Key Takeaways

• The UAE tops global entrepreneurship rankings with a tax-free, business-friendly environment and solid government support.
• Over 50% of MENA startup funding goes to UAE-based companies.
• The UAE ranks highly for supporting women entrepreneurs, providing education on entrepreneurship, and promoting innovation.

Over the past twenty years, the UAE has built a solid business ecosystem with practical programs. The model gives entrepreneurs everything they need, from business consultation to funding.

The UAE’s success is evident in the numbers. Beginning in 2021, it has held the top position in the Global Entrepreneurship Monitor (GEM) report for three consecutive years, earning a score of 7.7 out of 10 and leading in 12 out of 13 categories. This demonstrates the country’s ability to maintain its entrepreneurial edge and attract innovative business founders from around the globe.

A Foundation Built for Business Success

The UAE makes it simple and cost-effective to start a business and actively helps new businesses through practical initiatives. It aims to build an economy beyond oil. Companies in the Emirates pay no corporate tax and benefit from lower fees on over 1,500 government services. 

The 2020 Commercial Companies Law opened even more doors by allowing foreign entrepreneurs to own 100% of businesses across 1,105 commercial and industrial activities. This change has significantly contributed to the growth of Abu Dhabi’s economy, as small and medium-sized enterprises now account for 98% of all companies and generate 43% of jobs.

The Dh50 billion Ghadan 21 program helps businesses grow quicker by providing the necessary funding, while UAE Centennial 2071 maps out long-term growth plans to make the country the most successful in the world in its 100th anniversary. Operation 300bn is another initiative that aims to support businesses and boost the industrial sector’s contribution to GDP from AED 133 billion to AED 300 billion by 2031.

Related: Sovereign Wealth Funds Can Transform MENA’s Future

The UAE constantly invests in emerging technologies like artificial intelligence (AI), blockchain, smart mobility, and clean energy. Recent projects include the region’s first quantum computer, a national crypto library for better digital security, and the Arab world’s largest Electromagnetic Compatibility (EMC) Laboratory.

The UAE also ranks among the top five countries globally for supporting women in business. Programs like “She Means Business” train over 1,300 women entrepreneurs. The Khalifa Fund and Dubai SME are other programs that offer women entrepreneurs business consultation and funding. This support extends to schools, too—the UAE ranks in the top five out of 49 countries for teaching entrepreneurship to students.

Shaping the Future of Global Innovation via Entrepreneurs

The UAE remains an incubator for entrepreneurs, helping them in many ways: with flexible laws, funding, and support for new ideas. The country attracts more than half of all startup funding in the MENA region, showing how much investors trust its business environment.

The benefits go beyond financial: the UAE’s business ecosystem, in return, helps grow the next generation of progressive business leaders who will shape the world’s economy and create opportunities for millions of people, both locals, and talents from abroad.