With the progress made by the DIFC in 2022, now is the time for hassle-free investment in Dubai. In addition, with the new plans and the D33 Agenda, the opportunities are multiplying and improving every moment.
In this article, we will show you the growth obtained by the DIFC and the figures that encourage investment. Let us see:
- Investment in Dubai grows in the DIFC
- The surprising numbers of DIFC investments
- Initiatives that encourage investment in the Dubai International Financial Centre
- Dubai Free Zone Company Setup Cost
- Set up your business in Dubai DIFC with ConnectFZ
1. Investment in Dubai grows in the DIFC
In 2022, the Dubai International Finance Centre (DIFC) recorded a record revenue totaling AED 1.06 billion. Thus, there was an increase of 18%, surpassing the figure achieved in 2001 of AED 897 million. Also, regarding the companies registered in the DIFC, the figure was 1084.
Similarly, the operating profit of this important investment center went from AED 573 to AED 679 million compared to 2021. As for assets, they exceeded AED 15.3 billion and active companies went from 3,644 to 4,377 (20% further).
All these figures show that investment in Dubai is booming and continues to grow. In addition, this growth contributes to the Dubai Economic Agenda D33, created to make it one of the most important cities globally.
2. The surprising numbers of DIFC investments
Continuing with the figures, banking assets in this center rose to USD 199 million, and loans to companies to USD 166 million. Likewise, the more than 600 innovation and fintech companies based in the DIFC raised more than USD 615 million in 2022. Similarly, the number of companies regulated by the DFSA (Dubai Financial Services Authority) increased to 590.
This is one of the free zones in Dubai with the highest growth in terms of jobs. In 2022, growth was 22%, reaching a figure of 36,083 active workers in the DIFC.
All this has happened thanks to various factors, mainly due to the regulations of the authorities and the favorable environment. Some of these factors include the following:
- Strategic investment.
- Structural reforms that favor businesses and investors.
- Long-term residence schemes, such as the UAE golden visa.
- Favorable regulatory measures.
In addition, the central authorities hope to accelerate the economy during 2023 thanks to the strength demonstrated in recent years. Thus, now is the right time to make an investment in Dubai in this free zone.
3. Initiatives that encourage investment in the Dubai International Financial Centre
The DIFC authorities announced the creation of a Family Wealth Centre to attract businesses of this type. In addition, it seeks to bring in high net worth individuals from the region or from anywhere in the world. Also, the DFSA will include recognized cryptocurrencies by expanding its digital asset regimes in this hub.
Additionally, the DIFC organized FinTech Week, in which the growth drivers of financial services were discussed. The most outstanding topics in said event were the following:
- Web 3.0.
- Metaverse.
- NFTS.
- Cryptography.
- Blockchain.
- Integrated finance.
- Open banking.
- Regtech.
- ESG.
In the same way, in 2023 Dubai will be holding FinTech Summit, which will also serve as a stage for innovation and finance. Similarly, the DIFC deployed the Venture Studio Launchpad, which focuses on digital asset and finance technologies. In addition, the authorities organized the FinTech Investor Day Hive, which focused on the metaverse.
4. Dubai Free Zone Company Setup Cost
Dubai Free Zones offer great benefits for investors around the world, and the DIFC is at the forefront. If you want to set up a company in the UAE, you should know about the Dubai free zone license cost. This will largely depend on the type of business you want to establish in the DIFC and other factors.
4.1 Registration Fee
In the free zones in Dubai, you must cancel fees before you can establish your business in the UAE. However, the payment is a one-time payment and can be around AED 3,500 depending on the type of company. With the right consultancy agency, you will be able to know the rate that you will have to pay once you have decided what type of business you will start.
4.2 License Fees
Another cost that you must cover both in the Free Zone and when setting up a business on the mainland is the processing of a license. Here too the license depends on the category of your business and the chosen free zone. In addition, you should consider that you will have to renew the license every 1 or 3 years depending on the type of license.
The licenses you can find in the UAE are trade, service, and industrial and range from AED 10,000 to AED 50,000 per year. In addition, the fees for renewal and initial obtaining of a license may differ. You should also consider the costs associated with obtaining residency visas or visas for your family.
There is a limit to work visas in a free zone, depending on the package you choose and they can cost you between AED 3,000 and AED 6,000. You should also consider the costs of an office, either through renting or buying space.
5. Set up your business in Dubai DIFC with ConnectFZ
At ConnectFZ we have the necessary experience to advise you throughout the process of setting up your business in Dubai. Therefore, if you want advice to invest in Dubai, call us at +971 43 316 688 or contact us at contact@connectfz.com.
Harneet BhatiaShe is a renowned Business Sales and Golden Visa Expert, specializing in facilitating business setups in Dubai. With a comprehensive portfolio of services, she adeptly assists clients in navigating the complexities of corporate bank account creation, addressing fines issues, and managing visa services. Her expertise extends to providing VAT services and obtaining necessary DM approvals, ensuring a seamless and efficient process for her clients.
