Despite the global pandemic’s unprecedented negative impact on the global flow of foreign direct investments (FDI), Dubai maintained a high level of investor confidence in 2020, with the total estimated FDI capital flows reaching Dh24.7 billion.

Dubai continued to rank among the top global FDI locations in 2020, ranking fourth globally and first in the Mena region in attracting Greenfield FDI Capital, according to the Financial Times’ fDi Markets.

According to Dubai FDI’s 2020 report ‘Annual Results & Rankings,’ Dubai’s economic resilience, diversity and agility helped it climb the FDI ladder in a year that saw global FDI collapse 42 per cent, from Dh1.5 trillion in 2019 to $859 billion in 2020.

“Dubai’s sustained FDI flows and its leading position in regional and global rankings as a major FDI location in 2020 reflect the continued attractiveness of Dubai’s investment environment and the confidence of the investor community”

“Dubai’s sustained FDI flows and its leading position in regional and global rankings as a major FDI location in 2020 reflect the continued attractiveness of Dubai’s investment environment and the confidence of the investor community,” said Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Dubai Crown Prince and Chairman of The Executive Council of Dubai.

“Dubai’s success in combating the Covid-19 pandemic and starting the recovery phase in record time is a testament to our commitment to provide the best investment environment in the world and transform global challenges into new opportunities for growth, driven by technology, innovation and powered by Emirati and global talent, making Dubai the best place to work, live and invest,” said Sheikh Hamdan.

The ‘FDI Global Cities of the Future 2021/2022’ report, published by fDi Intelligence division of the Financial Times in February 2021, ranked Dubai at No. 3 among the top global FDI locations in the overall rankings and second globally in the ‘Major Cities for FDI’ subcategory as well as second in ‘Economic potential and business-friendly environment’.

Dubai also ranked third in the ‘connectivity’ subcategory. Dubai’s achievements highlight and further strengthen Dubai’s future-readiness and are a key indicator for future investor confidence. Dubai also achieved a record global market share in Greenfield FDI Projects, attracting 2.1 per cent of all Greenfield FDI projects in 2020 and exceeding the 2 per cent mark for the first time, according to the Financial Times’ fDi Markets.

In 2020, FDI into Dubai created an estimated 18,325 new jobs. More than half (57 per cent) of these new jobs were created in high-tech and medium-tech sectors, according to data from Dubai FDI Monitor.

The top 5 source countries accounted for Dh14.8 billion or 60 per cent of the total estimated FDI capital flows into Dubai in 2020. The US maintained its position as the leading source country for FDI into Dubai with 21 per cent of the total estimated FDI capital, followed by France (16 per cent), Japan (11 per cent) UK (7 per cent) and Germany (6 per cent).