The UAE has climbed the ranks to become the Middle East's most globalised country, thanks to its position as a trade hub, flows of foreign investment, the high number of tourists and its large expatriate population, a report by DHL and NYU Stern School of Business reveals.
The Arab world's second largest economy rose two notches in 2021 to rank fourth globally out of 169 countries, after the Netherlands, Singapore and Belgium, in the 10th DHL Global Connectedness Index compiled by DHL and the NYU.
The UAE is among five countries, including Mexico, the Netherlands, Sierra Leone and Vietnam, that have stood out for their strong or rising global connectedness over the past two decades, according to the index.
“Looking at the Middle East, the UAE’s pre-eminent position as the most globalised nation in the region is an outcome of economic development strategies that aggressively pursued growth via globalisation, strongly supported by the private sector and public,” Amadou Diallo, chief executive of DHL Global Forwarding for the Middle East and Africa, said on Wednesday.
The UAE's economy continues to recover from the pandemic-driven slowdown, aided by Dh388 billion ($105.65bn) worth of economic support measures. Government initiatives, including visas for expatriate retirees and the expansion of the 10-year golden visa scheme to encourage foreign professionals to settle in the country, have also helped to improve investment sentiment.
The country reaped the dividends of investment over the past two decades in its infrastructure and embracing of technology that helped it adapt and weather the Covid-19 pandemic.
Meanwhile, Expo 2020 has been attracting a large number of visitors since the world's fair opened on October 1. More than 6.3 million visitors had visited the Expo site by December 13, according to official data.
The DHL Global Connectedness Index measures globalisation based on four main pillars: the flows of international trade, capital, information and people. It tracks both the size of countries’ international flows relative to their domestic activity and their geographic reach around the world.
The UAE climbed the ranks driven by its high scores on the main pillars. The Middle East's finance and business hub scored 83 out of 100 on trade and 73 out of 100 on both information flows and people flows.
The UAE became the Middle East's most globalised country, ahead of Qatar in 31st place, Bahrain in 39th, Saudi Arabia in 42nd, Lebanon in 54th, Kuwait in 56th and Jordan in 61st position.
The shock of the Covid-19 pandemic has caused a “modest” decline in global connectedness in 2020, followed by clear signs of recovery in 2021, according to the report findings.
“Covid-19 has not caused globalisation to collapse,” the authors of the report said. “Trade in goods has surged to well above pre-pandemic levels, powerfully supporting the global recovery even as capacity challenges and trade tensions persist.”
The global health crisis dealt “a major blow” to international capital flows, but portfolio equity flows stabilised in mid-2020 and foreign direct investment rebounded sharply in 2021, the report said.
The pandemic, which paralysed the global aviation industry, hit the international movement of people the hardest, and they are on track to recover the slowest, the report showed. International travel remained more than 80 per cent down in the first half of 2021.
The world’s poorest countries are falling behind in the globalisation recovery, the DHL and NYU study showed, with their trade and FDI flows still below pre-pandemic levels in the first half of 2021.
“Stronger global connectedness could accelerate the world’s recovery from Covid-19,” the report authors said. “Vulnerabilities highlighted by the pandemic should be addressed for a more prosperous and resilient future.”
The beauty of the UAE - in pic
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Seagulls at the Jumeirah open beach near the Burj Al Arab hotel in Dubai. Pawan Singh / The National -
Families visit Abu Dhabi's salt lake flats at sunset, a popular place for photos and where cooler temperatures can be enjoyed. Khushnum Bhandari / The National -
A child enjoying the water feature at the Expo 2020 site in Dubai. Pawan Singh/The National. -
Dhows unloading and loading items by Deira's Spice Market. For many people, the creek (Khor) with its dhow moorings, abra water taxis, and souks is the very essence of the old city - the place where many things have started. For decades, Dubai Creek has been a hub of activity as traders bring in goods and sell their wares at the bustling markets nearby. Reem Mohammed / The National -
Mariam Mohammed Al Kabi, Sameha Ahmed Al Kabi, Nadia Khalifa Al Shamsi and Ateeja Al Mherbi; artisans at the Women's Handicraft Centre in Abu Dhabi. Khushnum Bhandari / The National -
Emiratis practising falconry in the desert. Reem Mohammed / The National -
Kids playing cricket in the parking area in Bur Dubai. Pawan Singh / The National -
The mobility pavilion on the 11th day of Expo 2020 Dubai. Chris Whiteoak / The National -
The first Eid prayer is performed at the Eid prayer ground in Al Barsha, Dubai. Chris Whiteoak / The National -
A person walking in Dubai's Design District. Chris Whiteoak / The National -
Sunset at the Tal Mureeb dunes in Liwa, Empty Quarter, Abu Dhabi. Victor Besa / The National -
The town of Qo'a, a Bidoon community on the Abu Dhabi-Oman border. Chris Whiteoak / The National -
Near the Qutuf watchtower which guarded the southern approaches to settlements in the central part of the Liwa Crescent, inhabited by the Mahadhar, in Abu Dhabi. Victor Besa / The National -
Sunrise at a camp set up in Dubai’s desert. Reem Mohammed / The National -
The crescent moon lake in the Al Qudra Desert, Dubai. Pawan Singh / The National -
Near the Qutuf watchtower in the Liwa Crescent, Abu Dhabi. Victor Besa / The National -
Al Madam buried ghost village, Sharjah. Chris Whiteoak / The National -
Desert landscape at sunset in Ajman. Pawan Singh / The National -
Beauty of the desert landscape in Ajman. Pawan Singh / The National -
Early morning fog in the desert in Al Badayer, Sharjah. Pawan Singh / The National -
The landscape as seen from Jebel Hafeet in Al Ain. Pawan Singh / The National -
Obaid Saeed Obaid's farm in Wadi Kub, Ras Al Khaimah. Reem Mohammed / The National -
Off-road enthusiasts go dune bashing on a mountainside in Sharjah. Chris Whiteoak / The National -
The world's longest zip line at Jebel Jais in Ras Al Khaimah. Chris Whiteoak / The National -
Maliha, Sharjah. Pawan Singh / The National -
At the top of the world's longest zip line at Jebel Jais in Ras Al Khaimah. Chris Whiteoak / The National -
Rashed Naib, an employee on Abdullah Al Mazrooie's farm in Al Ghail. Reem Mohammed / The National -
The sun sets over the mountains in Ras Al Khaimah. Chris Whiteoak / The National -
Beautiful scenery and fresh water at Wadi Shis, a seasonal watercourse, in the Hajar Mountains of Sharjah. Pawan Singh / The National -
The mountains in Ras Al Khaimah against a typically clear blue UAE sky. Chris Whiteoak / The National -
Heavy morning fog at Dubai Marina. Chris Whiteoak / The National -
Fireworks light up the Yas Bay waterfront to mark Eid Al Fitr, in Abu Dhabi. Victor Besa / The National -
The Dubai skyline at sunset. Reem Mohammed / The National -
The interior of Qasr Al Watan in Abu Dhabi, one of the UAE's cultural landmarks. Chris Whiteoak / The National -
The sun sets over a mosque in Ras Al Khaimah. Chris Whiteoak / The National -
A bird flies between two mosques in Bur Dubai. Chris Whiteoak / The National -
A view of the Al Taqwa Mosque at the Buhaira Corniche in Sharjah, during the evening. Pawan Singh / The National -
A cabin on Ain Dubai, the observation wheel on Bluewaters Island. Ain Dubai opened to the public on October 21 this year. Visitors can see Palm Jumeirah and the JBR area from its cabins. Pawan Singh / The National -
Pigeons fly on the creek in Bur Dubai. Chris Whiteoak / The National -
The sun rises on a hazy morning along the corniche in Abu Dhabi. Victor Besa / The National -
Dozens of kite surfers make the most of favourable conditions at Jumeirah Beach, Dubai. Chris Whiteoak / The National -
The mountains can be seen from the Gulf of Oman in Dibba, Fujairah. Chris Whiteoak / The National -
Jubail Mangrove Park, Abu Dhabi, at dusk. Victor Besa / The National -
People enjoying boat rides, kayaking and other adventure activities at Hatta Dam, Dubai. Pawan Singh / The National -
People spending time enjoying a spectacular sunset near the beach in Ras Al Khaimah. Pawan Singh / The National -
![Dhows unloading and loading items by Deira's Spice Market. For many people, the creek [Khor] with its dhow moorings, Abra water taxis and souks is the very essence of the old city. For decades, Dubai Creek has been a hive of activity as traders bring in goods and sell their wares at the bustling markets nearby. Reem Mohammed / The National](https://www.thenationalnews.com/resizer/v2/KEXFIXNLJZHH3KGEPXT2OJHHE4.JPG?smart=true&auth=8cda71612b34d179086d0ed8fa2f55b764383e04b3e643225cfbf9be77017b5e&width=400&height=225)
Dhows unloading and loading items by Deira's Spice Market. For many people, the creek [Khor] with its dhow moorings, Abra water taxis and souks is the very essence of the old city. For decades, Dubai Creek has been a hive of activity as traders bring in goods and sell their wares at the bustling markets nearby. Reem Mohammed / The National -
View of the beach near the Pink Lake, which was discovered in Ras Al Khaimah. Pawan Singh / The National -
Fishing on a hazy New Year's Day morning overlooking the Burj al Arab, Dubai. Chris Whiteoak/The National -
The sun sets on a mangrove forest area on Jubail Island, Abu Dhabi. Khushnum Bhandari/ The National -
The coastline of Al Sila'a, a city 350 kilometres west of Abu Dhabi and 450km west of Dubai, consisting mainly of Emirati town houses. A sand plover is searching for worms during low tide along the Sila'a coastline. Victor Besa / The National
![Dhows unloading and loading items by Deira's Spice Market. For many people, the creek [Khor] with its dhow moorings, Abra water taxis and souks is the very essence of the old city. For decades, Dubai Creek has been a hive of activity as traders bring in goods and sell their wares at the bustling markets nearby. Reem Mohammed / The National](https://www.thenationalnews.com/resizer/v2/KEXFIXNLJZHH3KGEPXT2OJHHE4.JPG?smart=true&auth=8cda71612b34d179086d0ed8fa2f55b764383e04b3e643225cfbf9be77017b5e&width=800&height=450)
