Foreign direct investment (FDI) into the UAE grew 44.2% in 2020 to $19.88 billion compared to 2019, despite the COVID-19 pandemic, which has taken its toll on the global economy, according to the Ministry of Economy.
The cumulative value of FDI reached $174 bn, a growth of 12.9% during the reference period. The oil & gas sector led the FDI, thanks to partnerships struck by the Abu Dhabi National Oil Company (ADNOC).
The UAE has also 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, agritech, among other verticals.
FDI outflows 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.
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.
