The Dubai International Financial Centre (DIFC), the leading global financial hub in the Middle East, Africa, and South Asia, achieved exceptional results during the first half of 2023, reaffirming its strategic role in driving the future of the financial sector and enhancing Dubai's status as a leading destination for the growth of financial institutions, fintech companies, and innovation in the region.
The total number of new companies registered at the centre during the first half of this year reached 661, marking a significant annual increase of 23%. The total number of companies operating in the centre rose from 4,031 to 4,949 by the end of June 2023, also reflecting a 23% annual increase. As a result of the growing reputation of the DIFC as a global fintech and innovation hub, the number of companies representing these sectors within the centre increased from 599 to 811, representing a 35% annual rise. This growth surge has led to a significant increase in job opportunities, with new job openings rising by 20% year-on-year to reach 3,057 positions, bringing the total number of employees at the centre to 39,140, in line with the centre's strategic goals for 2030 aimed at strengthening its status as a global talent hub.
In the first half of this year, demand for commercial space increased, as the DIFC leased over 233,000 square feet of owned and managed commercial space, achieving an occupancy rate of 99%. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Chairman of the DIFC, stated on this occasion: "We take pride in the role of DIFC in enhancing the Emirate's reputation as a leading destination for finance and innovation sectors, as well as accelerating its contribution not only to the UAE economy but also to the economies of the Middle East, Africa, and South Asia. We are keen for the centre to have a significant impact and tangible contributions to drive Dubai’s economic growth in alignment with its economic agenda (D33) and achieve the centre's strategic objectives for the year 2023."
He added: "We highly value the tremendous trust that the global financial and business community has placed in Dubai and its financial centre, which has been built over many years and serves as the foundation for the exceptional results achieved by the DIFC. This achievement is the fruit of hard work and a clear strategy aimed at creating the best conditions for our current and future partners, fostering innovation and attracting exceptional talent, supporting the grand ambitions of all who see in Dubai the ideal place to launch their success."
The DIFC Chairman affirmed that the record results achieved serve as a motivation to continue developing the centre's capabilities and enhancing the level of its services by strengthening high-quality, efficient, and reliable infrastructure, and continuing to update clear and flexible legislative frameworks that consider the interests of partners and safeguard their rights, according to the best global standards and practices.
Recognizing its notable progress in this sector, the Spring 2023 edition of the Global Financial Centres Index classified Dubai as one of the top ten leading financial centres worldwide with significant capabilities and deep impact, due to the highly specialized and advanced services these centres provide to meet sector requirements, being the only financial centre in the Middle East, Africa, and South Asia to receive this ranking.
In this context, His Excellency Essa Kazim, Governor of the DIFC, stated: "The unprecedented increase in the number of companies operating in the centre during the first six months of 2023 has strengthened Dubai’s prestigious status as a leading global destination in the financial services and innovation sector. This tangible evidence of the centre's success is supported by a solid legal framework, regulatory guidelines, and world-class infrastructure that attract a wide range of large companies, growing firms, and a selection of specialized financial talent in the region. Undoubtedly, Dubai's renowned global status supports the strengthening of the global reputation of the DIFC among global financial and business communities and its continued contribution to the national economy."
For his part, Aref Amiri, CEO of DIFC Authority, said: "The great success achieved by the DIFC during the first half of 2023 underscores our responsible commitment to shaping the future of the financial sector. Our continuous efforts have yielded exceptional results, reflected in the centre attracting more clients, thereby enhancing their expansion plans, along with a noticeable increase in available job opportunities, thus boosting the global workforce at the DIFC. This qualitative achievement solidifies the position of the DIFC and Dubai as a leading global destination for specialized talent, as we continue to implement our targets for 2030."
During the first half of 2023, the number of licensed financial companies at the centre reached 632, surpassing the 600 mark for the first time. The strong influx of major financial institutions confirms Dubai’s appeal as a global business hub and contributes to solidifying the DIFC's position as a world-class environment that continues to attract companies from around the globe. Amidst accelerated growth and the ongoing influx of hedge funds to the DIFC during the first half of 2023, the DIFC's reputation as a new global hub for hedge funds is being established.
The list of new companies that joined the DIFC in 2023 includes significant global names such as "Asia Research and Capital Management Ltd," "Edmond de Rothschild," "Interest Global," "Hudson Bay Capital," "King Street Capital," "Nomura Singapore," and "Saint James Place," among others. The DIFC hosts 811 active companies within the fintech and innovation sector, representing the largest ecosystem of its kind in the region. These companies collaborate with 4,949 operating companies present in the integrated business community of the centre, contributing collectively to shaping the future of the financial sector. The financial centre encompasses 1,443 companies linked to the financial and innovation sector, an annual increase of 15% compared to the first half of 2022.
A notable feature of Dubai currently is its status as a global platform for activating climate action efforts. In preparation to host world leaders in Dubai for the COP28 Conference in November-December 2023, the DIFC launched the "Road to COP28" program, the first of its kind globally, focused on the future of the global financial sector. This program was launched in partnership with the Global Ethical Financing Initiative and gathers the most important global entities and institutions in the financial sector, aiming to mobilize efforts to adopt more sustainable practices and enhance climate action efforts. The program includes a series of meetings, conferences, and specialized educational programs to address the urgent issues within the sector, presented and organized by the DIFC Academy.
The Sustainable Finance Working Group in Dubai, chaired and supported by the DIFC, has published several reports to help companies develop organized methodologies to achieve climate neutrality, including adopting standards of environmental governance and social responsibility and activating mechanisms for sustainable finance practices. The centre will continue to lead the field of sustainable finance in the region in preparation for COP28 and to sustain efforts in the long term.
