The UAE Emerges as the Top Destination for Affluent Migrants in 2022: An Analysis of the Country's Strategic Efforts to Attract Investment and Position Itself as a Hub for Wealth

In 2022, the Middle East witnessed a surge in affluent migrants, with the UAE leading the way as the largest net inflow of millionaires globally. This has been attributed to the country’s strategic efforts to position itself as a hub for wealth and investment. As Naushid Mithani, head of Private Banking for the UAE and global South Asian community at Standard Chartered, puts it, the UAE is a “powerful magnet for capital.”

Since gaining independence from the UK in 1971, the UAE has pursued a vision of attracting the wealthy and facilitating their investments. To that end, the country has invested heavily in infrastructure and deployed tax incentives to encourage investment. The authorities have also been open to bending local traditions to accommodate Western-style luxury lifestyles.

In addition, the UAE has created ample opportunities for funding and investment. One of the key recent policy changes is the 100% foreign ownership of companies not considered of strategic importance, which has encouraged foreign investors to enter the market. Another significant development is the 10-year Golden Visa scheme introduced in 2019, which enables non-Emiratis to project long-term investments.

These policies have been successful in attracting the rich and wealthy to the UAE. In the latest Henley Global Citizens Report, published by Henley & Partners, an international firm that studies private wealth and investment movements globally, the UAE attracted more than 5,000 newcomers, exceeding earlier projections.

The Covid-19 pandemic presented unique challenges to the world, but the UAE doubled down on vaccinations to keep Dubai open to travel and business. The authorities also adapted regulations to make foreigners feel welcome and at home. The UAE's leadership reinforced its strategy of attracting and retaining the wealthy.

In summary, the UAE's ambitious efforts to position itself as a global hub for wealth have been successful. The surge in affluent migrants to the UAE is a testament to the country's favorable investment environment and ample opportunities for funding and investment. The future looks bright for the UAE as it continues to attract the wealthy and position itself as a global economic powerhouse.