Gulf region could scoop up top global talent after US H-1B restrictions

Trump's restrictions on foreign workers will drive top Indian talent to UAE and Saudi Arabia, experts predict

US President Donald Trump holds a signed executive order authorising new visa rules for foreign workers. Bloomberg

The UAE and other Gulf countries are in a “great position” to take advantage of new US recruitment restrictions by attracting the best up-and-coming talent from across the globe, experts have told The National.

The US has announced new visa barriers for foreign workers at a time when demand for advanced tech talent is skyrocketing around the globe.

Some analysts believe the new restrictions to the US H-1B visa programme, announced by the Trump administration on Friday, could drive more top Asian workers and American start-ups to towards the Gulf, which has a fast-growing and welcoming ecosystem as well as competitive salaries and more straightforward immigration rules.

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What happened?

US President Donald Trump signed a proclamation on Friday to impose a $100,000 application fee for H-1B worker visas, dealing a big blow to the technology sector that relies heavily on skilled workers from India and China.

The decision caused chaos, with some people immediately altering travels plans over the weekend after tech companies advised staff not to leave the country or return to the US before the Sunday morning deadline.

One flight from San Francisco was apparently delayed after Indian passengers decided to disembark before take-off, according to a social media post on X. The cost of a direct flight to the US from India also surged as H-1B holders who were on holiday decided to return before the new rule came into effect.

The White House later clarified that the new rules are only applicable to new visa applications. Current visa holders and those who intending to renew their H-1B visas are also exempted from the new rules, according White House Press Secretary Karoline Leavitt.

Positive impact on Gulf

Baghdad Gherras, a Dubai based AI start-up founder and venture partner at Antler told The National: “The proposed $100,000 H-1B cost could have a very positive impact in the Gulf region.

“A significant share of H-1B visa holders are Asian and the Gulf already represents a compelling alternative to the US, with competitive salaries, a rapidly expanding tech ecosystem and far more welcoming immigration policies.”

Mr Gherras said the new fee announced by the US “would disproportionately hurt US start-ups, which lack the financial cushion of large corporates”.

He added: “This not only increases the likelihood of top talent choosing the Gulf over the US, but may also push American start-ups to explore partnerships or even establish operations in the region. Together, these dynamics could further cement the Gulf’s position as one of the world’s most attractive destinations for tech innovation and talent.”

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The UAE and Saudi Arabia are both focusing on developing technology sectors that have a special emphasis on AI and are building multibillion dollars new projects that are expected to attract more people to move to the region.

Abu Dhabi-based G42, which has investments from the Mubadala Investment Company, Silverlake, Microsoft and The Dalio Family Office, is playing an important supporting the growth of the AI sector in the UAE.

The company, along with and Saudi Arabia’s Diriyah, has been named one of the world’s 100 most influential companies for 2025 by Time magazine.

In 2019, the UAE announced the establishment of a university dedicated to AI, the Mohamed bin Zayed University of Artificial Intelligence. Two years earlier, the UAE was among the first countries in the world to appoint an AI minister.

UAE's new visas and AI focus

“The UAE is in a great position to offer tech, freelance or creative workers, the chance to come here and work on either flexible visas or golden visas, or even contract freelance visas,” said David Mackenzie, group managing director of recruitment agency Mackenzie Jones.

“This is also a tax free jurisdiction. You can bring money in here; you can own houses here. So it becomes a much more attractive proposition for migratory workers.”

The UAE has introduced a number of visas over the past few years to attract the best talent from across the world.

These include the 10-year golden visa as well as remote working and freelancer visas. Last year, the country also launched a blue visa, which will grant a 10-year residency to people who have made “exceptional contributions” towards protecting the nation's environment.

The new announcement by the US “creates a unique opportunity for the broader Gulf countries, and the UAE in particular, to attract global talent to the region,” said Vijay Valecha, chief investment officer of Century Financial.

“The Mena region has expanded residency pathways by offering broad-ranging long-term visa categories for skilled professionals from various industries,” including the UAE’s 10-year golden visa, Saudi Arabia’s premium residency, and specialised residency permits offered by Qatar.

“Moreover, there are limited political, bureaucratic and geopolitical hurdles, making the Gulf region a very lucrative destination for those seeking stability alongside employment,” he said.

Local governments are investing heavily in artificial intelligence, fintech and digital transformation, and are adopting international standards of regulation to integrate with the global ecosystem, Mr Valecha added.

“This backdrop is conducive for a symbiotic relationship – wherein the Gulf countries get access to global talent to see these mega projects through completion, and skilled professionals from all over the world get stable employment tied to these projects,” he explained.

According to Omer Zakaria, associate director for Robert Walters recruitment company, Saudi Arabia is the country with the most opportunities right now due to the new giga projects it is building.

“Saudi Arabia is targeting skilled talent from across the globe to come and work on all the giga projects in the kingdom and is looking for very specific skill sets” Mr Zakaria said.

“So if people are having issues emigrating or finding a job in the US, they will be more interested in to going to Saudi Arabia now. Roles in technology, AI, infrastructure development and PPP projects are in high demand in Saudi Arabia.”

Saudi Arabia is building giga projects, including a city named Neom along the Red Sea, and Qiddiya, an entertainment and sports complex in Riyadh, as it focuses to diversify its economy away from oil.