UAE Strengthens Its Role as a Global Startup Hub with a Business-Friendly Ecosystem

Dubai, UAE – 23 June 2025: The United Arab Emirates is further cementing its reputation as one of the world’s top places for startups. New data and investor feedback show that the region’s startup scene is gaining momentum.

Startups in the MENA region raised a total of $289 million in May, a 25% increase from April, according to a Wamda report. Out of this, UAE-based startups brought in $86.7 million across 14 deals.

The Dubai Future District Fund (DFDF) also announced it secured more than $1.65 billion in capital commitments last year, supporting over 190 companies.

UAE-based entrepreneur and investor Abdumalik Mirakhmedov believes this growth is driven by strong government support and smart policy-making that makes the country attractive to both local and global entrepreneurs.

“The UAE offers an excellent business environment,” said Mirakhmedov, co-founder and Director of Scalo Technologies, a tech venture firm based in the country. “The government has created a system where startups can grow with confidence.”

He added that the UAE’s appeal goes beyond just funding. “Dubai and Abu Dhabi give startups everything they need—investment opportunities, innovation hubs, skilled people, and a great quality of life.”

Mirakhmedov also said the UAE allows companies like his to connect with more partners worldwide, especially in fast-growing tech sectors.

“Startups here have easy access to venture capital and angel investors,” he noted. “Support systems like accelerators, co-working spaces, and research centers help young companies get started and grow fast.”

He pointed out that areas like fintech, AI, mobility, and e-commerce have grown quickly thanks to government reforms, long-term visas, and funding programs designed to help startups scale.

Both Dubai and Abu Dhabi, he said, offer a strong foundation for growth—with tech-friendly free zones, simple licensing processes, and no income tax, making it easier for entrepreneurs to launch and expand their businesses.

“There is real respect here for those who succeed,” Mirakhmedov said. “Entrepreneurs feel welcomed. The UAE offers not only strong support and tools, but also a safe and professional environment. As more global startups look for stable places to grow, the UAE clearly stands out.”