Foreign investment in Dubai increases 26% in H1 2018

Foreign direct investment (FDI) in Dubai recorded significant growth in the first half (H1) of 2018, rising 26 percent year-on-year (YoY) to AED 17.76 billion, according to state news agency WAM.

According to government data, the number of FDI projects surged to 248, an increase of 40 percent over the same period last year.

"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," said Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of Dubai Executive Council.

The Dubai FDI Monitor showed that 43 percent of all the FDI projects in H1 2018 use high and medium technology, according to the classification universally adopted by the Organisation for Economic Co-operation and Development (OECD).

Strategic developments accounted for 56 percent  of total investment projects that Dubai attracted in H1 2018. The US, India, Thailand, Spain, and the United Kingdom topped the list of source countries for FDI capital. The US also topped the list of investment projects, followed by France, UK, India, and Switzerland.

Dubai has witnessed an increase in FDI capital inflows in the past year, despite the decline in global FDI flows. Total FDI flows reached AED 27.3 billion in 2017, a 7 percent increase from the previous year.