According to the latest report from the UN Conference on Trade and Development (UNCTAD), foreign direct investment (FDI) inflows to the UAE surged to $23 billion in 2022, a 10 percent increase compared to the previous year. This marks the highest-ever FDI inflow for the country. The UAE also secured the top position in the region for attracting FDI inflows, as highlighted in the UNCTAD’s World Investment Report 2023. Furthermore, the UAE ranked fourth globally for greenfield investment projects, with 997 projects recorded, representing an impressive 84 percent growth compared to the previous year.
This significant increase in FDI inflows occurred despite a global decline of 12 percent in 2022. The report also revealed that the UAE’s FDI outflows rose by 10 percent to $25 billion, positioning the country as the 15th largest investor in the world, up from 20th place in 2021.
ADQ and BMO to Acquire Stake in Sagard
Abu Dhabi-based investment and holding company ADQ, along with Canada’s Bank of Montreal (BMO), have announced their intention to purchase minority shares in Sagard, a multi-strategy alternative asset management firm with $14.5 billion in assets. The transaction is expected to be completed in the third quarter, pending regulatory approvals. As part of the deal, Canadian financial holding firm Great-West Lifeco will also increase its existing minority interest. This investment will support Sagard’s future growth plans, particularly through mergers and acquisitions.
The involvement of ADQ, BMO, and Great-West Lifeco will provide Sagard with additional long-term financial commitments, enabling the firm to raise more capital and accelerate the launch of new products. The partnership aims to enhance Sagard’s investment strategies and expand its ability to generate returns.
RAKEZ Partners with Manufacturers’ Association of Israel
The Ras Al Khaimah Economic Zone (RAKEZ) has signed a memorandum of understanding (MoU) with the Manufacturers’ Association of Israel (MAI) to facilitate investment and expansion opportunities for industrial firms in both countries. This MoU aims to strengthen economic relationships and boost industrial activities between the UAE and Israel.
Ramy Jallad, CEO of RAKEZ Group, expressed the importance of enhancing cooperation between the two nations through economic exchange. He believes that the partnership with MAI will create new avenues for industrial players in both countries to expand their presence in the region. Hagai Edri, the deputy CEO of MAI, also emphasised the potential benefits of the partnership, stating that it would allow Israeli industries to expand into new markets while maintaining their main industrial activities in Israel.
The agreement between RAKEZ and MAI represents a significant step towards fostering economic ties between the UAE and Israel and facilitating cross-border investments in the industrial sector.
Pan Finance is a print journal and news website providing worldwide intelligence on finance, economics and global commerce. Known for our in-depth analysis and opinion pieces from esteemed academics and celebrated professionals; our readership consists of senior decision makers from across the globe.