Middle East’s Financial Powerhouses: Discover the Latest Transformations
Abu Dhabi’s transformation into a global financial powerhouse is emblematic of the Middle East’s broader economic renaissance. As Abu Dhabi Finance Week 2025 showcases the city’s financial and cultural influence, the strategic manoeuvres by Dubai, Riyadh, and Tel Aviv highlight a region poised for sustained growth.
The interplay of competition and collaboration is redefining the Middle East as a pivotal hub for global finance, technology, and culture. With evolving regulatory frameworks and strategic investments, these cities are not only attracting international capital but also reshaping the global economic order. Geopolitical influences are shaping investment decisions, particularly the impact of U.S. political dynamics on wealth movement. The region has an ambition to not only attract international capital but also establish itself as a leader in global finance, technology, and culture. The continued integration of ESG principles, digital transformation, and cross-border structuring will likely drive the next wave of growth, solidifying the Middle East’s status as a formidable force in the global financial landscape.
Saudi money aligns with USA
Corina Goetz, Middle East Strategist and Founder of Star-CaT, based in London, who helps businesses with cultural integration and coaching says, “Trumps ties to Saudi have been strong since his first term and he is a predominant factor in them investing in the US. Saudi just made a splash by bringing their Future Investment Initiative (FII) to Miami last week. FII started in Saudi in 2017 and is known as the Davos in the Desert bringing together investors as large as Blackrock and Citadel. A further indication of the Saudis commitment was President Trump kicking off the conference. The LIV Golf tour, which is a professional men’s golf tour, and the name “LIV” refers to the Roman numerals for 54, the number of holes played at LIV events, for example is owned by the PIF (Public Investment Fund) has hosted several tournaments at multiple Trump owned golf courses. Like ADIA (Abu Dhabi Investment Authority, a public institution that invests money for the Government of Abu Dhabi) and QIA (Qatar Investment Authority sovereign wealth fund) the PIF believes that their investment portfolio should be diversified and be aligned with countries that they have strong ties with such as the US.”
Dubai family offices look to US “minimal regulation”
Joshua S. Rubenstein, Partner and National Chair, Private Wealth at Katten based in New York and with 700 lawyers across Europe, China and the USA says of the US theme, “I see a lot of Middle Eastern money coming into the US, particularly from Dubai based family offices, as they perceive the US to be entering a phase of minimal regulation of business interests, at least for the next four years.”
Rubenstein continues, “From a US perspective, at the moment there is a lot of movement of money, and in some cases of people, by ultra wealthy individuals who are concerned that they will be targeted by the current US administration for their support of liberal causes like pro-Democratic, pro-environmental or pro-diversity, particularly given Trump’s promise to retaliate against his “enemies.” But I don’t see much if any of that movement going to the Middle East. Given the fear of confiscation of assets, that money is seeking more traditional financial centres with robust judicial systems that can be expected to resist extra-territorial judicial attack. That may change, however, particularly in the case of investing in Israel, if Trump pursues his surprising, announced plan to turn Gaza into a Riviera.”
Multiple Western law firm office openings
Jacopo Crivellaro, former Legal Counsel, JFO Family Office now Of Counsel, Baker & McKenzie offers his view, “The UAE wealth management landscape is in a phase of considerable transformation. Since relocating here 18 months ago, I’ve witnessed numerous former colleagues from law firms in Zurich, London, and New York establishing themselves in Dubai and Abu Dhabi, joining local offices of international firms or in-house positions. This migration is elevating the ecosystem through intensified competition, enhanced service quality, and rising professional standards across the sector. The positive impact extends well beyond service providers, fostering a more sophisticated wealth management environment that increasingly attracts global UHNWIs seeking both tax efficiency and professional excellence.”
Differences between Western estate planning and the Middle East
However, Crivellaro offers a word of caution for new entrants. “Western estate planning typically operates within a framework of strong institutional trust in financial entities and regulatory systems, whereas in the Middle East (and other emerging markets), individual reputation and personal relationships remain paramount considerations amid comparatively lower confidence in the broader wealth management ecosystem. This distinction can affect how estate planning vehicles are structured, with Middle Eastern approaches often prioritizing vehicles that allow some degree of retained control rather than relying exclusively on institutional safeguards.”
UK and USA tax risks and complications
Atiq Anjarwalla, Senior Partner, Anjarwalla Collins & Haidermota, a law firm with 100 lawyers in Dubai and a significant client base in Africa, adds more on the cautious theme. “The UAE continues to witness significant inflows of public and private wealth from across the globe. This requires private wealth advisors to be culturally sensitive when advising HNW families and to be at the forefront of legal and tax developments not only in the UAE but to be aware of, inter alia, the legal and tax implications of domicile, changes in residency (tax and non-tax) and citizenship in relation to the home jurisdiction of clients moving to the UAE. Advising on UAE solutions is not enough as clients need to appreciate if moving to the UAE will continue to expose them to legal and tax risks in their home jurisdictions which is often the case. The UK and USA are good example of this risk as it is complicated for a UK tax residents and US person to cease being liable to UK and US taxes respectively. Accordingly, advisors need to appreciate private international law and cross-border tax risks working with advisors in other countries. All in all, it is critical to have a “global” approach when advising HNW families.”
Tax incentives compare with Singapore’s family office regime
Andrew Horbury, Managing Director of the Cavenwell Group says “We expect to see continued growth and demand for wealth management services in the Middle East, driven by the region’s evolving regulatory landscape, economic expansion, and its increasing appeal as a global wealth hub. The UAE corporate tax extension under Ministerial Decision No. 261 of 2024, which expanded the fiscal transparency election to include holding companies owned by foundations across Dubai (DIFC), Abu Dhabi (ADGM) and Ras Al Khaimah (RAK ICC), is significantly driving structuring activity in the region. This reform provides a tax incentive comparable to Singapore’s family office regime, making the UAE an even more attractive jurisdiction for family offices and investment structures. The Cavenwell Group intends to expand its presence in the region and complementary jurisdictions in response to continued growth in demand.”
‘Hub-and-spoke’ model includes Jersey, Singapore, and Switzerland
Horbury continues, “Many UHNW families and family offices are adopting a ‘hub-and-spoke’ model, with a centralised family office, often in DIFC or ADGM, serving as the core governance and investment hub, while complementary structures are maintained in international financial centres such as Jersey, Singapore, and Switzerland, often strategically positioned near key assets, interests or family members.”
World-class advisory services, blending local knowledge with global best practices
Alessandro Belluzzo, barrister and founding partner at law firm Belluzzo International Partners with multiple offices which include Abu Dhabi says, “The Middle East’s wealth management industry is undergoing a significant transformation, driven by regulatory advancements, global investment flows, and an increasingly sophisticated professional landscape. Key hubs like Abu Dhabi, Dubai, Saudi Arabia, and Israel are witnessing rapid expansion, attracting top-tier firms from Europe, India, and beyond. Abu Dhabi is emerging as a financial powerhouse, with international players opening offices to tap into the region’s immense wealth and dynamic opportunities. The perception that professional expertise in the region lags behind London or New York is outdated, firms now offer world-class advisory services, blending local knowledge with global best practices. This shift is reinforced by a growing emphasis on ESG principles, digital transformation, and cross-border structuring, making the region a formidable force in global wealth management.” Belluzzo adds, “We have set up a new office in Abu Dhabi, for tax and trusts advice, that will be led by myself with the addition of John Gower and David Russell AM KC as Special Counsels.”
Digital advancements and investments – Hub71
Sean Kiernan, CEO, Greengage & Co, who are headquartered in London and who offer e-money account services and private debt, adds his view, “As more firms expand into Abu Dhabi, the city is carving out a distinct identity not just as a financial hub but as a centre of intellectual and cultural capital, exemplified by Saadiyat Island which also has the Louvre Abu Dhabi. Greengage recently established an office there after being among the 2% of companies accepted into Hub71, a global tech ecosystem that supports startups in scaling and accessing a diverse investor network. As the region’s “buy side,” Abu Dhabi, backed by ADGM (Abu Dhabi Global Market financial centre) is attracting institutional investors and sovereign wealth funds. This is evident in Greengage’s recent milestone, executing the first external debt transaction for Coinbase’s Project Diamond within ADGM, which highlight’s their openness to regulated digital asset firms.” Saadiyat Island is a natural island and a tourism-cultural environmentally friendly project for Emirati heritage and culture. The project is in a large, low-lying island, 500 metres off the coast of Abu Dhabi Island. The Louvre Abu Dhabi on Saadiyat Island runs under an agreement between the UAE and France, signed in March 2007, that allows it to use the Louvre’s name until 2047.
Conclusion
The Middle East is undergoing a profound economic transformation, with cities like Abu Dhabi, Dubai, Riyadh, and Tel Aviv emerging as influential global financial hubs. This evolution is fuelled by strategic investments, evolving regulatory frameworks, and a dynamic interplay of competition and collaboration, as well at tech skill. As Saudi Arabia strengthens its financial ties with the U.S., particularly through high-profile initiatives like the Future Investment Initiative and strategic ventures such as the LIV Golf tour, it reinforces its commitment to a diversified and globally aligned investment portfolio. Meanwhile, Dubai’s appeal to family offices seeking minimal regulation and Abu Dhabi’s rise as a financial powerhouse reflect a region that is increasingly attractive to international capital.
At the same time, the influx of Western law firms and the growth of sophisticated wealth management services underscore the Middle East’s growing reputation as a centre of professional excellence. However, challenges remain, particularly in navigating complex tax landscapes and cultural differences in estate planning. As regulatory environments continue to evolve and digital advancements reshape financial ecosystems, the Middle East is poised to play a pivotal role in the global economic order.
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