Dubai announces $6.8bn in investment incentives

This is part of the FDI Development Programme that aims to attract $177 billion in FDI by 2033, in line with Dubai’s D33 economic agenda

The FDI Development Programme aims to attract international companies and support the expansion of existing international companies with bases in Dubai. Bloomberg

The Dubai Executive Council has approved the Foreign Direct Investment Development Programme, with the goal of attracting Dh650 billion ($177 billion) in investments by 2033, making it one of the world’s top three city economies.

The programme will allocate Dh25 billion ($6.8 billion) over 10 years to support the objectives of the D33 economic agenda, the Dubai Media Office said.

“Dubai has built an integrated, unique, and inspiring economic model, featuring advanced enablers and tools to enhance decision-making, create a broad array of promising opportunities, and attract top talents and global investment,” said Sheikh Maktoum bin Mohammed, Deputy Prime Minister, Minister of Finance and First Deputy Ruler of Dubai, who chaired the council’s meeting.

Sheikh Maktoum also announced the Dubai Economic Model, which will use 3,000 performance indicators to closely measure Dubai's development against its economic targets.

“We have also approved the Dubai Economic Model to measure Dubai’s development against its economic targets through an economic database that includes more than 3,000 indicators to enhance consumer and investor confidence,” Sheikh Maktoum said in a post on X.

The FDI Development Programme aims to “attract international companies and support the expansion of existing international companies with bases in Dubai, aligning with the emirate’s ambition to become one of the world’s top three economic cities”, Dubai Media Office said on Sunday.

It will also highlight Dubai’s unique competitive advantages, such as its logistics infrastructure, strategic geographical location, talent pool, and its position as a competitive global commercial hub.

The Dubai Economic Model will use an “integrated framework, interactive dashboards and policy impact assessment reports to monitor economic development and measure progress against D33 targets. This approach will enable decision-makers to make informed, data-based decisions”.

The project, overseen by the Department of Economy and Tourism, consists of three key components, according to Dubai Media Office.

The first component is a database with more than 3,000 indicators, encompassing macroeconomic and sector-specific data for the emirate, along with global rankings.

The second component includes systems for measuring and forecasting economic performance indicators and evaluating the effects of local and global policies on Dubai's economy.

The third element comprises economic reporting tools and interactive dashboards to track Dubai's economic performance and trends, aiding decision-makers.

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Launched in January last year, D33 aims to double the size of Dubai’s economy, with a target of reaching Dh32 trillion by 2033.

The plan aims to support 30 private companies to achieve unicorn status, or to be worth more than $1 billion. Other business incubators will support the growth of private companies, with 400 of the most promising identified.

It also aims to make Dubai a global digital economy leader, the fastest-growing and most attractive global business centre, a centre for sustainability and economic diversification, and an incubator for talented citizens and unicorns.

Dubai remained the world's top destination for greenfield foreign direct investment projects in 2023, the third consecutive year it has achieved that status, despite challenging global economic conditions, a study showed in May.

In the past five years, Dubai’s share in attracting such global projects has more than tripled. It increased from 1.7 per cent in 2019 to 6 per cent in 2023, as the emirate seeks to become a top global city under its D33 economic agenda.