UAE, 3 April, 2025 : The UAE has been ranked first globally in the Global Entrepreneurship Monitor (GEM) report for the fourth consecutive year, reaffirming its position as the best environment for entrepreneurship and small and medium enterprises (SMEs). The country outperformed 55 other economies, leading 11 out of 13 key indicators among high-income nations.
The UAE excelled in entrepreneurial financing, ease of access to capital, and government policies promoting entrepreneurship. It also topped global rankings in tax and regulatory policies, government-backed entrepreneurship programs, and integrating entrepreneurship into education.
Government’s Vision for a Thriving Ecosystem
Alia Abdulla Al Mazrouei, Minister of State for Entrepreneurship, credited the UAE’s visionary leadership for building a world-class entrepreneurial ecosystem. She emphasized the country’s commitment to supporting startups, fostering innovation, and expanding into digital and advanced economic sectors.
“The UAE continues to empower startups with tailored financing solutions and initiatives that support business growth. These efforts align with the nation’s ambition to become a global hub for the new economy by the next decade,” she said.
National Initiatives to Boost Entrepreneurship
The UAE aims to increase the success rate of entrepreneurs from 30% to 50% over the next decade. The government has launched initiatives to foster innovation, provide incentives for startups, and equip SMEs with resources for sustainable growth and global expansion.
$8.7 Billion Investment in Entrepreneurship
A key driver of the UAE’s success is its strategic investment of $8.7 billion to foster innovation and accelerate SME growth. This initiative falls under the "Projects of the 50," strengthening the country's entrepreneurship landscape.
The UAE’s decision to allow 100% foreign ownership of companies has further boosted investor confidence. In 2023, the country recorded a historic rise in foreign direct investment (FDI), cementing its status as a global business hub.
Entrepreneurial Culture and Future Outlook
The GEM report highlights the UAE’s thriving entrepreneurial culture, with 67% of adults knowing an entrepreneur or believing they have the skills to start a business. Additionally, 75% of early-stage entrepreneurs plan to expand their teams, and 80% aim to integrate digital technologies into their businesses.
The UAE also secured the top ranking in the National Entrepreneurship Context Index (NECI), reflecting its strong policy frameworks, infrastructure, and support systems for business growth. The nation aims to reach one million SMEs by 2031, further solidifying its position as a global hub for innovation and entrepreneurship.
Source : www.gulfnews.com
