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Everything You Need to Know About the Middle East Investment Landscape in 2025

  • Writer: Rachel Zlatar
    Rachel Zlatar
  • Jun 19
  • 8 min read

A strategic guide for LPs, GPs, family offices, and global capital allocators looking to navigate, invest, and build long-term partnerships across the Middle East’s rapidly growing Alternative Investment landscape.


Part 1: National Visions & Strategic Road Maps

UAE Vision 2031

Under the UAE Vision 2031, the country has set an ambitious goal to double its annual foreign direct investment (FDI) inflows from AED 112 billion in 2023 to AED 240 billion by 2031, while growing its total foreign investment stock from AED 800 billion to AED 2.2 trillion. This strategy focuses on fostering innovation, advancing technology, promoting climate leadership, and accelerating economic diversification.


Key sectors driving this growth include, renewables, infrastructure, and advanced manufacturing, supported by world-class free zones, business incentives, and a robust regulatory framework. 


Abu Dhabi continues to strengthen its role as a hub for institutional capital through players like Mubadala and ADQ, while Dubai cements its global reputation as a base for family offices, venture capital, and international funds. 


Saudi Vision 2030

Saudi Vision 2030 is a bold national strategy aimed at transforming the Kingdom into a global investment powerhouse. Central to the vision is the goal of increasing foreign direct investment (FDI) from 0.7% of GDP to 5.7%, with the aim of attracting over $100 billion annually by the end of the decade. Vision 2030 is positioning Saudi Arabia as a leading destination for investment across emerging sectors like clean energy, technology, tourism, logistics, and manufacturing underpinned by massive government-led projects such as NEOM, the Red Sea Global, and Qiddiya | القدية, which are opening up new sectors and opportunities for private and international investors. 


Qatar National Vision 2030

Qatar National Vision 2030 aims to transform the country into a diversified, knowledge-based economy reducing its dependence on hydrocarbons. As part of this transformation, Qatar plans to increase foreign direct investment (FDI) inflows to over $25 billion by 2030, with a strong focus on high-value sectors such as logistics, technology, advanced manufacturing, and renewable energy.  The Qatar Investment Authority, with assets exceeding $475 billion, is actively driving global investment partnerships and positioning Qatar as a major capital exporter. Qatar Free Zones Authority continues to attract international businesses through tax exemptions, 100% foreign ownership, and access to world-class infrastructure.


Oman Vision 2040

Oman Vision 2040 is a national strategy aimed at transforming the Sultanate into a sustainable and diversified economy, with a strong focus on increasing private sector contribution to over 90% of GDP and raising the share of non-oil activities to over 93% by 2040. The plan targets attracting more than $100 billion in foreign direct investment (FDI) across strategic sectors including logistics, tourism, renewable energy, advanced manufacturing, mining, and fisheries. With over $50 billion in infrastructure projects underway—such as Duqm Port, Sohar Industrial Port, and Salalah Free Zone—Oman is positioning itself as a regional logistics and trade hub. 


Bahrain Economic Vision 2030

Bahrain Economic Vision 2030 is the Kingdom’s roadmap to build a sustainable, private sector-led economy and reduce reliance on oil by increasing non-oil GDP to over 85%. The vision targets attracting $2.5 billion in FDI annually, focusing on key sectors such as financial services, ICT, tourism, logistics, manufacturing, and renewable energy. Backed by the $30 billion Economic Recovery Plan, Bahrain is launching strategic infrastructure and industrial projects while creating over 20,000 jobs annually. With 100% foreign ownership in most sectors, no corporate or income tax, and a skilled bilingual workforce, Bahrain offers a competitive and investor-friendly gateway to the $2 trillion Gulf market.


Kuwait New Kuwait 2035

Kuwait Vision 2035 aims to transform the country into a regional financial and commercial hub by diversifying its economy and reducing reliance on oil, which currently makes up over 85% of government revenue. The plan targets more than $100 billion in infrastructure and development projects, with key sectors including logistics, financial services, renewable energy, healthcare, education, and tourism. 


Major initiatives like Madinat Al-Hareer (Silk City) and the Sheikh Jaber Causeway are central to this vision. The government also aims to increase private sector employment to over 40% and attract more FDI through regulatory reforms and incentives under Kuwait Direct Investment Promotion Authority.


Jordan Economic Modernization Vision 2033

Jordan’s Economic Modernization Vision 2033 aims to double the Kingdom’s GDP to $82 billion and create 1 million new jobs by 2033 through targeted investments and private sector growth. The plan focuses on expanding key sectors such as tourism, IT and digital services, healthcare, manufacturing, green energy, logistics, and agriculture. With over $40 billion in planned investments across 35 priority sectors, the vision promotes public-private partnerships, regulatory reforms, and innovation-driven development. Jordan is positioning itself as a regional hub for tech, sustainability, and skilled talent, with strategic access to Middle Eastern and African markets.


Egypt Sustainable Development Strategy Vision 2030

Egypt Vision 2030 is the country’s blueprint for inclusive, sustainable growth and economic transformation. It targets 8%+ GDP growth, 5% unemployment, and increasing private sector investment to 75% of total capital. The strategy focuses on attracting $10+ billion in annual FDI across key sectors like infrastructure, energy, manufacturing, tourism, agriculture, and ICT. 


Major projects include the Suez Canal Economic Zone, the New Administrative Capital, and large-scale renewable energy developments, positioning Egypt as a strategic hub connecting Africa, the Middle East, and Europe.


Part 2: Key Trends Shaping the MENA's Investment Ecosystem

  1. Surge in Government Spending and Sovereign Wealth Fund Activity

MENA governments are fueling economic transformation with over $7 trillion in planned public spending by 2030, anchored by national visions. Sovereign wealth funds like Public Investment Fund (PIF) ($700B+), Mubadala & ADQ ($400B+), and Qatar Investment Authority ($475B+) are driving strategic investments across infrastructure, tech, renewables, and real assets.


  1. Push Away From Oil Dependence

The region is rapidly growing from its oil dependency to a green, diversified economy, with non-oil sectors now contributing over 50% of GDP in Saudi Arabia and 74% in the UAE. Over $300B is being invested in renewable energy projects, including NEOM, Masdar, and Egypt’s Benban Solar Park. National hydrogen strategies and clean energy targets—like the UAE’s goal of 50% clean energy by 2050—are positioning the region as a global sustainability leader.


  1. Opening New Investment Corridors: Asia–GCC and Beyond

The Middle East — and the GCC in particular — is emerging as a key connector between global markets, acting as a strategic hub between Asia, Europe, and Africa. As cross-border capital flows increase, international fund managers are establishing regional hubs to tap into the growing pool of Middle Eastern investors as well as unlocking access to adjacent high-growth markets. 


  1. Progressive Regulatory Frameworks

The DIFC and ADGM lead the region in attracting private equity, offering low taxes, common law systems, and flexible fund structures. Saudi Arabia is expanding its financial ecosystem under Vision 2030, while Qatar Financial Centre (QFC) Authority and Bahrain’s regulatory environment continue to attract alternative investment firms. Together, these hubs are positioning the GCC as a global gateway for private capital.


  1. Emphasis on Local Presence and Compliance

Establishing a local presence is becoming increasingly essential for fund managers operating in the GCC — not only for regulatory alignment but also to build meaningful proximity to investors. For sovereign wealth funds (SWFs), institutional allocators, and their associated family networks, on-the-ground presence signals commitment and builds trust. Regulators actively encourage domiciling in the region and employing local talent, which often unlocks exclusive investment opportunities that would otherwise be inaccessible. 


  1. Governments leveraging PPPs to Finance and Operate Large-Scale Projects

GCC governments are accelerating the use of public-private partnerships (PPPs) to finance major infrastructure, healthcare, and education projects. Saudi Arabia leads with over 200 PPP projects and plans to privatize $55 billion in assets by 2030, while the UAE and Qatar are rolling out PPP frameworks with multibillion-dollar pipelines. These initiatives offer private investors long-term opportunities in stable, government-backed projects across the region.


Part 3: High Growth Sectors to Watch

  1. Renewable Energy & Sustainability

The Middle East is rapidly adopting renewable energy to reduce domestic costs and increase export revenues. By 2030, renewables are projected to constitute 30% of the region's energy capacity. Initiatives like the UAE's $6 billion, 5-gigawatt solar plant and Saudi Aramco's entry into the lithium market for battery production by 2027 exemplify this trend.


  1. Digital Economy and Artificial Intelligence (AI)

The GCC is focusing on AI innovation as a key economic driver. Investments in digital infrastructure, including data centers and fintech, are accelerating, with the UAE projected to see non-oil GDP growth of up to 4.5% in 2025, partly due to advancements in digital sectors. Across the wider Middle East, countries like Egypt, Jordan, and Iraq are also ramping up investments in tech infrastructure, digital payment systems, and AI-driven public services — positioning the region as a growing hub for digital economy expansion.


  1. Healthcare & Biotech

Current Healthcare Expenditure (CHE) in the region is projected to reach $159 billion by 2029, implying an annualized growth rate of 7.8%. During the forecast period, CHE in the GCC countries is anticipated to increase at growth rates ranging from 4.0% to 8.8%.


4. Real Estate, Construction and Infrastructure

The GCC’s real estate pipeline is valued at $1.68 trillion, with Saudi Arabia contributing over 63%. The regional construction market is expected to grow from $140B to $219B by 2032 (CAGR 5.1%). Across MENA, countries like Egypt, Iraq, and Jordan are driving major infrastructure growth — from Egypt’s New Capital and Suez Canal Zone to Iraq’s $17B Development Road and Grand Faw Port, positioning the region as a rising hub for urban and trade connectivity.


5. Logistics & Supply Chain Innovation

The MENA region is emerging as a strategic trade corridor linking Africa, Asia, and Europe, with major projects like Egypt’s upgraded Suez Canal, Iraq’s Development Road, and expanded regional links in Jordan. As governments modernize infrastructure, logistics is attracting long-term private capital. The GCC freight market is valued at $50.72B, projected to reach $66.61B by 2029, with the UAE alone expected to hit $31B by 2026, driven by infrastructure investment and booming e-commerce.


Part 4: Key Players and Ecosystem Map

Sovereign Wealth Funds:

  • Public Investment Fund (PIF) 🇸🇦

  • Abu Dhabi Investment Authority (ADIA) 🇦🇪

  • Mubadala 🇦🇪

  • ADQ 🇦🇪

  • Investment Corporation of Dubai 🇦🇪

  • Qatar Investment Authority 🇶🇦

  • Oman Investment Authority 🇴🇲

  • Kuwait Investment Authority 🇰🇼

  • Bahrain Mumtalakat Holding Company ("Mumtalakat"​) 🇧🇭

  • Citizens of Israel Fund (CIF) - הקרן לאזרחי ישראל 🇮🇱

  • The Sovereign Fund of Egypt 🇪🇬

  • Jordan Capital & Investment Fund 🇯🇴


Family Offices 

  • The Olayan Group 🇸🇦

  • Juffali 🇸🇦

  • Ajlan & Bros Holding 🇸🇦

  • Abdul Latif Jameel 🇸🇦

  • Al Muhaidib Group 🇸🇦

  • Gargash Group 🇦🇪

  • Al Masaood 🇦🇪

  • Majid Al Futtaim 🇦🇪

  • Ali & Sons Holding LLC 🇦🇪

  • The Private Office Of His Highness Sheikh Hamdan Bin Mohammed Al Nehayan  🇦🇪

  • Dubai Holding 🇦🇪

  • Al Ghurair 🇦🇪

  • Landmark Group 🇦🇪

  • Alfardan Group 🇶🇦

  • Al Faisal Holding 🇶🇦

  • ABUISSA HOLDING 🇶🇦

  • Almuftah Group Qatar 🇶🇦

  • Alshaya Group 🇰🇼

  • Al Mulla Group 🇰🇼

  • Alghanim Industries 🇰🇼

  • ALSAYER Group 🇰🇼

  • BuKhamseen Holding 🇰🇼

  • The Zubair Corporation 🇴🇲

  • MB Holdings 🇴🇲

  • Mohsin Haider Darwish LLC 🇴🇲

  • Suhail Bahwan Group (Holding) LLC 🇴🇲

  • Yusuf bin Ahmed Kanoo Group 🇧🇭

  • Alzayani Investments 🇧🇭

  • Abdulla Yousif Fakhro Group 🇧🇭

  • The Kanoo Group 🇧🇭


Venture Capital & Growth Funds

  • BECO Capital 🇦🇪

  • Shorooq 🇦🇪

  • TVM Capital Healthcare 🇦🇪

  • Global Ventures 🇦🇪 

  • Wamda Capital 🇦🇪

  • Middle East Venture Partners (MEVP) 🇦🇪

  • Nuwa Capital 🇦🇪/🇸🇦

  • VentureSouq 🇦🇪/🇸🇦

  • Sanabil Investments 🇸🇦

  • RAED Ventures 🇸🇦

  • STV 🇸🇦

  • Jada Fund of Funds 🇸🇦

  • Arzan Venture Capital 🇰🇼

  • Al Waha Venture Capital Fund of Funds 🇧🇭

  • IDO Investments  🇴🇲

  • Flat6Labs 🌍


Part 5: In the News


Part 6: How LPs and GPs Can Get Involved

The Middle East is no longer an emerging market — it’s becoming one of the most active and strategically important regions in global alternative investments. Sovereign wealth funds are deploying record levels of capital, family offices are moving beyond traditional holdings into venture, private equity, and credit, and regional GPs are raising larger, more specialized vehicles than ever before.


Tapping into this ecosystem requires more than a 'fly-in-fly-out' approach. It requires presence, consistency, and trusted networks.


🔗 Join the Middle East Investor Network

The Middle East Investor Network is a year-round platform that connects global LPs and GPs with the region’s most influential sovereign funds, family offices, and emerging managers. Built to support relationship-building, capital raising, co-investments, and market insights through carefully curated private events. 

 
 
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