Dubai leads globally for greenfield FDI projects for 5th consecutive year

- Dubai secured a record 7% share of global greenfield foreign direct investment (FDI) projects in 2025

Dubai has reinforced its position as the world’s leading destination for greenfield FDI projects for the 5th consecutive year, according to data published by the Financial Times’ fDi Markets database.

In 2025, Dubai delivered one of its strongest inward FDI performances since 2015 with a total of 1,253 greenfield FDI projects announced, a 10.5% increase on 2024. According to the data, Dubai also secured a record 7% share of global greenfield FDI projects, the highest in Dubai's history.  

The results further reinforce the ambitions of the Dubai Economic Agenda (D33), to double the size of Dubai's economy by 2033 and consolidate its position as a leading global destination for business, investment, and innovation. Launched in 2023, the D33 agenda includes the launch of projects that will drive sustainable economic growth through innovative approaches and double GDP by 2033, making Dubai the fastest, safest and most connected city in the world.

HH Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy PM, Minister of Defence, and Chairman of The Executive Council of Dubai said: “Dubai’s sustained global leadership in attracting foreign direct investment reflects the confidence the world places in our economyal shifts into growth pathways, our institutions and our vision for the future. It is the outcome of a long-term strategy built on openness, connectivity, strategic partnerships and a commitment to creating the conditions for businesses to succeed. 

“We are proud of the trust that investors, entrepreneurs and innovators from around the world continue to place in Dubai. This confidence reflects the resilience of our economy, the strength of our fundamentals and our ability to constantly create new opportunities for growth.

“Dubai’s competitiveness is also built on our ability to anticipate change, adapt quickly and transform global shifts into growth pathways. As we strengthen our position as the preferred global destination for investment, we remain focused on creating long-term economic value and reinforcing Dubai’s role as a major player in the global economy. 

"Our ambition is not only to attract investment, but to create an environment where the world’s brightest talent and most ambitious businesses come together to build the industries and opportunities of tomorrow.” 

Strengthening its position as a preferred global base for multinational corporations, Dubai retained the No. 1 global ranking for headquarters greenfield FDI projects for the 4th consecutive year, reflecting sustained confidence in the emirate’s ability to support regional and international expansion. Dubai also maintained its global leadership in AI-related greenfield FDI projects for the fourth year running, reinforcing its position as a centre for innovation-led growth and advanced technologies.

Dubai further ranked No. 1 globally across several strategic clusters, including information and communications technology (ICT) and electronics, creative industries, professional services, life sciences, consumer goods, financial services, industrial equipment, and environmental technology. 

For the first time, Dubai ranked No. 1 globally in manufacturing FDI projects, marking a significant milestone in the city’s economic diversification journey and highlighting its growing role as an emerging cutting-edge manufacturing centre, directly aligned with the goals of the D33 Agenda. 

Dubai also secured the No. 1 global position in transportation and warehousing across projects, reflecting its continued strength as a global logistics and trade gateway. In addition, Dubai ranked first globally in several high-impact industries, including food and beverages, electronic components, healthcare, business machines and equipment, cleantech, metals and e-commerce. 

Notably, Dubai was the only destination city worldwide to attract more than 10 greenfield FDI projects across several of these sectors, meeting the global ranking threshold and demonstrating the breadth of its diversified economic base and its ability to sustain investment momentum across both established and future-focused industries.

Helal Saeed Almarri, Director General of the Dubai Department of Economy and Tourism (DET) said: “Dubai’s ability to maintain its global leadership in greenfield FDI attraction for the 5th consecutive year is a testament to the visionary leadership of HH Sheikh Mohammed bin Rashid Al Maktoum, VP and PM of UAE and Ruler of Dubai and the continued confidence international investors place in the emirate. 

"While global markets may have navigated significant challenges over recent months, Dubai entered this period with quantifiable momentum, attracting record levels of capital. This is a clear reflection of the trust that investors and multinational corporations place in our future-ready ecosystem. 

“This performance underscores the strength of Dubai’s diversified economy, the depth of its public- private partnerships, and the efficacy of a well-defined forward-looking regulatory framework that continues to attract high-quality investment across priority sectors. These results further reinforce the ambitions of the Dubai Economic Agenda, D33, highlighting Dubai’s position as one of the world’s most resilient investment destinations.”

Beyond the headline rankings, 2025 saw broad-based growth across capital deployment and project activity. The city attracted US$8.83 B in greenfield FDI capital in 2025, according to the fDi Markets database. Greenfield FDI also supported the creation of 38,918 jobs in 2025, an 18.8% increase from 32,754 jobs in 2024. 

Performance during the year was also shaped by a mix of investment types, with continued momentum across greenfield projects, reinvestments, venture capital-backed activity, mergers and acquisitions, as well as strategic expansions. 

Dubai attracted investment across key business functions including business services; construction; retail; logistics, distribution and transportation; and manufacturing. This reflects investor confidence in Dubai’s ability to support diverse operational requirements, from regional headquarters and logistics hubs to advanced manufacturing and consumer-facing businesses. 

HE Hadi Badri, CEO of the Dubai Economic Development Corporation (DEDC), the economic development arm of DET said: “The scale and quality of FDI inflows in 2025 reflect sustained global confidence in Dubai’s long-term growth trajectory. The continued inflow of capital investment is further evidence that investors are deepening their operational presence rather than adopting short-term positioning strategies. 

"From headquarters and high-value manufacturing to AI, fintech, logistics, and creative industries, the diversity and quality of investment flows demonstrate Dubai’s ability to anticipate structural shifts in the global economy. Investors recognise that Dubai offers a unique combination of agile regulation, world-class digital infrastructure, and access to top-tier global talent. 

"As we continue to advance the goals of the Dubai Economic Agenda, D33, deal activity and expansion momentum remain strong, reinforcing our outlook for accelerating momentum in 2026 and beyond.”

Dubai FDI Monitor data confirmed continued confidence from a diverse mix of international source markets, reinforcing the emirate’s role as a globally connected investment hub. Source markets varied across capital flows and project activity, reflecting broad-based investor confidence from North America, Europe, Asia, and the GCC. India topped the list of top 10 investors, with China in 5th place and Singapore ranked 7th. 

Sectoral performance remained broad-based, with strong investment activity across business services, hotels and tourism, transportation and warehousing, consumer products, real estate, software and IT services, and financial services, demonstrating continued momentum across both traditional and future-economy sectors.

A recently-announced AED2.5 B economic incentive package reflects Dubai’s proactive approach to governance. Designed to ease financial pressures, enhance liquidity, and support business continuity across key sectors, the package includes fee deferrals across hospitality, trade, and licensing, extended customs grace periods, and streamlined residency permit processes to support global talent attraction and retention. 

Singapore, Kazakhstan promote bilateral trade

Singapore and Kazakhstan have exchanged a bilateral investment treaty to support greater investment flows between both countries.

The treaty protects the interests of investors from Singapore and Kazakhstan and gives them more confidence to leverage investment opportunities in either country. Under the terms of the treaty, Singapore companies operating in Kazakhstan will enjoy protection on their investments on top of that already accorded under Kazakhstan’s domestic laws, and vice versa. The Kazakhstan-Singapore treaty will also grant investors from both countries:

 Non-discriminatory treatment compared to other foreign investments (most favoured nation treatment);

 Fair and equitable treatment and full protection and security based on customary international law;

 Protection from illegal expropriation*;

 Non-discriminatory compensation for losses arising from war, armed conflict and civil strife;

 Freedom to transfer capital and returns in and out of country; and

 Access to international arbitration for investment disputes.

Singapore's Senior Minister of State for Trade and Industry Dr Koh Poh Koon commented that there is still headroom for bilateral trade growth. “Emerging markets such as Kazakhstan have strong potential for growth. Kazakhstan’s rapidly improving economic reforms, highly literate workforce and growing urban middle class present opportunities for Singapore companies. I strongly encourage our companies to venture into Kazakhstan and the rest of Central Asia,” he said.

2018 marks 25 years of bilateral relations for the two countries, Dr Koh revealed in a speech at the Kazakhstan-Singapore Business Forum. "Kazakhstan’s forward thinking leadership embraced globalisation early on, participating in the ebbs and flows of shifting global supply chains, and linking markets from Europe to Asia. Kazakhstan stands at the crossroads between the East and West, and the North and South. As the world’s economy moves East, Kazakhstan can be a key node connecting China, Central Asia, Europe and possibly even Southeast Asia," he said.

"The opening of the Astana International Financial Centre (AIFC) in July this year is a notable step that could help build up Kazakhstan as a Eurasian commercial and financial node that would eventually serve as the pathway for investments and other economic opportunities in the region." 

Kazakhstan is Singapore’s most significant economic partner among the five Central Asian states of Kazakhstan, Kyrgyzstan, Uzbekistan, Turkmenistan and Tajikistan. Minister Koh said bilateral trade in goods amounted to S$133.6 million last year, while bilateral trade in services grew 16% over the last five years to reach S$40 million in 2016. Bilateral investment grew approximately 30% over the same five-year period.

Kazakhstan is also part of the Eurasian Economic Union (EAEU), a customs union formed by Russia, Armenia, Belarus, Kyrgyzstan and Kazakhstan. Singapore is in the process of negotiating a free trade agreement with the EAEU and will build on the current agreement as a foundation to the negotiations.

*This refers to a public sector authority taking property from a private sector owner for public use or benefit.

Dubai shares upbeat FDI outlook

Increasing foreign direct investment (FDI) inflows reflect growing investor confidence in Dubai, UAE, said HH Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and the Chairman of The Executive Council.

HH said that FDI into Dubai had grown in 1H18, reaching US$4.84 billion. This is a 26% increase compared to the first half of last year, while the number of FDI projects surged to 248, an increase of 40% over the same period last year,. The figures are from Dubai FDI Monitor data issued by the Dubai Investment Development Agency (Dubai FDI), an agency of the Department of Economic Development (DED) in Dubai.

"The rise in FDI capital and projects reinforces Dubai’s leading position as the preferred global location for global businesses and startups pursuing growth and expansion and clearly reflects investor confidence in Dubai’s economy,” Sheikh Hamdan added. Dubai’s ability to maintain its position as one of the top FDI destinations in the world reflects the confidence of the global investor community in its business environment and its ability to offer diversified investment opportunities in key growth sectors, especially knowledge and technology, he said.

The Dubai FDI Monitor shows that 43% of all FDI projects in 1H18 use high and medium technology, according to the Organisation for Economic Co-operation and Development (OECD)*. Strategic projects accounted for 56% of total investment projects that Dubai attracted in 1H18. India and Thailand were in the top five list of source countries for FDI capital. India was also one of the top five countries initiating investment projects.

Sheikh Hamdan highlighted Dubai's success in attracting investments from both developed and developing markets and providing a platform for businesses to serve markets across the Middle East, Africa and South Asia. This has enhanced the emirate’s status as a strategic gateway to regional and international markets and a pivotal hub in the global economy, he said.

He also commended Dubai FDI’s role in increasing global awareness of the advantages Dubai provides as a smart and sustainable city of the future, a gateway to regional growth markets and a global business hub, as well as a city that attracts FDI which can contribute positively to sustainable economic growth and prosperity.

Sami Al Qamzi, Director General, DED, said: “FDI flows in the first half of 2018 reaffirm the sustained growth of Dubai economy, and the diversity, competitiveness and attractiveness of the emirate.” He said the 2018 results follow on from Dubai's achievements in 2017, which include being ranked 4th in greenfield FDI projects, 10th in FDI capital flows and 5th in FDI reinvestment projects globally.

He also stressed that Dubai's economy is confident of boosting FDI flows, backed by the strengthening of its economic stimulus, closer cooperation and partnership within the business community and new laws that enhance Dubai's competitiveness as a preferred FDI destination and leading incubator for innovation.

Fahad Al Gergawi, CEO of Dubai FDI said growth of foreign investments into Dubai and new projects and investments based on advanced technology underlines Dubai’s significant role in driving the 4th Industrial Revolution and its ability to be prepared for future economic shifts. The emirate’s strategic approach of encouraging investment in industries based on innovation, artificial intelligence (AI) and the Internet of Things (IoT) have also proved attractive for investors, he said.

Al Gergawi added: “We are confident about the future prospects for enhancing FDI flows, especially following the issuance of new laws that enhance Dubai's competitiveness as a preferred global destination for investment and an incubator for innovation and creativity, including laws allowing 100% foreign ownership of companies, (and) 10-year residency visas for investors, innovators, professionals and top-performing students.”

Dubai has witnessed an increase in FDI capital inflows in the past year, despite the decline in global FDI flows. Total FDI flows reached AED27.3 billion in 2017, a 7% increase compared to 2016.

*OECD classifies technology as high, medium-high, medium-low and low-technology. The classification is based on the importance of expenditures on research and development relative to the gross output and value added of different types of industries that produce goods for export. Examples of high-technology industries are aircraft, computers, and pharmaceuticals; medium-high-technology includes motor vehicles, electrical equipment and most chemicals; medium-low-technology includes rubber, plastics, basic metals and ship construction; low-technology industries include food processing, textiles, clothing and footwear.

Growing Vietnam sees investments from around the region: UOB

According to the United Overseas Bank (UOB) Asian Enterprise Survey 2016*, Vietnam is likely to see increasing investments from its neighbours Malaysia, Thailand and Singapore in the next three to five years.

Enterprises from Malaysia (38%), Thailand (35%) and Singapore (29%) have ranked Vietnam as their top three expansion destinations. They are among the 28% of all respondents who chose the country as their favoured expansion destination in the next three to five years. These Asian enterprises are drawn to Vietnam’s stable political and economic climate (41%), large and growing customer demand (40%) and its favourable tax and regulatory environment (35%).

With economic growth of 6.7% in 2015 and a young workforce where 60% of its 90 million-strong population is under 35 years old, Vietnam is proving to be an attractive investment destination. In the first half of 2016, the country received a record US$11.3 billion in foreign direct investment (FDI), up 105% from the same period last year**.

Eric Tham, Head of Group Commercial Banking at UOB, said that the findings from the UOB Asian Enterprise Survey 2016 reaffirmed the entrepreneurial spirit of Asian enterprises as they continue to seek new markets for growth.

“According to the survey, the top industry sources of foreign investment into Vietnam are from the manufacturing, healthcare and pharmaceuticals, construction and real estate, as well as energy and natural resources sectors. These sectors are key as the country aims to build a strong foundation to support its long-term economic growth.

“Investments into Vietnam will also create more jobs and boost income. This in turn will open the doors for new economic opportunities as Vietnam’s growing urban population and expanding middle class start spending more on consumer goods, and on healthcare services to ensure their personal health and wellbeing. In addition, Vietnamese enterprises will benefit from collaborating with foreign companies in the areas of knowledge sharing and skills transfer,” said Tham.

One company that has ventured into Vietnam to expand their business is CKL Holdings, a food and beverage conglomerate with manufacturing facilities in Ho Chi Minh City for the production of beverages. Chia Chor Meng, Group Chairman of CKL Holdings, said, “We first set up a production plant in 1996 in light of Vietnam’s huge consumer market, lower operating cost, availability of work force and abundant natural raw materials. By having research and development facilities there, we are also able to manufacture and sell products that suit the tastes of the local population. We also tapped Vietnam’s conducive export environment to distribute our products to 60 countries worldwide. Last year, we established our second factory, which is five times the size of the first, to meet increasing customer demand.”

Vietnam’s government is increasing its efforts to attract foreign investment. One example is the memorandum of understanding (MoU) signed between the Vietnam Foreign Investment Agency (FIA) and UOB in 2015 aimed at increasing investment and trade between Vietnam and Southeast Asia. The MoU is FIA’s first such collaboration with a bank.

Tham added that while Vietnam’s economy may be affected by global market uncertainties stemming from a precipitous drop in oil prices and tepid consumer demand in the West, Vietnam’s rapid development presents many opportunities for Asian enterprises.

“The global economy may be slowing down but the Vietnamese economy is still seeing growth. Asian companies that are able to seize the arising opportunities, and produce the products and services needed to meet the rising demands of Vietnam’s middle class, will have a unique opportunity to build strong and sustainable regional businesses,” said Tham.

Interested?

Read the UOB Asian Enterprise Reports 2016

*The survey was conducted by UOB in May and June 2016 among 2,500 Asian enterprises across mainland China, Hong Kong, Indonesia, Malaysia, Singapore and Thailand. The objective was to explore how Asian enterprises are capitalising on business opportunities amid global and regional economic trends and trade flows. 

**Source: Doing Business in Vietnam, International Enterprise Singapore

Investors more confident about FDI placement in Singapore

Singapore is in the top-ten list in the 2016 AT Kearney Foreign Direct Investment (FDI) Confidence Index*. The city-state jumped five places – the biggest rise in rankings - to take the 10th spot in this year’s index.

The index is a forward-looking analysis of how political, economic, by  regulatory changes will likely affect FDI inflows into countries in the coming years. Since its inception in 1998, the study has reliably pointed toward firms’ top choices globally for FDI, with the countries ranked in the index tracking closely with the destinations for actual global FDI inflows.

The index is constructed using primary data from a proprietary survey administered to senior executives of the world’s leading corporations. In this year’s survey, 31% of the respondents said they were more optimistic about Singapore’s economic outlook over the next three years, compared to a year ago.

“Singapore has established itself as a regional financial hub. Its robust economy, stable political environment, corruption free establishment and an educated talent pool have made it an attractive destination for global firms,” said Soon Ghee Chua, Partner and Head of Southeast Asia at global management consulting firm AT Kearney.

“Singapore is consistently ranked as one of the easiest places to do business. That has seen major global companies set up their regional headquarters here. Singapore is also a member of the Association of Southeast Asian Nations (ASEAN) further adding to its lure for companies looking to tap into the 10-nation economic bloc’s growth potential. All of this has contributed to the growth in FDI into the country.”

The results of the index also show that domestic market size, cost of labour, regulatory transparency and lack of corruption are among the top factors that executives look at when making decisions about investing in a country.

Overall, five Asian countries feature in the top-ten rankings in this year’s index, highlighting the confidence global business leaders have in the region:

• China: Ranked second for the fourth year in a row.
• Japan: Continues to rise in the rankings, up one spot this year to 6th place.
• Australia: Jumped three spots to take 7th place.
• India: Jumped two places to re-enter the top 10 at the 9th spot.

The US tops the FDI Confidence Index, holding its first-place position for the fourth year in a row. Global business executives are also more bullish on the US economic outlook than for any other economy. China claimed second place, also for the fourth consecutive year. However, investor expectations about the Chinese economy turned more negative this year, and executives say they will reduce their FDI in China if market volatility persists.

“The US and China have held steady at the top of the index in the face of significant changes in the global operating environment over the past four years,” said Paul Laudicina, founder of the FDI Confidence Index and chairman of AT Kearney’s Global Business Policy Council.

“Executives’ sustained interest in investing in the US and China demonstrates the undeniable and enduring attractiveness of the two largest economies in the world. Over the 18 years of this assessment we have observed consistent investor preference for large markets with robust economic prospects.”

Global executives are increasingly turning to FDI to ignite growth opportunities, despite the overall trend of slowing globalisation. Global FDI flows jumped 36% to an estimated US$1.7 trillion in 2015 - the highest level since 2007 - and the vast majority of executives also believe that FDI will become more important for corporate profitability and competitiveness in the near term. Accordingly, more than 70% of firms in the survey plan to increase their level of FDI over the next three years. A likely reason for this is the rise of protectionist sentiments in many countries - creating greater need for a local presence to do business in those markets.

Interested?

Read past editions of the FDICI

*The 2016 AT Kearney Foreign Direct Investment (FDI) Confidence Index is constructed using primary data from a proprietary survey administered to senior executives of the world’s leading corporations. The survey was conducted in January 2016.

Respondents include C-level executives and regional and business leads. All companies participating in the survey have annual revenues of US$500 million or more. The participating companies are headquartered in 27 different countries and span all sectors. The selection of countries from which to survey senior executives is based on data from the United Nations Conference on Trade and Development (UNCTAD), with the 27 countries represented in the FDI Confidence Index accounting for more than 90% of the source of global FDI flows in recent years. Service-sector firms account for 45% of respondents, while industrial firms account for about 35% and IT firms account for about 15%.

The index is calculated as a weighted average of the number of high, medium, and low responses to the questions on the likelihood of making a direct investment in a market over the next three years. Index values are based on responses only from companies headquartered in foreign markets. For example, the index value for the US was calculated without responses from US-headquartered investors. Higher Index values indicate more attractive investment targets.

FDI flow figures are the latest statistics available from the UNCTAD, and all 2015 figures are estimates. Other secondary sources include investment promotion agencies, central banks, ministries of finance and trade, and other major data sources.

ASEAN is biggest FDI recipient in the developing world for 2014

Source: ASEAN Secretariat.

This year, the annual ASEAN Investment Report reviews the rise of foreign direct investment (FDI) flows into ASEAN and highlights the role of corporate players in infrastructure development and regional connectivity.

In 2014, ASEAN became the largest FDI recipient in the developing world. FDI flows into the region rose for the third consecutive year from US$117.7 billion in 2013 to US$136.2 billion in 2014 – despite a 16% decline in global FDI flows and uneven global economic growth. The improvement of the region's investment environment, as well as regional integration process to establish the ASEAN Economic Community (AEC) by the end of 2015 contributes to the attractiveness of the region for FDI – in addition to the strong regional economic fundamentals and market growth. FDI flows from the majority of ASEAN's Dialogue Partners have been strong, while intra-ASEAN investment also rose by 26% to US$24.4 billion in 2014 from US$19.4 billion in 2013, making ASEAN the second largest investor in the region after the European Union in 2014.

ASEAN Member States are economically connected through the operations of MNEs and ASEAN companies that involve regional value chains and regional production networks. ASEAN Member States are also increasingly physically interconnected through infrastructure development at national, subregional and regional levels. Huge national infrastructure plans have been announced to meet rapidly growing economy. At least US$110 billion a year will be needed in the region through to 2025 – which covers transport, power, ICT, and water and sanitation developments. The private sector has been an important player in both physical and economic connectivity in the region and will need to play a greater role in building infrastructures that will further connect the region.

The ASEAN Investment Report is prepared under a technical cooperation arrangement between the ASEAN Secretariat and the United Nations Conference on Trade and Development (UNCTAD), and supported by the Government of Australia through the ASEAN-Australia Development Cooperation Phase II (AADCP II).

Interested?

Download the ASEAN Investment Report from: 

http://www.asean.org/images/2015/November/asean-investment-report/ASEAN%20Investment%20Report%202015.pdf

http://investasean.asean.org/news-and-events/asean-investment-report-2015.html

http://unctad.org/en/PublicationsLibrary/unctad_asean_air2015d1.pdf

The diversification challenge facing GCC countries

If the GCC countries were to catch up to the average OECD level of diversification, the region could see additional gains of up to US$17.7 billion. This is one of the findings of EY’s Growth Drivers 2 report: Digging beneath the surface - Is it time to rethink diversification in the GCC? 

Gerard Gallagher, MENA Advisory Leader, EY, says: “Dependence on oil and growing youth unemployment are the GCC’s biggest economic challenges. With recent oil price volatility, diversification has returned to the top of the GCC agenda; it’s an opportunity worth US$17.7 billion. To put that into context, it is more than three-quarters of the entire flow of foreign direct investment to the GCC region for 2013.” ­­

The EY Diversification Tracker, which benchmarks the GCC countries both globally and against each other, provides a standardised basis for assessing the degree to which economies have moved away from dependence on oil. It focuses on three aspects — export complexity, the share of the non-oil sector and private versus public sector spending — which have been combined to give a percentage of diversification relative to the highest global performer.

The report identifies a ‘sweet spot’ where regional strengths, economic impact and nationals’ employment preferences meet, allowing all three factors to be achieved.

“The best drivers of diversification are those that have the strongest linkages with the rest of the economy. These sectors are said to have a high economic multiplier: in other words, a dollar of investment translates into far more than a dollar of GDP due to the stimulation of other sectors. Sectors that fall in the sweet spot include: transport, financial services, retail and tourism, telecoms and R&D,” says Gallagher.

The analysis of multiplier sectors in hydrocarbon economies shows that additional investment in oil and gas brings the least additional return to GDP at US$1.30 and affects just seven other sectors. Construction is at the opposite extreme. It has the highest economic multiplier, averaging an impact of US$1.80 in GDP for every dollar invested in construction activity. This trickle down feeds into almost every other sector.

Michael Hasbani, New Markets Leader, MENA Advisory Services, EY says: “The key is not for governments to pump more public money into these sectors. The public sector needs to shift from being the main investor to being the enabler and driver of business, resetting the incentives, removing regulatory obstacles, encouraging collaboration and providing world-class infrastructure and services. The goal for diversification is not what is achievable in each individual country, it is how Gulf companies and governments can find innovative, proactive and profitable solutions to challenges such as resource scarcity, demographics and digitalisation, that are having a profound impact on how business is done and on where jobs are created.”

Creating jobs will be a critical outcome. However, diversification does not automatically create jobs that are viable substitutes for public sector employment. Creating private sector jobs will not ensure employment for young nationals unless they are taught the technical skills and professional attitudes that would both motivate and enable them to take on the increasingly demanding jobs that the knowledge economy brings.

To tackle this issue, many of the Gulf countries have been working to improve their education systems and have developed innovation ecosystems, encouraging technical research and entrepreneurship.

“Diversification will struggle if the GCC region only looks inwards. Governments and companies in the region should shape global trends to its advantage. The sectors that are preserved without transformation will no longer be relevant to the rest of the world, let alone competitive. The window of opportunity to break the reliance on oil and gas is now, but it will require new and innovative approaches to make it happen. It is time to truly capitalise the collective strength of the GCC, integrating our economies and harmonising regulations to encourage long term, sustainable prosperity and fulfill our global ambitions,” said Hasbani.

Taiwan a strong contender for Asia Pacific headquarters status: BERI

Looking for a new site for Asia-Pacific regional headquarters? Your new office could be in Taiwan.
 
Business Environment Risk Intelligence (BERI) has ranked Switzerland, followed by Singapore and then Taiwan top for the "Profit Opportunity Recommendation" metric out of 50 countries and territories in its third "Report on the Evaluation of Environmental Risks of Investment" for 2013, issued in December 2013.
Taiwan ranks second in the world after Singapore for operations risk. BERI noted that although the island's economic growth momentum is being held back by weak private consumer demand, warming exports are expected to stimulate economic recovery in 2014. 

The organisation predicted that Taiwan's financial sector will maintain growth momentum in 2014 and 2015, with most banks enjoying a healthy structure and stable profits.

The report gave Taiwan a continued recommendation to invest. BERI pointed out that the island is continuing to strengthen its external economic and trade relations, especially through the promotion of free trade agreements, and relations with mainland China are expected to remain friendly over the next five years. 

For political risk, Taiwan is tenth-lowest in the world and second-lowest in Asia, behind only Singapore. In the "Remittance and Repatriation Factor" index on the other hand, Taiwan ranks top in the world. 

In its report, BERI pointed out that Taiwan has a healthy trade and current account surplus; its trade surplus totaled US$28.24 billion in the first 10 months of 2013 and its current account surplus for the whole year was projected to reach US$55.78 billion, exceeding the US$48.88 recorded in 2012.