Dubai’s DMCC reports record Q1 2023 results, sees best first quarter since launch

The rise represents an 8.4 per cent year-on-year increase, and an average annual increase of 13.7 per cent over the last five years

by Gulf Business

April 3, 2023

DMCC, the Government of Dubai Authority on commodities trade and enterprise, recorded a record-breaking first quarter of the year, with 708 new companies joining the business district.

According to the free zone, the results mark the best Q1 performance since its launch in 2002.

The rise represents an 8.4 per cent year-on-year increase, and an average annual increase of 13.7 per cent over the last five years, reported Dubai Media Office.

DMCC: Going from strength to strength

“In contrast to the challenging global economic outlook, these remarkable figures firmly display Dubai’s status as a prime destination for investment, backed by strong local macroeconomic conditions and the ease of doing business within DMCC,” said Ahmed Bin Sulayem, said its executive chairman and chief executive officer.

.@DMCCAuthority marks record-breaking first quarter by attracting 708 new companies to #Dubai in Q1 2023, this represents an 8.4% year-on-year increase.https://t.co/V05nfoOdxa pic.twitter.com/WML5qIoo1a

— Dubai Media Office (@DXBMediaOffice) April 3, 2023

“Registering over 700 new companies this past quarter, allied to our excellent retention rate, is further proof of our consistent ability to anticipate and deliver what global companies need in the shifting economic landscape.”

According to Sulayem, the free zone contributes roughly 10 per cent to Dubai’s GDP and with over 90 per cent of our registered companies coming from outside the UAE.

“DMCC is the business district of choice for global companies setting up in the emirate. Facilitating their success remains our key priority, which will undoubtedly continue to serve us well in the coming months and years.”

He added: “With a number of high-growth areas in our sights, including Web3 and gaming, we are efficiently utilising this momentum to target long-term growth across the board.

“Through this, we continue to support the Dubai Economic Agenda D33 and substantially support the size of Dubai’s economy doubling within in the next decade.”

The record-breaking Q1 2023 performance follows the high benchmark the business set in 2022, in which it registered a total of 3,049 new companies in the year.

Read: Here’s what Dubai’s ambitious D33 agenda aims to achieve

Traditional core markets for the free zone continued to outperform previous quarters, with strong numbers of businesses from India, the UK, Germany, China, and France turning to DMCC to expand their global operations.

It also saw robust results from the continuation of its international outreach programmes in markets including Israel, Spain and Korea.

Additionally, the significant momentum seen by the DMCC Crypto Centre and the recent launch of the DMCC Gaming Centre in December 2022 has both considerably supported DMCC’s long-term growth strategy.

Within the quarter, the free zone began sales of its new SO/ Uptown Dubai Residences in Uptown Tower, announced a range of new upcoming developments in its Jumeirah Lakes Towers (JLT) district, and new key partnerships that bolster the comprehensive crypto and Web3 ecosystem offered by the DMCC Crypto Centre.

The free zone, along with Ellington Properties launched ‘Upper House”, a new Dhs1.2bn residential development at JLT in January.

The project, Ellington Properties’ first residential development in JLT, is due for completion by the beginning of 2026.

Also read: Dubai’s DMCC, Ellington Properties launch Dhs1.2bn residential development at JLT

Designed by Brewer Smith Brewer Group, Upper House will feature 754 units, including studios and one-, two- and three-bedroom apartments, offering residents views of Jumeirah Islands and the Dubai Marina skyline.

In other news, in 2022, DMCC achieved its “best-ever” year for new member company registrations, attracting 3,049 new businesses to Dubai in 2022.

This marks a year-on-year increase of 23 per cent, breaking the previous record set in 2021 when DMCC registered 2,485 new members.

It also announced a 17 per cent year-on-year increase in the value of its diamond trade in 2022. According to the free zone, trade totalled $37.4bn combined for rough and polished diamonds, including a 42 per cent rise in the polished category and a consistently strong 7 per cent rise in the rough diamonds segment.