DUBAI - Dubai's international financial centre DIFC said on Thursday that the number of ‍new company registrations at ‍the hub rose by nearly 40% to 1,525 last ​year, driven by an influx of firms such as hedge funds.

As Gulf countries ⁠diversify their economies away from oil, investing billions in sectors like financial services, hubs ⁠like DIFC have ‌been attracting an increasing number of companies.

The total number of actively registered firms at the centre stood at around 8,840 ⁠as of the end of December last year, up 28% from 2024, according to a presentation.

They include 557 wealth and asset management firms, which in recent years have been setting up base or ⁠expanding their footprint in Dubai and ​neighbouring Abu Dhabi as the UAE attracts high-net-worth individuals, lured by factors such as the relative ease ‍of doing business and tax-free status.

"We had a slight uptick in the UK, ​and that probably has been a reflection of the growth in hedge funds that have been brought from that country," DIFC Governor Essa Kazim told media, speaking of the geographical breakdown of firms at the centre.

The DIFC is set for an around $27 billion expansion to be delivered by 2040, authorities announced last week, as the hub reached full capacity and seeks to welcome new firms.

Asked about funding for the project, Kazim said that the DIFC achieved ⁠a net profit of around $400 million last ‌year and "that is really the future cash flow" that will contribute to the expansion, together with internal resources as well as a potential return ‌to capital ⁠markets.

"Definitely the market is open. In the past we issued sukuk and that's ⁠one possibility."

(Reporting by Federico Maccioni, Editing by William Maclean)