13 September 2026 18:24
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Last Updated:
13 September 18:25 2026
General view of Downtown Dubai
Summary
The UAE enters autumn with economic momentum: sovereign wealth fund investments, growth in education, finance, and population, incentives for talent, hospitality and events, and a projected growth rate of 7% in 2027.
As summer yields to autumn in the UAE, September brings a welcome resurgence in business activity. Offices become bustling once again, school buses return to the streets, and hotels prepare to welcome those seeking a warm winter sun. This year, however, there’s a pronounced vibrancy to the atmosphere, with business, education, and tourism sectors showing significant signs of recovery—underscoring the resilience of the UAE’s economy and its ongoing attractiveness to residents and investors alike.
Vibrant Economy Signals Recovery
The UAE continues to leverage its competitive advantages, notably its low tax environment, appealing lifestyle, and world-class infrastructure. Various sectors are regaining momentum as they get ready for a busy season ahead in business, tourism, and events. A recent report by Bloomberg indicates that the UAE maintains its ability to attract both residents and investments, supported by ongoing activity in business, education, hospitality, and financial services.
Sovereign Wealth Fund Investments Propel Markets
Investment flows from sovereign wealth funds in Abu Dhabi remain robust, contributing billions of dollars to various sectors. These investments have prompted financial institutions on Wall Street to enhance their presence in the Gulf region, while hedge funds continue to pour into the market. Shopping malls in Dubai and Abu Dhabi once again welcome customers, and restaurants maintain their bustling atmosphere, signalling a return to normalcy in economic activities.
Education Sector Experiences Strong Demand
The private education sector serves as a clear indicator of sustained demand. GEMS Education anticipates that its student enrolment will reach 147,000 this year, an increase of 2,000 from 2025. Meanwhile, enrollment at Taaleem Holdings has risen by about 7%, reaching approximately 19,500 students. CEO Alan Williamson noted that the group’s schools continue to experience demand exceeding supply, even during what he described as a challenging period. Dubai opened seven new private schools this year, adding 17,000 seats, while British institutions Harrow and Rugby have announced their campuses in the emirate, with Harrow set to open a branch in Abu Dhabi next year.
Financial Hubs Attract More Businesses
This economic momentum extends into the financial sector, with the number of active firms in the Dubai International Financial Centre surpassing 10,000. Additionally, the Abu Dhabi Global Market issued approximately 2,000 licenses and added 4,700 employees in the first half of the year. Concurrently, Dubai’s population reached 4.58 million by the end of 2025, with around 200,000 new residents added this year. Mobility analyses reveal that activities near the Dubai International Financial Centre have rebounded to nearly 90% of pre-war levels, according to mobility analytics firm X-MAP.
New Incentives to Attract Talent
Government and private investments are bolstering the job market, with incentives introduced for sectors like tourism and housing. Increased activity in deal-making by sovereign entities has prompted companies to expand their workforce. Several firms are now offering more generous packages, including relocation bonuses, to retain and attract talent to the UAE. Greg Agius, a CEO of a recruitment firm specialising in finance and private banking, told Bloomberg that employers are opting for one-off guarantees or relocation-related protections rather than transferring temporary geopolitical risks into permanent compensation elements. In tech, Dan Wordell, a recruiter at Discoverd, reported that demand for specialists in artificial intelligence remains strong.
Hospitality Prepares for a Busy Season
The hospitality sector is also showing positive signs as winter approaches. Philip Zuber, CEO of Kerzner International, stated that regional demand is strengthening with the gradual return of international travellers, expecting occupancy in their Dubai properties to exceed 80% during year-end celebrations. A range of incentives has helped drive demand, including campaigns providing complimentary health insurance and visa-free entry for international visitors. Various hotels and restaurants are offering accommodation deals and discounts to attract residents. During a weekend in late August, the Aquaventure Waterpark at Atlantis was fully booked with visitors, enjoying its aquatic attractions as a respite from the summer heat on a man-made island shaped like a palm tree.
Event Season Approaches
As the year draws to a close, the UAE gears up for a busy season of conferences and major events, which are likely to provide an additional boost to tourism and business activities. The event calendar features the Abu Dhabi Grand Prix, the opening of the Guggenheim Museum, and the Abu Dhabi Financial Week, attracting prominent names in finance and investment. These events coincide with a traditionally vibrant period for tourism and business in the UAE, as new restaurants and hotels prepare to open in Dubai and Abu Dhabi.
Accelerated Growth on the Horizon
Monica Malik, Chief Economist at Abu Dhabi Commercial Bank, believes that various indicators support the continued residence of populations in the UAE. She pointed out that a favourable business environment, low taxes, world-class infrastructure, and access to a skilled workforce will remain key attractions for the country in the medium term. Economists surveyed by Bloomberg predict that the UAE’s economic growth will accelerate to approximately 7% by 2027, with inflation expected to decline to 2.3% in 2027 from 3.2% in 2026.