98 per cent of entrepreneurs in the UAE, one of the highest globally, are confident that their businesses are set to flourish, despite geopolitical uncertainty and global macroeconomic headwinds, according to HSBC’s latest survey. 95 per cent also expect personal wealth to increase in the next few years.
Their optimism is based on the performance of their investment portfolios, business opportunities, confidence in their own abilities, technological advancements and the diversification of their business, according to the annual HSBC Global Entrepreneurial Wealth Report 2024. The report surveyed more than 1800 entrepreneurs with investable assets of more than US$2 million or total net worth of over US$20 million, across ten markets including the UAE, US, UK, Hong Kong, India, and China.
UAE’s business owners are highly mobile and seven out of ten (65 per cent) live for part of the year in more than one location, compared to a global average of 53 per cent.For those considering moving their assets and business, neighbouring Saudi Arabia is the top choice followed by UK and US.
Farzad Billimoria, Head of Global Private Banking, UAE, HSBC Bank Middle East, said: “Entrepreneurs in the UAE are driven by personal passions and interests compared to their global counterparts, and while financial freedom and reinvestment is a priority, they also cherish travel, comfort and luxurious lifestyles. However, what is striking is that like their global counterparts, around half of the UAE’s wealthy business owners do not have a succession or wealth transfer plan in place. This is where professional wealth planning experts can help, bridging disconnections and driving difficult conversations to make sure their hard-earned legacy continues to thrive for generations to come with the right structure and long-term plan in place.”
UAE’s pro-business environment
UAE entrepreneurs rank highest globally for confidence in the level and quality of support the government here provides business owners. 86 per cent agree that the UAE has the right regulations, laws and tax policies in place to encourage business owners.
Richard Van Der Meer, Head of Commercial Banking, UAE, HSBC Bank Middle East, said: “The UAE’s pro-business policies are fueling a thriving entrepreneurial ecosystem domestically and attracting global entrepreneurs eager to launch or even relocate their headquarters here. This growth is especially vibrant in the tech sector, where we’re helping businesses scale rapidly and expand internationally. Through digital solutions like API-enabled global treasury management, virtual accounts, and our new venture debt offering for mid and late-stage tech firms, we’re supporting entrepreneurs in achieving their ambitions. It’s exciting to see this momentum continue in the UAE.”
