Abu Dhabi's FDI set to touch Dh27bn this year

The value of foreign direct investment (FDI) in Abu Dhabi is set to rise to Dh27 billion this year compared to Dh17bn in 2007, the emirate's Department of Planning and Economy said.

"Foreign investment in the emirate has seen an unprecedented increase and is set to rise further over the next few years," Dr Hamad Al Mas, the department's Executive Director of International Relations Affairs, told Emirates Business.

"Abu Dhabi's share of foreign investment is relatively low compared with the emirate's aspirations and capabilities. Abu Dhabi attracts 24 per cent of total foreign investment in the UAE, while the emirate's share of the gross domestic product is 58 per cent," he said.

Dr Al Mas said Abu Dhabi's aim in attracting foreign investment was to bring in the most modern equipment and most famous firms to add value to its economy, diversify its economic base and benefit from the experience of overseas companies.

He said Abu Dhabi was due to sign strategic partnerships with a number of top firms working in many fields, especially the energy and industrial sectors.

"Foreign investment contributes to the improvement of production methods and the development of infrastructure," he added.

Dr Al Mas said he strongly supported the government's plans to draw up a law to encourage more direct foreign investment.

"The new law could give foreign investors ownership rights up to 100 per cent in many sectors. I think Abu Dhabi is in urgent need of this investment."

He said it was necessary to link foreign investment to the development plans.