Dubai’s creative economy tops global ranking in FDI Projects

Dubai’s cultural and creative industries received Dh7.357 billion in capital inflows in 2022

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Published: Thu 22 Jun 2023, 2:31 PM

Dubai has firmly established itself as the global leader in attracting foreign direct investment projects within the cultural and creative industries. The emirate’s just-announced accomplishment of 451 new projects in 2022 has propelled its position as the world’s capital of the creative economy and created 12,368 new jobs.

Regarding FDI capital inflows, Dubai’s cultural and creative industries substantially increased, reaching Dh7.357 billion in 2022. This surge in the capital inflow has further solidified Dubai’s reputation as the frontrunner in the Middle East and North Africa (Mena) region and placed it 12th globally, a remarkable improvement from the 14th position in 2021.

The Dubai FDI Monitor report, which draws data from the ‘fDi Markets’ by the Financial Times, underpins Dubai’s top-ranking status. The report reveals that Dubai led globally in attracting FDI projects in the cultural and creative industries, maintaining its 6th spot worldwide in job creation through FDI. Greenfield FDI projects, wholly-owned ventures, constituted a significant majority, accounting for 76 per cent of the total FDI projects in Dubai’s cultural and creative sectors.

Sheikha Latifa bint Mohammed bin Rashid Al Maktoum, Chairperson of Dubai Culture and Arts Authority and Member of the Dubai Council, said: “These notable accomplishments exemplify the remarkable strides made by Dubai’s cultural and creative industries and highlight the strength of its economic ecosystem. The emirate attracts innovators and talented individuals worldwide, providing them with an enabling environment where innovative projects can flourish, ground-breaking ideas can be nurtured and ambitious concepts can be transformed into thriving economic ventures. Dubai achieves this by leveraging its unique cultural diversity and renowned status as a premier destination for living, working, and investing. Moreover, Dubai is committed to establishing a sustainable development landscape that transcends the present and future, ultimately positioning itself as the global capital of the creative economy by 2026.”

Helal Saeed Almarri, Director-General of Dubai’s Department of Economy and Tourism, said: “This remarkable achievement ensures that Dubai further consolidates its status as one of the top three global cities as envisaged under the Dubai Economic Agenda, D33. We are grateful to our partners, stakeholders and investors for their trust and collaboration in making this happen. The No.1 global ranking in attracting FDI projects into the CCI sector also highlights Dubai’s commitment to build on and leverage its supportive environment, world-class infrastructure and a legislative system that stimulates the creative economy, attracting a new generation of global talents, investors and entrepreneurs. We look forward to continuing our efforts to enhance the competitiveness and attractiveness of this sector in the global market.”

Over the past few years, the top sub-sectors in Dubai’s creative industries have displayed dynamic trends. Non-video game software publishers and custom computer programming services have gained prominence, with the latter experiencing a significant increase in its share of FDI capital in 2022. Architectural, engineering, and related services have consistently grown, highlighting Dubai’s emphasis on developing a sustainable built environment. Data processing, hosting, and related services experienced a surge these last two years, reflecting the city’s commitment to digital transformation. The jewellery, luggage, and leather goods stores sub-sector has maintained a steady presence, showcasing Dubai’s position as a luxury retail destination. Meanwhile, the motion picture and sound recording industries have begun to gain traction, indicating the city’s expanding role there. These trajectories exemplify Dubai’s adaptability and resilience in nurturing all of these creative industries.

Dubai’s unprecedented success in attracting FDI projects can be attributed to its robust infrastructure, well-established legal framework, and thriving creative and digital ecosystem. These factors have transformed Dubai into an irresistible hub for innovators and investors, offering a fertile ground for launching ambitious projects and leading visionary ideas to become tangible economic ventures.

The US, India, the UK, France, and Switzerland emerged as the key foreign direct investors from the report regarding FDI projects, while the US, India, Switzerland, France and UK topped the list in terms of FDI capital inflows. This strategic alignment with these markets has been fostered through active engagement and targeted missions by Dubai Culture & Arts Authority, showcasing the emirate’s unique creative landscape and forging collaborations with entrepreneurs and organisations worldwide.

Dubai’s top global ranking in FDI projects is a testament to its unwavering dedication to nurturing the growth of creative industries, reinforcing its standing as an innovative hub for talent and investment. This commitment aligns seamlessly with Dubai’s overarching vision of cultivating a diversified, sustainable, and knowledge-based economy. By emphasising creativity, collaboration, and innovation, Dubai has firmly established itself as a global centre for culture, an incubator for creativity, and a thriving hub for talent.