Expatriate professionals and workers have ranked the UAE the world’s fourth-best destination to live and work for foreigners. HSBC Bank’s Expat Explorer 2021 ranked the world’s 50 destinations for expat living, aspirations and future outlook. The UAE is a haven for foreigners which comprise 9 out of 10 people in the country.

The overall Expat Explorer rank is based on three sub-ranks: Living, Aspiring and Future Outlook. The UAE ranks fourth worldwide on the sub-rank Aspiring while it ranks eighth on the other two sub-ranks.

Switzerland tops this year’s rankings, followed by Australia and New Zealand at No. 2 and 3, respectively. The UAE ranks fourth with the tiny self-governing British Crown dependency Guernsey rounding up the Top 5.

Opportunity UAE

The UAE jumped 10 slots in the 2021 survey from the 14^th spot it occupied in last year’s rankings. “Opportunity awaits expats in the cultural hubs of the UAE. You can look forward to a high standard of living in one of the most progressive countries in the Gulf region,” says the HSBC UAE Guide.

With zero income tax, one of the highest per capita incomes and a lifestyle second to none, the UAE has been a strong magnet for expat professionals looking to supercharge their careers. “It’s no surprise that the UAE has become a hub for expats looking to accelerate their careers,” notes the report.

“Expats from across the world set their sights on the 7 emirates to boost their income, which is a major factor in convincing them to stay. There are also excellent opportunities for young professionals under the age of 35. In the UAE, you can boost your wages by more than half,” it adds.

The Arab world’s second-biggest and most diversified economy, which turns 50 this December, hosts about 8.84 million expatriates from about 200 nationalities. As the country’s trading, technology and tourism hub, Dubai accounts for over four million residents.

“The UAE’s buzzing cities of Dubai and Abu Dhabi are the perfect setting to network with other professionals. Dubai is popular with expats, ranking alongside New York and Shanghai as one of the best international hubs to progress your career,” says the HSBC Country Guide. “Although the cost of living in Dubai is relatively steep, the impressive salaries and faster rate of promotions mean you’ll enjoy a better quality of life compared to at home.”

Expats lifestyles

The 2021 edition of Expat Explorer finds that the majority (67 per cent) of those who live abroad believe their quality of life is better now than in their home country or region. Additionally, more than half of expats (61 per cent) say they have experienced little change to their work situation due to Covid-19.

Overall, things are looking up. Nearly half of expats say their communities have become more supportive in the wake of the pandemic. And more people felt able to settle in quickly this year than in 2020 (23 versus 19 per cent, respectively).

Travel and understanding the local culture are now topping the list of expat priorities in 2021. More traditional factors like career progression remain important but are less of a factor this year than in others.

Of course, many expats still move abroad with their families, and moving abroad still offers a host of benefits for children. Nearly half (43 per cent) of expat children are perceived as having more confidence and a wider skill set since relocating abroad.

The UAE, Qatar, Singapore, Bahrain, and Malaysia are countries where expat children are observed to learn openness to new cultures​. Further, alongside the Philippines and South Africa, India was called out by expats as a top location for children to make friends.

In terms of wellbeing, Australia ranked highest at 62 per cent, followed by Switzerland and New Zealand (both 61 per cent). When it comes to the places where expats feel most fulfilled, the UAE and Indonesia rank highest. Over half (51 per cent) of expats describe these as destinations where they can achieve a sense of fulfilment, followed by India (49 per cent), and Taiwan (48 per cent).

Optimistic expats

This edition of Expat Explorer revealed growing global confidence, with nearly two-thirds of expats optimistic about the next 12 months. About 65 per cent of expats felt optimistic about the year ahead. Three-fourths (75 per cent) of expats were optimistic about ‘normality’ returning soon. At 71 per cent, Asia ranked as the highest region for optimism about the year ahead.

Four out of five expats say they will continue living in their host country for the next year at least. A record 63 per cent of expats have seen their disposable income increasing since moving abroad.

Expats find their finances complex to manage. Over half (52 per cent) say this is due to their tax situation. About 60 per cent of expats say saving for retirement is one of their top three goals. Two-thirds of expats reported better quality of life since relocating. The Middle East, North Africa and Turkey was the top region for quality of life, with 71 per cent of expats recommending it.

Richer expats

The 2018 Expat Explorer Survey revealed UAE expats were among the world’s highest-paid. The survey said the average expat salary in the UAE was the sixth highest in the world. Switzerland, the US, Hong Kong, China and Singapore made up the Top 5. The annual UAE expat’s paycheque was pegged at an average of $155,000 or over Dh47,000 per month.

The study also found moving abroad has resulted in higher take-home pay. A fifth of the expats said their incomes least doubled since making the shift to the UAE. According to the survey, the majority (67 per cent) of the UAE expats enjoy more disposable income. That’s thanks to higher earnings and a tax-free environment.

The 14^th edition of the Expat Explorer survey was commissioned by HSBC and conducted by research company YouGov. More than 20,400 expats in over 46 countries and regions were interviewed between April and May 2021.