysts include freedom of capital movement, smart government, and transparent policies, regulations, systems and laws.
The UAE also has industrial and free zones that provide facilitation and privileges to attract international companies, as well as advanced financial markets, and modern systems of general, university and technical education that create qualified personnel for the labour market. The UAE also has modern health facilities that provide leading health services.
The country’s increasing GDP, per capita output and purchasing power are also among the key catalysts that attract FDIs.
The country’s net FDI inflow increased from US$9.6 billion in 2012 to $10.4 billion in 2017, an annual growth rate of 1.6 percent while its cumulative FDI inflows increased from $80.6 billion in 2012 to around $130 billion during the same period.
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