Riyadh climbed 15 places in the Global Financial Centres Index this year, one of the sharpest single-edition gains recorded. The advance signals a shift in how international finance is distributed across the Gulf, with consequences for the businesses, workers and residents who depend on the services these hubs attract.
The index, published twice yearly by Z/Yen Partners in collaboration with the China Development Institute, measures competitiveness across business environment, human capital, infrastructure, financial-sector development and reputation. Riyadh reached 46th position globally, its rating rising 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, its rating up eight points to 750, though it slipped two places from the previous edition.
The broader picture shows uneven progress. Across all assessed centers, average ratings rose 0.8 percent. Fifty-eight centers improved, nine held steady and 49 declined. Riyadh’s jump is the kind of movement that draws capital decisions, corporate relocations and, eventually, jobs.
The two Gulf centers occupy distinct roles. Dubai carries the classification of “Global Leader,” recognized for its connectivity, breadth and depth. Riyadh is categorized as a “Global Specialist.” Hamza Dweik, head of trading for the Middle East and North Africa at Saxo Bank, told Arab News that the distinction need not mean rivalry. “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,” he said.
What changed in Riyadh is partly structural. From February 1, all categories of foreign investors gained the ability to invest directly in the Main Market, eliminating the Qualified Foreign Investor framework that previously restricted access. More than 750 companies have enrolled in Saudi Arabia’s Regional Headquarters Program, exceeding the government’s own target of 500 companies by 2030, according to the Ministry of Investment. BNP Paribas received registration for a regional headquarters in the Kingdom in August, among the latest global financial institutions to establish a presence there.
Meanwhile, Riyadh’s fintech standing jumped from 44th to 27th in the GFCI’s specialist ranking. That shift tracks with measurable changes in how Saudi residents transact. 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. For ordinary consumers, that means faster, more accessible financial services as the infrastructure matures.
Abdalla Elsayed, economic researcher at City St George’s, University of London, offered a grounding note. Attracting international firms is one milestone, he said, but “building a team that makes investment decisions from Riyadh is a more consequential one.” The real opportunity, in his view, lies in developing local capabilities: portfolio management, credit analysis, underwriting, risk management and specialist advisory services. Those are the functions that create durable employment and embed financial expertise in the local economy.
Dubai’s performance reflects a financial ecosystem built over decades, anchored by the Dubai International Financial Centre. The emirate ranked sixth for reputation, ninth for infrastructure and 10th for human capital. It placed first globally in the fintech category and second for professional services. The 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.
Vijay Valecha, chief investment officer at Century Financial, attributed part of Dubai’s score to hedge funds and family offices choosing to establish or relocate operations there. “These are multi-year decisions, not one-off sentiment, so the underlying flows that lifted the score are likely to keep compounding,” he said.
The forward expectations in the index reinforce both cities’ trajectories. When respondents were asked which centers they expected to become more significant over the next two to three years, Dubai received 156 mentions, the highest of any city globally. Riyadh received 55 mentions, placing sixth. Five of the top 15 centers expected to grow in significance were located in the Middle East and Africa.
Elsayed’s caution is worth carrying into that outlook. “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.” For the public in both cities, that is the measure that matters most: whether the capital flowing in translates into opportunity, services and economic resilience for the people who live and work there.