Joined Up Thinking – Consolidation of arbitration proceedings in the Middle East

1 min 18 sec November 18, 2025 (Edited)

International Commercial Arbitration in the Middle East: A Growing Preference for Cross-Border Dispute Resolution

International commercial arbitration continues to gain momentum in the Middle East as a preferred means of resolving disputes, expanding well beyond its traditional association with the construction sector. This shift is driven by the region’s increasingly diverse and international investor base, rapidly evolving economies, the emergence of new industry sectors, and the presence of well-established arbitral institutions.

Another key factor underpinning this growth is the adoption of both civil law and common law frameworks across key jurisdictions, such as the DIFC and ADGM. These developments collectively enhance the Middle East’s reputation as an attractive destination for investment and for agreeing to arbitrate commercial disputes.

Notably, many Middle Eastern states have adopted the UNCITRAL Model Law either in whole or in part, signalling a regional commitment to ensuring neutral, efficient, and enforceable dispute resolution mechanisms. This provides a robust alternative to the traditional three-tier civil judicial systems that remain common in many jurisdictions across the region.

International commercial arbitration offers several widely valued advantages: party autonomy, confidentiality, procedural flexibility, and the ability to appoint arbitrators with specialised expertise. These features carry substantial weight for investors and commercial entities seeking effective and predictable outcomes.

Moreover, investor confidence is further reinforced by the widespread accession of Middle Eastern states to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards. Alongside various bilateral treaties, this ensures that arbitral awards issued in the region are broadly enforceable internationally — a crucial cornerstone of modern cross-border commerce.