6 days ago
UAE emerges as top global safe-haven for wealth in new tax index
The UAE has emerged as the world's most attractive destination for wealth preservation, with Abu Dhabi and Dubai topping the newly released Tax Friendly Cities Index 2025 by global mobility platform Multipolitan.
The report underscores the UAE's status as a global hub for high-net-worth individuals (HNWIs) seeking stability, fiscal efficiency, and long-term wealth protection amid growing global tax pressures.
Multipolitan's 'Wealth Report 2025: The Taxed Generation' ranks 164 cities based on their statutory taxation frameworks, legal governance, and treaty networks. Abu Dhabi takes the top spot, followed closely by Dubai in second place, outperforming traditional financial centres such as Singapore (3rd), Zurich (6th), and Hong Kong (7th). The UAE's achievement underscores its role as a magnet for global capital and talent in an era when rising taxes, geopolitical uncertainty, and shifting regulatory landscapes are redefining global wealth strategies.
Abu Dhabi leads due to its zero per cent income tax regime, relatively low property transfer fees, strong legal infrastructure, and consistent policy environment. Dubai's second-place ranking reflects its unparalleled international connectivity, broad treaty coverage, and a regulatory ecosystem that supports transparent wealth management and investor confidence.
Speaking on the findings, Nirbhay Handa, CEO of Multipolitan, said, 'Wealth isn't just being built anymore — it's being defended. Geography has become the ultimate strategy. The UAE is at the forefront of this shift, offering not just low tax rates but something even more important — predictability, legal clarity, and institutional trust.'
The Index arrives at a time when high-tax jurisdictions in Europe and North America are tightening regulations on wealth, inheritance, and capital flows. In contrast, cities like Abu Dhabi and Dubai offer a rare combination of low-tax environments, asset security, and regulatory foresight — a mix that increasingly appeals to globally mobile families and corporate leaders.
The report also highlights the broader strength of the Gulf region in shaping the future of wealth mobility. Five additional GCC cities made the top 20 — Manama (4th), Doha (5th), Kuwait City (8th), Riyadh (12th), and Muscat (17th) — driven by tax incentives, economic diversification strategies, and growing financial sector sophistication. With seven of the top 20 tax-friendly cities located in the GCC, the region's reputation as a rising force in wealth preservation is now firmly established.
In addition to taxation metrics, Multipolitan's report introduces two complementary indexes that provide a multidimensional lens on global resilience. In the Wealth Preservation Cities Index (2015–2025), Zug, Hong Kong, and Basel ranked highest for safeguarding purchasing power during a volatile decade. Abu Dhabi and Dubai placed 22nd and 24th, respectively, indicating growing maturity and increasing investor confidence in long-term capital security. Meanwhile, in the Smart & Sustainable Cities Index 2025, Wellington, Copenhagen, and Singapore topped the rankings. Abu Dhabi and Dubai, ranked 23rd and 25th, are quickly climbing the ladder as they invest in climate resilience and digital infrastructure — cornerstones of future wealth sustainability.
According to Knight Frank's 2024 Wealth Report, Dubai recorded the highest global influx of ultra-rich individuals, with over 4,500 new HNWIs relocating to the city in the past year alone. This was driven by its appealing visa regimes, lifestyle offerings, and safe-haven status during geopolitical upheavals. Abu Dhabi, with its long-term investor residency schemes and rapidly expanding private banking sector, is also gaining traction among institutional wealth managers and multi-family offices.
The Multipolitan report includes expert commentary from former leaders at EY, Deloitte, and BDO, as well as international tax lawyers and family office strategists. Collectively, these perspectives paint a picture of a new global order in wealth planning — one where jurisdictional agility, smart structures, and proactive compliance are becoming essential. Topics addressed range from how American expatriates are restructuring their holdings, to how AI is transforming global tax strategy, to Portugal and Malta's rising appeal as complementary wealth hubs.
What sets Abu Dhabi and Dubai apart, experts note, is their ability to combine traditional financial stability with innovation and long-term governance vision. With no personal income tax, capital gains tax, inheritance tax, or wealth tax, the UAE continues to attract wealth creators seeking to shield their legacies from policy volatility. Moreover, the country's rapidly growing network of double tax treaties — now exceeding 140 — ensures international compliance and ease of asset mobility.
As governments worldwide increase scrutiny on offshore structures and adopt transparency standards like the OECD's Common Reporting Standard (CRS), the UAE's strategy of aligning competitive taxation with robust regulatory practices has earned global credibility.
