With many countries in the West struggling economically, the GCC has seized the moment to position itself as a land of opportunity. From visionary government policies, innovation-friendly initiatives, and a relaxation of immigration laws, the GCC has rapidly transformed into a major destination for businesses and entrepreneurs.
The economy is also continuing to show strong signs as the shift away from reliance on oil continues.
According to the World Bank, the GCC economy is expected to grow by 3.2% in 2024. The region is growing in other ways as well – between 1995 and 2021 the population of the GCC almost doubled to over 54 million. Today it is likely close to 60 million, with more than half of the local population under 25 years old.
While the GCC is made up of six countries, in this article we’ll look at three specifically: The UAE, Saudi Arabia, and Qatar. I’ll give my view on why I think these countries in particular have become so attractive to entrepreneurs looking to relocate, and why living and doing business there presents distinct advantages when compared to the West.
So let’s start with how government policy has shaped the business landscape – and what it means for entrepreneurs.
Government initiatives: Creating the perfect environment for business
The governments of the UAE, Saudi Arabia, and Qatar have implemented a number of strategic measures to foster an environment conducive to business growth. These include:
Economic diversification: Historically reliant on oil, GCC nations have diversified their economies to reduce dependence on hydrocarbons. This shift has opened up new sectors such as technology, finance, tourism, and renewable energy. The UAE’s Vision 2021, Saudi Arabia’s Vision 2030 and Qatar’s National Vision 2030 are just three examples of long-term strategies aimed at creating sustainable, diversified economies. And it’s these economies in which entrepreneurs can thrive.
Focus on innovation and technology: Within those strategies mentioned above, investment in technology and innovation are cornerstones. The UAE, for instance, has initiatives such as Smart Dubai 2021 Strategy and has established innovation hubs like Dubai Internet City and Abu Dhabi’s Masdar City. Technology is also revolutionising experiences at UAE airports, including smart gates (with facial recognition) to speed up immigration processes. The UAE Strategy for Artificial Intelligence was created with the aim to ‘boost government performance at all levels, use an integrated smart digital system that can overcome challenges and provide quick efficient solutions, make the UAE the first in the field of AI investments in various sectors and create new vital markets with high economic value.’ The strategy is broad-based, covering transport, renewable energy, water, technology, education, environment and much more. One of the most important sectors that AI will transform in the UAE is healthcare. We are already seeing this, with the Smart Salem centre (based in City Walk) that is using AI, IoT (Internet of Things) and robotics to create an optimised patient journey including faster testing, virtually painless blood collection, and more efficient methods of measuring vital functions. With projects such as these, the UAE is already leading the region in AI and this looks set to continue.
Meanwhile, Saudi Arabia’s commitment to innovation is best shown through the NEOM project which aims to create a high-tech city driven by artificial intelligence, biotechnology, and renewable energy. The Smart Qatar Program (TASMU) aims to leverage technology and innovation to transform Qatar into a smart nation, creating new opportunities for the private sector. With such a strong focus on innovation in the GCC, opportunities to tech entrepreneurs and startups are growing daily.
Changes to immigration laws: Recognising the need for talent and investment, GCC countries have relaxed immigration laws to attract skilled professionals and entrepreneurs. In 2022, the UAE made changes to the Golden Visa (widening eligibility) and Green Visa (allowing the holder to sponsor themselves) and Job Seekers Visa (removing the need for a sponsoring employer) to offer greater flexibility for those entering the UAE labour market. This year Saudi Arabia introduced a Premium Residency visa for entrepreneurs, investors and talented individuals. The Kingdom has also created an E-visa allowing GCC residents to move around the region more easily, and there is also an expansion to the number of nationalities eligible for visa-on-arrival in the country. Also this year, Qatar unveiled a new residence permit programme aimed at talented individuals and entrepreneurs to enable them to live and work in Qatar for five years. In terms of shorter visits, nationalities from 102 countries can enter Qatar visa-free, and all others can apply for an e-visa using the Hayya platform online.
GCC: What is drawing immigrants from around the world?
The UAE has become synonymous with opportunity, particularly for immigrants. With its strategic location, world-class infrastructure, and business-friendly regulations, it is a magnet for entrepreneurs. Cities like Dubai and Abu Dhabi offer free zones where businesses can enjoy tax exemptions, full ownership, and repatriation of profits. The UAE’s commitment to innovation, coupled with initiatives like Expo 2020 (which drew 24 million people) as well as hosting COP 28 have also solidified its reputation as a global ‘place to be’.
Saudi Arabia is undergoing a transformative phase, driven by Vision 2030. The Kingdom is investing heavily in infrastructure, tourism, and entertainment, creating new avenues for business. The introduction of 100% foreign ownership in various sectors and the simplification of business processes have made it an attractive destination for entrepreneurs.
Qatar has positioned itself as a centre for finance and sports. The FIFA World Cup brought in a number of infrastructure projects and boosted the hospitality sector. Qatar’s National Vision 2030 aims to diversify the economy and enhance the business environment, making it easier for foreign investors to establish operations.
The appeal of the GCC extends beyond its economic policies. Yes, the promise of better job prospects and business opportunities is of course a big draw. But high living standards, modern infrastructure, and day-to-day safety also play a significant role. The countries we have featured are also very family friendly. And in many cities (from Dubai to Doha) there is a highly desirable lifestyle plus vibrant cultural and sporting scenes. Whatever you’re interested in, you can probably find it here.
The UAE: A hub for entrepreneurs
Now let’s focus in on the UAE specifically as one of the most attractive places globally for entrepreneurs looking to set up a company. There are a number of factors at play that combine to put the UAE at the top of so many lists.
Setup process: A great deal of work has been put in over the years to refine the UAE business setup process for foreigners. With three clear choices, you can set up your UAE business in a way that works for you. Mainland business setup gives you the freedom to conduct business anywhere in the UAE; free zone business setup in one of the UAE’s many free zones means complete foreign company ownership, low tax rates, and the ability to sponsor your family’s visas; or there’s the offshore option without the necessity of a physical presence in the UAE while still benefiting from its favourable business environment.
Ease of doing business: The UAE consistently ranks high when it comes to global ease of doing business. Making processes more streamlined, reducing red tape, and having a clear regulatory framework all help make it simple to start and run a business.
Lifestyle: Daily life in the UAE is based on convenience, with a well-planned road network and public transport options. Whether you’re a young person looking for nightlife, or have a growing family and want the best in children’s entertainment, the UAE has it all.
Education: There is significant private investment in UAE schools with a large number of curriculums (UK, USA, Indian, etc) on offer. In addition, the UAE has a number of universities, both local as well as branches of well-known foreign institutions.
Healthcare: The UAE has a growing healthcare sector and has become a hub for medical tourism. There is a notable shift from curative to preventive care, and a growing emphasis on wellness and healthy living.
Cultural diversity: The UAE’s multicultural environment fosters creativity and innovation. Entrepreneurs benefit from a diverse talent pool and global perspectives.
Conclusion
In contrast to many countries around the world which are facing increasing economic challenges along with high taxation and complex regulations, the UAE has worked hard to create a business-friendly environment. In fact, the GCC region, and particularly the UAE, KSA, and Qatar, are now drawing top talent from around the world. It really has become a land of opportunity.
