UAE FDI Reaches Record Dh177.3 Billion as Investment Grows

The UAE Capital
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The UAE recorded Dh177.3 billion in foreign direct investment in 2025, while non-oil trade also reached record levels.

The UAE attracted a record Dh177.3 billion in foreign direct investment in 2025, strengthening its position as one of the world’s leading destinations for international capital.

The inflow, equivalent to around $48.3 billion, increased 6% from the previous year and marked the UAE’s fourth consecutive year of record FDI. The country’s total FDI stock also reached Dh1.171 trillion by the end of 2025.

The latest figures come as Dubai prepares to host the 15th edition of AIM Congress from September 7 to 9, where global investors, policymakers, sovereign wealth funds, financial institutions, and businesses will gather to discuss new investment opportunities and the future direction of global capital.

UAE Ranks Ninth Globally for FDI

The UAE climbed to ninth globally among destinations for inbound FDI in 2025, improving from 10th place the previous year, according to data from the United Nations Conference on Trade and Development.

The country also retained its position as the world’s second-largest destination for new greenfield FDI projects for the third consecutive year, attracting 1,562 projects.

Those projects represented combined capital expenditure of about Dh125.2 billion and accounted for 1.8% of global greenfield project capital expenditure. The projects also generated more than 65,000 jobs across sectors including software and IT, financial services, transportation and warehousing, automotive manufacturing and communications.

Greenfield investment remains an important part of the UAE’s FDI profile, accounting for close to 45% of total inflows in 2025. Mergers and acquisitions represented 8%, while reinvestment accounted for 11.2%.

Manufacturing and Technology Lead Investment

The composition of greenfield investment also highlights the sectors attracting international capital.

Manufacturing accounted for 30% of greenfield investment, while communications represented 29%. Real estate contributed 7%.

The communications figure was supported by major digital infrastructure projects, including Stargate UAE, the 1-gigawatt AI computing cluster being developed in Abu Dhabi by UAE-based G42 with OpenAI and other partners.

The numbers point to a shift in the type of investment entering the country. Alongside real estate and traditional business services, the UAE is attracting capital into advanced manufacturing, digital infrastructure and other sectors linked to the new economy.

Non-Oil Trade Nears Dh2 Trillion in Six Months

The investment momentum has been accompanied by rapid growth in the UAE’s non-oil trade.

Non-oil foreign trade reached Dh1.937 trillion in the first half of 2026, up 13.1% from the same period a year earlier.

Non-oil exports reached a record Dh452.8 billion, up 23.9% year on year. The figures mean the UAE came close to the Dh2 trillion mark in non-oil foreign trade in just six months.

Gold remained the country’s largest non-oil traded commodity during the period, while telecommunications equipment, gold jewellery, automobiles and diamonds were also among the leading traded products.

The growth is significant for the UAE’s diversification strategy because trade and investment are increasingly being supported by activity outside the oil sector.

AIM Congress Returns to Dubai

The record investment numbers form the backdrop for AIM Congress 2026, which will take place at Dubai World Trade Centre from September 7 to 9.

This year’s theme is “Reshaping Global Prosperity: Unlocking New Investment Pathways Towards a Sustainable and Inclusive Future.”

The programme is organised around three pillars: Global Markets, Future Economies and NexGen, with discussions covering international capital flows, emerging markets, technology, sustainability, digital transformation and cross-border investment.

The event is expected to bring together government officials, investment promotion agencies, sovereign wealth funds, institutional investors, technology companies, and business leaders seeking opportunities across emerging markets and strategic sectors.

UAE Positions Itself as More Than an Investment Destination

Dawood Al Shezawi, Chairman of the AIM Global Foundation, said the record investment figures reflected a broader change in how global capital views the UAE.

He said the country is increasingly being seen not simply as a destination for investment, but as a partner in shaping where future growth will come from.

That positioning is supported by the breadth of investment entering the country. The UAE is attracting capital across manufacturing, communications, technology, real estate and other sectors, while its non-oil trade continues to expand.

AIM Congress is intended to build on that momentum by bringing capital providers, policymakers and businesses together around investment opportunities and long-term economic priorities.

UAE Sets Higher FDI Ambitions

The UAE’s latest FDI performance is also part of a longer-term target.

The government has set an objective of increasing the country’s FDI stock to Dh2.2 trillion by 2031 and attracting Dh240 billion in annual FDI inflows.

The record Dh177.3 billion received in 2025 puts the country closer to that annual target, although further growth will be required to reach Dh240 billion a year.

For now, the combination of record FDI, record greenfield activity and rapidly rising non-oil trade strengthens the UAE’s case as a global hub for investment and commerce.

The next question is where that capital will go. With AIM Congress bringing investors and policymakers together in Dubai, the UAE is positioning itself not only to attract the next wave of capital, but also to help shape where it is deployed.

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The agenda includes investment destination forums, roundtables, exhibitions, workshops, pitch competitions and networking sessions.

Photo: Virendra Saklani/Gulf News

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