Business

Dubai tops the ranks of start-up friendly city in the Middle East: Report

Dubai is ranked the third most startup-friendly in the world after San Francisco and Zurich and ahead of established hubs including New York, London and Paris.

The Startup Friendly Cities Index 2026, published by Multipolitan examined the depth of the ecosystem in 60 countries before ranking 28 cities based on five factors: startup activity, digital communication, young talent, quality of life and business ability.

Dubai ranks high in global rankings for business agility, reflecting fast company incorporation processes, regulatory efficiency and competitive tax conditions.

According to the report, founders in Dubai often finish setting up a company in less than a week, putting the city ahead of major global centers such as New York, London, São Paulo and Mexico City in terms of overall setup speed.

The index measures business agility by combining combined timelines with effective business tax burdens at the national, emirate and city levels.

Dubai also scored strongly in attracting talent and quality of life. In the Multipolitan composite metric that includes quality of higher education, depth of talent, cost of living, safety, health care, pollution and purchasing power, Dubai recorded 178.5 points. This put it ahead of cities including San Francisco, Tokyo, Paris, London and New York.

Although the number of unicorns in Dubai and the start-up rate are still below mature ecosystems such as San Francisco, London and Paris, the index noted that the gap is narrowing.

Cities compete to attract innovators

Multipolitan said that cities with a high level of regulatory efficiency and a strong influx of talent are increasingly attractive to founders, even if they have fewer outlets today.

“The business environment is changing, and the city’s competitiveness now depends on how it enables founders to build. With an unmatched business plan and access to global talent, Dubai has created an entrepreneurial experience that is hard to match,” said Nirbhay Handa, CEO and founder of Multipolitan.

In Asia, Singapore ranked fourth globally and Seoul seventh, highlighting what the report described as an eastward shift in innovation power.

Legacy European hubs such as London, ranked eighth, and Paris, ranked tenth, continue to attract capital and talent but face challenges linked to governance and high costs.

Multipolitan said the UAE’s digital governance framework, residency programs and financial liberalization zones such as DIFC and ADGM have strengthened Dubai’s position as a hub for global mobile innovators.

“Innovators follow efficiency, investors follow innovators, and cities that make it easy to build will define the next chapter of global innovation. The next Silicon Valley may not be in California,” said Nicholas Michael, head of the Multipolitan market development group.

Top 10 friendliest cities in 2026

  1. San Francisco
  2. Zurich
  3. Dubai
  4. Singapore
  5. New York City
  6. Los Angeles
  7. Seoul
  8. London
  9. Hong Kong
  10. Paris

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button