The UAE is the leading nation when it comes to the fastest-growing industries. Dubai is a hub of power, business, and luxury in the Middle East; so it shouldn’t surprise some that many major industries are being created and growing at an unprecedented rate.
The UAE will grow fast in the next few years. This is because it is a very progressive country, which spends as much money as necessary to further develop, including investing in new technologies, services, and industries that are becoming increasingly popular.
Due to UAE’s booming economy, new businesses are popping up everywhere. In this article, we will look at the fast-growing industries to start a business in Dubai, Abu Dhabi, and the rest of the UAE.’
Top Fastest Growing Industries in UAE
UAE is an excellent place to invest in new industries. The government has made it possible for businesses to open shops and be competitive in the region, which has led to a boom in business development and growth. The rapidly growing industries in the UAE will be related to technology, education, tourism, and real estate.
The United Arab Emirates is a young country, but it has already established itself as one of the most important hubs in the Middle East when it comes to business. This is due to its position as an international center for trade and finance, as well as its ability to attract foreign investment.
In particular, the following industries are expected to grow fast in the coming years:
ICT
The ICT industry is the fastest-growing industry in the UAE, with a growth rate of 20% from 2016-2023. The ICT sector includes companies providing services such as software development, web design and development, data analysis, information security, and internet infrastructure. The ICT industry has experienced strong growth over the past few years due to increased investment in technology by government entities as well as private companies.
Internet: The number of internet users in the UAE rose by almost 50% between 2017 and 2023. This growth rate is faster than any other country on our list except China!
Smartphones: Smartphone ownership has reached an all-time high in the UAE. The average number of smartphones per person has increased by over 50% between 2017 and 2023.
Real Estate
Real estate continues to be one of the most popular and booming business industries in the UAE due to its stable economy and high disposable income levels. This year, real estate should continue growing at a rate of 7% thanks to increased demand from foreigners buying homes as well as local residents looking for new homes or apartments for rent or sale.
Financial Services
The banking sector has grown significantly since 2000 when it was just 3% of GDP; today it’s almost 28% and continuing its rapid growth trend with an expected 12% increase this year due to economic expansion and growth in international trade as well as increasing domestic consumption levels.
Education and Training
According to the UAE Investment & Development Authority (a governmental organization responsible for promoting economic growth in the country), the education industry is one of the fastest-growing industries in the country. The UAE has a high demand for skilled workers, and there are many opportunities for students seeking higher education. The government has established several universities and colleges throughout the country, as well as a medical school that is currently being developed. In addition, there are private institutions such as Harvard University and MIT that offer courses on an international scale. The government also offers scholarships to students who wish to study abroad.
Tourism and Hospitality
Another fast-growing industry is tourism, which is expected to grow from $2 billion in 2020 to $5 billion by 2023. This industry has grown due to increased numbers of travelers visiting Dubai because it offers a lot of interesting attractions such as beaches and parks where tourists can take pictures with dolphins or sharks during their vacations (Kotler, 2018).
Technology
There are many industries in the UAE that will grow at a fast pace in 2023. One of the fastest-growing industries is tech, which is expected to grow from $20 billion in 2020 to $60 billion by 2023. The reason for this growth is because of the changing needs of consumers, who are becoming more demanding as technology advances and becomes more accessible.
Healthcare
Another fast-growing industry is healthcare, which is expected to grow from $5 billion in 2020 to $10 billion by 2023. Its Growth Rate is 17%. The main reason for this growth is due to the aging population of the country and the high demand for health care services.
Construction
Construction is another fast-growing industry in Dubai, which has become an international hub for trade because of its location along shipping routes from around the world. This sector employs more than 80% of all construction workers in Dubai and its surrounding region; however, it does not make up for all of their income since most construction workers do not receive regular paychecks but instead rely on bonuses based on project completion dates or other factors such as sales volumes or profits achieved during a given year).
Energy Generation
The UAE’s energy sector is another fast-growing industry that is expected to grow by 5% annually over the next decade. This includes both oil and gas production as well as solar energy development. The energy generation industry has been experiencing rapid growth due to rising oil prices and increasing demand for natural gas in recent years.
Food and Hospitality
The UAE is a country that offers a wide range of opportunities for career growth. The country’s fast-growing industries include food and hospitality.
In the field of food and hospitality, the UAE has made significant progress in recent years. The sector has grown by 24% over the last five years, with restaurants and hotels now accounting for more than half of all jobs created in the industry.
Many of these new jobs are highly skilled positions that require at least a bachelor’s degree but often require more than that level of education.
Oil and Gas
The oil and gas industry is also experiencing rapid growth in the UAE. Growth rate was 24% between 2018 and 2022, with demand for workers increasing by 33%. At this rate, it will take less than 20 years for this industry to reach its peak employment level!
Computer and Electrical
Computer and electrical engineering are growing rapidly in Abu Dhabi. Over the past five years alone, employment levels grew by 23%. The demand for skilled workers will only continue to increase as more people make use of technology around them every day.
In recent years, the demand for computers and electrical equipment has grown rapidly due to an increase in online commerce.
Aerospace
The UAE has a strong aerospace sector, with a growth rate of 14%. This is driven by the government’s efforts to make the country a hub for next-generation technologies. It is expected that this will continue to grow in the coming years. This is due to the increase in demand for aeronautics and aerospace engineering. The sector has been growing at a rapid rate since 2010 and is expected to continue growing at this rate over the next decade.
Read More: Top 10 Business Setup Ideas for Beginners in Dubai
Information Technology
The UAE has a strong information technology sector, with a growth rate of 13%. This is driven by an increasing need for IT services and software development in the country. With young people being educated in this field, there will be more demand for new software products from both local and international firms.
Automotive Industry
The UAE has a strong automotive industry, with a growth rate of 10%. This is driven by increased demand for vehicles and parts within the country.
How AIG Corporate Services Providers help you in setting up your business in UAE
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AIG provides comprehensive solutions that include consulting, advisory services, capital advisory, and advisory services. We have decades of experience working with both local and global companies. Our team of professionals has deep knowledge of the UAE market and its legal and regulatory framework.
We provide all the services related to setting up of your business in UAE. We help you with everything from legal assistance and tax consultancy to visa assistance and payroll services. All these services are provided by our experts who have years of experience in the field.
Our Business Consultants in Dubai help you by providing you with information on various laws and regulations regarding starting a business in Dubai, Abu Dhabi, Sharjah, or other locations within the UAE.
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Conclusion:
The United Arab Emirates is located in the Middle East it is bordering Saudi Arabia, Oman, Qatar, and Iraq. The country is enjoying a relatively high standard of living and has seen enormous growth in terms of industrialization. UAE is also emerging as a multinational transportation hub. The Business Climate in UAE is very good, which encourages new businesses to come and set up their base in the UAE
Numerous fastest-growing business sectors will continue to flourish in the UAE up until 2023. These include, but are not limited to, communication technologies and services, financial services, retail, tourism and hospitality, healthcare and medical services, infrastructure construction, transportation, and warehousing logistics. All of these industries will receive a significant boost based on current trends.
