Foreign investment stocks in Dubai, UAE reached Dh505 billion ($137.5 billion) in 2016, an increase of 25.3 per cent from the previous year, according to Dubai Statistics Center (DSC).

 “Dubai's competitive position regionally and globally was driven by the high-quality investment opportunities it offers, supported by its advanced infrastructure, and its high-quality policies, laws and services to support investors,” Arif Al Mehairi, executive director of Dubai Statistics Center was quoted as saying by Dubai Media Office.

“According to internationally adopted standards, the Dh505 billion foreign investment stocks came from three types of foreign investments: Foreign Direct Investment (FDI), Other Foreign Investments and Portfolio Investments,” explained Al Mehairi.

“FDI contributed 57.5 per cent of total foreign investment with Dh290.7 billion in 2016, a growth of 7.3 per cent compared to 2015. FDI is the most important type of investment since Direct Investment is a cross-border investment associated with a resident in one economy having control or significant degree of influence on the management of an enterprise that is resident in another economy.

What also gives FDI greater relevance and impact in boosting productivity is the fact that it often coincides with the transfer of knowledge and technology,” he added.

“Other Foreign Investments totalled almost Dh196 billion in 2016, representing 38.8 per cent of Dubai’s total foreign investment, a rise by 58 per cent from 2015. Other Foreign Investments include non-resident deposits, loans, commercial credits and other assets and liabilities.

 “The third type of foreign investments, Portfolio Investments, represented 3.6 per cent of total foreign investment stock with Dh18.2 billion dirhams in 2016 compared to Dh8.2 billion in 2015. These were investments in debt or equity securities,” Al Mehairi concluded.