In 2025, Dubai demonstrated impressive performance in attracting new foreign direct investments (FDI), securing 1,202 projects that account for approximately 81% of all announced projects in the UAE, which total 1,491. This positions Dubai as the second-largest city globally in terms of the number of new FDI projects.
According to a recent report from Emirates NBD, new foreign direct investments announced in the UAE reached $33.16 billion in 2025, placing the country 10th globally for inflows of foreign capital, reflecting a substantial annual growth rate of 78% compared to $18.66 billion in 2024.
The UAE ranked second worldwide in terms of the number of newly announced FDI projects, which rose by 10.7% year-on-year to total 1,491. This increase indicates a broadening and diversification of international investor interest.
While Dubai continued to lead as the primary destination for new FDI within the UAE, it attracted 1,202 projects, representing around 81% of the total.
Conversely, Ras Al Khaimah emerged as the largest draw for investments in terms of capital value, attracting $10.61 billion through 17 projects, ranking sixth globally for foreign capital inflows.
This was largely driven by a significant $10 billion smart manufacturing initiative by Indian company Erisha E Mobility. Abu Dhabi attracted 180 projects valued at $5.19 billion, while Sharjah secured 46 projects totaling $1.8 billion.
From 2021 to 2025, the UAE attracted cumulative new foreign direct investments amounting to $98.4 billion across 5,603 projects, achieving a compound annual growth rate of 32.3% in declared capital inflows.
During the same period, the number of foreign companies operating in the country surged from 491 in 2021 to 1,440 by 2025, indicating nearly a threefold increase in just four years. This growth underscores the rapid expansion of active foreign investors in the UAE and solidifies its position as one of the fastest-growing global destinations for long-term investments.
Source Countries
India topped the list of countries delivering new foreign direct investments to the UAE in 2025, contributing a total of $12.58 billion across 275 projects, largely fueled by Erisha E Mobility’s massive $10 billion smart manufacturing project in Ras Al Khaimah.
The United States ranked second with an investment of $10.3 billion spread over 219 projects, bolstered by Microsoft’s $5.5 billion data center expansion alongside the Stargate AI project in Abu Dhabi.
The United Kingdom led in the number of executed projects, recording 291, though the total investment value was relatively lower at $1.16 billion, reflecting focus on medium and small-scale service and technology initiatives.
China contributed $1.27 billion through 45 projects, while France invested around $1.17 billion across 51 projects. Kuwait saw investments of $962.8 million through 7 projects, whereas Hong Kong contributed approximately $777.8 million via 28 projects, and Germany made investments totaling $702.7 million distributed across 56 projects.
Sectors
The automotive manufacturing sector and the telecommunications sector attracted the largest share of capital investments, while the business services sector led in the number of projects. The automotive manufacturing sector drew the highest capital investment, totaling $10.29 billion, despite being limited to just five projects.
This was driven entirely by the Erisha E Mobility complex in Ras Al Khaimah, which will span 25 million square feet and is expected to host over 150 specialized manufacturers in electric vehicles, hydrogen technologies, and semiconductors.
The telecommunications sector followed closely in terms of investment value, securing a total of $9.93 billion across 40 projects, reflecting significant investments in data centers and artificial intelligence infrastructures from leading global companies, including Microsoft, OpenAI, and Alibaba Cloud.
The transport and storage sector came in third with investments of $2.25 billion across 101 projects, followed by the real estate sector, which garnered investments of $1.88 billion distributed over 62 projects, and the business services sector, which attracted $1.13 billion via 418 projects.
In terms of project numbers, the business services sector led with 418 projects, making up 28% of all projects, supported by robust activity in consulting, professional services, and waste management. The software and IT services sector attracted 304 projects with an investment value of $936.4 million, while the financial services sector drew in 141 projects with total investments amounting to $675.8 million.
Outgoing Investment
The UAE ranked third globally as a source of new foreign direct investments in 2025, pouring $109.23 billion into 365 projects, surpassing many major economies and trailing only the United States, which reported $237 billion, and Taiwan, at $110 billion.
With 2025 marking a record year for UAE outgoing investments, capital outflows surged by 51% compared to 2024’s $72.31 billion, reflecting a notable acceleration in the global expansion of UAE-based companies.
Between 2021 and 2025, UAE firms invested a total of $355.08 billion across 1,572 projects globally, achieving a compound annual growth rate nearing 58% in the value of outbound investments, clarifying the UAE’s expanding international investment presence and its transformation into a significant player in long-term global investment flows.
France and the United States
France was the leading destination for foreign direct investments flowing from the UAE in 2025, attracting $44.09 billion across just five projects, largely driven by an extensive data center project by MGX investment management company.
The United States followed in the second position, securing investments totaling $27.86 billion across 36 projects, which include Damac’s $20 billion investment in data centers, alongside other allocations in mining, semiconductors, and renewable energy sectors.
Georgia attracted investments worth $6.02 billion through four projects, while Uganda brought in $4.18 billion through four projects as well, and the UAE’s investments in the United Kingdom totaled approximately $3.56 billion across 12 initiatives.
Dubai ranks second globally in the number of foreign direct investment projects.
The UAE holds the tenth position worldwide for foreign capital investment inflows.
India and the USA lead the sources of new foreign investments in the UAE.
The automotive manufacturing and telecommunications sectors dominate the value of new foreign investments.
The UAE is the third-largest globally in terms of outbound foreign direct investments.
32.3%
This marks the compound annual growth rate in capital inflows declared to the UAE over the five-year period.