UAE launches stimulus package to create a "more flexible economic environment"

Dubai: The United Arab Emirates' government launched a stimulus package in effort to help support the economic sectors.

It also aims to encourage potential investors while also providing a foothold for new and upcoming businesses.

The UAE cabinet has already approved a couple of the features of the package in its last meeting.

“The plan seeks to create a more flexible economic environment “conducive to provide new opportunities and encourage investments in future sectors in support to the UAE’s strategic vision and direction,” the UAE’s economy ministry said in a statement.

“the country adopts a proactive vision for development and follows a transformative economic model which is more flexible in dealing with various challenges and enhances its ability to explore opportunities, develop strengths, and establish a stronger foundation for the future of the economy.” said the Minister of State for Entrepreneurship and SMEs Ahmad Belhoul Al Falasi.

Ahmad Belhoul Al Falasi also said that “the current phase will see the development of several economic policies that serve the priority targets to stimulate the economy and drive growth. It will comprise entrepreneurship, promotion of SMEs, and attracting talents as the key pillars that will widen the scope and possibilities for future growth, while further boosting the flexibility of the economic model and its sustainability.”

The last meeting saw a formation of a committee headed by Economy Minister Abdullah Bin Touq Al Marri with the membership of all relevant federal and local authorities

The newly formed committee will be following up the implementation of the plan and is submitting its recommendations to the Cabinet.

The Three Stages

The first stage will set its sights on small to medium sized companies, and will aim to encourage tourism while supporting the industry, it also intends to motivate digital companies.

The second stage will be aimed towards growth of additional initiatives including, on of which is the SME, it will also focus on the digital transformation and the fourth industrial revolution.

The third stage will aim to prepare the country towards sustainable development, including career counselling, supporting young professionals, rehabilitation of employment for future-facing jobs, and further investment in the digital economy, which will in turn provide sustainable, long-term development.