FDIs covered all economic platforms, primarily the Oil & Gas, considering the massive investment partnerships struck by the Abu Dhabi National Oil Company (ADNOC) with a number of foreign companies. The UAE has drawn FDIs for digital economy, including Artificial Intelligence, Internet of Things, blockchain, medical knowhow, augmented and virtual reality (AR and VR), robotics, self-drive automobiles, renewable energy, innovation, agri-tech, etc. In terms of FDI outflows, they amounted to $9.2 billion and covered various vital economic sectors, including aviation, transportation, mining, renewable energy, real estate, construction, communication, oil & natural gas, traditional & renewable energy, logistics, ports and infrastructure, tourism, leisure, banking, and agriculture sectors.
Despite COVID-19 – UAE FDI value up to 174 billion in 2020
The FDI inflows to the UAE grew 44.2 percent in 2020 to $19.88 billion as compared to 2019, despite the fallout of the COVID-19 pandemic which has taken its toll on the global economy, according to a report by the Ministry of Economy. The cumulative value of foreign direct investments inflows amounted to $174 billion, a growth of 12.9 percent during the reference period.
Abdullah bin Touq Al Marri, Cabinet Member and Minister of Economy, said, “The investment landscape of the UAE has been steadily developing over the past years with the rapid introduction of progressive measures that have earned the nation a coveted position internationally while leading regionally thanks to the directives of our wise leadership to provide a business-friendly environment conducive to facilitating doing business and development that serves the greater good of the country.” He added that the next period will see more measures to strengthen the investment landscape and grow investor confidence in priority sectors.
Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, said the significant growth levels secured by the UAE in terms of FDIs are reflective of increased investor confidence in the country’s investment ecosystem. Despite the challenges of the global pandemic in 2020, the UAE was able to strengthen its position as a global economic and financial hub. Taking advantage of its strategic geographical location, thriving business ecosystem and quality of life, more multinational corporations selected the UAE, creating new jobs and attracting global talent to live and work in the country.