Dubai seen as preferred FDI destination: Report
Foreign investors are looking at the UAE as an established, more advanced market as it has the experience, infrastructure and dynamic business environment, says a report.
According to the 2010 A T Kearney FDI Confidence Index report, to a great extent, Dubai is facing challenges similar to many developed economies, which is a sign of economic maturity.
However, this presents Dubai with a new set of policy challenges to support the on-going strategic investments, it added.
The report ranked UAE as the 11th global FDI destination. In the Middle East and North Africa (MENA) region Dubai was listed as the preferred destination of choice for future Foreign Direct Investments (FDI) serving a major gateway for fortune 1000 global investors.
Fahad Al Gergawi, CEO of Foreign Investment Office (FIO) part of the Dubai Department of Economic Development believes that the results will support in maintaining and eventually improving Dubai's FDI status, thus supporting the overall economy of the UAE.
"We are pleased to see the confidence investors have in Dubai. It is now up to us to seal our position as a FDI destination of choice for future investments in the MENA region and fulfill our obligations to maintain and grow current and future investors."
According to the FT Intelligence Report, in 2008, Dubai’s FDI contributed $21 billion (77.3 billion dirhams) to the GDP, hence positioning Dubai as one of the most attractive markets for investment.
There are still challenges to be met, but with the strength of existing businesses and the commitment to develop the emirate further, Dubai aims to attract more FDIs in the years to come, Gergawi said.
"We have plans to further increase investors confidence that Dubai offers the right environment for any business. We will make every possible effort to leverage the enormous advantages Dubai offers. Moving forward, FIO will continue to develop policies and legislation to enhances the competitiveness of Dubai and promote the interests of investors," he said.