Which cities were recognized as the most promising for investments in 2021/22?

Investment rating of cities

The investment resource FDI Intelligence has presented its exclusive ranking of the most attractive cities in the world for business and economic growth in 2021/22. The list takes into account parameters such as economic potential, profitability levels, quality of the workforce, living conditions, as well as the activity of the business sector and strategies for attracting foreign investment.

Singapore: First on the list

The first position on this list is taken by Singapore. This dynamically developing city-state has been demonstrating impressive growth rates since the mid-20th century and continues to attract investors. Singapore focuses on advanced technologies and startups.

• Investments in scientific research:Over 210 million dollars of foreign direct investment has been invested in R&D projects over the past five years.
• Overall economic growth:It opens up new horizons for local authorities to improve the digital economy and sustainable development, which has become especially relevant in the context of the global COVID-19 pandemic.
• The impact of the events of 2020:The economic situation in the city was significantly affected, especially in the real estate sector, where investment fell by more than 56%.

Nevertheless, considering that the decline is related to the international situation, experts believe that as restrictions are lifted and air travel is restored, Singapore's economy should return to a growth path.

London: Second place

The second line is occupied by London. Despite the United Kingdom's separation from the European Union, the capital of the country continues to maintain its leading position in attracting foreign investments; since 2015, $2.6 billion has been invested in London.

• High level of workforce qualification:The presence of leading educational institutions have been major factors in this success.
• Negative consequences of the pandemic:They can exert significant pressure on the city's economy.
• Real estate market:For a long time, it remained on the rise, supported by government backing; however, the potential withdrawal of this support poses risks for the market.

At the same time, experts expect increasing interest in investment visas for foreign citizens.

Conclusions

Thus, by analyzing current trends, one can confidently assert that Singapore and London remain the main centers for attracting investments and future economic growth. These cities offer numerous opportunities for business, and their positive aspects continue to attract entrepreneurs from around the world.

Strategic transformation of Dubai

The strategic development of Dubai, aimed at transforming the urban space, is already beginning to yield tangible results and is making this emirate one of the most desirable destinations for foreign investors. Since the authorities of the United Arab Emirates presented their ambitious plans for the future of Dubai as part of the Dubai Plan 2021 initiative in 2014, the goal has been set to significantly improve the city's infrastructure.

This, in turn, should contribute to economic progress and an increase in the overall well-being of the population. As a result, efforts to transform the urban environment have made Dubai even more attractive to both local residents and the business community. Today, it can be confidently stated that the set goals have been achieved, as evidenced by various ranking assessments.

Favorable business environment

Favorable tax conditions and a supportive business environment have made Dubai almost akin to Singapore on the global stage. However, like any dynamic market, it faces its challenges. The increasing activity of construction companies has led to an oversupply, which could negatively impact property values.

Nevertheless, such a situation may be interesting for risk-oriented investors. The real estate market in Dubai:

• It is characterized by high volatility.
• Subject to price fluctuations;
• With the right approach, you can effectively capitalize on opportunities that arise in volatile environments.

Amsterdam: the transport hub of Europe

Now let's take a look at Amsterdam, which took the fourth position on our list.

Conclusion

In conclusion, in recent years we have witnessed significant changes in the global investment market and the dynamics of global cities. The ranking presented by the investment portal fdi intelligence highlights that cities like Singapore, London, Dubai, Amsterdam, and Dublin continue to attract enormous capital due to their economic appeal, high human capital, and active investment attraction strategies.

Singapore

Singapore, as the undisputed leader in this ranking, has not only maintained its position but also demonstrates that its innovative approaches, including significant investments in scientific research and the development of the digital economy, are becoming a model to follow. It is important to note that even despite the impact of the pandemic, which led to a decrease in real estate investments, the city is ready for a rapid recovery.

London

London, despite the challenges associated with leaving the EU, continues to be an important center for investment due to its unique human capital and world-class universities. The prospects for growth in interest in investment visas promise to maintain its attractiveness in the future.

Dubai

Dubai, on the other hand, is successfully implementing strategic plans to improve the urban environment, making it attractive not only for business but also for living. Although an oversupply in the real estate market may pose a risk, experienced investors can find opportunities in it.

Amsterdam and Dublin

Amsterdam and Dublin, ranked fourth and fifth respectively, have also demonstrated their ability to adapt to changes in the market. Amsterdam in turn has benefited from Brexit, while Dublin has become an important hub for companies leaving London, making its economy more resilient.

Conclusions

Thus, the cities included in this ranking not only demonstrate current trends in investments but also highlight the importance of a strategic approach to development and adaptation to new economic conditions. The future of these megacities will largely depend on their ability to continue implementing innovations and maintaining a high level of business activity, which in turn will contribute to the growth of international appeal and the investment climate.

As a society, we must closely monitor the trends in these cities, as they can serve as indicators of changes in the global economy.