Family businesses remain a cornerstone of both economies and a key driver of future partnerships

As part of an economic delegation from the Emirate of Abu Dhabi led by the Abu Dhabi Chamber of Commerce and Industry, to the Federal Republic of Germany, the Abu Dhabi Family Business Council explored opportunities to enhance economic and trade relations with a focus on the role of family businesses as the backbone of the UAE and German economies.

The delegation reviewed cooperation frameworks to strengthen the sustainability of family enterprises, drive innovation, and expand long-term partnerships that support economic growth and sustainable development.

Strategic Meetings

During the visit, the Abu Dhabi Family Business Council held high-level discussions with the German Foundation for Family Businesses (Stiftung Familienunternehmen), established in 2002 and recognised as a leading authority in representing large family businesses across Germany and Europe. The foundation maintains the FamData database, covering over 1,200 family enterprises.

The Council also met with the Federation of German Small and Medium-Sized Enterprises (BVMW), the largest association of its kind, representing over 900,000 companies. Known as the “voice of medium-sized businesses,” the BVMW collaborates with more than 30 specialised industry associations and operates 85 offices worldwide to support trade and international opportunities for German SMEs. It advocates SME interests, supports innovation, digital transformation, and business development, and ensures SMEs remain competitive in both domestic and global markets.

The meetings highlighted the essential role SMEs play in promoting innovation, sustainability, and economic resilience.  The Council stressed the importance of innovation and sustainability as key drivers for the future of family businesses, noting that partnerships with German institutions will help advance governance frameworks and strengthen international and regional cooperation to increase competitiveness.

Both parties agreed to strengthen channels of communication and coordination between Abu Dhabi and German companies, facilitating knowledge exchange and creating fresh pathways for long-term partnerships capable of addressing global economic challenges.

The Abu Dhabi Family Business Council expressed appreciation for the German institutions for constructive discussions, which lay the goundwork for broader cooperation between the two countries. Partnerships aim to support sustainable economic growth through knowledge exchange on governance, digital transformation, and innovation. They also help ensure smooth generational succession, strategic planning, and management continuity.

The visit provides a strategic opportunity to consolidate family businesses as key drivers of growth and employment while opening new horizons for joint investments in sectors including technology, renewable energy, and manufacturing.

Impact and Statistics

Statistics highlight the central role of family businesses in both economies.

In the UAE, family businesses account for 90% of private companies, contribute nearly 60% of GDP, and provide 80% of private-sector employment.

In Germany, around 2.9 million family-owned businesses, accounting for 90% of all businesses in the country. They generate around 55% of total annual turnover and account for 57% of the workforce.

Germany is considered a global leader in the sector, hosting 96 of the world’s 750 largest family businesses, including three among the world’s top 10. Collectively, these contribute revenues exceeding AED 4.77 trillion (US$ 1.3 trillion) and provide about 3.9 million jobs.

Building Partnerships

H.E. Khaled Al Fahim, Chairman of the Abu Dhabi Family Business Council, said:

"Economic relations between the UAE and Germany are rooted in strong partnership and mutual understanding. Family businesses on both sides serve as vital bridges for advancing bilateral cooperation, innovation, and sustainability. The German experience in developing family business strategies is an inspiring model. Through this visit, we aim to identify new mechanisms for long-term partnerships that strengthen Abu Dhabi family businesses and prepare them to meet global challenges."He added that the shared foundation of family-business-driven economies will broaden the scope of collaboration and foster resilient economic models capable of addressing global challenges.

These efforts align with the Abu Dhabi Chamber of Commerce and Industry’s 2025-2028 roadmap, which aims to build strong international partnerships while enabling family businesses to remain central to competitiveness and sustainable development. The roadmap supports the creation of broader opportunities for cooperation, driving mutual benefits, and strengthening the resilience of both the Emirati and German economies in the face of global challenges.