Dubai Extends The Freeze On Government Fees To Support Local Economy And Businesses

Dubai Extends the Freeze on Government Fees to Support Local Economy and Businesses

Dubai has extended a three-year freeze currently in place on fees charged for certain government services until 2023, according to an executive order issued by the Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Dubai Executive Council. The extension of the freeze will help boost Dubai’s competitiveness, improve the confidence and resilience of businesses and eases any financial challenges they may have due to the Covid-19 pandemic. Apart from the extension of the freeze, the government has also mentioned that there will be no new fees imposed on businesses, except in the case of the introduction of new vital services.

Industry specific fee waivers and exemption were also provided by the Dubai government among the initiatives in the latest package, with a primary focus on commercial establishments, hotels as well as the entertainment sectors. In the events sector, the exemption from the fees charged for postponement and cancellation of recreational and sports activities, including conferences and exhibitions, has been extended. The package also extends the freeze on fees charged for ticket sales, issuing permits and other government fees imposed on entertainment and business events.

Read: Investors Positive & Confident about the UAE Economy

Dubai Government Support – Private Sectors

In order to support the private sector and combat the impact of the Covid-19 pandemic, the Dubai government has announced measures worth AED 7.1 billion (USD 2 billion) for the past one year. The investor-friendly initiatives that the government launched early last year following the outbreak of the pandemic has had a positive impact on the economic recovery and in the stabilization of the jobs in the Emirate. Except for the travel and tourism industry, almost all the other sectors have either been stabilising or steadily recovering over the last few months. Industry experts have revealed that the business conditions in Dubai continue to strengthen with output and employment numbers increasing amid growing confidence among firms for a strong economic recovery in 2021. The successful roll-out of Covid-19 vaccines in Dubai has also contributed to the increase in optimism for growth in business activity over the coming year.

Investment Opportunities – Dubai & UAE

The latest supportive measures taken by the government will accelerate the pace of economic recovery and also reduce the cost of business operations, providing adequate time for the companies to recover, especially in the Small and Medium Enterprises (SMEs) which needed support from the public sector to overcome the impact of pandemic. The decisions taken by the Dubai government, reflects the government’s supportive and investor-friendly environment which will continue even beyond Expo 2020. Even though the Expo will end on March 31, 2022, the investors and businesses that are operating in Dubai will continue to benefit from these supportive measures till early 2023.

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Author: Waqas Siddiqui
As a research consultant, I am passionate about supporting businesses in successfully expanding in the UAE and Gulf region. I can be reached at for research inquiries.