DIFC Hits Record Mid-Year Growth with 7,700 Firms in H1 2025
The Dubai International Financial Centre (DIFC) reported its strongest ever half-year performance in the first six months of 2025, registering 1,081 new companies, a 32% increase over the same period last year. This growth brings the total number of active firms operating in DIFC to 7,700, marking a 25% year-on-year increase, according to official statements released this week.
The DIFC’s robust growth trajectory not only underscores its role as a premier financial centre in the Middle East, Africa, and South Asia (MEASA) region but also aligns closely with the Dubai Economic Agenda D33, which seeks to position the city among the top four global financial centres by 2033.
Financial Services Sector Expands Significantly
The financial services sector within DIFC witnessed notable growth. The Dubai Financial Services Authority (DFSA) issued 78 financial service licences during the first half of 2025, compared to 61 in H1 2024, reflecting a 28% increase. The total number of DFSA-regulated entities has now reached 980, up 17% from last year.
Key subsectors such as banking and capital markets saw the number of firms rise from 247 to 289 a 17% jump. The wealth and asset management cluster grew by 19%, with 440 firms now active compared to 370 in H1 2024. The number of hedge funds operating within DIFC grew significantly from 50 to over 85 firms, a 72% increase. DIFC now facilitates the management or marketing of more than 10,000 funds, including 69 billion-dollar hedge funds.
The insurance and reinsurance sector also showed improvement. DIFC is now home to 135 insurance-related firms, up from 125, while gross written premiums rose to USD 3.5 billion, up from USD 2.6 billion last year.
FinTech and Innovation Ecosystem Flourishes
The Centre’s appeal to technology-driven firms continues to grow, with the FinTech and innovation segment now comprising 1,388 active firms, up from 1,081 in the first half of 2024 a 28% increase. Flagship industry events like the Dubai AI & Web3 Festival and the Dubai FinTech Summit, both held earlier this year, have helped to attract global interest and reinforce DIFC’s reputation as a regional technology and innovation hub.
Growth in Family Offices and Foundations
Another area witnessing remarkable growth is family wealth and foundation services. The number of family business-related entities within DIFC rose by 73%, from 600 to 1,035, while the number of registered foundations climbed by 54%, reaching 842 by mid-2025.
Workforce and Infrastructure Growth
The workforce within DIFC now stands at 47,901 professionals, a 9% increase from 43,787 in the same period last year. To support its expanding business community, DIFC is currently developing over 1.6 million square feet of new commercial office space, with fast-tracked delivery scheduled for Q1 2026.
The recent launch of DIFC Heights, a premium residential development, was met with exceptional investor interest, with all units sold out within three days of its announcement.
Global Firms Establish Regional Headquarters
The first half of 2025 saw the entry of a broad spectrum of international financial institutions into DIFC, including Baron Capital, Bridge Investment Group, Manulife, National Bank of Kuwait, PIMCO, China International Capital Corporation, Silver Point Capital, and TransAmerica Life Bermuda.
The surge in hedge fund activity was led by prominent firms such as Millennium, Point72, BlueCrest Capital, and Naya Capital, reinforcing DIFC’s growing appeal as a hedge fund hub for global asset managers.
Statement from Leadership
His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai and President of DIFC, praised the results, stating that “the performance reflects Dubai’s ability to attract global business and talent in a competitive international environment.”
Essa Kazim, Governor of DIFC, added, “The results validate DIFC’s position as the most advanced financial centre in the region. Our regulatory environment and infrastructure continue to attract the world’s leading institutions.”
Arif Amiri, CEO of DIFC Authority, said the results had exceeded expectations “across every performance indicator.” He attributed the growth to DIFC’s long-term strategic positioning and investor confidence in Dubai’s economy.
Global Rankings and Strategic Outlook
Dubai continues to climb global financial rankings. According to the Global Financial Centres Index (GFCI), Dubai is among only eight cities globally with a “broad and deep” financial market infrastructure, placing it alongside New York, London, and Singapore. DIFC ranks fifth in FinTech, sixth in professional services, and eighth in investment management globally.
With Dubai expected to attract nearly 10,000 new high-net-worth individuals in 2025 more than any other city DIFC’s strategic role as a financial and innovation gateway for the region is increasingly clear.
Outlook and Challenges
While DIFC’s expansion has been largely positive, analysts note a few challenges. These include rising real estate and operational costs, and the pressure on infrastructure and resources amid the rapid influx of firms and professionals. Additionally, some firms report ongoing talent acquisition and visa processing delays, despite DIFC’s otherwise supportive regulatory framework.
Nonetheless, DIFC remains on track to deliver record full-year results for 2025, with all major indicators pointing toward sustained double-digit growth across sectors.
