Dubai has emerged as a prominent global destination for high-net-worth individuals, ranking seventh worldwide and fourth in the Europe, Middle East, and Africa (EMEA) region, as highlighted in the Wealth and Lifestyle Report 2025 released by Julius Baer, a Swiss wealth management bank.
The report indicates a shift in priorities among wealthy individuals amid a global consumption decline, intensified geopolitical unrest, and looming trade disputes. Despite the data collection being completed before the announcement of new U.S. tariffs, the findings reveal a significant transformation.
The cities in the EMEA region once again dominated the rankings, representing over half of the top ten global spots. London tops the list, moving up to second place globally, while Monaco and Zurich are fourth and fifth respectively, each climbing one position. Dubai has risen five spots to seventh, which underscores its competitive edge among traditional wealth centers. Milan and Frankfurt maintained their positions, while Paris saw a slight drop. Johannesburg remains at the bottom despite some price increases.
Julius Baer’s global wealth report noted a 2% decline in wealth value measured in U.S. dollars, marking the first reduction since its inception—an unexpected development for a sector that has typically outperformed consumer price growth. Service prices dipped slightly by 0.2%, coinciding with a 3.4% fall in goods prices.
Commenting on the findings, Christian Gätiker, head of research at Julius Baer, stated: “The results reflect the current state amidst uncertainty, trade disruptions, and U.S. tariffs, while the next report will address the developments following this release.”
The city rankings remain fiercely competitive, with Singapore retaining its title as the most expensive city for high-net-worth individuals globally, followed by London in second place and Hong Kong in third. Notable changes in rankings include Bangkok and Tokyo each rising six spots, while Dubai continues to climb higher.
Regional Insights
The Middle East has seen considerable interest in experiential and physical goods among wealthy residents. The focus in the region centers around luxury hotels, men’s apparel, high-end women’s handbags, fine dining experiences, and smartphones.
Prices in the EMEA region have generally remained stable, with slight declines in some cities such as Zurich. The most significant price increase in the region occurred in Paris, where travel costs and hospitality experiences led to a 5% annual rise. London experienced higher private education costs due to recent legislative changes.
Given the diverse and expansive economies in the region, stark performance variations are expected in the upcoming year, with forecasts indicating modest growth for the Eurozone and further inflation decreases, contrasting with strong growth projections for Dubai, fueled by a booming tourism, trade, and finance sector.
Singapore continues to hold its position as the most expensive city in the world, underscoring the ongoing significance of the Asia-Pacific region, which experienced a slight overall price dip of 1%, thus emerging as the most stable area covered in this year’s report. Notably, Bangkok and Tokyo made significant gains, each ascending six spots to rank 11th and 17th, while Shanghai dropped from fourth to sixth place.
Dubai’s Ascending Trajectory
Dubai’s rapid transformation into a world-class destination for luxury experiences, business, and innovation is strengthening its ranking among leading global cities. Despite a global downturn in luxury lifestyle markets influenced by geopolitical and economic disturbances, Dubai continues to witness higher levels of prosperity. The report notes that while many prices in Dubai stabilized last year, there were significant increases in high-cost items such as cars (up by 13%) and residential properties (up by 17%), impacting the overall living expenses for the affluent.
The real estate market in Dubai showcased exceptional growth in 2024, with property sales rising by 27% year-on-year, indicating increasing desirability as a long-term residence for high-net-worth individuals and their families, many of whom have relocated to Dubai.
The momentum of wealthy individuals moving to Dubai, a trend that began during the COVID-19 pandemic, has resulted in a net influx surpassing other countries, further establishing Dubai as a leading destination for the global elite. A report from Henley & Partners also indicated a 102% increase in residency visa applications among millionaires residing in Dubai over the past decade.
Numerous factors contribute to Dubai’s rising status, including its favorable tax environment, high quality of life, forward-thinking residency programs such as golden visas and entrepreneur visas, along with its position as a major global financial hub, where the Dubai International Financial Centre has experienced unprecedented growth, with a 25% rise in active companies in 2024.
Dubai is steadily progressing toward a prosperous future, aligning with projections for significant economic growth in 2025 and diligent efforts to realize the ambitious goals of the Dubai Economic Agenda D33, aiming to double the emirate’s economy by 2033. The city is also committed to establishing itself as a leading destination for health and wellness, alongside developing sustainable infrastructure. Anticipating a 29% rise in the population of individuals aged 60 and above by 2050, Dubai is enhancing its support services for the elderly to provide advanced luxury levels across all life stages and address residents’ health needs.
Dubai is beginning to reap the rewards of its initiatives to position itself as an innovative and forward-looking city that offers the highest living standards. The international airport registered a record 92.3 million passengers in 2024, making it the busiest for international flights worldwide; further positive results are expected thanks to comprehensive updates planned for the second airport in the emirate. Given its current positive trend, it is likely that Dubai will rank among the top three in the coming years. The emirate is expected to maintain its significant attractiveness despite increasing luxury living costs as the number of high-net-worth residents continues to rise.
Positive Outlook
Rishabh Saxena, co-head of the global asset specialists division at Julius Baer, stated: “The economies of the Gulf Cooperation Council nations are demonstrating remarkable resilience in the face of shifting global macroeconomic conditions and regional geopolitical disruptions. Although growth in the oil sector has declined, broader forecasts for 2025 remain positive, supported by robust performance in these sectors, strong financial reserves, and ongoing commitments to economic reforms.”
The UAE economy continues to maintain its strong momentum, with the non-oil economy in Abu Dhabi growing by 8.6% in 2024, driven by the non-oil sector’s contribution exceeding 55% of GDP. Dubai continues to lead in the recovery of the services and tourism sectors in the region, surpassing 22 million visitors in 2025. The airports in Dubai, among the busiest globally, are consistently achieving success and hold a prominent position as a gateway for international trade and tourism, further establishing the emirate as a global linking hub.
The growing importance of financial centers like the Dubai International Financial Centre and Abu Dhabi Global Market highlights the increasingly pivotal role the UAE plays as a regional hub for investment and private equity, as well as global financing. These centers are at the forefront of innovation, particularly in digital assets, fintech, and artificial intelligence, which are emerging as the new pillars of diverse, future-ready economies.
The region is also witnessing significant inflows of talent and global capital, with GCC nations, especially the UAE, recognized as secure and stable destinations for families to preserve their wealth. Long-term residency programs, advanced healthcare, quality education, and a conducive business environment are accelerating wealth migration and enhancing the attractiveness of the region.
In summary, the Middle East, led by the GCC, is expected to maintain a significant surplus in current and financial account balances, despite external economic challenges. With inflation remaining at its lowest levels for emerging markets, the proactive approach embraced by the region toward innovation, infrastructure development, and boosting investor confidence reinforces its position as a critical growth destination in an increasingly fragmented global economy.
Key Price Developments in the Index
The 2025 index reflects varied trends across different categories. The technology sector experienced the largest global price drop (-22.6%), primarily due to price reductions on certain products like MacBooks. In contrast, business class flight tickets saw the highest price increase (+18.2%), driven by changes in airline business models, limited aircraft availability, and persistent demand for luxury travel experiences. Additionally, private education costs surged significantly (+5.1%), particularly in London, following changes to the UK government’s VAT on private school fees. The watch industry witnessed a slight price increase of 5.6%, reflecting ongoing demand for rare, investment-grade models.
Life Style Survey Findings
The fourth edition of Julius Baer’s lifestyle survey reveals significant shifts in the attitudes and behaviors of high-net-worth individuals worldwide. As geopolitical turmoil and economic uncertainty worsens, the wealthy are increasingly leaning towards moderation, balancing their desire for enjoyable experiences with long-term planning.
One crucial outcome this year is the near-global focus on longevity. Between 87% (in North America) and 100% (in the Asia-Pacific region) of participants reported taking significant steps to extend their lives, ranging from adopting healthy lifestyles to exploring advanced treatments such as gene therapy and cryotherapy. Long-term financial stability is gaining increasing attention, with most participants indicating they would adjust their wealth strategies if they expected to live longer.
Wealth creation remains a top priority worldwide, but wealth preservation has become a prominent topic, particularly in Europe and North America, where a more conservative investment approach prevails. In contrast, high-net-worth individuals in the Asia-Pacific, Middle East, and Latin America continue to pursue higher-risk levels and diversify their portfolios in line with personal values and emerging global trends. In the Middle East, real estate (18%) and equities (13%) emerged as the preferred asset classes among high-net-worth individuals last year.
Overall, the report also confirms the ongoing shift from material consumption towards experiences. Despite decreased spending on luxury goods, there remains strong demand for fine dining experiences, exclusive travel, and custom experiences, reflecting a broader change in high-net-worth individuals’ perspectives towards luxury, where there is an increasing concentration on lifestyle, wellness, and unique experiences rather than possessions.