The British website "uktech.news" published a report revealing an increase in competition in the UK's market for small and medium-sized projects among investors from the Middle East, particularly those from Qatar and the UAE, compared to their Japanese counterparts who have dominated this type of investment in recent years. The report highlighted the sectors most attractive to Qatari capital, placing energy and technology at the forefront. These sectors have recently benefited from a significant influx of Qatari funds, which could change the nature of these projects and expand them in the coming months, alongside the anticipated economic recovery as the world moves to overcome the COVID-19 pandemic that has hindered global economic growth since early 2020.
The report stated that the increase in Qatari and Emirati investments in London and other cities has contributed to Asian capital in the UK small and medium-sized projects market amounting to £12.3 billion in the first half of this year, compared to £10.8 billion last year. It noted that Qatar's focus on the technology sector in the UK has played a significant role in breaking the Japanese investors' dominance in this field from 2016 to 2020, during which Japanese investments in technology in the UK fell from 72% to 24%. The report anticipates further decline in Japanese investments in the future, characterized by intensified Qatari investments in this sector, whether through the Qatar Sovereign Wealth Fund or other means.
The report attributed Qatar's interest in the technology sector in the UK to several key factors, primarily the desire to diversify foreign projects and move away from traditional real estate investments, focusing instead on future-oriented sectors. It also pointed to the expansion of the UK market in this area and the abundance of promising investment opportunities for Qatari businessmen, who have recently begun seeking more sustainable projects that would ensure future profits.
