Abu Dhabi and Dubai topped the ranking of the best cities in the world for entrepreneurs for 2026, according to the Startup and Small and Medium-Sized Enterprises Suitability Index published by "Hoxton Mix". This reflects a clear redrawing of the global entrepreneurial economic map and a rapid shift in business startup destinations, with the rise of the Middle East as a new competitive center. The index is based on a set of factors including taxes, digital infrastructure, cost of living, business creation activity, and wealth concentration. This ranking reflects significant progress for Gulf cities, which now combine economic efficiency, advanced digital infrastructure, and investment-attracting policies. Abu Dhabi solidifies its lead with a mix of factors, primarily high-performance digital infrastructure, as it recorded the highest internet connection speeds, along with a low and attractive tax system that includes the absence of personal income tax, low corporate tax rates, and limited capital gains tax. The results show that the flexibility of the post-pandemic economy, especially the spread of remote work and virtual offices, has redefined the criteria for choosing locations, making the overall quality of life and business environment critical factors in investment decisions. Gulf dominance at the top Abu Dhabi led the global ranking with 85.45 points out of 100, followed by Dubai with 81.6 points, and then Doha with 76.05 points. These cities benefit from low living costs, competitive tax systems, and advanced digital infrastructure, which gives startups more room for growth and profit reinvestment. In contrast, traditional Western European cities like London and Paris are falling in the rankings due to high operational and living costs, despite retaining their historical weight as global financial centers. This has been reflected in the accelerated growth of startups and foreign investment inflows, supported by high quality of life and significant population growth. The US, a traditional force Despite the rise of the Middle East, the United States remains a major player in the entrepreneurship ecosystem, with 18 cities among the top 30 globally. Cities like Atlanta, Miami, and Denver stand out in the top ten, benefiting from high income levels and high business creation activity. Atlanta leads American cities in the global ranking, driven by a high concentration of wealth and intense economic activity. Miami shows strong dynamism in attracting investment, despite pressures from the cost of living. Additionally, increasing investments in advanced technologies, led by artificial intelligence, play a pivotal role in cementing its appeal. Dubai, for its part, continues to solidify its position through its ambitious D33 economic strategy, which aims to double its economy's size by 2033. However, the biggest challenge these cities face is a relative weakness in the quality and speed of their communications compared to their counterparts in the Middle East. In turn, major traditional centers like San Francisco and New York suffer from high costs, reducing their appeal compared to other American cities that offer a better balance between cost and opportunity. Eastern Europe advances On the European side, the index reveals a notable shift towards the east, with cities like Bucharest, Budapest, Warsaw, and Krakow emerging as preferred destinations for entrepreneurs.
