The Dubai Free Zones Council has launched an economic stimulus package to complement the Dubai Government’s efforts to bolster Dubai’s businesses in the midst of the COVID-19 pandemic. The package is said to reduce the impact of the current economic climate on businesses.
According to a statement, it includes five key elements: postponement of rent payments by a period of six months; facilitating installments for payments; refunding security deposits and guarantees; cancellation of fines for both companies and individuals; and permitting temporary contracts that allow the free movement of labor between companies operating in the free zones for the rest of the year.
The advantages are said to also benefit employees seeking better job opportunities, and those who have been granted unpaid leave by facilitating their re-employment in jobs in Dubai.
In the current exceptional circumstances, Dubai Free Zones are working together to highlight their strategic role and social responsibility to support Dubai’s economy, the statement noted.
Dubai Airport Free Zone chairman Sheikh Ahmed bin Saeed Al Maktoum stressed that ensuring the business continuity of companies and providing them the support they need are critical to the Dubai economy’s ability to successfully overcome the crisis.
The stimulus measures are said to complement national efforts to reduce the impact of recent global challenges. They provide companies with the liquidity necessary to tackle the current situation and maintain competitive advantage and sustainable growth. This initiative supports a wide range of SMEs in maintaining their competitiveness, said the statement.
Sheikh Ahmed added, Dubai Free Zones play a prominent role in promoting sustainable economic growth, attracting investments and supporting Dubai’s vision to be the world’s preferred investment destination and the ideal place to live, work and visit. Their contributions to Dubai’s Gross Domestic Product reached 33%, he stated.
Sultan Ahmed bin Sulayem, group chairman and CEO of DP World and CEO/Chairman of Ports, Customs & Free Zone Corporation added, “During these difficult times, the business sector is facing major challenges. We are keen to provide the necessary support for companies through a package of discounts and exemptions from fees in Jebel Ali Free Zone (Jafza), National Industries Park (NIP) and Dubai Cars & Automotive Zone. This includes waiving fines on expired trade licenses for companies operating in these zones. In addition, new companies can start their businesses without paying license fees for the first year.”
