Report paints a compelling picture of Dubai’s growing stature as a global wealth magnet

While the world grapples with geopolitical tensions and macroeconomic uncertainty, Dubai is attracting record inflows of capital, people, and investment. — File photo

Dubai has risen to the seventh place globally and fourth in the EMEA region as a preferred destination for high-net-worth individuals.  

In Julius Baer’s Global Wealth and Lifestyle Report 2025, Dubai underscored its meteoric rise as a sought-after global hub for the super rich,  climbing five spots from last year’s ranking, marking the largest leap across the Europe, Middle East, and Africa (EMEA) region, despite only a marginal one per cent increase in average local currency prices.

 The report, which tracks the cost of luxury living across major cities, paints a compelling picture of Dubai’s growing stature as a global wealth magnet. While the world grapples with geopolitical tensions and macroeconomic uncertainty, Dubai is attracting record inflows of capital, people, and investment. With a potent mix of favourable tax policies, world-class infrastructure, and visionary leadership, the city is positioning itself alongside traditional wealth hubs like London, Monaco, and Zurich.

 Big-ticket items have been a key driver of Dubai’s rise in the rankings. Car prices have jumped 13 per cent, while residential property values have surged 17 per cent — contributing significantly to the overall cost of luxury living. This mirrors a broader real estate boom: Dubai’s property market saw values climb 27 per cent year-on-year in 2024, with prime neighbourhoods witnessing record-high demand from international buyers.

“This is not a momentary spike — it’s a long-term recalibration,” said Behnam Bargh, managing director at CRC Property. “Dubai is no longer just a second-home city for global elites. It is becoming the first choice for residency, business, and lifestyle.”

 That sentiment is backed by global mobility firm Henley & Partners, which reported a 102 per cent increase in the number of millionaires residing in Dubai over the last decade. The city continues to lead the world in millionaire inflows, a trend that accelerated during the pandemic and has shown no signs of slowing. Much of this momentum is attributed to long-term residency programmes such as the Golden Visa and Entrepreneur Visa, as well as a secure, pro-business environment that stands out amid global volatility.

 Complementing this financial magnetism is Dubai’s lifestyle appeal. HNWIs in the Middle East are showing strong demand for both experiential and material luxury. Premium hotel stays, fine dining, designer menswear, and high-end accessories remain popular among affluent residents. Meanwhile, wellness, longevity, and sustainable living are becoming top priorities for the region’s elite.

 The survey reveals that nearly 100 per cent of HNWIs in the Middle East are now focused on extending their lifespan—through healthier lifestyles, advanced medical treatments, and investments in wellbeing. At the same time, financial longevity is gaining traction, with many reassessing their wealth strategies in light of longer life expectancies.

Dubai is also adapting to this shift by developing ecosystems that cater to all stages of life. With the city’s over-60 population expected to grow by 29 per cent by 2050, new investments in healthcare, wellness, and sustainable infrastructure are underway. The Emirate’s “D33” agenda aims to double the size of Dubai’s economy by 2033, and longevity-linked sectors are expected to play a crucial role in that growth.

 The financial services ecosystem is booming as well. The Dubai International Financial Centre (DIFC) reported a 25 per cent increase in active companies during 2024, reinforcing Dubai’s status as a global capital for fintech, digital assets, and investment banking. Abu Dhabi is also making strides, with its non-oil economy growing 8.6 per cent in 2024 and contributing over 55 per cent to the emirate’s GDP.

Christian Gattiker, head of research at Julius Baer, noted that the GCC economies, particularly the UAE, are displaying remarkable resilience. “With low inflation, strong fiscal buffers, and a commitment to reform, Dubai and Abu Dhabi are attracting wealth and talent at a time when many global cities are facing economic stagnation.”

 Globally, Singapore held onto its title as the most expensive city for HNWIs, followed by London and Hong Kong. EMEA cities accounted for more than half of the top ten, highlighting the region’s enduring appeal. Dubai, with its strategic location, diversified economy, and luxury ecosystem, is emerging as a serious challenger for a spot on the podium in the near future.

 At a time when the global luxury market is showing signs of softening — evidenced by a 2.0 per cent decline in prices in US dollar terms — Dubai’s ascent stands out. Technology prices dropped 22.6 per cent globally, but travel and private education costs soared, driven by changing business models and shifting regulatory landscapes.