Direct investment is concentrated in the oil and gas sector
Direct investment links with the region are strongest with Israel, the United Arab Emirates and Saudi Arabia. A direct investment involves acquiring a significant stake in a foreign company, generally covering a longer timeframe. Parent-subsidiary corporate structures are an example of this. Multinationals use such structures to organise their international operations.
The Netherlands’ direct investment position in the Middle East stood at €157 billion at the end of 2025, while the region’s position in the Netherlands was €161 billion. This represents about 3% of the Netherlands’ total direct investment position.
The private sector accounts for nearly half of the investment between the Netherlands and the Middle East, mainly comprising investments in the oil and gas sector. The other half consists mainly of conduit companies, which have limited financial ties to the Dutch economy and have been established primarily for tax or legal reasons.
Limited Dutch portfolio investments in the Middle East
Dutch investors are active to only a limited extent in the Middle East. At year-end 2025, the total value of their portfolio investments in the region stood at €13 billion, representing less than 1% of the Netherlands’ total foreign investments. Almost all of these securities are held on the balance sheets of financial institutions, with over 70% in the hands of institutional investors.
This mainly involves shares and bonds, focused primarily on Türkiye, Israel and the United Arab Emirates.
More information
- This analysis examined financial ties with the United Arab Emirates, Bahrain, Egypt, Israel, Iraq, Iran, Jordan, Kuwait, Lebanon, Oman, the Palestinian Territories, Qatar, Saudi Arabia, Syria, Türkiye and Yemen.
- Table 12.1: Balance of payments
- Table 12.12: Net external assets