Home UAE Dubai Dubai records Dhs24.7bn FDI in 2020 Dubai ranked fourth globally in FDI capital flows into greenfield projects by Varun Godinho April 13, 2021 Dubai recorded Dhs24.7bn worth of foreign direct investment (FDI) in 2020 across 455 projects, according to data from the Dubai FDI Monitor released by the Dubai Investment Development Agency (Dubai FDI), an agency of Dubai Economy. Around 18,325 new jobs were created by the invested FDI in 2020, according to the Dubai FDI Monitor, which uses the Organisation for Economic Cooperation and Development’s (OECD) methodology to track FDI data. Dubai therefore ranked first in the Middle East and North Africa (MENA) region and fourth globally in attracting greenfield FDI capital, according to the Financial Times’ fDi Markets. The 455 FDI projects implemented in Dubai in 2020 exceed the annual average of 441 over the past five years, reported state news agency WAM. More than 50 per cent of all declared FDI projects in the emirate are classified as greenfield FDI. Dubai also achieved a record global market share in greenfield FDI projects, attracting 2.1 per cent of all such projects last year, exceeding the 2 per cent mark for the first time. Dubai continues to reinforce its status as a global destination for FDI, attracting 455 projects valued at AED 24.7 billion during 2020, which helped create more than 18,000 jobs. Dubai now ranks 4th globally & 1st in MENA region in attracting FDI pic.twitter.com/lFd32U98DN — Hamdan bin Mohammed (@HamdanMohammed) April 12, 2021 FDI capital from reinvestment projects reached Dhs1.6bn in 2020, exceeding the Dhs1bn mark for the first time since 2016, as per data from Dubai FDI Monitor. Dubai ranked first in the MENA region in reinvestment FDI projects as well as capital, and fourth and 11th globally in the two categories respectively, according to fDi Markets. Dubai startups attracted an estimated Dhs2.36bn in FDI capital through 31 investment deals in 2020, according to data from MAGNiTT. The emirate also ranked first in the MENA region and 11th globally on the “Global Venture Capital FDI 2020” report by fDi Intelligence. The share of FDI projects in strategic sectors reached 57 per cent of all announced FDI projects in Dubai in 2020. These investments accounted for 91 per cent of estimated FDI capital flows, reaching Dhs22.5bn. Around 76 per cent of all strategic FDI projects in 2020 were high and medium-tech with a total of Dhs11.2bn in estimated FDI capital. The United States was the top source country for FDI, accounting for 21 per cent of FDI capital and 22 per cent of FDI projects. France (16 per cent), Japan (11 per cent), the UK (7 per cent), and Germany (6 per cent) made up the rest of the top five source countries for FDI capital into Dubai in 2020. The top five source countries accounted for 60 per cent of the total FDI capital flows. The top five sectors with FDI flows, accounting for 69 per cent of the total estimated FDI capital flows into Dubai in 2020, were accommodation and food services (40 per cent), electric power generation (13 per cent), other information services (8 per cent), healthcare and social assistance (4 per cent), and retail and whole trade (4 per cent). According to the Global Investment Trends Monitor published in January 2021 by the United Nations Conference on Trade and Development (UNCTAD), global FDI fell 42 per cent in 2020 from Dhs5.5 trillion in 2019 to an estimated Dhs3.15 trillion last year. “Dubai’s success in combating the Covid-19 pandemic and starting the recovery phase in record time is a testament to our commitment to provide the best investment environment in the world and transform global challenges into new opportunities for growth, driven by technology and innovation, and powered by Emirati and global talent, making Dubai the best place in the world to work, live, and invest,” said Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Dubai Crown Prince and Chairman of The Executive Council of Dubai. Despite the challenges the world faced in the past year, during which FDI declined globally by 42% (from $1.5 trillion in 2019 to $859 billion in 2020), Dubai succeeded in attracting high volumes of FDI. This is a testament to our economy’s resilience and stability. — Hamdan bin Mohammed (@HamdanMohammed) April 12, 2021 In related developments, Dubai’s non-oil foreign trade reached Dhs1.182 trillion in 2020. Dubai’s direct trade in 2020 totalled Dhs711bn, while trade through free zones reached Dhs464bn and customs warehouse trade was recorded at Dhs7bn. Read: Dubai’s non-oil external trade reached Dhs1.182 trillion in 2020 Tags Dubai Economy FDI Investment News UAE 0 Comments You might also like UAE finalises pact to boost trade with Eurasian Economic Union Mark Phoenix on how Sankari is redefining luxury real estate Talabat plunges over 7.5% in Dubai trading debut after $2bn IPO UAE set to roll out 15% tax for global corporate giants