87% of Investors in the UAE are Interested in Transition Investments
A report from Standard Chartered reveals that wealth investors in the UAE allocate 27% of their portfolios to sustainable investments, representing the highest percentage among the eight markets covered in the survey. According to the Sustainable Banking Report for 2025, 87% of investors in the UAE express interest in transition investing, aligning closely with the global average.
The report, titled “Transition Investing: The Next Wealth Frontier?”, is based on a survey of high-net-worth individuals in the UAE, Hong Kong, mainland China, India, South Korea, Taiwan, Malaysia, and Singapore. It explores how investors are engaging with the shift toward a low-carbon economy and identifies both opportunities and challenges associated with transition investments.
Rula Abou Mena, CEO of Standard Chartered in the UAE, Middle East, and Pakistan, stated: “The findings underscore the UAE’s leadership in sustainable finance, showcasing that high-net-worth investors in the UAE allocate the largest share of their portfolios to transition investments among all surveyed markets. This growing momentum supports the nation’s vision of achieving net-zero emissions by 2050 and reflects a broader shift toward low-carbon and future-oriented investment strategies. At Standard Chartered, we are committed to facilitating this transition by providing insights and solutions that help investors capitalize on emerging opportunities and contribute effectively to a more sustainable economy.”
The strong allocation in the UAE is evident in specific investment themes gaining traction throughout the country. Investors are particularly focused on high-impact investment sectors that align with the UAE’s energy diversification goals and broader climate commitments. Green hydrogen (51%), carbon markets (48%), and carbon capture and storage (47%) are highlighted as the most intriguing areas, indicating an increasing emphasis on real-economy solutions that promote the transition to a low-carbon future.
While investor appetite remains robust, the study identifies critical barriers hindering the wider deployment of capital into transition strategies. These include high-risk perceptions (45%) and limited access to reliable products (36%). The findings suggest that unlocking additional capital will rely on building trust, enhancing product transparency, and improving access to well-structured solutions.