The UAE is leading Middle East spending on space investments, according to a new report.
The Middle East and Africa (MEA) space market is valued at $18bn, according to a new report from Boston Consulting Group (BCG) titled “Governments in Space: A universe of opportunities.”
The study highlights how the UAE, Saudi Arabia, and Qatar form the core of the region’s civil space investments, driving the GCC’s emergence as a hub for space innovation.
UAE leads space investments
The UAE is the standout player, committing $443m in civil space investment for 2024, equal to around 40–45 per cent of total government spending across the MEA region.
The UAE is also positioned to capture more than 50 per cent of the region’s downstream services market, which includes satellite communications and Earth observation—sectors that account for about 70 per cent of the global space industry.
Saudi Arabia is also scaling up its ambitions, investing around $220m in 2024, giving it an estimated 20–25 per cent share of MEA government space spending and over 20 per cent of regional downstream services.
Qatar, with a comparable $220m investment, currently holds about 5 per cent of the market and just under 5 per cent of downstream services.
Faisal Hamady, Managing Director and Partner at BCG, said: “The UAE’s commanding position in the Middle East space market reflects a decade-plus commitment to strategic space investments that balance public sector vision with private sector innovation.
“With downstream services accounting for 70 per cent of the global market and the UAE’s proportional investment advantage, we’re seeing a clear example of how sustained government backing in civil space activities translates to market leadership.”
BCG projects that all three markets will grow at or above the global space economy’s 5 per cent compound annual growth rate through 2033, underlining the region’s long-term commitment.
The report also highlights the ROI potential of flagship UAE programs such as MBZ-SAT, the Hope Probe, and Arab 813—estimated to deliver returns of 3–4x. Saudi Arabia’s partnerships with NASA and Axiom, alongside private sector participation from Neo Space Group, and Qatar’s Es’hailSat satellite communications venture, demonstrate the growing role of public-private partnerships.
Thibault Werle, Managing Director and Partner at BCG, said: “What we’re witnessing across the GCC is a comprehensive understanding that space industry success requires simultaneous excellence across multiple dimensions, financial commitment, partnership strategy, risk management, and policy integration, while maintaining patience for long-term returns in a rapidly evolving global landscape.”
Looking ahead, the report identifies digital-space integration as critical, noting how satellite broadband, LEO constellations, and Earth observation data will support next-generation connectivity, smart cities, and autonomous vehicles.
With its sustained, multi-billion-dollar commitments, the GCC is positioned to become a leading force in the global space economy—an industry projected to be worth hundreds of billions of dollars worldwide.
