Mays Ibrahim (ABU DHABI)
Swedish companies are confident about doing business in the UAE, with most reporting strong profitability, rising sales expectations and plans to expand their presence in the country, according to a new survey by Business Sweden.
The Business Climate Survey 2026, conducted in February among 33 Swedish companies active in the Emirates, found that 82% expect their industry turnover to increase over the coming 12 months.
That optimism is also translating into investment plans, with 55% of surveyed companies planning to increase their investments in the UAE – up from 50% in 2025.
The report found that 82% of respondents view the UAE's current business climate as good or very good, citing personal safety, infrastructure, distributors and service providers among the country's strongest advantages.
The survey highlighted the UAE's supportive business environment, with Swedish companies giving particularly high ratings to personal safety, infrastructure, digitalisation and access to distributors and service providers.
"The survey confirms that the UAE remains a stable, attractive and opportunity-rich market for Swedish companies," Business Sweden said in the report.
According to the report, profitability among Swedish companies in the UAE has remained consistently high, with 78% reporting profitable operations in both 2024 and 2025, compared to 61% in 2021.
Most respondents in the survey, published in June, were established industrial companies with a long-term presence in the UAE. Industrial firms accounted for 67% of participants, while professional services represented 26% and consumer-oriented companies 7%.
Swedish companies have maintained a presence in the UAE for more than six decades, with several major Swedish multinationals establishing operations in the country in the late 1960s and early 1970s.
Today, around 200 Swedish companies operate in the UAE through mainland entities and free-zone establishments, making it one of Sweden's most important commercial footholds in the Middle East.
The UAE is Sweden's largest export market in the Middle East and North Africa, with Swedish exports to the country reaching an estimated $1.83 billion in 2025.
Beyond direct trade, the report pointed out that the UAE serves as a regional hub for Swedish businesses, facilitating access to markets across the Gulf, Africa and wider Middle East, with a significant share of Sweden's exports to the region passing through the UAE.