UAE, KSA, Egypt Attract Largest Number of FDI Projects in Arab World

Cars drive past the King Abdullah Financial District in Riyadh, Saudi Arabia December 18, 2018. REUTERS/Faisal Al Nasser

The Kuwaiti-based Arab Investment & Export Credit Guarantee Corporation (Dhaman) revealed that the UAE received the largest number of foreign direct investment projects in the Arab region; during the period between 2015 to 2019. This is with a share of 41%; followed by Saudi Arabia with 513 projects and a share of 12%; and Egypt, with 476 projects, constituting 11% of the total number of projects.

In a recent report, Dhaman said that Egypt topped the 10 Arab countries receiving projects according to the investment cost; during the period between 2015 and 2019. This is with 476 projects with an investment cost of $124.48bn, and a share of 35.2%.

Egypt is followed by the UAE with $53.6bn (15.2%) and Saudi Arabia, with $53bn of investment projects (15%).

In its report, Dhaman also pointed out that the number of new FDI projects launched by the GCC countries in the world decreased by 8%; during the first quarter of 2020 to reach 70 projects.

Saudi Arabia topped the list of the largest Gulf countries investing abroad with a share of 49%; followed by the Emirates with a share of 38%; then Bahrain with 10%, Qatar with 2%; Kuwait with 1.2%; while no investments were recorded from the Sultanate of Oman.

The corporation expected that FDI flows in the Arab region would decrease by between 21 to 51%, based on the length of the Covid-19 pandemic in 2020, with losses ranging between $7.1bn and $17.2bn.