Two of the region’s largest Family Business Councils sign collaboration agreement

Two of the region’s largest Family Business Councils, ADFBC and FBCG, have signed a cooperation agreement with the aim to enhance their support to family businesses across the Gulf Cooperation Council.

The Abu Dhabi Family Business Council (ADFBC) and Family Business Council Gulf (FBCG) both serve the same goal: supporting the sustainability and long-term success of family businesses. The organizations are non-profit institutes, focusing on topics such as growth, innovation, governance development, leadership succession, and generational transition.

The core business of ADFBC and FBCG centres around education, research, community building – but the two institutions also have an advisory arm.

Signed by board members of both parties, the agreement sets out a joint work plan focused on developing specialised training programmes for next-generation leaders within family businesses, launching family governance initiatives, designing succession and continuity frameworks, and collaborating on the preparation of benchmarking studies and policy papers that contribute to a deeper understanding of the family business landscape.

The agreement further provides for the organisation of high-level events, roundtables, and dialogue groups that bring together family business leaders, policymakers, and international experts, while establishing knowledge-sharing channels that connect the local and regional family business communities.

Commenting on the collaboration, Khaled Al Fahim, Chairman of the ADFBC, said: This agreement marks a pivotal milestone in strengthening the role of family businesses as a strategic pillar of economic development. Investing in capability building, knowledge transfer and governance is the most effective guarantee for ensuring continuity across generations and supporting economic diversification in the Emirate of Abu Dhabi.”

Hind Bahwan, Chairman of FBCG, added: “The Gulf region is undergoing a promising phase of economic growth, with family businesses at the forefront of this transformation. I am confident that this partnership will open new, high-value opportunities for the future of family enterprises in the region and will contribute to creating lasting impact while reinforcing their role in shaping the next chapter of economic development.”

A powerhouse sector

The agreement comes at a time of growing recognition of the central economic role played by family businesses. Regional studies indicate that family businesses account for up to 90% of private sector companies in the Middle East, contribute around 60% of GDP, and generate nearly 80% of private sector employment, making them a cornerstone of national economies and a key engine of growth.

In the United Arab Emirates, family businesses contribute 60% of GDP, employ 80% of the workforce and represent approximately 90% of private sector companies. These enterprises operate across a broad range of vital sectors including the new economy, hospitality, retail, real estate and construction.

In Abu Dhabi specifically, family businesses account for 50% of companies in the construction sector, 60% in financial services, 80% in wholesale trade and 70% in transport.