Mohammed Al Suwaidi: The State as a Partner in Shaping the Global Financial System
The Ministry of Investment has released a new report titled “From Capital Exporter to Financial Leadership: The Evolving Role of the UAE in Global Finance.”
This report provides a detailed perspective on the UAE’s transformation into one of the most dynamic and future-ready financial systems in the world.
The document reviews the journey of the UAE’s financial sector, beginning with the establishment of financial institutions at the dawn of the millennium and culminating in the country’s emergence as a global financial hub encompassing banking services, wealth and asset management, insurance, fintech, Islamic finance, sustainable finance, and digital assets.
It illustrates how ambitious government vision, thoughtful policy choices, sustainable infrastructure investments, and advanced regulatory frameworks have established the UAE as a secure destination for capital and a reliable center for its export.
The report also emphasizes the crucial role of foreign direct investment (FDI) in the country’s financial services sector; despite a global decline in FDI flows in 2024, the UAE recorded a remarkable growth rate of 48.7% year-on-year, bringing the total FDI volume to $45.6 billion.
As a result, the UAE officially entered the list of the top ten global destinations for foreign direct investment. Since 2022, the finance and insurance sector has accounted for approximately 21% of the total FDI stock in the UAE.
His Excellency Mohammed Hassan Al Suwaidi, Minister of Investment, stated, “Based on a clear and forward-looking economic vision, the UAE has evolved from a traditional capital exporter to an active partner in shaping the contours of the global financial system. Foreign direct investment has been a key component of this transformation, significantly contributing to the financial sector’s stable contribution of between 9% and 10% of GDP from 2018 to 2024.”
This underscores the sector’s vital role in enhancing economic diversification and building long-term resilience, reaffirming the UAE’s status as a leading center for international capital. Through the Ministry of Investment, we remain committed to fostering a flexible, future-ready investment ecosystem connected globally to support responsible innovation and sustainable growth.”
The report also highlights the institutional framework in the UAE as a critical factor enabling the country’s financial transformation; entities such as the Abu Dhabi Securities Exchange, Abu Dhabi Global Market, Dubai Financial Market, and Dubai International Financial Centre have contributed to the establishment of a multidisciplinary and internationally compliant framework.
Regarding the nation’s innovative approach, the report discusses pioneering initiatives, including the financial infrastructure transformation program, the establishment of instant payment platforms, the launch of the digital dirham, and the introduction of a stablecoin backed by the dirham, along with tailored regulatory frameworks designed for digital assets. These advancements have solidified the UAE’s position as one of the most supportive markets for cryptocurrencies and fintech.
The report further addresses leading global companies and investment platforms that have emerged or formed partnerships in the UAE, providing tangible evidence of the strength and competitiveness of the country’s financial ecosystem on the global stage.
This report underscores the state’s commitment to expanding opportunities for investors, innovators, and global institutions looking to engage in this evolving financial landscape.