UAE ranks among world’s most prosperous economies in Legatum Prosperity Index 2026

Dubai: The UAE has strengthened its position among the world’s most competitive and prosperous economies, according to the Legatum Prosperity Index 2026, which highlighted the country’s strong performance across a range of economic and development indicators. The results reflect the success of government policies aimed at building a more diversified and resilient economy, enhancing the business and investment environment, and improving quality of life. The index highlighted the continued strength of the UAE’s development model, which is based on economic openness, infrastructure development, investment in human capital and improvements in essential services. These factors support the country’s efforts to enhance competitiveness and consolidate its position among the world’s most prosperous economies. According to the report, the UAE’s prosperity is underpinned by strong performances in economic development, economic freedom, health and education, reflecting its ability to combine economic growth with quality of life while providing a supportive environment for business and investment. Economic freedom The UAE ranked ninth globally in economic freedom, placing it among the world’s top 10 economies in this category. The country scored 77.33 points and ranked first in the Arab world, ahead of Oman and Qatar. The ranking reflects the strength of the UAE’s economic and legislative environment, its attractiveness to investment, ease of doing business, and the broad scope of private sector activity. The report also highlighted the country’s openness to trade and investment, the development of its regulatory frameworks, and infrastructure that supports the movement of capital, goods and services. The UAE’s leading position in the Arab world is particularly significant as regional economies compete to attract foreign investment, talent and global companies, with regulatory flexibility and ease of doing business becoming increasingly important factors. Living standards The UAE ranked 11th globally for living standards, reflecting its ability to translate economic performance into high levels of quality of life, services and infrastructure. The ranking indicates that the UAE’s appeal extends beyond economic growth and investment opportunities to the quality of life offered to residents, investors, entrepreneurs and businesses. Development The UAE ranked 13th globally in development, an indicator that measures a country’s ability to provide the economic, social and service foundations needed to support long-term prosperity. The result reflects progress in building a diversified economy, developing essential services, investing in value-added sectors and continuing to improve education, healthcare and infrastructure. The report indicated that the UAE’s development model increasingly focuses on the quality and sustainability of growth, as well as enhancing productivity and competitiveness. Education gains In education, the UAE ranked 14th globally and recorded one of the most notable improvements over the past decade. The report showed that the country advanced 41 places between 2015 and 2025 in the education pillar, reflecting investments and policies aimed at developing human capital and improving the quality of education. The report noted that investment in education remains a key factor in boosting productivity and supporting the transition towards knowledge-based, technology-driven and innovation-led sectors. Progress in health The UAE climbed eight places to rank 21st globally in health, making it one of the countries that recorded significant improvement in this category. The health pillar measures outcomes including life expectancy and child mortality. According to the report, the UAE’s progress reflects continued investment in healthcare infrastructure and medical services, contributing to improved quality of life and supporting the country’s attractiveness to talent, investment and business. Integrated competitiveness model The Legatum Prosperity Index 2026 indicates that the UAE’s success is based on an integrated model that combines economic freedom, development, education, health and living standards. The index covers 161 countries and is based on more than 615,000 data points and 130 indicators across three main areas: development, freedom and society. The results underline the UAE’s continued progress in building a competitive and sustainable economy while enhancing prosperity and quality of life.