Lessons from Trump’s Tariff Wars, Russia’s Sanctions and Implications for Australia
MSQ Capital’s Paul Miron says Trump’s return could reshape global trade and fast-track deglobalisation — with major consequences for Australia.
6 min
OPINION
Regardless of whether you are a Trump supporter or not, given the stock market turmoil and what can only be interpreted as personal attacks on global trading partners, Trump is quickly becoming one of the most globally polarising presidential figures in US history.
The trade war threatens global economic stability and reverses 80 years of globalisation. Geopolitics shape the global financial landscape, resulting in trade wars, wars, and sanctions, forcing nations to rethink their economic strategies.
Expect significant volatility to continue because we are in for a bumpy and uncertain ride during the remaining term of Trump’s presidency; diversification across lowly correlated asset classes has never been more critical.
Trumpenomics might be the most crucial economic experiment in modern history, and if you think this has no impact on Australians, think again.
FROM A US PERSPECTIVE, PERHAPS THE COUNTRY HAS NO CHOICE BUT TO DO SOMETHING DRASTIC
The US economy is the world’s largest consumer of products, and its trade deficit is running at US$147.9 billion per month. This is certainly not sustainable.
Federal debt stands at an all-time high of US$36.4 trillion, equating to 123% of GDP. This has been built up over decades because of the American consumer’s voracious appetite for cheap products delivered to them through globalisation.
However, the music has to stop one day to avoid continuing to fall into the inevitable debt spiral.
Trump argues that the fall in manufacturing in the US from 15.8% to 10.1% of GDP in the past 25 years has resulted in the single most significant deterioration in the living standards of the middle class, with the wealth being transferred to manufacturing economies such as China and Japan.
Despite Trump’s bizarre public interpretation of tariffs, they essentially tax US citizens’ consumption. Trump is infatuated by the Gilded Age in the US (1870 – 1900), when there was no personal income tax and governments raised most of their income through tariffs.
DEGLOBALISATION
Over the past 80 years, globalisation has been a powerful growth engine, lifting billions out of poverty, lowering consumer prices, and fostering unprecedented economic interdependence.
For the US economy, globalisation enabled access to vast export markets, cheap imports, and global capital flows, keeping inflation in check and sustaining consumer demand.
Globalisation has delivered extraordinary prosperity to the US, with the complex, interconnected global supply network we enjoy today.
The benefits of this network have been built over decades, with many US firms opening complex international supply chains to extract maximum global competitiveness. We do not know how they will be impacted, what the unintended consequences of these companies needing to trade under the new world order will be, and how this will affect both US and global markets.
Before the Global Financial Crisis, global trade exceeded 60% of world GDP. Since then, geopolitical fragmentation, supply chain vulnerabilities, and rising protectionism have ushered in an era of deglobalisation. The peak of globalisation is widely considered to have occurred in the mid-2000s.
A deglobalisation trend gathered pace during the COVID-19 pandemic, highlighting countries’ vulnerabilities and sovereignty in severe crises. It is important to note that from an economic standpoint, we have reached a pivotal point where the benefits of globalisation have been fully absorbed by our current Western economies.
Therefore, the current costs of global trade outweigh the benefits and a growing group of economists such as Dani Rodrik, Richard Baldwin and Nouriel Roubini firmly support deglobalisation.
The irony of Trump’s intentions regarding tariffs is that they have a sound fundamental economic basis when applied evenly, fairly, and measuredly. They are not an attack on trading partners, but a tax placed on consumers.
However, when tariffs are intentionally imposed to harforeign countries, we enter a different geopolitical game, resulting in trade wars, shifting alliances, increased global tensions, conflicts, and the risk of wars.
1https://www.economist.com/international/2009/02/19/turning-their-backs-on-the-world
LESSONS TO BE LEARNED FROM HISTORY
Two historical case studies provide glimpses of rational thinking that supports tariffs: the US-China trade war initiated by Trump in his first term in office, and Russia’s economic resilience under Western sanctions, offer valuable lessons for Australia.
While distinct in their circumstances, both examples underscore the importance of self-sufficiency, local manufacturing, and strategic economic policies to withstand external pressures.
UNDERSTANDING TRUMP’S TARIFF WARS
During Trump’s first presidency, he launched a tariff war, primarily targeting China, to reduce the US trade deficit and encourage domestic manufacturing. His administration imposed tariffs on billions of dollars’ worth of Chinese imports, arguing that unfair trade practices and intellectual property theft had disadvantaged American businesses.
The strategy was designed to make imported goods more expensive, incentivising firms and consumers to buy domestically produced alternatives.
While the immediate effects included increased costs for US consumers and retaliatory tariffs from China, the broader goal was to shift supply chains, encourage domestic production, and reduce reliance on foreign economies. Some industries benefited—such as steel and aluminium manufacturing—while others, such as agriculture, suffered from reduced exports due to retaliatory measures.
The long-term impact remains debated, but the lesson is clear: economic policy tools, such as tariffs, can strategically reorient an economy toward self-reliance.
RUSSIA’S ECONOMIC RESILIENCE UNDER SANCTIONS
A parallel case is Russia, which, despite facing heavy sanctions from Western nations, after its 2014 annexation of Crimea and, more significantly, after its 2022 invasion of Ukraine managed to sustain and even grow its economy.
Sanctions aimed to cripple key industries, limit access to global financial markets, and pressure the government into compliance. However, Russia’s response was instructive. The country aggressively pivoted toward self-sufficiency, particularly in food and energy production.
Russia mitigated the impact of sanctions by increasing local manufacturing and shifting trade to non-Western partners such as China and India. The Ruble remained relatively stable due to strict capital controls and alternative trade agreements.
This demonstrated how a nation can adapt when forced into economic isolation by fostering domestic industries and securing alternative markets.
TRUMP’S THE ART OF THE DEAL
Perhaps it is worthwhile to delve into Trump’s psychology, which has been formed throughout his career, a businessman deeply rooted in high-stakes negotiation, underpinned by access to immense financial resources and brand capital.
Inheriting a real estate business from his father, Trump expanded the empire into Manhattan’s luxury property market, leveraging aggressive deal-making and media-savvy self-promotion.
Trump consistently positioned himself as a power negotiator, unafraid of risk or confrontation. This negotiating style, as erratic and aggressive, comes from a position of power and wealth, which has paid off all his life and is all that he knows.
Now, as President, he is applying the same leadership style while in charge of the largest economy in the world, as he has done throughout his life. Regarding the position on tariffs, do not expect any consistency; he will pivot and change his position as frequently as he changes his underwear, leaving everyone consistently guessing.
Meanwhile, Trump-esque logic and rationale will always justify his actions with gusto and unquivering confidence.
Perhaps this is where the high-risk strategy evolves. There is no doubt he is going for broke, and it is anyone’s guess as to where this will end. There may be global recessions with markets overwhelmingly turning pessimistic.
Alternatively, he will end up with low interest rates so that government debt is more manageable, thereby reducing income tax and regaining local popularity by reorienting the economy in record time as world leaders cave into Trump’s outrageous demands and hurt the Chinese economy. It is also plausible that straight base 10% tariffs are applied, with the exception of China; only time will tell.
LESSONS FOR AUSTRALIA AND INVESTORS
Despite Trump’s overall strategy with tariffs in these unprecedented times, any politician, economy, asset class, or equity fund manager can go from hero to villain back, and then back to hero overnight.
Investors should take note and ensure they do not make decisions based on pure emotion and be led by animal spirits (the collective mood of the market).
Many economists and politicians have been calling for an emergency rate cut. This is highly unlikely, despite these recent events damaging consumer and business confidence. There are endless permutations on how this may impact our economy.
Our Reserve Bank Governor has on many occasions said that they make decisions based on data. There is still inflationary pressure that could be placed on our economy from the shifting nature of trade and geopolitics, and there is no need to rush to a decision that could be made in haste.
Whether Trump plays the long or short-term game, tariffs will accelerate the deglobalisation trend. Australia must focus on reducing import dependence, strengthening local manufacturing, and diversifying trade partnerships.
From an investment perspective, there has never been a more critical time to ensure the right diversification in one’s investment portfolio.
Despite the best research conducted by large fund managers regarding the correct composition of shares, fixed interest, alternative assets, and private funds within the portfolio, there is often a lack of understanding of how these types of, either black swan events or long structural changes to the economy, can set back one’s portfolio so considerably.
As a private credit fund manager, we can only see increased investor demand in Australia as there continues to be growing uncertainty and volatility in the equity markets.
Paul Miron has more than 20 years of experience in banking and commercial finance. After rising to senior positions for various Big Four banks, he started his own financial services business in 2004.
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Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
Oman plans to impose a 5% income tax on individuals earning over RO42,000 starting January 2028, as part of fiscal reforms to boost revenue and reduce oil dependence.
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Oman will implement a 5% income tax on individuals with annual earnings exceeding RO42,000 starting January 2028, marking a milestone in the sultanate’s fiscal reform agenda and the first such measure in the GCC.
The new tax regime, outlined in a law comprising 76 articles across 16 chapters, aims to broaden revenue streams while ensuring that most citizens remain unaffected.
Karima bint Mubarak al Saadiya, Director of the Individual Income Tax Project at the Tax Authority, said that all preparations for the rollout have been completed. She confirmed that executive regulations will be issued within a year of the law’s publication in the Official Gazette.
“Guidelines for individuals and legal entities are being prepared and will be released in line with an approved timeline,” she added.
According to the Tax Authority, only about 1% of the population is expected to fall within the taxable bracket, based on income data gathered from multiple government entities. The exemption threshold has been set deliberately to shield the majority of citizens from taxation. The measure is part of Oman’s wider plan to strengthen public finances and reduce reliance on oil revenue, aligning with broader economic diversification goals under Oman Vision 2040.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Americans now think they need at least $1.25 million for retirement, a 20% increase from a year ago, according to a survey by Northwestern Mutual
AvaTrade, a global trading company, has revealed the top 25 most traded instruments in the Gulf Cooperation Council (GCC) since April 1st, including gold, U.S. equities, commodities, and cryptocurrencies. Established in 2006, AvaTrade offers over 1,000 CFDs and monthly trading volumes exceeding $70 billion.
2 min
AvaTrade, a leading global trading company, has released the latest data from its key GCC platforms, reinforcing its role as a source of real-time market intelligence. Covering activity across the region since April 1st, the data reveals the Top 25 most traded instruments by USD volume, with gold taking the lead. By sharing these insights, AvaTrade continues to empower investors to trade with confidence in a rapidly evolving market.
Regional Data
Based on AvaTrade’s platform activity over the past 2.5 months, the data collected covers Bahrain, Kuwait, Iraq, Oman, Qatar, Saudi Arabia, and the UAE. In addition to gold appearing as the most traded, the data reveals strong regional interest in U.S. equities, with all three major indices, NASDAQ 100, DJ30, and S&P 500, ranking within the top four, and the Russell 2000 close behind in eighth.
Commodities also featured prominently, with crude oil and Brent oil both placing in the 15 most traded instruments, and silver also making the list. Foreign exchange trading is also active, with major pairs such as USD/JPY, EUR/USD, and GBP/USD all ranking in the top ten. Other currency pairs like AUD/USD, USD/CHF, USD/CAD, and GBP/JPY follow closely behind.
Meanwhile, the inclusion of cryptocurrencies such as Bitcoin in tenth place and Ethereum, ranked 18th, reflects a broader diversification in trading preferences across the region.
Reflecting on the recent data, Dáire Ferguson, CEO of AvaTrade, stated, ‘Sharing this type of trading insight is one of the many ways we aim to support our growing base of investors across the GCC. In an ever-changing global market, where regional dynamics also play a key role, timely data helps traders make more informed decisions.’
Empowering Informed Trading Decisions
Established in 2006 as a pioneering online trading platform, AvaTrade is one of the most trusted brokers in the industry with nine regulations across six continents. Offering access to over 1,000 CFDs across forex, ETFs, indices, commodities, and crypto, the platform caters to both experienced investors and newcomers through a range of educational resources, trading tools, and market insights. Complemented by a customer-first approach rooted in quality, integrity, and transparency, AvaTrade ensures a reliable and supportive environment for every trader.
Today, AvaTrade serves a global community of over 400,000 registered customers, executing more than two million trades each month. With monthly trading volumes exceeding $70 billion, the platform continues to grow alongside both the GCC and global trading landscape.
As markets continue to shift, AvaTrade remains dedicated to visibility and delivering insight-led resources that support smarter trading decisions. Through real-time data and a user-focused platform, the company is actively empowering both seasoned and new investors.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Interior designer Thomas Hamel on where it goes wrong in so many homes.
First Abu Dhabi Bank (FAB), the largest global bank in the UAE, has become a Direct Participant of the Cross-border Interbank Payment System (CIPS), enhancing its ability to provide faster, secure, and efficient cross-border RMB payment solutions.
2 min
First Abu Dhabi Bank (FAB), the UAE’s global bank and one of the world’s largest and safest financial institutions, has become a Direct Participant (DP) of the Cross-border Interbank Payment System (CIPS), the official cross-border payment infrastructure for Renminbi (RMB).
FAB’s direct participation in CIPS enhances its ability to provide clients with faster, more secure and efficient cross-border RMB payment solutions, reinforcing its leadership in cash management and clearing across the Middle East and North Africa (MENA) region, as well as its reputation for operational excellence and robust risk management.
FAB is currently the only UAE bank operating a fully licensed branch in Mainland China and is committed to supporting the needs of clients and partners in both markets.
As the largest bank in the UAE and a cornerstone of the nation’s economic, corporate, and financial ecosystem, FAB is uniquely positioned to drive growth and innovation across the China-UAE/GCC corridor.
This landmark achievement underscores FAB’s leadership in digital transformation and its commitment to advancing the UAE’s position as a regional financial hub.
Hana Al Rostamani, Group Chief Executive Officer at FAB, said: “With a fully licensed branch in Mainland China, FAB holds a unique position among UAE banks enabling it to lead on the integration of the Renminbi into our existing global banking service offering. Our direct participation in CIPS significantly enhances our ability to provide faster, more secure and efficient RMB payment solutions and deliver real-time settlement capabilities. This development reinforces our leadership in regional cash management and clearing. It also strengthens FAB’s role as a trusted financial infrastructure partner for clients transacting between China, the UAE and the broader MENA region. As cross-border transactions accelerate, we remain committed to delivering the infrastructure and innovation that enable financial connectivity at pace.”
FAB’s participation as a Direct Participant of CIPS reflects its vision to remain at the forefront of financial innovation as MENA’s leading bank. The bank continues to invest in advanced infrastructure and capabilities to ensure it remains the partner of choice for clients navigating the complexities of international trade and finance.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Following the devastation of recent flooding, experts are urging government intervention to drive the cessation of building in areas at risk.
The UAE’s real estate market is attracting investors this summer, with six strategic locations like Dubai Creek Harbour, Al Marjan Island, Business Bay, Yas Island, Dubai South, and Jumeirah Village Circle gaining popularity.
3 min
While the UAE’s real estate market remains active year‑round — with transactions totaling over AED239 billion (approximately $65 billion) in Q1 2024 — summer is now shining a spotlight on a handful of strategic locations that have long-term value, vision, and seasonal appeal. From branded beachfront escapes to smart city zones on the rise, Whitewill unveils the top six destinations making waves with investors this summer.
Dubai Creek Harbour
Demand is rising for communities that combine prestige, proximity, and waterfront serenity, and Dubai Creek Harbour checks all those boxes. Known for its elegant skyline and seamless access to Downtown Dubai, it’s a favorite for buyers seeking a premium lifestyle with investment upside. The star feature here is its master-planned waterfront living, enhanced by green spaces and direct views of the Dubai Creek Tower.
Waterfront apartments start at AED 1.45M, while luxury villas exceed AED 5M. With rental yields of 6–6.8% and consistent appreciation, it balances luxury with long-term potential. Albero at Green Gate by AHAD — a development that is a low-rise sanctuary within a high-rise zone, offers landscaped privacy, smart layouts, and end-user appeal.
Al Marjan Island, Ras Al Khaimah
With more investors prioritizing coastal living, Al Marjan Island is experiencing a surge in demand, especially with the upcoming Wynn Resort transforming the area into a hospitality hub. It has direct beachfront access and the rare opportunity to own a branded residence beside a future gaming and entertainment destination.
Apartments begin at AED 585K, with ultra-luxury homes priced up to AED 30M+. Offering 8–9%+ rental yields and over 20% YoY appreciation in some pockets, this hotspot appeals to both short-term and capital-growth investors. SORA by AARK exemplifies the trend with hotel-style amenities, sea views, and curated interiors.
Business Bay
In a market where short-term rental returns drive demand, Business Bay continues to attract buyers looking for income-generating assets in the city center. Its strongest draw is the fusion of location and luxury, with proximity to DIFC and Downtown Dubai, with Dubai Canal weaving its way through.
Studios and 1–2BR apartments average AED 1.4M, delivering 6–7% yields and strong resale demand. Among standout offerings is the Waldorf Astoria Residences — a branded address that blends high-end services with everyday practicality, offering residents a globally recognized standard of living.
Yas Island, Abu Dhabi
Buyers this summer are eyeing Yas Island for its unique blend of leisure, family appeal, and short-stay rental potential. The island’s standout quality lies in its lifestyle proposition, from theme parks and golf to marinas and cultural hotspots, all within a well-planned residential setting.
Villas average AED 4.5M, with apartments priced between AED 1.2M and AED 3.8M. Yields sit at a steady 6.5–7%. For luxury seekers, Waldorf Astoria Yas Island offers waterfront tranquil and the backing of a premium hospitality brand, making it an attractive asset for both use and investment.
Dubai South
Investors are increasingly drawn to Dubai South for its affordability and alignment with the UAE’s infrastructure vision. As a future-ready hub near the upcoming Al Maktoum Airport International Airport expansion, logistics hubs, and the Expo 2020 legacy infrastructure, its core appeal lies in early-mover advantage and the opportunity to ride the wave of long-term growth.
There is a strong uptake in off-plan units starting at AED 800K, with a projected 15–25% value growth by 2030 and rental returns of 6–8%. Al Waha in Expo City exemplifies the area’s appeal with a wellness-first, car-free community design in the city’s innovation hub, tailored for a new generation of buyers.
Jumeirah Village Circle (JVC)
Affordable, accessible, and increasingly design-driven, JVC remains a go-to for buyers seeking strong yields without compromising on lifestyle. The area’s main pull is its ability to deliver rental income and resident satisfaction in equal measure.
Apartments begin at AED 650K and entry-level villas at AED 1.6M, offering 7–8.6% yields. The district’s consistent rental demand makes it ideal for first-time investors. Havelock Heights by HMB delivers boutique living with rooftop amenities and great rental potential, offering design-led quality at accessible entry points.
Overall, the market is favoring projects that combine lifestyle, location, and financial upside. While each area is unique, Al Marjan Island and Dubai South hold exceptional long-term promise. The former is becoming the UAE’s entertainment capital with hospitality-led growth, while the latter is powered by airport expansion, creating a foundation for sustained capital growth and end-user migration. Both represent early-stage opportunities in rapidly maturing ecosystems—a perfect fit for investors with vision. While Dubai Creek Harbour and Yas Island remain strong lifestyle markets, the real long-term multiplier effect will come from assets in these high-conviction, underpenetrated districts where supply is still limited and strategic government investment is ongoing.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Abu Dhabi’s hospitality sector generated AED611 million ($166.34 million) in March 2025, driven by diverse accommodation and high-quality services. International visitors primarily consisted of non-Arab Asian nationals, Europeans, and UAE nationals, with five-star hotels hosting the most guests.
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Abu Dhabi’s hospitality sector continues to show robust growth, with hotel establishments across the emirate generating revenues of AED611 million ($166.34 million) in March 2025, according to preliminary data released by the Department of Culture and Tourism – Abu Dhabi (DCT Abu Dhabi), in coordination with the Statistics Centre – Abu Dhabi (SCAD).
The total revenue breakdown comprises AED345 million from room bookings, AED228 million from food and beverage services, and AED38 million from other sources.
The emirate welcomed approximately 417,000 hotel guests during March, highlighting Abu Dhabi’s growing appeal as a global tourist destination. The surge is attributed to the emirate’s diverse accommodation offerings and high-quality hospitality services.
A total of 171 hotel establishments, comprising 34,341 rooms, operated across Abu Dhabi in March. These properties recorded over 1.2 million guest nights, achieving an average occupancy rate of 69%. The average revenue per available room (RevPAR) stood at AED486.
Non-Arab Asian nationals topped the list of international visitors, accounting for 152,000 hotel guests. European travelers followed with 123,000 guests, while UAE nationals accounted for 58,000 stays.
These figures underline Abu Dhabi’s sustained tourism growth and its strengthening position as a preferred destination for a wide range of global markets.
According to DCT Abu Dhabi, five-star hotels hosted the highest number of guests, totaling 205,000 in March. European visitors made up the largest segment within this category, with 78,000 guests.
Four-star hotels received 119,000 guests, followed by three-star and below hotels with 54,000 guests. Additionally, serviced apartments accommodated 38,000 visitors.
The strong performance aligns with Abu Dhabi’s Tourism Strategy 2030, which aims to attract 39.3 million visitors annually, generate 178,000 new jobs in the tourism sector, expand hotel capacity to 50,000 rooms, and increase the sector’s contribution to the emirate’s GDP to AED90 billion by the end of the decade.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
The UAE ranked 10th globally in FDI inflows, with a 2.8% growth in greenfield projects. Sheikh Mohamed bin Zayed Al Nahyan’s leadership supports investment in key sectors, including renewable energy.
4 min
The UAE ranked 10th globally as a leading destination for inbound foreign direct investment (FDI), achieving an unprecedented AED 167.6 billion (USD 45.6 billion in FDI inflows, according to the United Nations Conference on Trade and Development (UNCTAD) World Investment Report 2025.
The UAE Foreign Direct Investment Report 2025, issued by the Ministry of Investment, highlights the country’s exceptional performance and unmatched success in attracting capital across strategic sectors, reinforcing its status as a premier global investment destination despite an unstable global landscape.
His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE, and Ruler of Dubai, declared that, under the visionary leadership of His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE, the UAE’s tenth global ranking in FDI inflows for 2024 confirms its status as a land of boundless opportunities and the premier destination for innovative businesses and bold ideas.
His Highness Sheikh Mohammed bin Rashid Al Maktoum said: “In an international vote of confidence in the UAE’s economy, the latest report by the United Nations Conference on Trade and Development (UNCTAD) revealed that the UAE attracted AED 167 billion ($45 billion) in foreign direct investment over the past year, marking a 48% growth compared to the previous year.”
His Highness added: “The UAE accounted for 37% of all foreign direct investment inflows into the region. Out of every $100 invested in the region, $37 comes to the UAE. The country also ranked second globally, after the United States, in the number of newly announced foreign direct investment projects. Our next goal is to attract AED 1.3 trillion in foreign direct investment over the next six years, God willing.”
His Highness continued: “Our foundation is strong, our future is promising, and our focus on our goals is crystal clear. Our message is simple: development is the key to stability, and the economy is the most important policy.”
Despite a global slowdown in greenfield FDI project growth to 0.8%, the UAE achieved a remarkable 2.8% growth, solidifying its position as a key destination for investment flows. Total capital for announced greenfield FDI projects in 2024 reached AED53.3 billion (USD 14.5 billion).
The UAE ranked second globally, after the United States, in attracting greenfield FDI projects, with 1,369 new projects announced in 2024.
The Ministry of Investment leads these efforts by enabling investment in key sectors, providing a flexible and competitive environment for global capital, and acting as a trusted partner for international investors. The ministry continues close collaboration with federal and local government entities, investment promotion agencies, private sector companies, and international partners to develop innovative policies, enhance the UAE’s investment value proposition, and unlock new avenues for long-term economic growth.
Annual FDI inflows rose from AED31.6 (USD 8.6 billion) in 2015 to AED167.6 billion (USD 45.6 billion) in 2024, with cumulative FDI stock reaching USD 270.6 billion, reflecting a 10.5% compound annual growth rate from 2015 to 2024.
Mohamed Hassan Alsuwaidi, Minister of Investment, stated: “Recording this unprecedented level of FDI inflows to the UAE is an achievement that reflects the strategic choices made by our wise leadership and its long-term vision to establish the UAE as a leading global investment destination. The Ministry of Investment is committed to developing a comprehensive regulatory and legislative framework aligned with our national priorities, meeting investors’ needs, and providing a competitive business environment that attracts global capital.”
He added: “The UAE’s investment ecosystem has become a global model, thanks to its stability, transparency, trade openness, and ease of doing business. Through the National Investment Strategy 2031, we continue to set ambitious goals to cement the UAE’s position as a leading global FDI destination. We provide a clear pathway to drive sustainable growth, double investment opportunities, diversify priority sectors, and open new horizons for global companies seeking innovation and expansion in future markets.”
The strong performance of key economic sectors boosted the upward trajectory of announced greenfield FDI projects in the UAE. Software and IT services led announced FDI greenfield project values (11.5%), followed by business services (9.7%), renewable energy (9.3%), coal, oil, and gas (9%), and real estate (7.8%).
The energy sector attracted AED4.8 billion USD 1.3 billion in greenfield FDI, advancing the UAE’s national goal to triple renewable energy production capacity by 2030.
The UAE’s supportive investment policies and robust strategic partnerships have solidified its position as a primary destination for foreign capital in the region, capturing approximately 37% of the region’s FDI inflows in 2024.
The UAE continues to attract top global talent, driven by policies supporting its investment strategy, including full foreign ownership in mainland companies, a competitive 9% corporate tax rate, streamlined licensing procedures, and enhanced legal protections.
These policies have fostered a favorable investment climate, while strong legal frameworks, such as the Dubai International Arbitration Centre, have bolstered investor confidence and safeguarded their interests.
The UAE ranks fifth globally in attracting highly skilled talent (per the 2024 Global Talent Competitiveness Index by INSEAD) and third in attracting AI talent (per Stanford University’s 2024 AI Index), reinforcing its status as a leading hub for professionals, entrepreneurs, and innovators.
Global partnerships are another key driver of investment attraction, with 21 Comprehensive Economic Partnership Agreements and 120 bilateral investment treaties clearly supporting the investment landscape.
This momentum is underpinned by the UAE’s significant investments in digital transformation, exemplified by the USD 1.5 billion joint venture between Microsoft and Abu Dhabi-based G42 to advance AI capabilities and set new standards for innovation.
The National Investment Strategy 2031 aims to double annual FDI inflows by 2031, targeting AED 2.2 trillion cumulative FDI by 2031, as per the National Investment Strategy (NIS).
The strategy focuses on priority sectors such as advanced manufacturing, renewable energy, financial services, and IT, emphasizing sustainability and innovation. Initiatives under this strategy aim to cement the UAE’s global leadership in economic diversification and technological advancement.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
The World Bank predicts stable economic growth in Qatar at 2.4% in 2025, with an average increase to 6.5% in 2026-2027 due to LNG capacity expansion. Non-hydrocarbon growth, particularly in education, tourism, and services, is expected.
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The World Bank projected that the economic growth in the State of Qatar is to remain stable at 2.4% in 2025, before accelerating to an average of 6.5% in 2026-2027 due to the expansion of LNG capacity.
These improved prospects are supported by strong non-hydrocarbon growth, particularly in education, tourism, and services, the World Bank said in its report “Gulf Economic Update.”
The hydrocarbon sector is expected to growth timidly in 2025 (0.9%), before undergoing a significant boost in 2026 thanks to the North Field LNG expansion coming online, supporting a 40% rise in LNG output. Non-hydrocarbon growth is expected to remain robust thanks to infrastructure upgrades and international investments, the report said.
“Economic growth across the Gulf Cooperation Council (GCC) is projected to increase in the medium-term to 3.2% in 2025 and 4.50% in 2026. This growth is likely to be driven by the expected rollback of OPEC+ oil production cuts and robust expansion of non-oil sectors,” according to the report.
According to the latest edition of the report, regional growth was 1.7% in 2024 – an improvement from 0.3% in 2023. The non-hydrocarbon sector remained resilient, expanding by 3.7% – largely fueled by private consumption, investment, and structural reforms across the GCC.
At the same time, global trade uncertainty presents challenges, as a global economic slowdown remains a key downside risk for the region. To mitigate these risks, GCC countries need to accelerate economic diversification reforms and strengthen regional trade.
“The resilience of GCC countries in navigating global uncertainties while advancing economic diversification underscores their strong commitment to long-term prosperity,” Division Director for the GCC countries at the World Bank Safaa El Tayeb El-Kogali said.
“Strategic fiscal policies, targeted investments, and a strong focus on innovation, entrepreneurship, and job creation for youth are essential to sustaining growth and stability,” she added.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Egyptian Gulf Bank has partnered with Mastercard to improve financial accessibility, digital payment adoption, and introduce new card segments to affluent individuals, aiming to diversify product offerings and improve customer experience.
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Egyptian Gulf Bank (EG Bank) has teamed up with Mastercard to boost financial accessibility, expand digital payment adoption, and provide affluent individuals with new segments to the bank’s card portfolio, as per an emailed press release.
The collaboration aligns with EG Bank’s strategy to offer a convenient, seamless, and secure payment experience for its customers.
Under the partnership deal, Mastercard will support the EGX-listed lender in developing its portfolio of debit, credit, and commercial cards, which will secure tailored financial solutions with additional benefits.
The bank seeks to attract new customer segments by offering different banking services to individuals, businesses, and corporations. This is in addition to a wide range of digital banking services, such as mobile banking and internet banking, enabling customers to manage their accounts and conduct transactions remotely.
Mohamed Assem, Country Manager for Egypt, Iraq, and Lebanon at Mastercard, said: “This collaboration underscores our joint commitment to driving the growth of the digital payment ecosystem, unlocking new opportunities for sustainable financial empowerment.”
Yasmeen Galal, Head of Consumer Banking and SMEs at EGBANK, commented: “Our collaboration with Mastercard marks a significant milestone in our strategy to diversify our product offerings and enhance our customers’ banking experience.”
“This collaboration enables us to offer seamless and rewarding financial solutions that meet the evolving needs of today’s consumers while driving long-term growth and innovation in Egypt’s financial landscape,” Galal added.
In the first quarter (Q1) of 2025, EG Bank posted 27% year-on-year (YoY) higher consolidated net profits after tax at EGP 758.713 million in the first quarter (Q1) of 2025, compared to EGP 596.541 million.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Gulf Bank is continuing its Women of Wisdom (WOW) initiative, designed for female employees, to inspire personal growth, strengthen connections, and cultivate leadership. The sessions, led by renowned coach and consultant Ms. Rehab Al-Tawari, focus on building connections and nurturing personal assets in the workplace. The initiative provides a supportive platform for women to navigate workplace challenges, find balance between personal and professional life, and boost female representation in leadership roles. Gulf Bank was one of the first to eliminate gender-based disparities in employee benefits in Kuwait and is a signatory of the United Nations Women’s Empowerment Principles.
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As part of its continued commitment to empowering women and enhancing their role within the Bank and the broader banking industry, Gulf Bank is carrying on with its monthly Women of Wisdom (WOW) sessions an internal initiative designed specifically for its female employees.These sessions aim to inspire personal growth, strengthen connections, and cultivate leadership among women across the organization.
In the latest session, which drew strong engagement from employees across various departments, renowned coach and consultant Ms. Rehab Al-Tawari led an insightful talk titled “Building Connections: Strengthening the Assets That Matter.” Tailored specifically for early-career female employees, the session offered an engaging and interactive experience, guiding participants through the importance of professional relationships and strategies to nurture key personal assets in the workplace. Drawing from her rich experience in the banking and education sectors, Ms. Al-Tawari sparked meaningful conversations on how to thrive during the early stages of one’s career.
The Women of Wisdom (WOW) initiative provides a supportive platform for women to navigate workplace challenges, find balance between personal and professional life, and boost female representation in leadership roles. It also serves as a space for networking, idea-sharing, and open dialogue around the experiences and challenges women face throughout their careers.
Gulf Bank was one of the first banks in Kuwait to eliminate gender-based disparities in employee benefits, ensuring equal opportunities and treatment for both male and female staff. It also stands among the early signatories of the United Nations Women’s Empowerment Principles (WEPs) in Kuwait, reflecting its deep-rooted commitment to advancing gender equality in the workplace and beyond.
Introduced in 2017 as one of Gulf Bank’s leading internal initiatives, the Women of Wisdom (WOW) program continues to provide monthly sessions that delve into key topics such as leadership, personal development, and maintaining work-life balance — all with the goal of empowering women and fostering a strong, collaborative network within the Bank.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Kuwait’s Direct Investment Promotion Authority and The Business Year hosted The Thought Leadership Circle at KIPCO Tower, involving decision-makers, global companies, and international partners to discuss Kuwait’s energy future and innovation.
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Kuwait Direct Investment Promotion Authority (KDIPA), in cooperation with The Business Year (TBY), organized The Thought Leadership Circle: Empowering Energy Transformation today at the Chairman’s Club, KIPCO Tower. The event brought together senior decision-makers from Kuwait’s energy and finance sectors, global companies, and international partners to shape the country’s energy future.
This Thought Leadership Circle series featured keynote contributions from His Excellency Sheikh Dr. Meshaal Jaber Al-Ahmad Al-Sabah, Director General of KDIPA, who outlined Kuwait’s strategic approach to achieving net-zero emissions and energy diversification.
Mohammad Mulla Yaqoub, Assistant Director General for Business Development at KDIPA, highlighted the importance of public-private collaboration in accelerating Kuwait’s energy transformation and attracting sustainable investments.
Hamad Al-Marzouq, Chief Enterprise Business Officer at Zain Kuwait said: “As a trusted and key partner to Kuwait’s digital transformation journey, Zain is committed to enabling the energy sector’s evolution through cutting-edge technology and meaningful collaboration. The future of energy lies in how we harness innovation to drive sustainability, resilience, and long- term economic growth, and we’re proud to contribute to that transformation.”
Shell Kuwait, represented by Anwar Al-Mutlaq, contributed with insights on upstream advancements and the role of international expertise in achieving Kuwait’s 2035 and 2040 production goals.
The Kuwait Banking Association (KBA), a strategic sponsor, underscored the financial sector’s role in enabling the energy transition and mobilizing capital for green infrastructure.
The discussion explored Kuwait’s roadmap to net-zero emissions by 2050, the role of innovation and foreign direct investment in the sector, and the country’s recent upstream discoveries, including the Al-Nokhatha, Al-Julaiah, and North Wafra fields. Attendees exchanged views on how these developments can drive economic diversification and position Kuwait as a hub for energy innovation and cross-border partnerships.
Prominent figures participating in the roundtable included Sheikh Ahmed Duaij Jaber Al Sabah, Chairman of the Commercial Bank of Kuwait; Bader Ebrahim Al Attar, MD Planning & Finance, KPC; Anwar AlMutlaq, Vice President Upstream and Country Chair of Shell Kuwait; Meshal S. Esbaitah, Vice Chairman of IMKAN International Company; António Azevedo Campos, Co-founder and CEO of Hub2Energy; moderated by Alexander Krunic, Senior Advisor to the Chairman, Commercial Bank of Kuwait.
The event offered a platform for deep dialogue and collaboration aimed at advancing Kuwait’s energy transformation and investment attractiveness.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
The ICAEW Economic Insight report predicts stronger-than-expected growth in the GCC economies this year, with GDP expected to expand by 4.4% in 2025. Despite global trade tensions and depressed oil prices, only Qatar and the UAE maintain fiscal surpluses. Non-oil sectors are expected to grow 4.1%, while Saudi Arabia’s oil economy is expected to grow by 5.2%.
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Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
A survey by Arthur D. Little reveals that while Gulf Cooperation Council (GCC) banks are making digital progress, they still face challenges in achieving omnichannel excellence. Despite 72% of UAE banking employees operating in mobile-first environments, operational hurdles persist.
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A new regional survey by Arthur D. Little (ADL) conducted with 42 leading banks across the United Arab Emirates (UAE) and the Kingdom of Saudi Arabia (KSA) reveals that while Gulf Cooperation Council (GCC) banks are making substantial digital progress, significant challenges remain in achieving full omnichannel excellence. The findings, detailed in the Omnichannel Survey 2024, highlight the urgent need to bridge technological, workforce, and security gaps to meet rising customer expectations.
The survey shows that 72% of UAE banking employees now operate in mobile-first environments, reflecting strong national investment in digital infrastructure. In contrast, only 46% of KSA employees cite mobile-first environments, underlining the different paces of digital adoption across the region.
Yet despite these advances, both UAE and KSA banks face operational hurdles. Synchronization issues between digital platforms and branch systems are widespread. 43% of Saudi banking employees and 42% of UAE employees report difficulties transferring customer information and resolving issues across multiple channels. Fragmented systems continue to force manual workarounds, increasing friction for employees and customers alike.
“The GCC banking sector is at a pivotal moment,” said Martin Rauchenwald, Partner and Global Head of Financial Services practice at Arthur D. Little. “Sustaining digital momentum will depend on empowering employees, modernizing backend systems, and ensuring that omnichannel strategies deliver seamless, secure experiences.”
Security concerns remain a shared priority. 35% of employees across UAE and KSA identify customer data protection as a critical issue, particularly when customers move between digital and physical channels. Addressing these concerns through advanced cybersecurity frameworks, real-time data synchronization, and comprehensive training programs is essential for building customer and employee trust.
Generational divides also present a major challenge. The survey highlights that employees over 45 years of age across the region report only 28% satisfaction with digital tools, compared to much higher satisfaction levels among younger employees. Targeted training and mentorship programs are crucial to bridge this gap and foster a digitally resilient workforce.
“GCC banks must now align technology, talent, and trust to unlock the full potential of omnichannel excellence,” added Rezwan Shafique, Principal, Financial Services at Arthur D. Little Middle East. “Backend modernization, AI-powered escalation management, and inclusive employee training strategies will drive the next wave of transformation.”
The survey concludes that while GCC banks are well-positioned to lead in omnichannel innovation, success will depend on comprehensive efforts to integrate systems, fortify security, and empower employees across all touchpoints.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Alexandre de Betak and his wife are focusing on their most personal project yet.
The UAE, led by President Mohamed bin Zayed Al Nahyan, is thriving economically, with non-oil foreign trade driving significant growth. In Q1 2025, it reached AED 835 billion, an 18.6% increase from Q1 2024. The country’s top trading partners experienced 20.2% trade growth.
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His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, affirmed that the UAE, under the leadership of President His Highness Sheikh Mohamed bin Zayed Al Nahyan, continues its remarkable progress across all sectors, with the nation’s booming non-oil foreign trade at the heart of this growth, achieving consistent record-breaking growth for several years.
His Highness Sheikh Mohammed bin Rashi Al Maktoum said: “The UAE’s non-oil foreign trade saw growth of 18.6% year-on-year in the first quarter of this year, reaching AED 835 billion (global average is 2-3%). The nation’s non-oil exports experienced exceptional growth, surging by 41% annually.”
His Highness Sheikh Mohammed stated: “Our goal to grow non-oil foreign trade to AED 4 trillion by 2031 will be achieved within the next two years; four years ahead of schedule. In 2024, GDP grew by 4%, reaching AED 1.77 trillion, with the non-oil sector contributing 75.5% to the national economy.”
His Highness Sheikh Mohammed emphasized: “Under the leadership of His Highness Sheikh Mohamed bin Zayed Al Nahyan, the UAE’s economic growth is achieving unprecedented success. Indicators of social, economic, and strategic stability and prosperity are at their highest historical levels. We are confident in an even brighter future, driven by the focused efforts of thousands of dedicated teams working to realize the UAE’s global ambitions.”
The UAE’s non-oil foreign trade continued an upward trajectory in Q1 2025 (1 January to 31 March 2025), reaching AED 835 billion, an 18.6% increase compared to Q1 2024.
UAE non-oil exports continued to achieve historical growth rates, recording AED 177.3 billion in Q1 2025, a 40.7% year-on-year increase (compared to Q1 2024) and a 15.7% quarter-on-quarter increase (compared to Q4 2024).
This robust growth propelled non-oil exports to over 21% of the UAE’s total non-oil foreign trade for the first time in the nation’s history, outpacing the growth of both imports and re-exports.
Re-exports saw a 6% annual increase, reaching AED 189.1 billion. Imports grew by 17.2% year-on-year, reaching AED 468.6 billion, but experienced a slight 1.7% decline compared to the previous quarter (Q4 of 2024).
Trade with the UAE’s top 10 trading partners continued to expand, growing by 20.2% in Q1 2025, compared to 16.9% growth with other countries. Trade grew with India by 31%, with Saudi Arabia by more than double at 127%, with Turkiye by 8.3% – surpassing previous records – and with China by 9.6%.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Sydney’s prestige market is looking up, here’s three of the best on the market right now.
Abu Dhabi’s hospitality sector generated AED611 million ($166.34 million) in March 2025, driven by diverse accommodation and high-quality services. International visitors primarily consisted of non-Arab Asian nationals, Europeans, and UAE nationals, with five-star hotels hosting the most guests.
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Abu Dhabi’s hospitality sector continues to show robust growth, with hotel establishments across the emirate generating revenues of AED611 million ($166.34 million) in March 2025, according to preliminary data released by the Department of Culture and Tourism – Abu Dhabi (DCT Abu Dhabi), in coordination with the Statistics Centre – Abu Dhabi (SCAD).
The total revenue breakdown comprises AED345 million from room bookings, AED228 million from food and beverage services, and AED38 million from other sources.
The emirate welcomed approximately 417,000 hotel guests during March, highlighting Abu Dhabi’s growing appeal as a global tourist destination. The surge is attributed to the emirate’s diverse accommodation offerings and high-quality hospitality services.
A total of 171 hotel establishments, comprising 34,341 rooms, operated across Abu Dhabi in March. These properties recorded over 1.2 million guest nights, achieving an average occupancy rate of 69%. The average revenue per available room (RevPAR) stood at AED486.
Non-Arab Asian nationals topped the list of international visitors, accounting for 152,000 hotel guests. European travelers followed with 123,000 guests, while UAE nationals accounted for 58,000 stays.
These figures underline Abu Dhabi’s sustained tourism growth and its strengthening position as a preferred destination for a wide range of global markets.
According to DCT Abu Dhabi, five-star hotels hosted the highest number of guests, totaling 205,000 in March. European visitors made up the largest segment within this category, with 78,000 guests.
Four-star hotels received 119,000 guests, followed by three-star and below hotels with 54,000 guests. Additionally, serviced apartments accommodated 38,000 visitors.
The strong performance aligns with Abu Dhabi’s Tourism Strategy 2030, which aims to attract 39.3 million visitors annually, generate 178,000 new jobs in the tourism sector, expand hotel capacity to 50,000 rooms, and increase the sector’s contribution to the emirate’s GDP to AED90 billion by the end of the decade.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Oman’s hotel sector saw a 17.3% YoY increase in revenues, guest numbers, and occupancy rates in Q1 2025, driven by an 8.6% increase in guests and 14.4% increase in occupancy rates.
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Oman’s three- to five-star hotel sector posted a strong growth in revenues, guest numbers and occupancy rates in the first four months of 2025, reflecting a continued rebound in the country’s tourism and hospitality industry.
According to the latest figures released by the National Centre for Statistics and Information (NCSI), total revenues of three- to five-star hotels rose 17.3% year-on-year to RO109.213mn by the end of April this year, compared to RO93.094mn during the same period in 2024.
The increase in revenue was supported by a notable rise in the number of guests, which climbed 8.6% to reach 831,751 by the end of April this year, up from 766,153 guests recorded in the corresponding period of 2024.
Occupancy rates also saw a significant jump, rising to 61.1% in April 2025 from 53.4% in April 2024 – an increase of 14.4%. NCSI statistics showed strong growth in visitor numbers from several key markets. The number of guests from Oceania registered the highest year-on-year increase of 57.8%, reaching 18,124 visitors. Guests from Africa followed closely with a 57.6% rise to 5,993.
European tourists continued to represent a major share, rising 19.9% to 314,535 guests. Arrivals from the Americas grew by 19.1% to 28,843, while GCC nationals increased by 12.6% to 53,642. Asian guest numbers rose 5.4% to 114,426.
In contrast, domestic tourism showed a slight decline. The number of Omani guests dropped marginally by 0.7% to 238,895. Guests from other Arab countries also declined by 2.3% to 32,072.
The robust growth in international guest numbers and hotel revenues highlights the continued recovery of Oman’s hospitality sector and the growing appeal of the sultanate as a regional and global travel destination.
Chris Dixon, a partner who led the charge, says he has a ‘very long-term horizon’
Self-tracking has moved beyond professional athletes and data geeks.
