It achieved a record in company registration last year

Dhs460 million DIFC operating profit in 2020

The Dubai International Financial Center, the leading financial center in the Middle East, Africa and South Asia, revealed yesterday that it has achieved its best performance in its history since its establishment, and during its 16-year career, with its success in attracting more new companies during the year 2020, with an increase It reached 20% compared to the previous year, as the total number reached 2,919 companies, despite the great challenges that the world witnessed in 2020, as a result of the "Covid-19" pandemic and its repercussions on the overall global economy.

Maktoum bin Mohammed:

- “The distinguished performance and strong results of the center are the fruit of the solid foundations laid by Mohammed bin Rashid for the Dubai economy.”

- "Dubai is able to meet the challenges while preserving the elements of growth in the most difficult times."

- “The expansion of the center’s activity reflects the extent of the UAE and Dubai’s commitment to the economic diversification approach.”

The center succeeded in maintaining its operating profits at about 460 million dirhams ($ 125 million), which is generally equivalent to its operating profits for the year 2019, in evidence of the center’s success in overcoming the negative effects of the pandemic and continuing to achieve its strategic objectives in line with Dubai’s trends regarding the future of the sector. Financial.

Outstanding performance

His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai and Chairman of the Dubai International Financial Center, affirmed that “the distinguished performance and strong results achieved by the center during the year 2020, despite the challenges that befell the world and its economies during that period, are nothing but the fruit of solid foundations. Established by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, for the Dubai economy, and his long-term vision for the future of economic development, which was a major reason for confirming the emirate’s ability to face various challenges with confidence and flexibility, while preserving Sustaining the elements of economic growth in the most difficult times and situations ».

His Highness praised the efforts of the center's work team, which was able, with all dedication and sincerity, to overcome the challenges witnessed in the year 2020, in order to achieve these distinguished results, which His Highness described as evidence of the center’s ability to continue expanding its business circle, achieving high performance rates, and assisting its partners. To achieve more success, despite the difficult circumstances the global economy is going through.

His Highness said: “The expansion of the activities of the DIFC reflects the commitment of the UAE and Dubai to the economic diversification approach, the focus on the elements of creativity, innovation and added value, as well as the depth of the commitment to creating the ideal environment supportive of growth for companies and business establishments of their multidisciplinary and varying sizes, both global While the strong performance of the center enhances the position of Dubai as a major hub for financial activities worldwide, which will continue to strengthen its pillars during the next phase, by doubling the work and creating all the ingredients that ensure the preservation of the performance of the Dubai International Financial Center in Its highest levels, reaching new peaks that keep pace with the aspirations and aspirations of the wise leadership for the future of economic development.

Strong performance

In 2020, the total value of bank assets managed in the Dubai International Financial Center increased to $ 189 billion (695.5 billion dirhams), an increase of 6% over 2019, while the volume of loans granted by companies registered in the center reached $ 64 billion during 2020.

Managers of wealth and asset management portfolios invested $ 203.5 billion in the financial position, an increase of 106%, compared to $ 99 billion in 2019, as the total value of the wealth and asset management sector reached $ 528.5 billion, while the total written premiums for the insurance sector exceeded $ 1.7 billion in 2020. While the market size of the DIFC activities exceeded 2.876 trillion dirhams ($ 784 billion), an increase of 12% year-on-year.

Today, the center includes 915 active companies specializing in the financial sector and innovation, an increase of 24%, compared to 735 companies in 2019. The number of companies of the financial technology and innovation system more than doubled in 2020, as 189 new companies joined, bringing the total The number of companies reached 303 companies, representing more than 50% of the total companies operating in this field within the countries of the Cooperation Council for the Arab States of the Gulf.

It is noteworthy that 111 startups have participated in the "Fintech Hive" program since 2017, as the program has expanded its business three times during 2020 to take advantage of the exceptional growth witnessed by the sector and to meet the increasing demand.

Fintech companies included in the program have raised more than 1.1 billion dirhams ($ 298.8 million) in financing to accelerate their regional growth.

Impactful Contribution

For his part, the Governor of the Dubai International Financial Center, Issa Kazim, said: “Since the establishment of the Dubai International Financial Center in 2004, we have demonstrated our ability to effectively contribute to the diversification of Dubai’s economy in a sustainable manner, and to support Dubai’s strategic and development plans during that period, ending with the Dubai Plan 2021. During 2020, we achieved exceptional growth in all business sectors, in light of the confidence of the global financial sector in the center.

During the year 2021, we will continue to affirm our resilience in facing the repercussions of the (Covid-19) crisis, leading to overcoming it, highlighting our distinguished position to make further progress on the level of the main 2024 priorities, and we will also enhance our contribution to the economic growth of Dubai in the long term. ”

The CEO of the DIFC Authority, Aref Amiri, said: “The DIFC affirmed that exceptional results are achieved by focusing on the needs of companies operating in the financial center, proposing proposals and developing new laws and regulations. A challenging market, and we will help them take advantage of new growth opportunities through 2021. The DIFC's commitment to leading the future of the financial sector has achieved tremendous growth in the financial technology and innovation sector.

We will continue towards leadership in this field in the region, given the great speed in the financial industry’s adoption of new technologies, in line with the urgent need to change strategies and operating models in the post-pandemic world. ”

Human capital

During the year 2020, the financial center continued to attract and maintain the best financial talent, as the number of its employees increased by more than 4%, compared to the previous year, as part of a new achievement achieved by the center, despite the global crisis resulting from the spread of "Covid-19".

The companies operating at the center contributed to the provision of 1135 new jobs, bringing the total to 26,773 jobs, comprising 145 different nationalities.

Infrastructure that supports the future

The DIFC maintains its position as one of the most attractive business destinations in Dubai, and its commercial office rental rate has increased to 94% of total office space, which is more than 200,000 square feet of commercial space.

The center has introduced new flexible and innovative work environments in preparation for work needs in the post-Covid-19 crisis, including Innovation Hub.

Exceptional growth

During 2020, the Dubai International Financial Center launched a set of initiatives that supported the achievement of exceptional growth, in line with the center's vision aimed at building the future of the financial sector, as the number of financial technology and innovation companies registered in the Dubai International Financial Center has nearly tripled in the past two years. The center now includes more than 303 companies, bearing in mind that the number of companies witnessed a significant increase, after the center introduced licensing solutions designed to suit various requirements.

The most important initiatives during the year 2020 included the launch of Innovation Hub, affiliated to the Dubai International Financial Center, to be the only comprehensive technological system in the region.

Financial sector development

The Dubai International Financial Center has introduced a new set of regulations and laws, as well as introducing updates to some of them, following international best practices, to cement its position as the leading financial center in the Middle East, Africa and South Asia, including the new lease law and the new data protection law.

The new rent law strengthened the protection of landlords and tenants, ensuring that the legal and regulatory frameworks in the financial center were in line with best practices and international standards.

Whereas, the new data protection law introduced amendments to the data protection system, which the center had previously adopted, so that it became in line with the principles of the General Data Protection Regulation in the European Union, to be the first in the region in this regard.

695.5

One billion dirhams is the total value of bank assets managed in the DIFC.

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