It also ranked second globally among emerging markets for third consecutive year

Dubai: The UAE retained its position as the world’s ninth most attractive destination for foreign direct investment in 2026, remaining among the top 10 global economies for attracting overseas capital, according to Kearney’s 2026 Foreign Direct Investment Confidence Index.
The report showed the UAE recorded the highest level of economic optimism among all global markets, with a net optimism score of 42 per cent, ahead of Japan at 41per cent and Canada, Germany and Thailand at 39 per cent.
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The UAE also ranked second globally among emerging markets for the third consecutive year, behind China and ahead of Saudi Arabia, while Brazil and Mexico placed fourth and fifth respectively.
The US topped the global rankings, followed by Canada, Japan, China and Germany.
Kearney attributed the UAE’s strong performance to economic growth of 5.5% in 2025, continued efforts to reduce regulatory barriers for investors, and the launch of a $10 billion national investment fund supporting the country’s Investment Strategy 2031.
The report also cited ongoing infrastructure and technology development, along with a stable and flexible legislative environment, as key factors supporting investor confidence.
The survey was conducted in January 2026 and included 507 senior executives from global companies with annual revenues exceeding $500 million.
Kearney said rising geopolitical tensions were viewed by investors as the biggest risk facing the global economy over the next year, ahead of commodity price increases and political instability in developed economies.