Dubai Economy issues 4,796 new licenses in February

Dubai Economy on Wednesday said it registered a 3.4 per cent year-on-year growth in new licences in February as investors pose trust in the emirate’s consistent policies and conducive environment for the businesses.

The Business Registration and Licensing (BRL) sector in Dubai Economy issued 4,796 new licences in February 2021 compared to 4,639 issued in February 2020.

This is the second consecutive month when Dubai Economy showed steady growth in new licences despite the challenging environment in the wake of the Covid-19 pandemic.

Dubai Economy issued 4,567 new licences in January 2021 as against 4,172 in the same month last year, reflecting a growth of nine per cent. It issued 9,363 new licences this year so far.

Latest data reflect Dubai’s resilience as well as the emirate’s economic competitiveness, including its ability to provide businesses high-growth opportunities in various economic sectors.

Among the new licences issued in February 2021, 57 per cent were professional (2,730), followed by 41.5 per cent commercial (1,992), and the rest were distributed among tourism and industrial activities. According to the main areas, Bur Dubai accounted for the largest share (2,831) of the new licences issued in February 2021 followed by Deira (1,960), and Hatta (5).

Nazima Nisar, director at Enterprise House, said Dubai has done it again. "Despite of the global Covid situation, Dubai has shown that it is the preferred choice of the investors. An increase of 3.4 per cent in issued licenses in the month of February 2021 compared to February 2020 should actually be considered a much bigger increase in real terms as February 2020 was not a Covid period," she said.

Nisar said the government of Dubai and its Rulers are continuously inventing ways to assist the business community and one such initiative is the 'Invest in Dubai' platform which makes the regulatory license process very easy.

According to the legal forms of the licences issued in February 2021, Sole Establishments accounted for 39 per cent of the total, followed by Limited Liability companies 34 per cent, and Civil Works at 23 per cent. The rest of the legal forms included; One-Person Limited Liability Companies; Branches of companies based in other Emirates; Branches of Free Zone Companies; and Branches of Foreign Companies.

The activities of the new licenses issued during February 2021 included project management services, paints and dyes, floor and wall tiling, carpentry and flooring installation, building services, plaster works, plumbing and sanitary, air-conditioning services, ventilation and air purification systems, wallpaper installation, and suspended ceilings and light partitions installation.

Dubai Economy strives to deliver solutions that contribute to enhancing ease of doing business in the emirate and expanding investment and growth, which in turn maintain a sustainable economy. The increase in new licences also shows the private sector’s growing role as a key partner in Dubai’s economic development as well as the emirate’s constant efforts to provide a supportive environment and infrastructure for local and international businesses.

—muzaffarrizvi@khaleejtimes.com