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RIYADH: Dubai secured the top global spot for greenfield foreign direct investment projects in the first half of 2025, with 643 new ventures, extending its lead for an eighth straight half-year, a new ranking showed. 

The emirate drew the highest half-year tally since records began in 2003, according to Financial Times’ fDi Markets data cited by the Emirates News Agency, or WAM. That was nearly 500 more than the second-ranked city. 

This inflow of investment reflects confidence in the emirate’s long-term economic plans, including the Dubai Economic Agenda, which targets doubling its economy by 2033. 

This follows broader regional trends, with �������� and Qatar posting notable gains. The Kingdom’s FDI inflows rose 24 percent to SR119 billion ($31.7 billion) in 2024, while Qatar attracted $2.74 billion through 241 projects, creating 9,348 jobs last year. 

Crown Prince of Dubai, Hamdan bin Mohammed bin Rashid Al-Maktoum, attributed this achievement to the city’s futuristic development vision. “The strength and resilience of Dubai’s economy continues to inspire confidence among global investors in its ability to reimagine the future and unlock emerging global technological trends and sustainable sectors,” he said, as reported by WAM. 

Al-Maktoum linked the success to the goals of the Dubai Economic Agenda, D33, which aims to double the size of Dubai’s economy by 2033. 

Key highlights from the first half of 2025 showed that Dubai advanced to second place worldwide for total FDI capital, a jump from its fourth-place position in the first half of 2024. 

The city also climbed to third place globally for jobs created by FDI. 

The city ranked first globally in several growth sectors, including technology — with strengths in artificial intelligence and fintech — along with creative industries, life sciences, and financial services. 

This was accompanied by growth across the board, with FDI capital rising 62 percent to 40.4 billion dirhams ($11 billion), projects increasing 28.7 percent to 1,090, and new jobs up 46.7 percent to more than 38,400. 

Investment covered sectors such as business services, construction, retail, and logistics, with the US as the largest source of capital, followed by the UK, France, and India. 

Helal Saeed Al-Marri, director general of Dubai’s Department of Economy and Tourism, said the results reflect the city’s “resilience, agility and capacity to keep pace with global economic transformations.” 

He added: “It is also a reflection of the trust that international investors, multinational corporations and start-ups continue to place in Dubai.”

RIYADH: The Arab Energy Fund reported a 7 percent increase in net income for the first half of 2025, reaching $129 million compared to $121 million in the same period last year. 

The multilateral impact financial institution attributed the growth to strong operating income across all business lines, supported by disciplined risk management and cost efficiencies.

Total assets rose to $12 billion as of June 30, marking a 15 percent year-on-year increase, driven primarily by expansion in corporate banking and treasury portfolios.  

Shareholders’ equity grew 6.3 percent to $3.45 billion, while liabilities increased 18.7 percent to $8.59 billion, reflecting what the fund described as robust funding activity. 

The fund’s growth aligns with global energy trends, where resilient demand and continued investment needs in the sector are driving financing activity.  

The International Energy Agency reported in July that global oil demand is expected to rise by about 700,000 barrels per day, while energy consumption in the Middle East and North Africa region is projected to increase due to population growth and energy-intensive economies. 

At the same time, oil prices have held relatively stable despite supply increases from producers such as Iraq and easing OPEC+ cuts, providing favorable conditions for project financing.  

Alongside this, the shift toward diversification and greater focus on environmental and socially linked projects mirrors the fund’s impact mandate, positioning it to benefit from both conventional and transition-related investment opportunities. 

Khalid Al-Ruwaigh, CEO of TAEF, said: “Our strong half-year performance reflects the resilience of our business model and our unwavering commitment to growth and delivering meaningful impact in the MENA energy sector.”  

He added: “Guided by our strategy, these results are a direct outcome of our sustained efforts across all business lines and our prudent capital management.” 

Al-Ruwaigh said they remain focused on providing innovative financing and investment solutions that create value for their stakeholders, saying, “This reinforces our position as a leading and impact investment fund in the region’s energy landscape.” 

CFO Vicky Bhatia highlighted the fund’s operational efficiency, noting: “These results demonstrate our ability to capitalize on market opportunities while maintaining operational discipline.

“With a cost-to-income ratio of just 17.9 percent, a non-performing loan ratio reduced to 0.3 percent, and a strong capital adequacy ratio of 29.7 percent, we remain well-positioned to sustain growth and meet our strategic objectives.” 

Within business lines, the corporate banking portfolio grew 12 percent year on year to $5.93 billion, driven by demand across energy-related sectors and geographic diversification.  

Investments and partnerships reached $1.50 billion, up 4.4 percent year on year, supported by selective investments and portfolio management.  

Treasury assets rose 18.3 percent to $4.39 billion, benefiting from portfolio optimization and favorable interest rate conditions. 

Total funding climbed to $8.37 billion, a 17.1 percent year-on-year increase, underpinned by debt issuances and proactive liability management. 

The fund said this growth strengthened its flexibility to finance future initiatives and support energy projects across the MENA region.