Dubai beats New York, Paris as top city for FDI in financial firms

Dubai reinforces its international position as a favored destination for foreign investment among global peers, according to a survey released by the City of London Corporation. 

Despite the repercussions of the Covid-19 pandemic, Dubai emerged as a competitive model for recovery and prosperity.

Bloomberg reported that in 2021, Dubai attracted more foreign investment in financial firms, outpacing Singapore, New York, and Paris.

Dubai received 104 financial and professional services projects, followed by Singapore with 103 projects, the report revealed.

According to the research, London garnered foreign investments worth 600 million pounds ($764 million) in financial institutions with a total of 114 professional services projects in 2021.

Reinvestment projects accounted for 11 percent of the total foreign direct investment (FDI) projects in the emirate.

In terms of capital flows and the number of new FDI  and reinvestment projects, Dubai ranked first in the region and third globally.

In addition, according to the Financial Times’ FDI Markets online database, which tracks statistics on new FDI global projects, Dubai rated first in the regional and sixth global in terms of FDI-generated employment.

Moreover, Dubai outperformed major global cities in every category, promoting an ideal qualitative environment rich in potential opportunities in business, tourism, creativity and innovation, quality of life, as well as in smart, flexible, and strong infrastructure.

Also, data on FDI flows indicate that Dubai is witnessing remarkable growth across all economic indicators.

Similarly, data released by the Dubai FDI Monitor –  which tracks, investigates, and analyzes all kinds of FDI flows to Dubai, indicated significant growth in all major indicators compared to 2020.

Furthermore, out of a total of 618 projects announced in 2021, including new investment projects, reinvestment projects, mergers and acquisitions (M&As) projects, joint ventures, new types of investment, and FDI from venture capital, the estimated value of total capital flows of FDI projects exceeded 26 billion dirhams in 2021, an increase of 5.5 percent over 2020.