Abu Dhabi announces Dh50b Economic Stimulus Programme
Abu Dhabi government announces Dh50 billion Economic Stimulus Programme to encourage business and investment environment in the emirate. The three-year plan has over 50 initiatives to accelerate Abu Dhabi’s economic growth and support SME, industrial, tourism, building and construction sectors.
Abu Dhabi – A series of initiative were approved to boost Abu Dhabi’s economy as a part of Government Accelerators Programme ‘Ghadan 21’. H.H. Shaikh Mohammad Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of UAE Armed Forces approved a Dh50 billion (US$13.6 billion) three-year plan to encourage business and investment environment in the emirate.
The three-year plan is based on four tenets – business and investment, society, knowledge & innovation and lifestyle. The first phase includes more than 50 initiatives aimed to accelerate Abu Dhabi’s economic growth in next three years apart from improving the ease of doing business and making Abu Dhabi’s SME (Small & Medium Enterprises) sector competitive on local and regional levels.
Other initiatives included the new economic licensing services (TAM) to accelerate the processing and issuance of business licenses in Abu Dhabi, reducing the time to obtain trade license within five minutes. Initiatives targeting cost reduction in building and construction sector were also included along with accelerating the process to issue building permits within 10 days.
From the approved amount, Dh 20 billion was allocated to 2019 development package while Dh 500 million to promote Abu Dhabi on regional and global level over the next three years. The Abu Dhabi Executive Council will formulate a detailed execution plan within 90 days.
Moreover, the government is also keen on launching a Credit Guarantee Scheme by opening up financing opportunities for SMEs and providing more than Dh10 billion through local banks in the next three years. In addition, the Abu Dhabi government is also planning to introduce a new law governing the public-private partnership in order to support local and international investment opportunities.
Like Dubai, Abu Dhabi government is keen to empower and support private companies within the SME, industrial and tourism sectors. Few days ago, UAE Cabinet also announced a series of initiatives to retain expat retirees and facilitate industrial sector, in a bid to support businesses in the country. Considering the current geo-political crisis, government initiatives such as ‘Ghadan 21’ are likely to boost investment confidence and attract local and foreign investment in UAE’s economy.
UAE – An Attractive Investment Destinations
UAE has always been an investment friendly destination offering attractive investment environment to international companies that are looking to tap into the Gulf region. The country has also developed world-class infrastructure in the form top quality airports, hotels, public facilities and economic zones, which furthers its evolution as an international business destination.
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