UAE Recognised As Leading Investment Destination In Arab Region For 2024 By Dhaman

The UAE has emerged as the leading destination in the Arab world for investment and business in the automotive sales sector for 2024, according to the Arab Investment and Export Credit Guarantee Corporation (Dhaman). The Kuwaiti-based organisation highlighted that five Arab nations—Saudi Arabia, Morocco, the UAE, Algeria, and Egypt—attracted 145 foreign projects. These projects account for 79% of the total investments in the region.

These projects are valued at over US$22 billion, representing 89% of total investments, as reported by the Kuwait News Agency (KUNA). The initiatives have created more than 91,000 jobs, with China being a significant investor. China contributed 27 projects worth USD 8 billion, generating approximately 20,000 jobs.

The Gulf countries, led by the UAE, are considered top destinations for automotive investment and business activities in 2024. Following the UAE are Saudi Arabia, Qatar, Kuwait, Oman, and Bahrain. This trend underscores the region's growing appeal to international investors seeking opportunities in auto sales.

From January 2003 to October 2024, Arab countries attracted 184 foreign projects in the automotive sector. These projects were valued at more than US$25 billion and provided over 102,000 jobs. Dhaman noted that Saudi Arabia, the UAE, Algeria, Morocco, and Kuwait accounted for about 75% of vehicle sales in the region by late 2024.

In terms of individual car sales across these countries, projections indicate they will surpass 1.8 million vehicles by year-end. This marks a growth of 4.5% compared to last year. Saudi Arabia leads with a substantial share of 45% in this market segment.

The data reflects a robust interest from global investors in the Arab automotive industry. With strategic investments and job creation on the rise, these countries are poised to maintain their status as attractive hubs for automotive business ventures well into the future.

With inputs from WAM