The International Institute for Management Development (IMD) World Competitiveness Ranking 2025 lists the UAE in the global top 5, with standout first-place scores in the absence of bureaucracy, second in government policy adaptability, and fourth in government efficiency (wam.ae). IMD’s official portal confirms Switzerland, Singapore, Hong Kong, and Denmark lead, followed by the UAE in fifth.
Mohammed bin Rashid chairs UAE Cabinet meeting at Qasr Al Watan and reviews the country’s achievement of placing 5th globally in the 2025 Annual Competitiveness Report, issued by the International Institute for Management Development (IMD). pic.twitter.com/OtzTjIZx8M
— Dubai Media Office (@DXBMediaOffice) June 17, 2025
Table of Contents
UAE’s Rise: A Strategic Transformation From 28th to 5th in Under Two Decades
In 2009, the UAE ranked 28th. Through sustained reforms, it now ranks 5th globally across these pillars:
- Economic performance – 2nd
- Business efficiency – 3rd
- Government efficiency – 4th (economymiddleeast.com, gulfbusiness.com)
This leap reflects decades of targeted policy, led by initiatives like the UAE Competitiveness Centre, launched in the early‑2010s (wam.ae).
Besting the Best on Bureaucracy and Adaptability
- 1st globally in the absence of bureaucracy—unprecedented streamlining across government services
- 2nd globally in adaptability—rapid and agile policy responses to global shifts
- 4th globally in government efficiency
Why This Matters for Investors
- Regulatory Confidence: The absence of red tape accelerates business processes—from company registration to licensing—saving time and cost.
- Agile Policy Frameworks: High adaptability means foreign companies can trust in the UAE’s proactive, forward-looking economic strategies.
- World-Class Governance: Near-top scores in government efficiency signal reliability—digital platforms (e.g., UAE Pass) have processed over 2.6 billion transactions and serve 11 million+ users.
Inspiring Confidence in Global Investors
- Efficient, Transparent Governance: Elimination of unnecessary bureaucracy makes the UAE one of the easiest places to start and operate a business.
- Pro-Business Environment: With top‑tier scores in global indicators—employment, venture capital availability, digitalization—the UAE offers both stability and opportunity.
- Trusted Digital Frameworks: Proven e‑services support seamless transactions and rapid market access.
- Global Market Access: Leveraging free‑trade agreements and world-class infrastructure, the UAE is a strategic gateway to the region and beyond.
The UAE’s climb to 5th globally in the IMD 2025 rankings, led by first positions in the absence of bureaucracy and top‑tier government efficiency, serves as compelling proof that the nation is not just investor‑friendly, but investor‑forward. This transformation, underpinned by robust governance and digitalisation, offers global investors a clear path to opportunity—with speed, transparency, and support.
Investor & Expert Testimonials
- “The regulatory environment is extremely favourable”, said Brandon Robinson, Deputy Head of Private Markets, JPMorgan Asset Management, speaking during the Abu Dhabi Global Market’s Alternative Investment Management Summit, praising Abu Dhabi’s licensing framework as “at par with Dubai” and attracting major global institutions.
- Ryan Lemand, Co‑founder & CEO, Neovision Wealth Management (Abu Dhabi fund adviser): “It’s completely changed in the past year, there’s been an influx of money managers, hedge funds, alternatives etc. … coming to conferences to raise funds here.” (reuters.com)
Investor Sentiment: FDI Confidence Index 2025
According to Kearney’s latest FDI Confidence Index, the UAE ranks 9th globally and 1st among emerging markets for investor optimism, 2nd globally as a destination for foreign direct investment (en.aletihad.ae).
Respondents cited the following four criteria as the strong reasons for investing in the UAE:
- Economic strength (38% of respondents)
- Ease of doing business (32%)
- Technological innovation (31%)
- Infrastructure quality (23%)
What This Means for Investors
| Insight | Implication |
| Favourable Regulation | Emirate-wide licensing consistency and clarity reduce startup and expansion risks. |
| Robust Asset Management Influx | Growing financial services ecosystem includes heavyweight players like JP Morgan and Bridgewater. |
| Top Ranked FDI Confidence | Global executives place UAE above peers like Australia, Spain, and Switzerland—underscoring broad-based investor trust. |
| Innovative & Infrastructure-Driven | High marks in innovation and logistics signal long-term, strategic market positioning. |
Final Investor Perspective
These quotes and data—sourced from leading global investors (JPMorgan, Neovision, Bridgewater) and Kearney’s authoritative index—underscore that the UAE is no longer just emerging; it’s a leading, trusted, and attractive business destination. Strong regulatory clarity, pro-active government strategies, and a thriving ecosystem of international capital all signal that Abu Dhabi and the wider UAE offer a uniquely compelling investment proposition.
Benoy Jacob is a journalist-turned-business consultant, currently serving as the Director of Client Relations at ATB Corporate in Abu Dhabi. With a keen eye for market trends and business strategy, he helps companies expand, build strategic partnerships, and optimize their operations in the UAE. Benoy brings a unique perspective on economic policies, trade ecosystems, and investment opportunities in Abu Dhabi and the wider MENA region.