How the UAE Is Becoming the Startup Capital of the World

The UAE has moved from a business-friendly jurisdiction to an explicit national effort to become "the startup capital of the world," combining regulatory reform, state-backed finance and a dense network of accelerators and hubs. In 2025 the government launched a nationwide campaign and set a formal target of having two million companies registered by 2031 — a roughly 67 percent increase — while lowering the minimum legal age to form and manage a company from 21 to 18. The authorities have also set practical outcome targets: to train 10,000 aspiring entrepreneurs and create 30,000 jobs by 2030.

"Two million companies by 2031 gives both founders and investors a roadmap for growth," the government’s strategy document notes, underscoring a shift toward measurable goals that tie policy to entrepreneurship outcomes.

Practical ecosystem support

The UAE’s approach pairs targets with hands-on support. In Abu Dhabi, Hub71 attracts founders by providing access to funding, mentors and corporate partners, and the platform has been used by many startups to raise capital and scale internationally. Dubai Internet City’s in5 offers workspace, mentoring and business support for early-stage startups in technology, media and design. DIFC FinTech Hive connects fintech startups directly with banks, insurers and regulators to pilot new financial solutions, while Dubai Future Accelerators pairs startups with government entities and large organisations to test technologies in real-world settings.

Outside the main commercial hubs, Sheraa, the Sharjah Entrepreneurship Center, supports founders across sectors such as education and sustainability with an emphasis on long-term growth and regional expansion. At the same time, free zones and economic authorities continue to provide simple licensing and full foreign ownership options that create a predictable operating environment for founders and investors.

Funding, policy and market access

Access to finance has been addressed through both public and private channels. The Emirates Development Bank has introduced financing products designed specifically for startups and small businesses to reduce traditional barriers such as lengthy approval processes. Venture capital activity in Dubai and Abu Dhabi has increased, offering local capital while preserving connections to international markets. Complementary measures — including a range of residency options for entrepreneurs, investors and skilled professionals — are intended to make it easier for founders to live and work where they run their businesses.

• Younger founders: the legal age to form and manage a company has been lowered from 21 to 18, aligning the UAE with global norms and opening entrepreneurship to recent graduates.
• Skills and jobs: national programmes aim to train 10,000 entrepreneurs and create 30,000 jobs by 2030.
• Target scale: the country is pursuing two million registered companies by 2031, a roughly 67% increase over current figures.

Looking ahead, the mix of targets, policy tweaks and accelerator-led, market-facing pilots suggests the UAE will continue to lean on practical, measurable interventions. With hubs such as Hub71, in5, DIFC FinTech Hive, Dubai Future Accelerators and Sheraa acting as conduits to capital, mentors and corporate partners, the country is positioning itself to offer founders access to capital, talent and international markets—and a clear roadmap for growth.