High technology leads FDI flows into Dubai
(8/9/2018 7:24:00 AM)
The digital transformation of international production, coupled with Dubai’s on-going transformation into a knowledge-based economy have reshaped both the source and the composition of the flows of foreign direct investment, FDI, into the emirate.
According to Dubai’s Department of Economic Development, DED, the last three years have witnessed investors from the European Union and the United States outstripping all others in both, the number of projects they have initiated - 355 and 213 projects, respectively, and in the capital investments they have reached, US$5,738 and 3,990 billion, respectively.
During the period from 2015 till the first quarter of 2018, investors from the EU and the US launched 66 per cent of the total number of projects in Dubai, they also contributed to 45 per cent in the total FDI flows into Dubai and created 28,241 new jobs.
These investments have ushered in a new era of sustainable economic growth in Dubai driven by higher productivity growth it also created new opportunities for business, and boosted Dubai’s competitiveness across all sectors These achievements are in line with Dubai 2021 Plan that embodies His Highness Sheikh Mohammed Bin Rashid Al Maktoum, the Vice President, Prime Minister of the UAE and Ruler of Dubai’s vision to transform the emirate into a smart city, where innovation and digitisation play a critical role in driving economic growth in a sustainable manner.
Following Sheikh Mohammed Bin Rashid’s April 2018 announcement concerning the new investment law that will allow 100 per cent foreign ownership, and the new ten year visas for international investors and innovators, skilled professionals and exceptional students, are expected to further boost FDI inflows by as much as 15 per cent per year, especially in high tech activities.
The Gulf Today