On October 21, a significant event took place in Beijing: the release of the “New BRICS Investment Environment Assessment Report” in conjunction with a media research and exchange conference celebrating the 30th anniversary of Dagong International. This report, produced in collaboration with Tsinghua University’s Belt and Road Strategy Research Institute, marks the first investment environment assessment for the new BRICS member countries following the expansion.
Lü Bo-le, the Secretary of the Party Committee and Chairman of Dagong International, emphasized the organization’s commitment to enhancing its core rating functions over the past five years. He highlighted the dedication to supporting key areas such as new productivity, modern industrial systems, and strategic emerging industries. He mentioned the goal of guiding market resources toward sectors vital for achieving high-quality economic and social development. Additionally, Lü spoke about Dagong’s initiatives to promote green development, establishing Dagong Low Carbon to support sustainable practices, and launching Dagong Hong Kong to cater to offshore bond markets, ultimately aiming to align business expansion with national strategic initiatives.
During the conference, Dagong International’s President Ying Haifeng presented the investment environment assessment report for the new BRICS nations, which includes Saudi Arabia, Egypt, the UAE, and Ethiopia.
According to Dagong International, Saudi Arabia’s investment environment is rated positively, with political stability and the ongoing implementation of its Vision 2030 plan aimed at diversifying the economy. The country’s competitive position in the global energy market, rapid development in domestic infrastructure, and extensive international collaboration provide robust support for its economic transformation. Additionally, Saudi Arabia leads in areas such as research investment and talent training, particularly in water desalination and petrochemical technology. The ease of doing business in Saudi Arabia is notably high, especially in protecting small investors, securing electricity access, property registration, obtaining construction permits, and starting new enterprises.
Egypt also presents a favorable overall investment environment. With a largely stable political situation and strong cooperation with China, the two nations are set to benefit from the Belt and Road Initiative. Demographic trends favor a youthful population and increasing urbanization rates, coupled with a leading education system within Africa and the Arab world. The country possesses rich mineral resources and a relatively complete industrial system, showing signs of economic recovery driven by domestic demand. Reforms in business setup, electricity access, investor protection, and tax policies have improved the business environment, alongside an abundance of skilled labor at competitive costs.
Ethiopia’s investment climate is categorized as moderate. The ruling party maintains a stable position while implementing reforms aimed at attracting foreign investment and enhancing the local economy. Ethiopia, as the second most populous country in Africa with a youthful demographic, has seen substantial industrial growth and poverty reduction over the past two decades. Its geographical diversity offers strong potential for agricultural and pastoral development. Although the nation’s infrastructure is somewhat outdated, improvements in transport infrastructure are progressing rapidly. Recently, China and Ethiopia upgraded their bilateral relationship to an all-weather strategic partnership, further enhancing economic cooperation prospects.
The UAE boasts an excellent investment environment, highlighted by its comprehensive strategic partnership with China. The country sees low crime rates, a youthful population, a well-educated workforce, and sufficient labor supply. With rich oil reserves and a higher level of economic diversification than most Middle Eastern countries, the UAE leverages its strategic location, transforming Dubai into a global shipping and trade hub. Infrastructure for land transportation is also well-developed, and the availability of electricity and advanced communication technologies further facilitate business operations. The investment legal framework is robust, and foreign exchange controls are relatively lenient, placing the UAE at the forefront of business convenience in the region, particularly in areas such as electricity access, construction permits, and contract enforcement.
The “National Investment Environment Assessment” framework examines both foundational and efficiency aspects, alongside bilateral relations, dominant industries, research environments, and instances of negative events.
This report follows previous investment environment assessments released by Dagong International and Tsinghua University concerning member nations such as South Africa and Russia. Dagong International aims to address information asymmetries in international economic cooperation and investment through these assessments, helping stakeholders identify investment opportunities, mitigate risks, and optimize resource allocation. Furthermore, these evaluations will assist investing countries in recognizing and understanding their strengths and weaknesses within the global landscape, ultimately enhancing cooperation effectiveness and success rates, promoting mutually beneficial outcomes, and contributing to the implementation of national strategies like the Belt and Road Initiative and dual circulation.
