Wednesday 15 July 2020

At the press conference at Adnec.
Abu Dhabi Investment Office prepares to host the first
Abu Dhabi Investment Conference

Abu Dhabi’s economic plans to boost $29bn FDI stock

ABU DHABI, October 30, 2018

Abu Dhabi Government’s economic diversification plan will boost the stock of Dh108 billion ($29.4 billion) foreign direct investment (FDI) inflow into Abu Dhabi and the emirate’s Dh331.13 billion ($90 billion) foreign trade, according to the Statistics Centre of Abu Dhabi (SCAD).

Officials at a press conference announced the details of the forthcoming Abu Dhabi Investment Conference that takes place at Abu Dhabi National Exhibition Centre (Adnec) on November 1.

Held under the patronage of Abu Dhabi Investment Office (Adio) and organised by Dome Exhibitions, Abu Dhabi Investment Conference that runs in conjunction with the International Real Estate and Investment Show (IREIS) at Adnec will highlight the key economic growth areas.

It will also focus on potential investment opportunities for foreign investors and financial institutions that will help boost the FDI inflow into the emirate of Abu Dhabi, which consists of a number of cities including Abu Dhabi city, Al Ain, Ruwais, Madinat Zayed, Mirfa and many other towns in the Western Region, known as Gharbia – the largest base of oil and gas production.

The three-day multi-faceted IREIS event will also host Citizenship by Investment (CBI) exhibition that highlights business immigration facilities across the world as well as highlight the real estate market trends, investment potential, real estate market policies and regulations, real estate trust fund, announcement of new investment opportunities.

Abu Dhabi, which has a proven oil reserve of 92 billion barrels, will serve its economy for the next 93 years, as per the current production rate. The emirate, under the Vision 2030, is utilising its oil wealth to diversify economy to make it more sustainable by expanding downstream petrochemicals and associated industries, manufacturing, tourism, healthcare, aviation and financial services.

A 37 per cent jump in average oil prices in 2018 is leading to a marked turnaround in external balances of the GCC countries and other Middle East and North African oil exporters, according to the Institute of International Finance (IIF).

With oil prices hovering above $80 per barrel and poised to hit $100 within months, the combined current account surplus of the 10 Mena oil exporters is projected to rise by about $150 billion to $197 billion in 2018, IIF said in their Mena Economic Outlook report. For the GCC, the current account surplus will widen from $49 billion in 2017 to $188 billion in 2018, equivalent to 10 per cent of GDP. Financial soundness indicators suggest that the banking systems remain sound. Capital adequacy ratios exceed 16 per cent in the six GCC countries.

These factors are good enough indicators of a robust economy and the huge current account surplus is expected to be invested in infrastructure and housing, that will create additional demand and investment and thus boost FDI inflow.

Abu Dhabi National Oil Company (Adnoc) earlier this year announced investment of Dh165 billion into downstream petrochemical sector that will create 15,000 well-paid jobs in the new industrial cluster in Ruwais where a Chemical City is being developed. The UAE is expected to spend Dh400billion over the next five years in the downstream sector as well as in developing Abu Dhabi's gas reserves.

Abu Dhabi Investment Office (Adio), the investment arm of the Abu Dhabi Government, will be announcing new investment opportunities at the Abu Dhabi Investment Conference in the wake of recent investor-friendly economic reforms and how to capitalise on the opportunities these reforms will bring.

More than 200 senior officials and investment experts from public and private sectors will gather and brainstorm the future path of UAE’s knowledge-based economy at the Abu Dhabi Investment Conference.

The intelligent utilisation of the hydrocarbon resources will help create new downstream petrochemicals industries that will help set up hundreds of manufacturing and industrial units across the emirate, said Antoine Georges, managing director of Dome Exhibitions, at the press conference held at Adnec.

“Abu Dhabi currently manufactures aircraft components for Boeing and Airbus and we will soon see the emirate set up industries to manufacture and supply parts and components to the global automobiles industries,” said Georges.

“Abu Dhabi Investment Conference will highlight the key investment opportunities in the growing economy of Abu Dhabi – that is opening up key sectors for foreign investment. The conference takes place at the backdrop of massive investment announced by Abu Dhabi Government and major investment entities in recent months that is expected to boost FDI inflow into the emirate.

“Major international players are already exploring investment into key development and industrial areas such as Ruwais and Kizad – that are attracting massive investment. Adnoc in May announced investment of Dh165 billion in downstream petrochemicals sector that will help create new industries and employment in the region.

“Earlier this year, Shaheen Chem Investment, owned by investors from the UAE and Oman, announced a new chemical complex with an investment of Dh4 billion ($1.1 billion) at Kizad. These investments reflect a new beginning for the industrialisation in Abu Dhabi and we are going to see an exciting time ahead for the economy of Abu Dhabi – a sleeping giant that will change the economy of the Gulf region for the better,” he added.

International Real Estate and Investment Show (IREIS) that runs concurrently with the Abu Dhabi Investment Conference will see brisk sales and networking activities as sales of properties are permitted. IREIS brings leading local and foreign real estate developers, investors and agents under one roof will attract investors from various parts of the world.

The show is expecting over 125 high-end exhibitors and more than 12,000 visitors. To give a greater value to the exhibitors and visitors, the associated events that will complement the main IREIS Abu Dhabi 2018 are ‘International Real Estate Conference’, ‘Citizenship & Residency Expo’ and the ‘Real Estate Developer - Agent Meet’. – TradeArabia News Service

Tags: Adnec | FDI | foreign trade | ADIO |

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