UAE Competitiveness & Trade: Ranking & $1.4tn Success
The UAE is making waves! Securely positioned as a global leader,the nation now ranks fifth in global competitiveness,exceeding economies like the US. This success is fueled by the UAE’s commitment to sustainable development, underscored by robust foreign trade, which topped $1.4 trillion in 2024.The goverment’s economic strategies are clearly working. Investment is up, and the country is signing new agreements, focusing on its crucial role in global trade. News Directory 3 delivers a complete view of these positive trends. With a focus on innovation, the UAE is set to continue its upward trajectory. Discover what’s next for the UAE’s economic competitiveness.
UAE Achieves Top 5 Ranking in Global Competitiveness Index
Updated June 17, 2025
The United Arab Emirates has secured fifth place in the latest global competitiveness rankings, surpassing economic powerhouses such as the United States, Sweden, and Germany. This achievement underscores the UAE’s commitment to economic diversification and sustainable development.
sheikh Mohammed bin Rashid Al Maktoum, the Vice President, Prime Minister and Ruler of Dubai, presided over a UAE Cabinet meeting in Abu Dhabi where the ranking was discussed. He noted that in the first half of 2025, more than 1,830 UAE nationals received housing assistance, with grants exceeding AED1.25 billion ($340.4 million). The housing support aims to bolster family stability and ensure a high standard of living.
The UAE’s strong performance in the global competitiveness index reflects its leadership in several key areas. The country ranked first worldwide in the absence of bureaucracy, second in government policies adaptability, and fourth in government efficiency. These rankings highlight the UAE’s effective governance and business-kind environment.
The UAE also leads globally in 22 indicators, including employment rate, availability of global expertise, digital company conversion, and female parliamentary portrayal. Furthermore, it holds second position in social cohesion and versatility of residency laws, and third in science graduates, digital tool leverage, and healthcare infrastructure.
The Cabinet also reviewed the 2024 report from the Higher Commission for Free Trade Negotiations, confirming 27 Comprehensive Economic Partnership Agreements (CEPAs) signed, with eight already in effect. These agreements have contributed to significant growth in the UAE’s foreign trade, which reached AED5.23 trillion ($1.42 trillion) in 2024. Non-oil exports rose by 16.3% year-over-year to AED440 billion ($119.9 billion), while foreign direct investment totaled AED113 billion ($30.8 billion) in 2023.
The Emirates Council for balanced Development, led by Sheikh Theyab bin mohamed bin Zayed Al Nahyan, highlighted ongoing projects in Qidfa, Masfout, and Al Rams, including community spaces, markets, and ecotourism initiatives. The “Jothoor” program continues to empower female Emirati artisans.
The Digital Identity system, now used by over 11 million citizens and residents, has facilitated 600 million secure logins and 2.6 billion digital transactions, showcasing the nation’s digital transformation.
What’s next
Looking ahead, the UAE is focused on solidifying its position as a global leader in competitiveness and innovation. Key initiatives include the establishment of a National Maritime Navigation Centre, restructuring the Higher Committee for Anti-Money Laundering, and implementing a draft law to protect cultural heritage. The UAE Council for climate Action is also being restructured to accelerate the Net Zero 2050 strategy, with plans to expand protected areas and plant 100 million mangrove trees by 2030. The UAE’s role in global trade and its commitment to economic competitiveness and sustainable development remain central to its long-term vision.