Narratiive Tags - Khaleej Times Desktop
Local Business
Logo
 

New Dubai stimulus package to expedite recovery for SMEs

Waheed Abbas/Dubai
Filed on July 12, 2020 | Last updated on July 12, 2020 at 07.24 am
The Dubai government on Saturday announced a new Dh1.5 billion stimulus package to reduce the cost of doing business, support SMEs and increase liquidity in the market.

The new stimulus package will help businesses cruise in the third quarter.

The additional stimulus package announced by the Dubai government on Saturday will expedite the recovery of the economy, especially the small and medium businesses, say senior members of the local business community.

"There is good support and facilities provided by the government departments. For instance, licences are renewed without Ejari. The new stimulus package will help us cruise in the third quarter and expect to perform even better in the last quarter. It will expedite recovery for small and medium businesses," said Tawhid Abdullah, chairman of the Dubai Gold and Jewellery Group.

The Dubai government on Saturday announced a new Dh1.5 billion stimulus package to reduce the cost of doing business, support SMEs and increase liquidity in the market. The incentives covered refund of tourism fee, expeditious payment to contractors and support for private schools in terms of cancellation of fines and fee exemptions till the end of this year.

New Dubai stimulus package to expedite recovery for SMEs (KT24704712.PNG)

Ayman Ashor, general manager for Al Bandar Rotana and Al Bandar Arjaan, said the new stimulus is very positive for the private businesses, especially the hospitality sector.

"In the past three months, Dubai Municipality reduced fee from seven per cent to 3.5 per cent. We also received credit back on electricity and utility bills. These kind of stimulus procedures are supporting us a lot," added Ashor.
"With Dubai opening up for tourists, we have already started to see improvement as emirate is the first to open borders to welcome tourists," he added.

Kamal Vachani, group director of Al Maya Group, believes that this stimulus package will further improve Dubai's attractiveness for ease of doing business as well as boost confidence.

"The government has been very pragmatic and supportive in its approach to the business community. The new stimulus will particularly help the small and medium businesses who need it the most. Earlier packages were aimed at helping the companies to overcome credit crunch issue. This package will help maintain liquidity and cash flow for small and medium enterprises. This will assist the businesses to run smoothly in the months ahead," he added.

Baiju Kurieash, managing director of BUZ Marketing, the consulting the firm that manages Dubai Shopping Malls Group, said the new tranche of measures couldn't have come at a better time as Dubai has just opened up for tourist arrivals.

"This will not only reinvigorate the green shoots of growth but also help restart Dubai sector by sector," he said. Sit-down restaurants and food courts are up at 30-40 per cent of a shopping centre business today; the measures announced underpin the commitment and belief of the government in the economic fabric of key sectors of the city. This cleverly-planned support will be seen as 'right measures at the right time'." - waheedabbas@khaleejtimes.com


ERROR: Macro /ads/dfp-ad-article-new is missing!
MORE FROM Business
MORE FROM Khaleej Times
CurrentRequestUnmodified: /business/local/dont-get-caught-off-guard-on-tax-preparedness-compliance macro_action: article, macro_profile: , macro_adspot:
 
 
 
 
 
 
KT App Download
khaleejtimes app

All new KT app
is available
for download:

khaleejtimes - android khaleejtimes - ios khaleejtimes - HUAWEI AppGallery