The American magazine “Global Finance” reported that the United Arab Emirates is one of the least emerging markets affected by the economic repercussions resulting from the outbreak of the new Coronavirus, also known as the “COVID-19” pandemic, around the world.
UAE emerging markets overtake economic repercussions
The magazine emphasized in a report that, despite the fact that these repercussions affected everyone, and left a market only and suffered varying economic damages, there are some markets that have succeeded in somewhat mitigating the damages and reducing their negative effects, compared to others. The report pointed out that the UAE is one of the most prominent markets that have succeeded in this, as the extent of its damage from the repercussions of “COVID-19” is relatively less than the rest of the markets, especially the emerging markets.
He added that the proof of this success is the UAE’s attractiveness to foreign investors and its ability to attract investments.
The UAE emerging markets is the largest recipient of direct investments
The report, “Global Investment 2020”, released yesterday, by the United Nations Conference on Trade and Development (UNCTAD) revealed that the UAE was the largest recipient of foreign direct investment emerging markets in the West Asia region in 2019, with its inflows amounting to about 14 billion dollars, an increase of one third from the previous year.
The report, titled “International Post-Pandemic Production”, is attributed largely to major investment deals in the oil and gas sector in Abu Dhabi in the first place. The Black Rock and KKR Global Investment Company acquired a stake of 40%. In Abu Dhabi National Oil Company pipeline assets for about $4 billion. The Italian “Eni” also acquired a 20% stake in the Abu Dhabi Oil Refining Company with more than $3 billion.
Abu Dhabi has supported FDI inflows to the UAE in the past few years, through its simplified procedures and the ability to facilitate mega projects. In 2019, the emirate strengthened its commitment to foreign investment emerging markets, by launching the Abu Dhabi Investment Office under the framework of the Tomorrow 21 program, which is a large-scale initiative to strengthen the commercial ecosystem, including by creating an attractive and diversified environment for foreign direct investment.
