Arab News | Riyadh surges in global financial centers ranking as Dubai holds top 10 spot

RIYADH: Saudi Arabia’s capital climbed 15 places in the latest Global Financial Centres Index, marking one of the sharpest advances globally, while Dubai remained among the world’s top 10 as the Gulf strengthened its presence in international finance.

Riyadh rose to 46th globally, with its rating increasing 25 points to 713 from 688, placing it fourth in the Middle East and Africa, behind Dubai, Abu Dhabi and Casablanca.

Dubai ranked ninth globally, as its rating increased eight points to 750, despite slipping two places from the previous edition.

Published twice a year by Z/Yen Partners in collaboration with the China Development Institute, the Global Financial Centres Index assesses the competitiveness of financial centers worldwide across areas including business environment, human capital, infrastructure, financial-sector development and reputation.

The latest edition found that average ratings across centers rose 0.8 percent, with 58 centers improving their ratings, nine remaining unchanged and 49 declining.

Hamza Dweik, head of trading for the Middle East and North Africa at Saxo Bank, told Arab News that Riyadh’s rise should not be viewed as coming at the expense of other Gulf financial centers.

“The region is becoming more complementary than competitive,” Dweik said, adding: “Dubai continues to serve as a highly international and globally connected financial gateway, while Riyadh is emerging as a powerhouse driven by the scale of the Saudi economy and the investment opportunities created by Vision 2030.”

Riyadh surge

Riyadh’s 15-place jump comes amid a broader expansion of Saudi Arabia’s financial system under Vision 2030, including widening access to its capital market. 

From Feb. 1, all categories of foreign investors were allowed to invest directly in the Main Market, eliminating the Qualified Foreign Investor framework. 

International corporate presence has also expanded. More than 750 companies have joined Saudi Arabia’s Regional Headquarters Program, surpassing its target of 500 companies by 2030, according to the Ministry of Investment.

BNP Paribas became one of the latest global financial institutions to receive registration for a regional headquarters in the Kingdom in August.

“As large-scale public and private investment programs continue to progress, Riyadh is increasingly being viewed not only as the financial center of Saudi Arabia, but as a growing regional financial hub in its own right,” Dweik said.

Abdalla Elsayed, economic researcher at City St George’s, University of London, told Arab News the opportunity extends beyond attracting international firms seeking access to Saudi clients.

“It is to develop more of the capabilities those clients require locally: portfolio management, credit analysis, underwriting, risk management and specialist advisory services,” he said.

“An international firm opening an office is one milestone. Building a team that makes investment decisions from Riyadh is a more consequential one,” Elsayed added.

Riyadh’s progress is also visible in financial technology, with the city climbing from 44th to 27th in the GFCI’s fintech ranking.

That comes as digital finance expands across the Kingdom. Electronic payments accounted for 85 percent of retail payments in 2025, up from 79 percent in 2024, while electronic transactions rose to 14.6 billion from 12.6 billion, according to the Saudi Central Bank.

Dubai strength

Dubai ranked sixth for reputation, ninth for infrastructure and 10th for human capital, while placing 11th for both business environment and financial-sector development.

Its sector rankings also point to particular strengths in financial technology and professional services, ranking first globally in the index’s fintech category and second for professional services.

Vijay Valecha, chief investment officer at Century Financial, told Arab News that the emirate’s performance reflects the breadth and depth of its financial ecosystem, anchored by the Dubai International Financial Centre.

He also noted that decisions by hedge funds and family offices to establish or relocate operations in Dubai reflected longer-term commitments rather than short-term changes in sentiment.

“These are multi-year decisions, not one-off sentiment, so the underlying flows that lifted the score are likely to keep compounding,” he said.

DIFC had 10,018 active registered companies at the end of the first half of 2026, up 30 percent over the previous 12 months.

Regulated financial services firms rose 16 percent to 1,134, while AI, fintech and innovation companies increased 39 percent to 1,933.

Gulf roles

The index also points to different roles for the two centers. Its profiles classify Dubai as a “Global Leader” and Riyadh as a “Global Specialist,” categories based on connectivity, breadth and depth.

Elsayed noted that those differences do not mean their development has to be mutually exclusive.

“The two cities can develop overlapping capabilities while also serving different parts of the same financial relationship,” he said.

Dweik similarly highlighted that the two centers are helping elevate the Gulf’s profile within the global financial system and attract greater international attention to the region.

Next phase

The index’s forward-looking survey suggests both cities remain firmly on the radar of the international financial community.

Dubai received 156 mentions, the highest globally, when respondents were asked which centers they expected to become more significant over the next two to three years. Riyadh received 55 mentions, placing it sixth, while five of the top 15 centers were in the Middle East and Africa.

Elsayed highlighted that the longer-term test is what the rankings translate into on the ground.

“The economic prize is not the ranking itself,” he said. “It is more investment decisions made locally, more specialist expertise developed locally, and a greater capacity to connect businesses with the finance they need.”

The GFCI combines 144 quantitative factors with 39,531 assessments from 6,147 respondents, measuring the competitiveness of financial centers rather than their market size or capital flows.