UNCTAD: GCC Inward FDI Reached Decade-High $99 Billion in 2025 Led by UAE

According to the Gulf Cooperation Council Investment Report released by UN Trade and Development (UNCTAD), inward foreign direct investment (FDI) into GCC economies increased 18% in 2025 to reach approximately $99 billion. This marked a decade-high inflow compared with a 6% global growth rate. The United Arab Emirates remained the leading recipient in the region, capturing roughly $48 billion, while Saudi Arabia accounted for about three-quarters of the regional increase. Together, the two economies received more than four-fifths of all GCC inflows.

Announced greenfield foreign investment projects in the GCC grew 66% to approximately $78 billion, with project volumes rising 12% despite a 10% global contraction. The information and communication technology sector attracted the largest share of announced greenfield value, while automotive and construction commitments each expanded more than five-fold. Meanwhile, announced international project finance value climbed 65% to $114 billion across 16% fewer deals, driven by major digital infrastructure commitments including the $20 billion Stargate UAE artificial intelligence data-centre project.

Outward FDI from GCC economies expanded 11% to reach $130 billion in 2025, exceeding inflows by nearly $31 billion. The report highlighted that China and India have gained significance as sources of investment into the GCC, reinforcing the Gulf's role as an investment bridge connecting Asian capital and production networks with Africa, Europe, and North America. However, UNCTAD noted that preliminary indicators for the first half of 2026 indicate a sharp, region-wide weakening of investment activity amid disruptions in the Strait of Hormuz.