## UAE Approves $10 Billion National Investment Fund
During a recent Cabinet meeting chaired by Sheikh Mohammed bin Rashid Al Maktoum at the Dubai Airshow, the UAE government has greenlit the establishment of a new National Investment Fund. With an initial capital injection of AED 36.7 billion (around $10 billion), this initiative aims to enhance the country’s appeal to foreign investors.
The meeting highlighted the nation’s broad economic and societal achievements in 2024, emphasizing strategies for bolstering identity, promoting family cohesion, ensuring food security, and safeguarding the environment.
### Encouraging Foreign Investment
Sheikh Mohammed expressed the UAE’s commitment to becoming a premier destination for global investors. “The UAE welcomes you and aims to provide the world’s best investment environment,” he stated, underscoring the government’s supportive approach to fostering long-term growth for incoming foreign direct investments (FDI).
The primary objective of the National Investment Fund is to boost FDI from AED 115 billion ($31.3 billion) annually to AED 240 billion ($65.4 billion) by 2031, while also increasing the total accumulated FDI from AED 800 billion ($217.8 billion) to AED 2.2 trillion ($599.1 billion). By offering attractive financial incentive packages, the fund will focus on high-impact companies and will be operational through direct federal financing in collaboration with economic and tourism authorities across the emirates.
### Progress in Industrial Achievements
The Cabinet meeting also reviewed significant advancements within the national industrial sector. Sheikh Mohammed highlighted that spending in this sector has surged past AED 110 billion ($29.9 billion), representing an impressive 244% increase over the last five years. Industrial exports have reached AED 197 billion ($53.7 billion), contributing AED 210 billion ($57.2 billion) to the nation’s gross domestic product (GDP).
The aim is to further propel this growth to AED 300 billion ($81.7 billion) by 2031, showcasing the UAE’s commitment to strengthening its industrial base.
### National Identity and Family Growth Strategies
In addition to industrial goals, the Cabinet has approved the UAE National Identity Strategy, comprising 70 initiatives aimed at reinforcing national identity among younger generations. This plan seeks to deepen the sense of belonging and enhance family cohesion across the country.
Furthermore, the National Family Growth Agenda 2031 will focus on promoting higher marriage and birth rates among Emirati nationals while improving overall family life quality through various policies, programs, and health interventions.
### Enhancing GCC Economic Cooperation
The meeting also examined the progress of economic collaboration within the Gulf Cooperation Council (GCC). Sheikh Mohammed revealed that the UAE has issued the highest number of economic licenses to citizens from other GCC nations, totaling approximately 36,000. The Emirates also accommodates the largest number of property owners and students from these countries, solidifying its role as a regional hub.
In 2024, trade between the UAE and other GCC nations reached AED 333 billion ($90.6 billion), indicating robust economic ties within the region.
### Civil Aviation Achievements
The UAE’s civil aviation sector saw impressive growth, contributing AED 340 billion to the GDP—accounting for 18.2% of the total economy. In 2024, passenger traffic surged by 10% to 148 million, alongside an 11% increase in air traffic operations. The UAE has established itself as a leader in air transport infrastructure quality, ranking first globally according to the World Economic Forum in 2023.
### Approving New National Policies
The Cabinet has also approved a series of new national policies, including:
– A policy for classifying natural reserves
– Development of a federal law on plant genetic resources for food and agriculture
– Enhancements in the efficiency of the tax system and digital trade facilitation
Furthermore, advances made by the UAE Food Security Council were discussed, which involved establishing a national food cluster and launching initiatives aimed at reducing food waste by 50% by 2030. The National Re-Export Development Agenda reported robust re-export activity amounting to AED 719 billion, which contributed significantly to non-oil trade.
### International Agreements Ratified
Finally, the Cabinet ratified various international agreements related to investment protection and visa exemptions with countries including Sri Lanka, Trinidad and Tobago, and Antigua and Barbuda. This move aims to strengthen diplomatic and economic ties on a global scale.
The Cabinet also reorganized the Federal Traffic Council under the Ministry of Interior, ensuring a comprehensive approach toward infrastructure development and public safety.
