Dubai, UAE— Dubai Integrated Economic Zones Authority (DIEZ) posted 64.6 percent jump in the operating profit in 2023, according to Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DIEZ, underscoring its pivotal impact on the Dubai economy.
With the market value of its net assets exceeding $5.66 billion, DIEZ succeeded in reinforcing growth in earnings before interest, taxes, depreciation, and amortisation by 49.2 percent, alongside an 8.1 percent increase in total revenues. These figures underscore the role of DIEZ as a key contributor to Dubai’s economy.
Economic zones overseen by DIEZ including the Dubai Airport Free Zone, Dubai Silicon Oasis, and Dubai CommerCity have seen an increase of 15.3 percent in companies registered under their umbrella. The total number of personnel working in DIEZ economic zones saw a marked rise of 30.5 percent to reach 70,000.
These accomplishments highlight DIEZ’s direct contribution to Dubai’s GDP, which stood at 5.1 percent according to the latest 2021 statistics. Moreover, economic zones affiliated to DIEZ have experienced substantial growth across six key sectors, which collectively represent 95 percent of total companies hosted.
The wholesale and retail trade sectors have shown a substantial 24.4 percent increase, while the professional services, scientific solutions and services sectors have seen an impressive growth of 89.6 percent. The information and communications technology sector saw an 18.1 percent increase, and the financial and insurance sector soared by an astounding 106.9 percent. Additionally, the administrative and support services sector surged by 93 percent, and the transportation and storage sector registered a 48.3 percent increase.
Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DIEZ, said, “Since its launch by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, DIEZ has implemented ambitious strategies to encourage investment, enhance gross domestic product, and bolster non-oil foreign trade in Dubai. These strategies reflect the authority’s commitment to fostering sustainable growth for Dubai and contributing to the Dubai Economic Agenda D33 by anticipating future trends, and proactively preparing for them. DIEZ remains dedicated to solidifying Dubai’s position as a leading global investment destination across various sectors as the positive results in 2023 demonstrate.”
He added, “The record-breaking results achieved within two years since the inception of DIEZ mirror Dubai’s rapid economic growth. They exemplify DIEZ’s steadfast focus on supporting Dubai’s overall economy by creating an economic ecosystem that caters to vital strategic sectors, while enhancing the quality of services provided to the business community. DIEZ’s achievements are aligned with the leadership’s vision to establish Dubai as a centre for economic and investment excellence, offering promising opportunities for local and foreign companies alike, in addition to strengthening the contribution of the private sector, a key partner in Dubai’s ambitious journey, in line with DIEZ’s recently launched strategy.”
Dr. Mohammed Al Zarooni, Executive Chairman of DIEZ, said, “The positive results achieved in 2023 showcase DIEZ’s commitment to advancing Dubai’s economy and strengthening its competitive position globally. These efforts support Dubai’s aspirations to build one of the world’s best economies in line with the strategy outlined in the UAE Centennial 2071 and the ‘We the UAE 2031’ vision.”
“Integrated economic zones in Dubai continue to grow in significance, offering promising opportunities across various sectors and fostering the emergence of new industries based on knowledge, creativity and innovation. This dynamic environment has allowed economic zones to achieve these exceptional results and lay a strong foundation for future contributions to Dubai’s growth. DIEZ’s achievements are aligned with the strategic vision of our wise leadership, and the goals of the Dubai Economic Agenda D33 to double the size of Dubai’s economy over the next ten years and establish it as one of the world’s top three urban economies,” he added.
“Our commitment to providing an ideal environment for small and medium-sized enterprises and new sectors was clearly demonstrated through the launch of a venture capital (VC) fund worth AED500 million. This move represents a significant step forward in our efforts to support entrepreneurs, investors and emerging companies, which will play a major role in the growth of Dubai’s economy in the next decade,” Al Zarooni noted.
The fund is the first investment programme launched under the name of Oraseya Capital, the venture capital arm of DIEZ specialising in venture investment operations in startups. It will play a pivotal role in supporting startups, starting from the pre-seed stage, and extending all the way to the Series B investment stage. The fund addresses existing gaps in corporate finance, particularly during these crucial developmental stages.
The initiative reflects Dubai’s commitment to keeping pace with the world’s leading economies in startup investment, recognising the potential contributions of entrepreneurial ventures to the growth, advancement and prosperity of the national economy.
DIEZ’s strategic focus is based on three pillars: excel, growth, and enrich. The Authority seeks to achieve excellence by prioritising enhanced contributions to Dubai’s non-oil economy, fostering entrepreneurship, and delivering exceptional client experiences to facilitate growth and operational success for Dubai.
DIEZ also aims to solidify its global presence in the economic zones sector, invest in leading companies within the value chain, and establish specialised economic zones tailored to promising industries. The theme of enriching economic life emphasises improving business benefits through innovative products and services, while promoting sustainability through responsible environmental, social and corporate governance practices.
DIEZ achieved record sustainability results in 2023 by adhering to responsible energy practices and reducing carbon emissions. Since its inception, DIEZ and its economic zones have prioritised sustainability, meeting international standards for energy efficiency and environmental design.
These efforts support the nation’s Net Zero by 2050 goal. Notable achievements include increasing LEED-certified buildings to 30 with a platinum rating and a building with LEED Earth rating. These certificates include the recently obtained LEED Zero Energy and LEED Zero Carbon international certificates from the US Green Building Council for its headquarters at Dubai Airport Freezone. DIEZ is the first entity in the Middle East to attain these significant certifications.