Global CEOs Double Down on Middle East Growth

In an increasingly cautious global investment climate, CEOs are recalibrating their capital allocation strategies, and the Middle East is emerging as a major beneficiary.

According to PwC's 29th Global CEO Survey: Middle East findings, 72% of Middle East CEOs plan to invest within the region over the next 12 months, reflecting strong internal confidence and sustained economic momentum. Saudi Arabia and the UAE now rank among the top 10 global destinations where CEOs expect to allocate significant capital in the year ahead, with investment intent rising year-on-year.

Where Global Capital Is Coming From

The Middle East’s growing prominence is reflected in its investment inflows. The majority of capital originates from:

• Western Europe (38%)
• Asia Pacific (31%)
• North America (17%)

Smaller but meaningful inflows also come from Africa (5%), Latin America (5%), and Central and Eastern Europe (3%).

Recent figures highlight the scale of this momentum. Saudi Arabia recorded a 24% increase in FDI in 2024, reaching $31.7 billion, while the UAE attracted $45 billion in FDI inflows. Strategic trade agreements—such as the UK’s $4.8 billion package with Saudi Arabia and the UAE-India CEPA—demonstrate a shift toward long-term, partnership-led capital focused on industrial development and technology collaboration.

AI and Digital Infrastructure: The New Investment Frontier

A defining feature of this new investment cycle is large-scale commitment to AI and digital infrastructure. Multi-billion-dollar partnerships, such as Saudi Arabia’s collaboration with Google Cloud and Abu Dhabi’s expansion initiatives with Microsoft and G42, signal the region’s ambition to become a global hub for data, compute, and intelligent services.

Sovereign wealth funds across the GCC are accelerating investments in AI and digitalisation, reinforcing a long-term pivot toward knowledge-based economies.

Expanding Outward: A Two-Way Investment Strategy

Middle East CEOs are attracting capital and deploying it globally. 88% plan to invest outside their domestic markets, with Asia Pacific (11%), Africa (8%), and Western Europe (6%) emerging as top destinations.

Supported by competitive tax regimes, expanding trade agreements, and world-class financial hubs such as ADGM, DIFC, QFC, and KAFD, the GCC is positioning itself as a central node in global capital flows. This region is linking East and West, and is increasingly shaping the next phase of global investment.