The global economic landscape is undergoing a profound transformation, with new financial and industrial centers emerging outside the traditional powerhouses of Europe and North America.
Cities in Asia, the Middle East, Africa and Latin America are increasingly asserting their influence, driven by rapid urbanization, technological advancements, favorable government policies and strategic geographic positioning. These rising hubs are reshaping global trade, finance, and industrial production, contributing significantly to the world’s economic growth.
The Asia-Pacific region has emerged as a dominant force in global finance and industry, with cities like Hong Kong, Singapore, Shanghai, Shenzhen and New Delhi leading the charge. According to the Global Financial Centres Index (GFCI 37), published in March 2025, Asia-Pacific boasts six financial centers in the global top 20, with Hong Kong ranking third, Singapore fourth, Shanghai eighth, and Shenzhen ninth. These cities are not only financial hubs but also industrial powerhouses, leveraging innovation, infrastructure and connectivity to drive economic growth.
Hong Kong and Singapore remain Asia’s preeminent financial centers, benefiting from robust regulatory frameworks, strategic locations, and deep integration into global markets. Hong Kong, which overtook Singapore for third place in GFCI 36, excels in cross-border financial activities, particularly in mergers and acquisitions (M&As), serving as a gateway to mainland China.
Singapore, with its Central Business District and the Singapore Stock Exchange, is a hub for international banks and venture capital, particularly for Southeast Asia. Its Marina Bay area symbolizes rapid economic development, supported by modern infrastructure and low-tax policies.
Shanghai and Shenzhen are pivotal in China’s rise as a global innovator in advanced industries. Shanghai, home to the Shanghai Stock Exchange, is a key player in global finance, ranking eighth in GFCI 37. Shenzhen, in collaboration with the China Development Institute, contributes to the GFCI’s research and is a leader in technology and manufacturing.
China’s focus on innovation has propelled Shenzhen into a hub for electronics, telecommunications, and artificial intelligence (AI). According to a 2024 report by the Information Technology and Innovation Foundation (ITIF), China is rapidly advancing in industries like 5G, renewable energy, and electric vehicles (EVs), with Shenzhen at the forefront.
India is carving out a significant role as a financial and industrial center, with New Delhi rising six places in GFCI 37. India’s appeal stems from its large pool of STEM talent, pro-business policies, and growing global capability centers (GCCs). A McKinsey report from April 2025 notes that over 1,500 GCCs operate in India, with projections for 250 more by 2030.
New Delhi and other cities like Bangalore and Hyderabad are hubs for IT, business process management, and engineering R&D. India’s electronics exports, valued at $10 billion to the U.S. alone, are expected to reach $80 billion by 2030, driven by initiatives like the National Manufacturing Mission.
Cities like Hangzhou, Kuala Lumpur, Ho Chi Minh City and Manila have also climbed significantly in global rankings. Kuala Lumpur, for instance, improved by over 10 places in GFCI 36, driven by investments in digital infrastructure and financial services.
Ho Chi Minh City has capitalized on its proximity to major ports, attracting manufacturing as companies diversify supply chains away from China. These cities benefit from young, tech-savvy populations and increasing disposable incomes, fostering industrial and consumer market growth.
The Middle East is rapidly transforming into a region of dynamic financial and industrial centers, with Dubai, Abu Dhabi, Riyadh and Doha leading the way. The GFCI 37 ranks Dubai 12th and Abu Dhabi as a top regional center, both benefiting from investments in green finance, digital technology, and infrastructure.
Dubai’s rise as a financial hub is underpinned by its strategic location, robust infrastructure, and investor-friendly policies. The city has become a leader in specialized financial services, including Islamic finance and trade finance. Abu Dhabi complements Dubai with its focus on wealth management and energy-related investments. Both cities are investing heavily in renewable energy and smart city initiatives, aligning with global sustainability trends.
Riyadh and Doha have made significant strides, with Riyadh jumping 27 places in GFCI 36 due to its focus on specialized financial services and Saudi Arabia’s Vision 2030 initiative. The kingdom’s $10 billion investment in data centers underscores its ambition to become a digital and industrial hub. Doha, reversing previous declines, rose over 20 places in GFCI 36, positioning itself as an emerging international contender with investments in infrastructure and financial services.
Africa is witnessing the rise of cities like Addis Ababa and Tangier as key commercial and industrial hubs. According to the World Economic Forum’s 2025 report, these cities are leveraging their strategic locations and infrastructure investments to attract foreign direct investment (FDI).
Addis Ababa is emerging as a transit hub for Africa, with flights to over 90 international cities and a strong air-cargo sector. Its role as a gateway for trade and manufacturing is bolstered by investments in connectivity and logistics, critical for attracting FDI in a region where intra-African flight capacity remains limited.
Tangier, with a population of 1.4 million, has become a leading export hub, particularly for the automotive industry. Its proximity to Europe and Africa’s largest container port make it an attractive destination for American, European, and Chinese multinationals. Investments in renewable energy further enhance Tangier’s appeal as a sustainable industrial center.
Latin America is experiencing a resurgence in financial sector confidence, with cities like Bogota, Sao Paulo, and Mexico City gaining prominence. GFCI 36 notes that Latin America and the Caribbean was the only region with increased financial sector confidence, averaging a 0.65% rise.
Bogota, ranked 37th as a commercial hub, leads Latin America’s air cargo industry and is a growing tourist destination. Its strategic position between North and South America makes it a vital link for trade and manufacturing, supported by investments in infrastructure and hospitality.
São Paulo remains a top financial center in the region, ranking second after Bermuda in GFCI 36. Its robust financial markets and industrial base, particularly in automotive and technology sectors, position it as a key player in Latin America’s economic growth.
Several factors are propelling the rise of these financial and industrial centers:
Technological Advancements: Investments in 5G, AI, and renewable energy are driving industrial growth. For instance, the global 5G security market is projected to reach $25.9 billion by 2030, with cities like Shenzhen and Dubai at the forefront.
Government Policies: Pro-business reforms, such as India’s National Manufacturing Mission and Saudi Arabia’s Vision 2030, are creating favorable environments for investment.
Infrastructure Development: Investments in ports, airports, and digital infrastructure, as seen in Tangier and Ho Chi Minh City, enhance connectivity and trade.
Demographic Advantages: Young, skilled populations in Asia, Africa, and Latin America provide a robust workforce for industrial and financial sectors.
Sustainability Focus: Cities like Dubai and Abu Dhabi are prioritizing green finance and renewable energy, aligning with global sustainability goals.
Despite their progress, these emerging centers face challenges:
Trade Tensions: Rising global trade barriers, as noted in the World Bank’s 2025 Global Economic Prospects, could dampen growth, particularly for commodity exporters.
Policy Uncertainty: Geopolitical tensions and regulatory changes pose risks to investment stability.
Infrastructure Gaps: Many cities, especially in Africa, require further investment in intra-regional connectivity to maximize their potential.
Climate and Conflict Risks: Extreme weather events and regional conflicts, particularly in the Middle East and Africa, could disrupt growth.
The rise of financial and industrial centers outside Europe and North America marks a significant shift in the global economic order. Cities like Hong Kong, Singapore, Shanghai, Shenzhen, Dubai, Abu Dhabi, Addis Ababa, Tangier and Bogota are leveraging their unique strengths – strategic locations, technological innovation, and supportive policies – to play decisive roles in global finance and industry.
While challenges remain, their contributions to global GDP, trade, and innovation are undeniable. As the world economy continues to evolve, these cities are poised to shape the future, driving inclusive and sustainable growth across their regions and beyond.