Sectors set for new highs in 2026: Market outlook and performance trends

• Dubai closed 2025 with record trade, real estate, healthcare, and tourism growth, driving GDP up to 4.5%.
• Key sectors show double-digit growth, expanding investor bases and international market access.
• This article is the third in a series highlighting essential opportunities that entrepreneurs should be aware of in 2026.

Dubai enters 2026 in a strong position following a successful 2025, which saw record trade, active private-sector growth, and steady global investment. The outlook for 2026 builds convincingly on this momentum, with Emirates NBD forecasting GDP growth of 4.5%, well above global averages, supported by tourism expansion and infrastructure investment.

With this growth, investors and founders are focusing on the next big opportunities, making Dubai an attractive place to do business in several growing sectors. Below is a brief overview of the main sectors shaping the 2026 investment outlook and the opportunities they offer.

Must-watch markets while doing business in Dubai

1. Real estate and urban development

As highlighted in our previous article, Dubai’s real estate sector reached a historic milestone in 2025, recording AED917 billion in transactions across more than 270,000 deals. This performance indicates steady strides towards the Dubai Real Estate Sector Strategy 2033, which aims to raise transaction volumes by 70% to AED1 trillion. This development was strengthened by real estate investments exceeding AED680 billion, spread across 258,600 transactions, reflecting a 29% rise in value and an 18.7% increase in transaction volume YoY. The investor base surged by 23%, with 129,600 new investors, bringing the total to approximately 193,100 — of which 56.6% were local investors.

اعتمدنا قبل عدة سنوات استراتيجية دبي للقطاع العقاري .. وكان الهدف الوصول لتريليون درهم تصرفات عقارية بحلول 2033 …
واليوم تم رفع تقرير التصرفات العقارية عن العام 2025 .. والذي وصل 917 مليار درهم متفوقاً على توقعات فريق عملنا ..

نشكر ثقة العالم ..
ونقدر ثقة المستثمرين..
ونعد… pic.twitter.com/fBMRdzDI3w

— HH Sheikh Mohammed (@HHShkMohd) January 12, 2026

Growth has been supported by targeted initiatives, including the First-Time Buyer Programme, the expansion of real estate investment trusts (REITs), and property tokenisation, which has helped lower entry barriers and broaden market participation. Demand has also been underpinned by population growth, with Dubai’s population surpassing 4 million residents before the end of 2024, alongside rising inflows of high-net-worth individuals.

Commenting on the sector’s performance, H.H. Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, stated via his official X account that Dubai continues to develop all sectors in a manner that creates promising opportunities for those who place their trust in the national economy.

If you are an investor planning to start or scale a business in Dubai, real estate is a crucial area to consider. Truly, ongoing adoption of advanced technologies, including tokenised property ownership and REIT structures, reflects Dubai’s commitment to innovation while enhancing accessibility and market depth.

2. Trade, logistics, and exports

In 2025, Dubai Chamber of Commerce recorded AED356.5 billion in exports and re-exports, a 15.1% YoY climb. This follows the sector’s first breach of the AED300 billion threshold in 2024. Additionally, active membership climbed to 292,486 companies, with 71,830 new registrations. ATA Carnet issuance likewise rose, reaching 5,960 and valued at AED5.6 billion — a 30% increase in total value.

Export-led expansion is also translating into international market penetration. The chamber supported 130 local companies in expanding overseas, a 14% increase compared with 2024, while the establishment of new Business Councils covering Europe and Latin America is broadening access to high-growth and emerging markets.

The chamber helped 130 local companies expand internationally, a 14% increase from 2024. New Business Councils for Europe and Latin America are enhancing access to emerging markets. For investors evaluating market entry or expansion in Dubai, these indicators reveal a trade environment marked by growth, efficiency, and strong institutional support.

3. Tourism and hospitality 

Tourism in Dubai remains a major growth engine, with 15.7 million visitors recorded between January and October 2025, and further upside expected in 2026. Hotel performance has improved alongside this increase, with average occupancy rates rising to 79.4%, a 2.4% YoY increase. Additionally, the average daily rate for hotels has climbed by 6%, reaching AED531.

Demand is primarily stimulated by key source markets, including Western Europe, the GCC, and South Asia. This growth is supported by initiatives such as the Dubai Hotel Incentive Scheme, biometric check-in processes, and a growing global events calendar, all of which contribute to sustained capital inflows into the sector.

Based on a forecast by Leading Hoteliers Network, hotel occupancy in big commercial centres, including Dubai, Abu Dhabi, and Doha, will likely improve to a robust 75–82%. In the meantime, profitability and new hotel investment are anticipated to be supported by ADR expansion, albeit at a more sustainable rate.

For entrepreneurs wondering how to start a business in Dubai’s tourism and hospitality fields, these conditions offer a compelling foundation.

4. Human health and social services

The human health and social work activities sector was a standout performer in the economy last year, with a 26% increase in Q1 and 20% in H1. It contributed 1.5% to the GDP in Q1 (AED1.9 billion) and 1.4% in H1 (AED3.3 billion). This growth supported Dubai’s overall GDP rise of 4% in Q1 and 4.4% in H1.

The sector’s expansion is fuelled by digital transformation and AI adoption, enhancing diagnostics, precision medicine, and remote monitoring. The introduction of mandatory health insurance for private-sector employees has boosted demand for healthcare services. Additionally, there is a growing focus on wellness and preventive care, including mental health support and corporate wellness initiatives.

For founders and SMEs, the sector presents an attractive entry point. With rising demand for innovative, specialised services, local and foreign startup founders can achieve much faster market traction, diversify revenue streams, and build resilient, future-ready healthcare businesses in Dubai’s lucrative ecosystem.

5. Technology, AI, SaaS, and fintech

In the past year, Dubai supported and launched over 580 digital startups, a notable rise from 2024. About 21% of these focused on AI, while healthtech, SaaS, and fintech accounted for another 17%. This growth shows Dubai’s strong appeal to international entrepreneurs, who started around 70% of the new companies, and highlights its commitment to new tech sectors. Dubai Internet City and similar hubs generate about 65% of the tech sector’s GDP and employ more than 125,000 people.

Read more: 4 game-changing AI and tech projects fuelling Dubai’s digital economy in 2025

Remarkably, forecasts for 2026 indicate steady growth rather than a brief spike. This year, UAE digital technology spending (including IT, AI, telecoms, and emerging technologies) is expected to reach $20 billion nationally. According to Gartner, MENA IT spending is expected to reach about $169 billion at the regional level within the year as well, with Dubai standing as an important hub capturing a meaningful share of this activity.

While Dubai-specific GDP values for tech are not formally published, industry analysts consistently expect AI, fintech, SaaS, and healthtech to be among the fastest-growing contributors to non-oil growth through 2026. If you are thinking about how to start a business in Dubai, now is a great time. The process has become much easier.

Is 2026 the year to launch or scale in Dubai?

For startup founders and scaling SMEs, 2026 presents a favourable window to capitalise on Dubai’s lucrative and ever-evolving business environment. Strategic planning around doing business in Dubai — from choosing the right sector to setting up your finances — will help you succeed in this competitive but supportive market.

This article is the third instalment this month that explores the essential opportunities entrepreneurs should be aware of in 2026. It provides practical advice for anyone looking to grow, diversify, and succeed in one of the world’s most vibrant business centres.