Comment

UAE’s deal market and what lies ahead

As we enter a new quarter, deal activity is expected to remain strong, especially in sectors that support national priorities.

The UAE’s deal landscape in the first quarter of 2025 has shown strong momentum, underpinned by the country’s economic resilience and investor confidence. Despite a complex global backdrop, including inflationary pressures and geopolitical uncertainties, the UAE continues to position itself as a preferred hub for strategic investments, cross-border partnerships, and innovative financing structures.

The start of the year saw a flurry of activity across sectors such as energy, infrastructure, and technology, driven by both sovereign investment arms and private capital. Notably, the country remains at the forefront of facilitating high-impact deals that align with its long-term diversification and digital transformation goals. These trends are encouraging signs for market players seeking value in a dynamic and forward-leaning economy. Investor appetite is also being bolstered by government-led initiatives aimed at regulatory modernisation and increased transparency, which have enhanced market confidence and deal certainty. The rapid advancement of digital platforms and fintech ecosystems is also improving deal execution speed and access to capital. In addition, new policies promoting sustainability and environmental, social, and governance compliance are beginning to shape investment criteria across sectors, pushing companies to adapt and innovate.

Michael Kortbawi, senior partner and co-founder at BSA Law. Courtesy photo.

From a legal advisory perspective, BSA Law has been proud to play a pivotal role in this evolving deal environment. Most recently, the firm successfully concluded a significant financing transaction in the first quarter, marking a major financial restructuring that was achieved outside of court. This reflects a growing preference for efficient, private resolutions, and the strength of the UAE’s maturing legal frameworks. It also demonstrates the ability of experienced legal teams to craft bespoke, commercially sound solutions in complex scenarios.

Looking ahead to the second quarter and the rest of the year, the outlook remains cautiously optimistic. Deal flow is expected to remain healthy, especially in sectors aligned with national priorities, such as renewables, logistics, fintech, and healthcare, among others. However, agility will be key. Market players should be prepared to navigate shifting regulatory landscapes and macroeconomic shifts while continuing to seek value through strategic consolidation and innovative structuring.

As the UAE solidifies its reputation as a regional and global financial hub, legal advisors will remain central to unlocking opportunities and mitigating risks. The first quarter has set the tone, and if current momentum holds, 2025 may very well shape up to be a landmark year for deal-making in the Emirates.

Michael Kortbawi is senior partner and co-founder at BSA Law, a regional law firm headquartered in Dubai, UAE. This article was first published in the April 2025 print issue of Law Middle East.