UAE Business Numbers Surge 235 Per Cent As Investor Confidence Soars Under Major Legislative Reforms

Official data shows the number of businesses operating in the UAE has risen 235 per cent over the past five years, reaching more than 1.3m by the end of H1 2025, up from around 400,000 in 2020 — a shift fuelled by landmark reforms such as the move to allow 100 per cent foreign ownership of commercial companies.

Senior officials and business said the UAE’s tolerance-based system, inclusive economic environment and strong regulatory framework continue to attract global talent, entrepreneurs and international investors.

Business opportunities in the UAE

The UAE’s open economic system — rooted in the values of coexistence, openness and equal opportunity — has positioned the country as a destination of choice for high-net-worth individuals and global companies seeking stability, transparency and long-term opportunity.

More than 80 per cent of the nation’s economic legislation has been updated in the past three years, supporting the shift toward a knowledge, innovation and advanced technology-led economy. These changes have delivered what officials describe as “qualitative leaps” in business development and market confidence.

Intellectual property activity also reflects global interest in the UAE, as authorities registered 402,311 local and international trademarks by the end of September 2025.

Private sector praise

Saeed Al Gergawi, Vice President of Dubai Chamber of Digital Economy, said the UAE provides an integrated environment that enables companies — including start-ups — to expand, innovate and test emerging technologies such as AI in partnership with the government.

He highlighted the UAE’s collaborative approach to drafting economic legislation and pointed to “Expand North Star,” the region’s largest exhibition for start-ups, as a platform that allows businesses to explore the local market and attract international investment.

Yusuff Ali MA, Chairman of Lulu Retail and Chairman of Lulu Group, described the UAE as a global example of tolerance and mutual respect. He noted that more than 200 nationalities live in harmony across the country — a diversity he called a core strength, reflected in Lulu Group’s workforce spanning over 47 nationalities.

Dr. Brian Shegar, Emeritus Chairman and Senior Advisor of the UAE-Singapore Business Council, said Singaporean companies continue to choose the UAE as their regional base due to ease of business, strong legal frameworks and advanced regulatory standards. Around 700 Singaporean companies now use the UAE as their regional headquarters.

Economic vision

He praised the UAE’s ambitious economic vision, which has positioned the country as both a strategic partner for Singapore and a major trade bridge between Asia and the Middle East.

Sam Armani, Senior Vice President of Business Development at mimik Technology, said the company selected Abu Dhabi as its new regional hub due to the UAE’s advanced digital infrastructure, flexible policy environment and strong government backing for innovation-focused firms.

He said this environment makes the country ideal for building solutions across autonomous mobility, smart systems and industrial sectors including oil, gas and port operations.