The UAE is on track to become a leading global hub for the new economy by the next decade, thanks to legislative developments and economic policies implemented in recent years. Abdullah bin Touq Al Marri, the Minister of Economy, highlighted the country’s vision to build a national economy based on knowledge and innovation, contributing to comprehensive development and sustainable development goals. With initiatives such as the amendment of the Commercial Companies Law allowing 100% foreign ownership, updates to visa and residency systems, and issuance of the Federal Law on Family Businesses, the UAE is enhancing its attractiveness to talent, entrepreneurs, and innovative projects.
The UAE’s focus on economic growth is evident in initiatives such as developing the National Economic Registry, promoting green growth policies and the circular economy, and launching comprehensive economic partnership agreements with major emerging markets and developing countries. The country’s non-oil foreign trade reached a record level in the first half of 2024, with non-oil exports growing significantly. With a strong non-oil sector accounting for 74% of the total GDP, the UAE continues to attract foreign direct investment, totaling nearly $31 billion in 2023.
Minister Al Marri acknowledged the challenges faced by the global economy, including economic uncertainty, price fluctuations, and geo-economic fragmentation. However, he emphasized that the UAE is well-equipped to confront these challenges through open economic policies, integration into the global trading system, and a competitive investment environment. Sharjah, in particular, plays a significant role in the economic diversification of the UAE, with nearly 96% of its economic activity coming from non-oil sectors.
The UAE’s commitment to creating an environment conducive to innovation and investment is evident in its support for entrepreneurs and start-up companies. By encouraging innovation and entrepreneurship, the country aims to achieve strong economic indicators recognized by international institutions. With a focus on building a knowledge-based economy and maintaining flexibility in the face of current and future challenges, the UAE is poised to emerge as a global leader in the new economy.
As the UAE continues to implement strategic initiatives and economic policies, the country’s future prospects are promising. With a strong emphasis on knowledge, innovation, and sustainability, the UAE is setting itself up to become a key player in the global economy by the next decade. By fostering an environment that supports entrepreneurship and investment, the UAE is paving the way for a thriving new economy that prioritizes growth, development, and innovation.
