The UAE leads in the fastest-growing industries, with Dubai serving as the epicenter of power, commerce, and opulence in the Middle East. It is no surprise that numerous major industries are emerging and expanding rapidly, making them lucrative in the eyes of entrepreneurs for business setup in Dubai. With a proactive approach to development and investments in new technologies, services, and industries that are gaining popularity, the UAE is poised for rapid growth in the coming years. The flourishing economy is driving the emergence of new businesses throughout the country.

Here, we have enlisted some of the fastest-growing industries in the UAE in 2023:

Information and Communications Technology (ICT)

In the UAE, the Information and Communications Technology (ICT) industry is witnessing unprecedented growth, registering a 20% growth rate from 2016 to 2023. This sector encompasses businesses that offer various services, including software development, web design and development, data analysis, information security, and internet infrastructure. The remarkable progress of the ICT industry can be attributed to the increased investments in technology by both public and private entities.

Real Estate

Thanks to a stable economy and high disposable income levels, the real estate sector still remains one of the most thriving and sought-after industries in the UAE. The industry is expected to grow by 7% this year, propelled by surging demand from foreign investors purchasing properties, as well as locals in search of new homes or apartments for rent or purchase.

Financial Services

The banking industry in the UAE has experienced remarkable growth since 2000 when it accounted for only 3% of the GDP. Presently, it contributes to almost 28% of the GDP and shows no signs of slowing down. The sector is projected to grow by 12% this year, buoyed by robust economic expansion, a surge in international trade, and an increase in domestic consumption levels.

Education and Training

The UAE Investment & Development Authority, a governmental body tasked with boosting economic growth, reports that the education sector is rapidly expanding in the country. The demand for skilled professionals in the UAE is high, and there are ample prospects for students looking to pursue higher education. To this end, the government has established numerous universities and colleges nationwide, including a medical school that is presently under development. Private institutions like Harvard University and MIT also offer global-level courses. The government further provides scholarships to students interested in pursuing studies overseas.

Tourism and Hospitality

Tourism is another industry that is experiencing rapid growth in the UAE. It is projected to surge from $2 billion in 2020 to $5 billion by 2023. This remarkable expansion can be attributed to the rising number of visitors flocking to Dubai to explore its numerous captivating attractions, including beaches and parks where tourists can take photos with dolphins or sharks while on holiday (Kotler, 2018).

Technology

Tech is one of the fastest-growing industries in the UAE this year and is anticipated to grow from $20 billion in 2020 to $60 billion by 2023. The main reason behind the growth of this industry is the changing needs of consumers as they are getting more demanding.

Healthcare

The Healthcare Industry is also quickly growing in the UAE and is expected to reach $10 billion in 2023 from $5 billion in 2020 at a growth rate of 17%. This growth is attributable to the aging population of the country, leisurely lifestyle, and a higher demand for healthcare services.

Construction

Dubai has become an international hub for trade because of its strategic location that lies along shipping routes from around the world. This sector employs over 80% of construction workers in Dubai and neighboring regions.

Food and Hospitality

With a wide range of opportunities, the food and hospitality industry in the UAE is also making significant progress. This sector has witnessed a growth of 24% over the last 5 years, with restaurants and hotels accounting for more than half of all jobs in the industry.

Are you ready to launch a business setup in Dubai? Why wait? Get in touch with EmiraZone to get a free consultation from world-class business setup experts and consultants.