- UAE government is dedicated to creating a favourable investment environment that encourages the proliferation of new economy sectors.
- Issues 200,000 new business licenses in 2024 and more than 1.1m businesses are currently operating in the country.
Abdullah bin Touq Al Marri, the UAE Minister of Economy, highlighted that Fintech currently contributes 8.7 per cent to the UAE’s Gross Domestic Product (GDP). This figure not only illustrates the sector’s significant impact but also reflects the UAE’s strategic commitment to fostering an environment conducive to innovation and economic diversification.
The Minister’s remarks during the Investopia 2025 event in Abu Dhabi reveal an ambitious vision for the future of Fintech in the UAE. With a target to increase its contribution to approximately 12 per cent of GDP by 2031, the UAE is positioning itself as a leader in this dynamic sector.
Quest for growth
Fintech is not merely a standalone industry; it is intricately linked to sustainable growth across various economic sectors. By enhancing financial services, improving access to capital, and facilitating transactions, Fintech bolsters the overall economic framework, thereby supporting other industries in their quest for growth and efficiency.
Moreover, the UAE government is dedicated to creating a favourable investment environment that encourages the proliferation of new economy sectors, including the burgeoning space economy. This commitment is indicative of a broader strategic initiative aimed at diversifying the national economy and reducing reliance on traditional oil revenues.
By fostering innovation and attracting investment in these emerging sectors, the UAE seeks to enhance its global standing, particularly in areas that promise substantial growth potential.
In addition to Fintech and the space economy, the agricultural innovation sector has emerged as another promising area for development in the UAE. Al Marri emphasised the importance of a clear food security strategy, which aims to diversify food sources and enhance the nation’s status as a global hub for food exports.
Pressing issue of food security
This strategy not only addresses the pressing issue of food security but also serves as a catalyst for attracting investments and localising technology within the agricultural sector. Such initiatives are crucial for ensuring sustainability and resilience in the face of global challenges.
The Minister’s announcement regarding the issuance of 200,000 new business licenses in 2024 reflects the UAE’s robust entrepreneurial spirit and its commitment to fostering a vibrant business ecosystem.
With over 1.1 million businesses currently operating in the country, the Ministry of Economy is focused on increasing this number, thereby creating more opportunities for innovation and economic growth. This proactive approach is essential for maintaining the UAE’s competitive edge in an increasingly interconnected global economy.