Ajman Free Zone cuts fees, drops fines to help firms against Covid-19

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Published: Mon 3 Aug 2020, 2:30 PM

Last updated: Mon 3 Aug 2020, 10:42 PM

Ajman Free Zone (AFZ) on Monday announced eight new incentives for companies based in the free zone for the second-half of 2020 to support them in these challenging times.
The free zone announced significant fee discounts and waivers, eased the cost of doing business, no fines on bounced cheques and cheque replacements, removal of fines on non-renewal of licences, and a 100 per cent waiver on the e-channel guarantee fee.
In addition, new and existing companies in AFZ can take three-month flexible installment payment plans on their business centre lease, flexible installment plans for six months on their offices, executive offices or warehouses rent, as well discount rates on company registration, and a 25 per cent discount on labour accommodation during the second half of 2020.
The new incentives will ensure the business continuity of more than 9,000 free zone companies and will benefit both new and existing customers. The free zone is home to investors from more than 145 countries.
On July 27, AFZ launched a strategic project to build a number of warehouses that serve an array of targeted sectors such as health, food, and sustainable development. The Dh36 million green project with a total built-up area of 9,070 M2 will consist of 82 units and service blocks that can be used as showrooms, warehouses or industrial facilities.
In addition to AFZ, free zones in other emirates have also extended their incentives to support tenants against the impact of the coronavirus pandemic.
Sheikh Ahmed Bin Humaid Al Nuaimi, chairman of AFZ, said that the fresh incentives demonstrate the free zone's commitment to provide an ideal business environment for continuous company growth and development despite challenging global economic conditions.
He further pointed out that the new package will specifically support small and medium enterprises (SMEs) that have been affected by the pandemic by reducing the cost of doing business and boosting their commercial resilience.
Sheikh Ahmed stated that the incentives will minimise the impact of the current global health crisis on their operations.
Dr. Mohammed Al Zarooni, chairman of World Free Zones Organization, recently said that free zones globally have not escaped this global disruption from coronavirus pandemic but their special status and distinct structures can help them weather the coronavirus pandemic storm in unique ways.
By putting clear strategies in place to manage their risk palette, from production to market and trade threats, free zones can emerge stronger and leaner from this crisis, he added.
waheedabbas@khaleejtimes.com

By Waheed Abbas

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