Dubai unveils new Dh1.5b stimulus

PACKAGE TO BENEFIT HOTELS, RESTAURANTS, SCHOOLS

Dubai yesterday announced a new package worth 1.5 billion dirhams to further boost the economy, bringing the total support given to businesses during the pandemic to Dh6.3 billion.

The latest stimulus includes cancelling certain fines imposed by the government and the customs department, tax reimbursements to hotels and restaurants, financial guarantee refunds to the construction sector and exonerating private schools from licensing renewal fees.

Hotel establishments and restaurants will receive a refund for half of the hotel sales value fee of 7 per cent from July to December 2020, in addition to a refund of half of the tourism dirham fee, until the end of December.

“We have approved the initiative to cancel fines and exempt private schools from the renewal fees of the commercial and educational licenses until the end of December,” Shaikh Hamdan Bin Mohammad Bin Rashid Al Maktoum, Dubai Crown Prince and Chairman of Dubai Executive Council, said as he announced the stimulus.

“We also directed expedited payment of financial dues to contractors, as well as the return of financial guarantees for construction sector activities related to commercial licenses, to be replaced by another system that guarantees all rights of the involved parties.

“We trust the flexibility and durability of our economy. We stand together with the private sector to cross this stage very quickly. We are keen to get businesses back to normalcy as soon as possible and reaffirm our commitment to supporting all economic sectors,” Shaikh Hamdan said.