UAE Free Zones’ Support For SMEs

April 05, 2020

Aimed at supporting SMEs, Dubai Free Zones Council has unveiled an economic stimulus package for free zones in light of what has been described as “exceptional circumstances” surrounding the global coronavirus pandemic. This is a big relief to businesses undergoing current epidemic situation and in general SMEs were awaiting further ease of doing business.

The five-point-plan includes:

• postponing rent payments for six months;
• payment instalments;
• refunding security deposits and guarantees;
• cancelling fines for both companies and individuals; and
• permitting temporary contracts that allow the free movement of labour between companies operating in the free zones for the rest of the year.

Free zones that support this tremendous programme, include: Dubai Silicon Oasis Authority, Dubai Airport Free Zone Authority, Jebel Ali Free Zone, Dubai World Trade Centre, Dubai International Financial Centre, Dubai Development Authority, Dubai South, Meydan City Corporation, and Dubai Multi Commodities Centre.

It comes on top of a package announced earlier to reduce business costs and improve financial liquidity of companies operating in the free zones. The United Arab Emirates previously rolled out a $34 billion stimulus package to minimise the impact of the coronavirus.