UAE Strengthens Position as Hub for Company Formation, Entrepreneurship

The United Arab Emirates has reinforced its standing as a global hub for company formation and entrepreneurship, propelled by legislative reforms, upgraded digital infrastructure and a cluster of state-backed support mechanisms, industry specialists told Entrepreneur Middle East. The UAE ranked first in the Global Entrepreneurship Monitor Report 2025–2026 for the fifth consecutive year and placed among the top five globally in the StartupBlink Global Startup Ecosystem Index, ranking first regionally — credentials officials and executives say are translating into stronger inbound company formation and faster scaling for startups.

"the UAE’s strategic location linking Europe, Asia and Africa has helped strengthen its role as a base for trade and investment, supported by air connectivity that enables access to global markets," said Diana Cichy, Founder and Chief Executive Officer of CICHE International Trade and Investment.

Context and ecosystem details

Policy changes such as expanded free zones, full foreign ownership and residency incentives are cited as practical enablers for entrepreneurs and international founders. Diana Cichy also highlighted government initiatives to expand the use of artificial intelligence in public services and to strengthen private sector readiness for AI as part of "long-term efforts to modernize the economy."

Executives in finance and risk echoed those strategic shifts. Willem van Wyk, Managing Director of HDI Global’s Dubai office, said the UAE "has developed into a regional fintech hub, supported by institutions such as the Central Bank of the UAE, Dubai International Financial Centre and Abu Dhabi Global Market." Van Wyk added that startup success is now increasingly measured by "the ability to scale securely and sustainably" as embedded finance, artificial intelligence and open finance models expand across the region.

Aaqib Gadit, Founding Partner at Disrupt.com, pointed to the operational advantages for startups: "the UAE offers startups access to capital, infrastructure, and global markets, adding that the company chose to operate in the UAE over hubs such as San Francisco and London due to fewer barriers in setting up and scaling businesses."

• Emirates Growth Fund — supports expansion of Emirati companies in manufacturing, food and agriculture, healthcare and advanced technology.
• Khalifa Fund — provides financing and business support services for small and medium-sized enterprises.
• Hub71 — described as a global tech ecosystem that connects startups with investors and partners to help them scale.
• Mohammed bin Rashid Innovation Fund — offers funding and advisory programmes to entrepreneurs and innovators.
• Dubai Entrepreneurs Campus — a joint initiative between Dubai Department of Economy and Tourism and Dubai Chamber of Digital Economy; recently completed the first phase of its business accelerator programmes.

Outlook

With repeated top rankings in global entrepreneurship indexes and a growing suite of funds and accelerators, the UAE’s focus appears to be shifting from attraction alone to measurable scaling and resilience. Stakeholders emphasise secure, sustainable growth as fintech, AI and open finance frameworks evolve, while government programmes from capital support to accelerator pipelines aim to convert favourable policy into long-term, exportable businesses. For founders weighing global locations, executives say a combination of market access, regulatory clarity and targeted funding is tilting decisions toward the UAE.