How Many Billionaires Live in Dubai & Why Are They There?

Dubai has emerged as a prominent global center for wealth and luxury. Known for its rapid development, the emirate continues to attract individuals seeking new opportunities and a distinct lifestyle. This article explores the concentration of billionaires in Dubai and the factors contributing to its allure for the ultra-wealthy.

Current Number of Billionaires

According to the Hurun Global Rich List 2024, Dubai is home to 21 billionaires, placing it 28th globally among cities with the highest number of billionaires. The United Arab Emirates as a whole hosts 24 billionaires, ranking 22nd among countries worldwide. The Hurun report, which assesses wealth as of January 15, 2024, provides this specific figure for Dubai.

Key Factors Attracting Wealth to Dubai

Tax Environment

Dubai’s favorable tax environment is a significant draw for high-net-worth individuals and businesses. The emirate imposes no personal income tax, allowing individuals to retain 100% of their earnings. A corporate tax of 9% applies to business profits exceeding AED 375,000 (approximately $102,000), though smaller businesses often qualify for a 0% rate. The Value Added Tax (VAT) rate is a minimal 5% on most goods and services, lower than many other countries.

Strategic Geographical Location

Dubai’s strategic geographical location plays a role in its appeal. Positioned as a gateway between Asia, Africa, and Europe, the city serves as a hub for international trade and commerce. This connectivity is supported by world-class infrastructure, including advanced ports, airports, and specialized financial and tech zones, facilitating global business operations and travel.

Economic Diversification

Dubai has diversified its economy, reducing its reliance on oil to less than 1% of its GDP. Non-oil sectors like trade, logistics, tourism, finance, and technology now drive most economic growth. This diversification creates a stable, attractive environment for investment and business expansion.

Political Stability and Security

Political stability and a high level of security enhance Dubai’s attractiveness. The emirate is known for its low crime rates and a strong, consistent government that fosters a pro-business approach. This stable environment, coupled with clear legal frameworks, provides confidence for residents and investors.

Ease of Doing Business

The ease of establishing businesses in Dubai is a compelling factor for the wealthy. Free zones allow for 100% foreign ownership of companies, along with tax incentives and streamlined setup processes. Recent reforms have also expanded 100% foreign ownership to most mainland business activities, eliminating the previous requirement for a local Emirati partner.

Luxurious Lifestyle

Beyond financial and business incentives, Dubai offers an extravagant lifestyle. The city boasts lavish hotels, high-end shopping centers, and a diverse fine dining scene. Exclusive experiences, such as private yacht charters and access to elite social clubs, cater to a luxurious way of living.