Friday 15 June 2018
Inflows of foreign direct investment (FDI) into Dubai increased 7 percent in 2017 compared to the previous, even as global FDI flows experienced a downturn. Dubai received a total of USD 7.43 billion in 2017, according to capital flows tracked by the Dubai FDI Monitor, the world’s first live FDI tracker at city level.
Dubai has also continued to rank among the top 10 global FDI destinations for greenfield projects, according to fDi Markets data, ranking 10th in total capital flows globally. During 2017, Dubai attracted 367 projects, an increase of almost 50 percent over 2016.
In a strong indication of investor confidence in Dubai’s business environment, Dubai has ranked 5th globally in terms of expansion and co-location reinvestment projects, according to the fDi Reinvestment Ranking 2018 report by fDi Intelligence. Compared to 2016, Dubai was able to attract 23.5 percent more reinvestment projects, according to Dubai FDI Monitor data.
Dubai ranked third on the list of top locations for AI and Robotics, after Singapore and Shanghai, outranking leading global tech hubs. The city was also ranked No. 1 in FDI Technology Transfer for AI and Robotics, which measures the extent to which FDI brings new technology to a location.
Of all the locations in the analysis, Dubai has the highest level of FDI specialization in electronic components, in ICT and electronics, and in architectural, engineering and related services.
Dubai continued to attract strategic FDI projects in 2017. The Dubai FDI Monitor tracking methodology classifies the strategic level of FDI projects based on the size of investment, business turnover, and technology level. Strategic projects accounted for 93.4 percent of total FDI capital flows into Dubai in 2017.
The United States reclaimed the top spot of FDI capital source countries in 2017. American investors deployed 33.8 percent of the total US FDI capital flows in construction related projects. The top five FDI capital source countries accounted for 67 percent of all FDI capital into Dubai and 52.3 percent of all FDI projects. They also accounted for 40 percent of all high and medium tech projects coming into Dubai in 2017.
The top five FDI project source countries accounted for 63 percent of all FDI projects and 53.7 percent of all FDI capital coming into Dubai.
The top five FDI sectors in terms of capital inflows accounted for 84 percent of all FDI capital into Dubai and 22 percent of all FDI projects.
Dubai FDI Monitor