UAE Rises to Fifth in IMD World Competitiveness Ranking
The United Arab Emirates (UAE) has marked a significant year in 2025, securing leading positions across several major global competitiveness indices. Notably, the nation climbed to the fifth position globally in the IMD World Competitiveness Ranking 2025, achieving a score of 96.09 out of 100 points. This represents a two-place improvement from the previous year and marks the ninth consecutive year the UAE has been the top-ranked nation in the Middle East.
The IMD report highlighted the UAE's strong performance across key factors, ranking second in economic performance, fourth in government efficiency, and third in business efficiency. This comprehensive assessment underscores the nation's robust institutional and economic growth, positioning it among the world's most influential economies.
Advancements in Soft Power, Human Development, and Talent
Beyond economic metrics, the UAE demonstrated substantial progress in areas reflecting its global influence and human capital development. In the Global Soft Power Index 2025, the UAE secured the 10th position globally, with its Nation Brand value increasing significantly from $1 trillion to $1.223 trillion.
The country also made notable strides in human development, ascending 11 places to 15th globally in the UNDP Human Development Index 2025, making it the only Arab nation within the world's top 20. Furthermore, the IMD World Talent Rankings 2025 saw the UAE jump eight places to rank 9th globally, driven by high scores in workforce readiness and international appeal.
Excellence in Safety, Entrepreneurship, and Digital Governance
The UAE's commitment to creating a secure and dynamic environment was also recognized. The Numbeo Safety Index mid-2025 named the UAE the safest country globally, with a score of 85.2. For the fourth consecutive year, the Global Entrepreneurship Monitor (GEM) Report 2024/2025 identified the UAE as the best place for entrepreneurship and Small and Medium-sized Enterprises (SMEs) among 56 countries.
In terms of investment, the UNCTAD World Investment Report 2025 placed the UAE 10th globally for Foreign Direct Investment (FDI) inflows, attracting AED 167.6 billion ($45.6 billion) in 2024. The nation also showcased its leadership in technology and governance, topping the Government AI Readiness Index 2024 by Oxford Insights and ranking 11th in both the IMD Digital Competitiveness Index and the UN E-Government Development Index.
Healthcare and Innovation Achievements
The UAE's dedication to public well-being and innovation was evident in its healthcare and digital advancements. The country ranked first globally in health outreach programs, community participation in health policy, and wellbeing promotion, according to the Health Inclusivity Index. It also placed among the top five for person-centred healthcare, second for inclusive health system implementation, and 10th in health literacy.
In innovation, the UAE maintained its lead in the Arab world in the Global Innovation Index 2025, advancing to 30th place globally among 139 economies. This marks its best performance since its inclusion in the index, with the country ranking 14th in innovation inputs.
6 Comments
BuggaBoom
Behind the glitz, what's the actual citizen experience like?
KittyKat
While global rankings highlight significant advancements, especially in health outreach and innovation, it's crucial to remember that these are snapshots. Sustaining this high performance requires continuous adaptation and addressing potential internal disparities.
Africa
The progress in human development and safety is commendable, yet a deeper look into the specifics of individual freedoms and diverse cultural integration would provide a more complete picture of 'soft power'.
Habibi
Rankings can be misleading. How are these scores truly calculated?
Muchacho
The UAE's leadership in AI and digital governance is impressive, showing foresight in technology. However, the ethical implications of such advanced surveillance and data collection practices need ongoing public discourse and robust oversight.
Mariposa
Attracting significant FDI and fostering entrepreneurship is great for growth, but ensuring this prosperity benefits all levels of society, especially migrant workers, is a continuous challenge that needs addressing.