The UAE had a standout year for inward investment. Before examining 2025, it’s worth noting that foreign direct investment into the UAE rose 48% in 2024 — during a period of global FDI contraction. The table was set for a strong 2025. Then came tariffs, and the disruption of the global trading order.

So how did the Emirates respond?

The UAE doubled down on economic diversification. First, it committed to a ten-year, $1.4 trillion (USD) investment framework focused on AI, frontier technologies, energy, Deep Tech, and manufacturing.

Second, policy changes from 2021 now allow companies relocating to the UAE to be 100% foreign-owned — previously, any relocating company required 51% Emirati ownership. The UAE government continues to refine regulations around shares, ownership, and corporate governance, with the goal of creating a modern, transparent, and stable commercial environment.

Perhaps equally important, significant investment is flowing into Emirati communities — making the UAE a genuinely attractive place to live. The government has committed to urban development centred around families: parks within 150 metres, community centres, integrated schools and clinics in every district. The country is also adapting to its demanding climate by building shaded walkways, cycling routes, and green corridors.

For founders and investors, the question is no longer whether the Emirates are open for business — it’s how to engage with the market in a way that is structured, compliant, and built for long-term growth.