Small business, big win: UAE ranks first for SME support

Dubai: The UAE ranks first globally for how well its financial system supports the growth and success of small and medium-sized enterprises (SMEs). The 2026 Global Financial Inclusion Index scores the country 96.4 on that measure.

Principal Financial Group and the Centre for Economics and Business Research (Cebr) released the findings on November 10. Overall, the UAE rose one place to 21st among the 42 markets tracked.

The index scores each market on three criterias: government support, financial system support and employer support. It draws on public data and surveys. It uses data that gauges access to transactions, payments, savings, credit and insurance to base its ratings.

The UAE’s government score rose 1.4 points this year, although its rank held at 19th. Last year, improvements in the financial system lifted the country’s position. The financial system pillar still advanced two places to 22nd.

SMEs are where the UAE stands out the most. Its score of 96.4 for financial system support to SME growth and success is the highest in the index. The UAE also ranks fourth globally for how well its financial system enables business confidence. Both measures improved over the past year. Ironically, global perceptions of the financial system’s role in business confidence and SME growth declined over the same period.

Charles Brooke, senior managing director and head of Middle East, Central Asia and Africa at Principal Asset Management, links the ranking to the wider ecosystem. “The UAE’s number one global ranking for the financial system as an enabler of SME growth and success points to the strength of the financial ecosystem supporting businesses in the country,” he said.

The UAE sits in the global top five for overall perceptions of financial inclusion. It ranks fifth for how supportive its population finds the financial system. Consumer perceptions of financial inclusion fell to their lowest point on record worldwide, so the UAE’s standing runs against that trend.

The UAE ranks seventh for employer support, with a score of 68.5. The global average is 65.7. Employers rank fourth for financial guidance and support, fifth for pay initiatives and ninth for insurance plans.The UAE slipped one place in this pillar. Employer support fell worldwide for a second consecutive year, dropping 2.9 points. Some 83 per cent of markets recorded a decline.

Overall global financial inclusion reached a record 52 out of 100 in 2026. Digitalisation is helping more people be included into the system. The financial system support score rose 4.4 points to 55.3. However, the study does flag a widening gap between measured inclusion and public perception. Rising expectations and cost-of-living pressures contributed to it.