Sharjah attracted Dh7.74 billion in foreign direct investment in 2025, as the number of FDI projects climbed 45 per cent, reinforcing the emirate’s position as a widening base for manufacturing, logistics, consumer industries and technology-linked ventures.The emirate recorded 142 FDI projects during the year, up from 98 in 2024. The investments generated 5,673 jobs, compared with 4,514 a year earlier, marking a 25.7 per cent increase in employment linked to foreign capital. Capital inflows rose 8.8 per cent year on year, pointing to stronger investor appetite despite a global investment climate shaped by higher financing costs, supply-chain reconfiguration and intense competition among regional business hubs.
Sharjah’s wider investment picture showed broader momentum across domestic and foreign activity. The emirate recorded 331 investment projects in 2025, with combined capital of Dh12.8 billion and 11,898 jobs created. The figures underline the role of both incoming investors and companies already operating in the emirate, with expansion activity helping to deepen the local business base.
Food and beverages led project activity, accounting for 28 per cent of total projects, followed by consumer products at 20 per cent. The pattern reflects Sharjah’s appeal to businesses serving domestic demand, wider Gulf markets and export-oriented distribution channels. Investment also moved into business services, industrial equipment, logistics, technology and manufacturing, suggesting a more diversified project pipeline rather than dependence on a single sector.
About 75 per cent of the investment projects are already operational, a key signal for policymakers because it indicates that announced projects are moving into active economic activity rather than remaining at the commitment stage. That conversion rate is particularly important at a time when investment promotion agencies across the region are competing not only to announce deals but also to convert them into employment, supply-chain activity and measurable output.
Sheikha Bodour bint Sultan Al Qasimi, chairperson of the Sharjah Investment and Development Authority, said the emirate’s economic development was closely linked to quality of life, service advancement and a stable environment that supports society and the economy. She said growth across investment indicators reflected “a clear development vision that places social and economic impact on a unified path”.
The investment data also show that Sharjah’s gains were not limited to new foreign entrants. The emirate recorded 188 domestic investments, 96 projects classified under new forms of investment and 47 greenfield projects. That mix suggests a balance between new market entry and reinvestment by existing businesses, an important measure of confidence because companies already operating in a market tend to expand only when regulatory, cost and infrastructure conditions remain favourable.
Mohamed Juma Al Musharrkh, chief executive of Invest in Sharjah, said the 2025 indicators reflected the emirate’s development as a reliable investment destination supported by strong economic sectors, flexible regulation, efficient infrastructure and the ability to attract projects aligned with sustainable growth objectives. He said the composition of projects showed confidence in the business environment and the emirate’s capacity to stimulate growth from within the market while continuing to draw new investment.
Investor geography also widened. Capital came from markets including India, Italy, the United Kingdom and the United States, alongside regional investors. This spread gives Sharjah a broader investment base and reduces exposure to volatility from any single source market. It also supports the emirate’s long-standing effort to position itself as a business platform between the Gulf, South Asia, Europe and wider international markets.
Sharjah’s performance comes as Gulf economies intensify efforts to attract private capital into non-oil sectors. The UAE has prioritised advanced manufacturing, technology, logistics, food security, health care, education and creative industries as part of a wider diversification agenda. Within that landscape, Sharjah has sought to differentiate itself through competitive operating costs, industrial zones, port connectivity, university-linked talent pools and a business environment aimed at small and medium-sized enterprises as well as larger investors.
The emirate’s industrial and logistics strengths remain central to its investment case. Its access to ports on both the Arabian Gulf and the Gulf of Oman, proximity to major UAE markets, and established free zones give companies multiple options for production, warehousing and regional distribution. At the same time, its focus on education, culture and entrepreneurship has helped attract companies looking beyond real estate-led expansion and towards sectors with longer-term employment impact.
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