Even now, the number of new firms in the DIFC is increasing

Despite the relative gloom about financial services job prospects in the Middle East, it’s reassuring to note that new companies continue to start new operations in the DIFC.

As the chart below (from a recent presentation on statistics related to the financial centre), the astronomical growth in Dubai from 2004-07 slowed considerably when the global financial crisis hit in 2008, but the number of registered companies has continued to grow – even this year.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

So, what types of firms are based in the DIFC? As the chart below, the largest proportion fall under ‘category 4’, which covers everything from financial product advisory work, custody, fund administration and insurance. Then there’s the ‘category 3’ companies encompassing private equity and fund management firms.

Interestingly, however – despite the importance of Islamic finance in the Middle East – just 0.4% of companies in the DIFC are Shari’a compliant institutions, suggesting that Islamic finance is more integral in other Gulf financial centres.