The Julius Baer Wealth and Lifestyle Report 2026 has confirmed that Dubai continues to consolidate its position as a global wealth hub, driven by competitive living costs compared with other international financial centres, the availability of a luxury lifestyle, and an attractive business environment.
The report noted that fluctuations in global currency exchange rates have contributed to strengthening the emirate's competitive advantage, cementing its role as a centre linking East and West and attracting investors and high-net-worth individuals from around the world.
The report by the Swiss wealth management group, a copy of which was obtained by Al Bayan, shed light on the impact of geopolitical tensions, shifting global trade flows, and foreign exchange market volatility.
This comes at a time when the global economy is undergoing rapid and interconnected transformations. Despite financial markets having demonstrated considerable resilience, these macroeconomic variables continue to reshape the cost of living for wealthy individuals around the world.
At the global level, the cost of luxury lifestyles rose by an average of 10.2% in US dollar terms over the past year. The report shows that this increase was driven not so much by domestic inflation as by sharp fluctuations in currency exchange rates.
Cities tied to currencies that appreciated in value, such as the euro and the Swiss franc, recorded significant increases in luxury goods prices. In contrast, cities linked to the US dollar offered a more attractive cost of living for wealthy expatriates and families moving between countries.
Amid these global shifts, Dubai continues to entrench its position as a resilient regional hub that combines luxury lifestyles, entrepreneurship, and future-focused innovation. While prices surged sharply in major European and Asian cities, the continued peg of the UAE dirham to the US dollar has reinforced Dubai's standing on the global stage.
Dubai ranked 14th in this year's index. Although its position changed compared with last year, this is primarily attributable to rising living costs in other cities covered by the index, rather than to any increase in Dubai's own living costs.
Dubai's cost-of-living competitiveness stems not from low domestic prices, but from the sharp rise in living costs in other global wealth attraction centres.
For Dubai residents, this means their day-to-day purchasing power has remained largely insulated from global volatility. For wealthy individuals worldwide, Dubai continues to reinforce its standing as a stable global hub linking East and West, benefiting from an attractive business environment and sophisticated regulatory frameworks.
Lifestyle data presented in the report shows that Dubai stands out as a competitive market for spending on high-value goods and services. When compared with other cities included in the index, the emirate offers clear advantages when purchasing many high-value items.
The costs of luxury cars, jewellery, and business-class travel are among the most competitive globally, further enhancing Dubai's appeal to high-spending individuals.
The luxury real estate sector in Dubai emerges as one of its most prominent attractions. Luxury property prices in the emirate continue to offer competitive value compared with record-high property prices in leading Asian and European cities, which continues to draw high-net-worth individuals to Dubai.
Despite this price advantage, Dubai maintains its status as a luxury destination, owing to the premium experiences it offers, including five-star hotel hospitality and Michelin-rated restaurants.
At the regional level, the Middle East stands out as one of the most dynamic markets for wealth creation. Rising asset values have generated significant financial gains for one third of high-net-worth individuals in the region — more than double the rate recorded by their counterparts in Europe.
These gains have been reflected in spending and investment momentum, with 43% of wealthy individuals in the Middle East increasing their spending on investments and contemporary lifestyles, surpassing by a clear margin the rates recorded in the Americas and Europe.
Demographics also play an important role: 98% of survey participants reported living in large family households, which reinforces interest in wealth preservation and intergenerational wealth transfer.
Over the past year, 6 in 10 high-net-worth individuals took steps in the area of wealth transition planning. To support the management of this process, the Middle East led the world in the adoption of institutional wealth management practices, with 65% of high-net-worth individuals relying on family offices, while 73% have established formal family governance frameworks.
Rishabh Saksena, Co-Head of the Global Asset Class Experts team at Julius Baer, said: