UAE launches NextGenFDI to attract world’s top digital companies
06 Jul 2022
UAE launches NextGenFDI to attract world’s top digital companies
NextGenFDI targets approximately 300 digitally enabled companies and aims to attract skilled programmers, data scientists and tech-engineers within the next three years
Initiative offers expedited services including licenses with member free-zones, golden visas for highly skilled professionals, affordable accommodation, office space, and expedited banking services
Seven strategic partners including DIFC, ADGM, Dubai Internet City, Dubai South, DMCC, Wio and Emirates NBD have signed up under Phase 1 of the initiative with many more expected to join in Phase 2
Dubai, UAE – 6 July, 2022: The UAE has launched a major campaign to attract digitally enabled companies and highly skilled talent to the country. H.E. Dr Thani Al Zeyoudi, Minister of State for Foreign Trade, who oversees the file to attract FDI and global talent to the country, said NextGenFDI would encourage more than 300 global technology firms and software developers, data scientists and coders to relocate to the UAE.
An expanding array of measures have been introduced to make the market entry process for companies simpler and more efficient. These include rapid and flexible incorporation processes to speed up licensing, bulk visa issuances, banking facilitation and commercial and residential lease incentives. Seven strategic partners have signed up under the initiative so far, such as Financial centres ADGM and DIFC, freezones Dubai South and DMCC, tech hub Dubai Internet City, banks Emirates NBD and WIO. More are expected to join in subsequent phases.
NextGenFDI aims to leverage the UAE’s unique competitive advantage and global standing as a leading business, investment, and innovation hub to support the growth of the nation’s knowledge-driven economy. The campaign was launched by H.E. Dr Al Zeyoudi alongside senior representatives from NextGenFDI.
NextGenFDI is aimed at seeking out businesses from all over the world that are focused on applied technology within various sectors and provide them with the necessary market entry fundamentals needed to launch and scale from within the UAE. These companies have highly skilled developers, coders and consultants within AI, gaming, data science and software. Housing such talent within the UAE is of vital importance and this new initiative will make the market entry process for bright minds with great ideas as seamless as possible.
“Large and SME businesses from across the world are approaching us and asking how they can relocate their talent, ideas and high-growth ventures to the UAE,” said H.E. Dr Thani Al Zeyoudi. “The global interest in 2022 is unprecedented and while we are already working with some, we know many more want to follow suit. We want to ensure that the world’s most promising digital companies can access all the benefits that our attractive, business-friendly environment offers – but we also want to make it easy for them. NextGenFDI is designed to ensure that our market entry process is as streamlined and coordinated as our technology ecosystem.”
H.E. added: “On one hand, this is about hyper-practical measures – making it painless and rewarding for companies to relocate here. On the other, in the wake of the pandemic and the UAE’s actions to position itself as a highly agile and resilient economy, this is a once-in-a-generation opportunity to bring some of the finest minds to the UAE and contribute to our drive to become the world’s leading innovation hub for years to come. The UAE has a relentless focus on helping next-generation businesses to scale at speed and the leaders of future industries recognise that. If you’re a company with a strong idea, the UAE would like to see it materialize and we’re here to make that process as simple and efficient as possible.”
H.E. further stated: “This is an opportunity that comes by only once every generation to attract the smartest and most qualified to our country in support of our efforts to make the UAE the leading innovative hub of the future. We want to ensure that promising digital companies in the world can access all the benefits provided by our attractive and business-friendly investment environment.”
The UAE is one of the region’s fastest-growing economies. IMF predicts economic growth will accelerate to 4.2% in 2022, contrasting a slowdown in Europe, Asia and the US. In April this year, the UAE was ranked first globally as the best ecosystem for startups and entrepreneurs, according to the Global Entrepreneurship Monitor’s (GEM) 2022 report, as well as the region’s leading top country to attract foreign direct investment.
As a key pillar of its talent attraction drive, the National Program for Coders is offering Golden Visas to 100,000 computer coders. The UAE also aims to establish 1,000 new digital companies and increase investment in startups from approx. $400 million to $1.3 billion. The NextGenFDI initiative will complement and accelerate these efforts.
“We are pleased to be part of the NextGen FDI, a great initiative by the Ministry of Economy that seeks to attract top technology companies and talents to boost the emirate's economy. At Dubai South, our vision is aligned with all government initiatives, and we will be extending our full support to cater to all business needs towards achieving NextGen FDI's overall objectives." said H.E. Khalifa Al Zaffin, Executive Chairman, Dubai Aviation City Corporation and Dubai South.
Commenting on the launch of the NextGenFDI campaign, H.E. Ahmed Jasim Al Zaabi, Chairman OF Abu Dhabi Global Market (ADGM) said, “UAE’s comprehensive business ecosystem and political stability continue to position the nation as the destination of choice for FDIs. ADGM has been playing an anchoring role in the financial landscape of the region by actively pioneering progressive regulations and innovative solutions to enable financial intermediation and attract more liquidity and investments. We have been frontrunners to introduce transformational initiatives from the first regulatory sandbox regime and fully digital eCourts to the first crypto asset framework in the region and across borders.”
He further added, “We intend for Abu Dhabi and the UAE to become a centre to raise and deploy capital with the prudent management of risk in support of sustainably oriented, long-term economic growth for the next-generation businesses. ADGM’s partnership in this campaign is a step forward and resonates with our commitment to work hand-in-hand with the UAE’s government, regulators, and private sector to develop a holistic approach, one that strengthens our country’s global standing as an innovative investment hub”.
DIFC has built the region’s largest FinTech and innovation community in the Middle East and North Africa of close to 600 businesses, representing over 60 per cent of all those in the region.
This already includes 34 from Eastern Europe and South Asia, illustrating DIFC is the perfect choice to help them access the fast-growing markets of the Middle East, Africa and South Asia region.
“We provide them with the region’s most comprehensive innovation proposition which includes education, participation in incubator and accelerator programmes, cost effective operating and regulatory licenses, access to expertise and resources, and funding options,” he said.
In line with DIFC Strategy 2030, Centre is supporting sustained economic growth and further differentiating Dubai as a global hub for financial institutions, FinTech businesses and innovation companies.
Ammar Al Malik, Managing Director of Dubai Internet City, commented: “The MENA region is a cradle of vast opportunities considering the size and diversity of its markets. Our leadership’s progressive business policies as well as access to skilled talent have made the UAE a reliable and attractive hub for global corporations and regional firms alike. At Dubai Internet City, we are proud to have played a critical role in providing a competitive ecosystem for tech companies to thrive and collaborate over the past 20 years and aim to continue enhancing our offerings to appeal to new and ambitious customers.”
Ahmad Hamza, Executive Director – Free Zone, DMCC, said: “As the world’s fastest growing free zone with over 21,000 registered companies, DMCC is thrilled to be partnering with the UAE Ministry of Economy on this strategic growth initiative. By streamlining incorporation processes and acerating key services, NextGenFDI will make it even more easier for innovative and high-tech companies from around the world to relocate to the UAE, which continues to demonstrate its commercial appeal as a hub for global businesses.”
Ahmed Al Qassim, Senior Executive Vice President and Group Head, Corporate & Institutional Banking, Emirates NBD said, “Emirates NBD is delighted to be one of the first few partners to support such a unique initiative aimed at attracting skilled professionals to the UAE, to further contribute to the economic growth and development of the region. As a leading local bank that has always been committed to driving innovation in the region, we believe this initiative resonates with our long-term digital strategy and envisage it contributing to the next wave of growth and innovation in the UAE.”
Jayesh Patel, Wio CEO, said: “Wio Bank is honoured to be a strategic banking partner with the UAE’s Ministry of Economy for the NextGenFDI program. As a digitally native bank, Wio offers investors a robust digital banking platform to support their financial and investment needs with access to an ecosystem, thereby supporting the UAE in its mission to be the leading investment capital of the world.”