The United Arab Emirates has climbed six places to reach 10th position in the 2026 Government Support Index, meeting its target of entering the global top 10. The Ministry of Finance announced the result on 22 October 2026 as part of the IMD World Competitiveness Yearbook. The UAE ranked 16th in 2025.
The country’s index value also improved from 0.55% in 2025 to 0.43% in 2026. The index measures government support as a share of gross domestic product (GDP). According to the Ministry of Finance, the lower figure reflects stronger performance in the ranking and more efficient use of public spending to support economic activity.
UAE Maintains Strong Public Finance Rankings
The latest result adds to the UAE’s performance across other fiscal indicators. In the 2026 IMD World Competitiveness Yearbook, the country ranked second in the Public Finance Index, third in the Budget Surplus/Deficit Indicator, fourth in the Government Efficiency Index and seventh in the General Government Expenditure Index.
The Ministry of Finance said the result reflects the country’s focus on balancing targeted economic support with efficient investment spending. It also highlighted cooperation between the federal ministry and local finance departments through a unified Government Finance Statistics framework.
This framework aims to improve the quality, consistency and reliability of public finance data across the UAE. Better financial data can support clear reporting and help public bodies assess their spending and financial performance.
What Does the Ranking Mean for Businesses?
The top-10 result is relevant to companies operating in the UAE, foreign investors considering market entry and entrepreneurs planning to establish or expand a business. Public finance performance and government efficiency are important factors when companies assess an economy and plan for long-term growth.
However, the ranking does not guarantee that every business will receive funding, tax relief, faster approvals or government contracts. Companies should treat it as an indicator of the UAE’s public finance performance, not a promise of direct commercial benefits.
For businesses planning to enter the UAE market, careful preparation remains essential. Owners should assess setup costs, expected revenue, funding needs and the legal structure that best suits their activities. A clear business plan and realistic financial forecasts can help them understand the resources needed to operate and grow.
Financial Planning and Tax Compliance Remain Important
Businesses should review their budgets, maintain accurate accounts and prepare reliable financial reports. They should also understand the UAE corporate tax and VAT requirements that apply to their activities.
Companies setting up in Dubai or elsewhere in the UAE may need support with company formation, licence requirements and ongoing compliance. Existing businesses can also review their bookkeeping, cash flow forecasts and financial reporting to support sound decisions as they expand.
Dubai Business and Tax Advisors (DBTA) provides business setup and company formation, accounting and bookkeeping, budgeting and forecasting, financial reporting, and UAE corporate tax and VAT advisory services. Its ACCA-qualified team helps businesses organise financial records, understand relevant tax obligations and plan for compliance.
This support can be useful for companies that need a clearer view of their finances before entering a new market or expanding existing operations. Reliable accounts and sound tax planning help owners make decisions based on their actual business position.
The UAE’s rise to 10th place in the 2026 Government Support Index marks an important milestone in its competitiveness journey. For businesses, the practical step is to understand what the result says about the wider economic environment while making investment and expansion decisions based on careful planning, accurate financial information and their own compliance needs.
