Dh6.3B stimulus fortifies Dubai resilience

The initiatives included freezing the 2.5 per cent market fee to all establishments operating in the emirate for three months; a 20 per cent refund of the five per cent customs tariff paid for imported goods sold locally, and eliminating the requirement of bank documents when submitting customs complaints, among others.

“The second package was launched towards the end of March, with five initiatives worth Dh3.3 billion. Of its most prominent initiatives was a six-month rent deferment and refund of deposits and guarantees. This was followed by a third package that comprised 18 initiatives worth Dh1.5 billion, most prominently the cancellation of all late payment penalties, 50 per cent of refund of hotel sales and tourism fees, and extension of previously announced incentives,” said Al Saadi.

He also highlighted the incentives offered by various Dubai government departments, including Dubai Economy, Dubai SME, and Dubai Municipality.

Dubai Economy offered a series of incentives for businesses, including waiver of fines on late payment of fees and the facility to renew licences without an Ejari contract. Dubai Economy also offered 12-month instalment facility on renewal fees without any upfront payment required. Similar facilities were also announced for new trade licences.

Dubai SME, the agency of Dubai Economy mandated to develop the small and medium enterprise (SME) sector, also came out with stimulus steps by offering its members financing facility on invoices and capital guarantee on financing, in addition to increased access to government procurement opportunities under a Government Procurement Programme (GPP).

Al Saadi said some on the stimulus measures were blanket incentives applicable to every business, such as the 10 per cent discount on Dewa bills, while others were targeted at specific sectors and activities as in the case of the customs fees waiver for logistics companies.

“Dubai is monitoring the economic situation closely and following up on the most important developments, engaging with the private sector in formulating protocols and offering solutions and ideas that would enable all sectors to adapt to the new normal,” he said.

Dubai Economy launched a business impact survey at the beginning of the pandemic and engaged hundreds of companies, business councils, and groups to identify the challenges they face and propose innovative solutions that would support business continuity. The survey is progressing through various stages, with its results being rapidly drawn.

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Month instalment facility on renewal fees without any upfront payment