Two financial centers that appear to have important business connections are Miami and Dubai, and this news service spoke to the head of a Chamber of Commerce with feet in both places.

There are certain links between financial centers that are more “obvious” than others, and one that might at first glance appear unusual is the connection between Miami, in the fast-growing wealth management market of Florida, and Dubai in the Middle East. Both have boasted rapid growth stories. Other examples of collaborative chambers are the British-Swiss Chamber of Commerce and the American Chamber of Commerce in Singapore. These are the kind of links that wealth managers, mindful of the cross-border interests of many HNW clients, pay close attention to.

This news service recently spoke to Yolanda Perez, who is co-founder and co-chair of the Miami Chamber of Commerce Dubai. The organization, which was established in August 2024, had its debut launch in Dubai at the Capital Club last December, with a follow-on launch event in Miami in January. 

Q: Why was the chamber set up and what was the reasoning behind it?
Perez: Our chamber is dedicated to fostering strong business connections, promoting economic growth, and facilitating cross-cultural exchanges between two global hubs and gateways. We are a bi-regional business organization working to build mutually beneficial trade and investment relationships between both regions. We are also an NGO and a Florida non-profit organization (501(c)(6)).

Q: Can you illustrate the kind of interaction that goes on involving banks, insurers, wealth managers and other financial players in both cities/jurisdictions?
Perez: While Miami is a gateway to both North American and Latin American capital, Dubai is a hub for wealth from the Middle East, Africa, and South Asia. 

Miami represents a financial ecosystem that holds a large concentration of international banks, with booming domestic and international finance, real estate and fintech sectors. The lucrative real estate market and hundreds of fintech startups that develop new technologies, are supported, and enhanced by traditional and non-traditional banks, insurance providers and local and international buyers, which has served as a wealth diversification strategy for many individuals from jurisdictions that have seen geopolitical risk(s). 

Dubai on the other hand, serves as a key hub for MEASA markets, due to its tax friendly environment, robust regulatory framework and serving as an attractive location for UHNW individuals who are looking for a high level of privacy. Dubai's financial players interact with powerful regional sovereign wealth funds such as the Abu Dhabi Investment Authority or Dubai Holdings. They manage investments and secure financing for major projects from around the world. 

Q: Please illustrate the kind of two-way interactions of people that go on between Miami and Dubai, and what trends you see in this regard?
Perez: Miami Chamber of Commerce Dubai facilitates structured professional interactions, trade missions, co-branded networking events, and business delegations. As two regional global hubs, the interactions involve multiple channels of collaboration, investment, and professional exchange. Some of these channels include banking and capital flows, insurance, and reinsurance opportunities (global risk coverage, captive insurance, and health and life insurance), real estate investments, wealth and asset management (family offices, alternative investments, fund administration and distribution needing licensing from FINRA/SEC and DIFC). 

There are also more Emirati companies investing in Miami's key sectors, such as transportation, tech, and real estate. The upward trend in trade volume between South Florida and the UAE is likely to continue, driven by established export categories like electronics and machinery. 

Q: Overall, is the financial interaction between Miami and Dubai increasing, and what sort of forecast might you make?
Perez: Financial interaction between Miami and Dubai is increasing significantly which has been driven by high trade volumes and major investments that have surged in recent years. Both cities have the mutual goals to become global business gateways and attract international capital, by forming a strong and developing economic relationship as a sister city (signed in 2022) to help achieve this. 

Trade between the UAE and South Florida surpassed $1 billion in 2023. This is part of a broader acceleration in trade between the US and the UAE, which hit a record $34 billion in 2024. In 2021, Emirates Airlines launched direct passenger service between the two cities, which has increased business and tourism opportunities. The route was later extended to Bogotá, further linking Emirati investors to the Latin American market through Miami.

Q: In getting closer links between the two, what are the main challenges you have had to overcome and still need to tackle? What has, in your opinion, worked well and what lessons have been learned? 
Perez:
-- Both cultures are defined by specific cultural norms and nuances that differ from each other’s value systems and can thus affect business and social interactions;

-- Both cities are under unique legal and financial systems, which can be challenging for those coming from distinct jurisdictions to integrate and promote successful ventures of their own;

-- Both cities have a high cost of living, that can make it difficult for businesses to hire within the jurisdiction(s) so they must deal with expensive school fees, real estate costs, visa, and barriers to market entry. 

-- The business opportunities in both markets differ and the MCCD as a platform can help these groups best transition into each distinct market. It is therefore essential to create strategic partnerships to successfully navigate the distinct business landscape.

Q: Miami/Dubai are homes to significant populations of people with international wealth and cross-border business and private wealth holdings. While different in certain ways they have a lot in common. Can you give examples?
Perez: Both cities attract HNW and UHNW individuals because they are geographical business gateways for both global and regional markets that foster wealth preservation and long-term investment. They are also safe investment environments and provides strategic access to various parts of the world. They have an entrepreneurial and business ecosystem; Dubai has robust regulatory frameworks that includes the Dubai International Financial Centre, serving to attract fintech, wealth management, family offices and multinational firms. Miami also has a strong infrastructure and, aside from having strong regulatory and legal frameworks being in the US, it also serves as a Latin American business hub; and [they are] attracting international wealth through tax advantages and residency policies: (Miami has no state income tax, while Dubai offers no personal income tax, capital gains tax and golden visa programs fostering wealth migration).

They also have a diverse multicultural environment and heavy global expatriate populations. (Both have diverse communities – Dubai has approximately 88 per cent expats and more than 200 nationalities and Miami includes a large number of Latin American and European expatriates. In the last few decades, Miami has gained intellectual capital from communities fleeing political instability from around the world). Both cities offer luxury lifestyles (dining, shopping, high end real estate) and top tier healthcare.

Q: An issue presented by the US, in contrast with Dubai and the UAE, is the tax system. The US has a worldwide tax code, while the UAE has low, residency-based taxation. How do those who shuttle between the two cities manage this and similar differences? 
Perez: The US and UAE do not have a tax treaty and parties should carefully pursue tax, structuring, and financial planning to avoid double taxation. While there is a lack of a comprehensive tax treaty, US citizens do experience worldwide taxation, and must declare income regardless of where it was earned or where they live in the world. As a result, they have specific reporting requirements (FBAR and FATCA) and should also seek to use specific IRS provisions to minimize or eliminate their US tax liability on income earned in Dubai where possible, for example, through the Foreign Earned Income Exclusion (FEIE) or the Foreign Tax Credit (FTC) Provision(s). 

While the UAE has a low, residency-based taxation and territorial tax system, recent changes include the introduction of a 9 per cent corporate tax on business profits exceeding AED375,000 for mainland companies. It is best to consult with a local tax professional for any future plans that involve expanding or starting a business in a new jurisdiction to avoid any negative impact.

Q: There’s been quite a lot of media focus on the rise of Miami/Florida in recent years, partly for domestic US reasons. At the same time, Dubai’s profile has risen significantly. What lessons can both learn from each other (such as the need to keep on top of areas such as infrastructure, being careful about inflated real estate prices, etc)?
Perez: As both cities are expanding, there is a need to address climate risk and environmental adaptation to have urban resilience, as Miami is greatly exposed to sea-level rises, storm surges, groundwater intrusion and saltwater contamination, which includes possible large-scale civil engineering interventions.

Miami can learn from Dubai’s integrated, forward looking planning that anticipates extreme weather impacts in core urban layouts. As Dubai is experiencing extreme heat and water scarcity, it has mitigated the impact through technology through cooling solutions, desalination, and green building regulations. Dubai could learn from Miami’s resilience-driven adaptive infrastructure, integrated real-time climate monitoring and flood management for coastal expansion.

Secondly, both cities have experienced real estate booms and population surges, which have driven economic expansion. For developers that use short-term investment horizons in relation to real estate projects, this contributes to market volatility and speculative development. Dubai also emphasizes image building through iconic architecture, global events, and luxury services, which can be a beneficial strategy as Miami continues to expand into a larger metropolis.
 
Q: Looking forward for the next five years, what opportunities does the Chamber see? 
Perez: In the next five years, the Chamber sees deeply promising opportunities for expansion and growth shaped across multiple sectors:

-- Trends between Latin America and the Middle East as both markets look to expand to new jurisdictions. The gateways serve as a means to channel investments from both sides of the continent; 
-- In Dubai, AI and data science is in high demand, it will continue to serve as a global hub for digital assets – blockchain and cryptocurrencies, urban development will be more technologically advanced and ecofriendly, free zones and emerging economic zones will continue to expand. Tourism will cater to high end international travelers with a focus on experiential and medical tourism, and corporate travel; and 
-- In Miami, the city will continue to pursue a crypto-friendly regulatory environment, attracting startups, Web3 ventures while fostering tech incubators and venture capital incentives. There will be a continued expansion in the AI space, for applications in finance, health, logistics, and urban planning. Growth will continue to be rapid for both residential and commercial real estate, particularly focused on the luxury condo, office hubs and mixed-use developments. Tourism will continue to expand to luxury, eco-tourism, events and conventions, and medical tourism, as well as international trade and logistics, to facilitate cross-border trade.