Maktoum launches initiative to boost family businesses
Under the directives of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, to develop a comprehensive business strategy to support the growth of family-owned businesses in the UAE within the framework of the economic goals of the Year of the Fitieth initiative, Sheikh Maktoum Bin Mohammed Bin Rashid Al Maktoum, Deputy Ruler of Dubai, and Deputy Prime Minister and Minister of Finance of the UAE, on Monday launched ‘Thabat,’ a programme aimed at boosting the growth, sustainability and continuity of family-owned businesses.
Sheikh Maktoum Bin Mohammed said: “Family businesses represent one of the key pillars of the UAE’S economic vision and strategy, and are among the highest priorities on the country’s development agenda. Family businesses constitute a key engine of growth and are a vital element of our plans to promote development driven by knowledge, innovation and creativity.”
“The ‘Thabat’ programme seeks to support and enable family businesses to diversify into new business sectors, in line with the UAE’S vision
‘Thabat’ programme aims to transform 200 family business projects into major companies by 2030 with a market value exceeding Dhs150b and annual revenues of Dhs18b; it is open to all family businesses based in the UAE
for the next fity years,” Sheikh Maktoum added. Sheikh Maktoum’s remarks came during a ceremony held to launch the ‘Thabat’ programme organised by the Ministry of Economy at the Museum of the Future.
The event was atended by Abdulla bin Touq Al Marri, Minister of Economy; Abdulaziz Al Ghurair, Chairman of Dubai Chambers and Chairman of Family Business Council - Gulf; Omar Sultan Al Olama, Minister of State for Artificial Intelligence, Digital Economy and Remote Work Applications, and a number of dignitaries, senior business leaders, investors and owners of family businesses in the UAE.
The ‘Thabat’ programme aims to transform 200 family business projects into major companies by 2030 with a market value exceeding Dhs150 billion and annual revenues of Dhs18 billion.
‘Thabat’, which also seeks to promote smooth succession planning among family businesses, is supported by Investopia, Abu Dhabi-based technology ecosystem Hub71, Dubai Chambers, Family Business Council - Gulf, CSR UAE, Dubai Internet City’s in5 incubator and Bridgemaker.
The programme is open to all family businesses based in the UAE. The first cohort of companies joining the programme include Al Yousuf Group, Al Serkal Group, Al Zarooni Emirates Investments, Gracia Group and Lootah Holding. The Ministry said another set of companies will join the programme over the next two weeks.
Family businesses accounted for 90% of private companies operating in the UAE in 2021, covering various key sectors including real estate and construction (22%), retail (19%), hospitality, tourism and travel (14%), industry and manufacturing (10%), technology and electronics (8%), and shipping and logistics (7%).
Abdulla Bin Touq Al Marri, Minister of Economy, said the UAE is commited to introduce initiatives that promote growth and innovation, as part of its strategic drive to enhance the sustainability of its economy, and make the nation a hub for entrepreneurship and creativity. He stressed that family businesses, which include some of the biggest conglomerates in the country, play an important role in the UAE economy.
The first initiative of its kind aimed at building the capabilities of family businesses, ‘Thabat’ will assist companies in transforming their entrepreneurial ideas into viable business projects with the support of advanced technologies. The programme will also help them enter sectors outside their traditional fields, and encourage them to embrace advanced knowledge-driven industries such as artificial intelligence (AI), biotechnology, agricultural technology, space sciences and renewable energy.
Bin Touq further said the programme seeks to reinforce the UAE’S status as a leading destination for family businesses. The Ministry of Economy is working on creating an integrated system that brings together family businesses, startups, business accelerators and investors, he added.
Abdulaziz Al Ghurair, Chairman of Dubai Chambers and Chairman of Family Business Council — Gulf, said the ‘Thabat’ programme promotes a sustainable and strategic partnership between the public and private sectors as part of the leadership’s efforts to enhance the business environment and create new value for the national economy.