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Dubai: Cost of doing business set to be reduced further

Dubai - It is the latest in a string of boosters the government has introduced to support the economy.

Dubai on Wednesday announced another major imitative to foster entrepreneurship in the emirate, slashing the amount of government procedures to start business by almost a third.

Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Dubai Executive Council, issued new directives to reduce these procedures by 30 per cent, aimed at accelerating the pace of the emirate’s recovery, which has consistently outperformed expectations despite the pandemic.

The move is part of the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, to boost Dubai’s status as a premiere global investment hub.

It is also the latest in a string of boosters the government has introduced to support the economy in the past several months to cope with the effects of the global coronavirus pandemic, which included several stimulus packages, flexible concessions for companies and several other easing of business procedures.

“We have made significant progress in strengthening Dubai’s economic recovery. Normal life has resumed, and the increased stability of businesses will help raise the sustainability of Dubai’s economy,” Sheikh Hamdan said at a meeting he chaired in the presence of Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai.

“We are determined to further support businesses and deepen the confidence of investors as part of ensuring a win-win partnership.”

Dubai’s stimulus efforts totalled Dh7.1 billion over five packages. In February, it was reported that the UAE, as a whole, provided a total of Dh395 billion in financial support. These measures ensured that the pandemic’s impact won’t transform into long-term challenges.

Several companies also did their part by introducing their own Covid-related initiatives to support their business and employees which, going hand-in-hand with government efforts, strengthened the backbone of the overall economy.

Dubai’s economy has weathered the fallout of the global Covid-19 pandemic very well, with several economic indicators showing strength. On Wednesday, IHS Markit’s Purchasing Manager’s Index revealed that the city’s non-oil sector continued its momentum in May.

Sheikh Hamdan also emphasised the importance of the strong bond between the public and private sectors, saying that flexibility and efficiency are key to attracting businesses which, in turn, will enhance the investment environment.

“The streamlined procedures followed by the Dubai Government have further reinforced its position as a leader in ease of business as well as an entrepreneurial hub and an incubator for promising business ventures,” he added.

“We will continue to work on unlocking new opportunities for businesses and investors to help them grow. Promoting partnerships with the private sector is a key strategic objective for Dubai,” Sheikh Hamdan said.

alvin@khaleejtimes.com