Dubai recorded a 54 per cent year-on-year increase in the number of new business licences issued in August, reflecting the ease of doing business in the emirate, measures taken to ensure continuity and simplification of government procedures, Dubai Economy said.
The emirate issued 5,885 new licences during August, up from the 3,829 licences issued in the same month last year, Dubai Economy said.
Of the total licences issued, 59 per cent were for professional activities, 40 per cent for commercial and 1 per cent for industrial establishments.
"This confirms the emirate’s constant efforts to provide a supportive environment and infrastructure for local and international businesses," the government body said.
Dubai’s non-oil private sector recorded the quickest growth in business activity for nearly two years in August, according to the IHS Markit Purchasing Managers’ Index. This was driven by output growth among travel, tourism and construction companies as the economy continues to recover from the impact of the Covid-19 pandemic.
The pace of Dubai’s recovery has picked up on the back of wide-scale testing and vaccinations. Dubai’s economy is expected to grow by 4 per cent this year, according to government data.
Companies surveyed by IHS Markit expressed more confidence regarding future output in August compared to the prior three months, with respondents citing expectations of increased new business due to Expo 2020, easing Covid-19 restrictions and the ongoing vaccination programme.
Bur Dubai was one of the main areas where licences were issued to businesses in August, accounting for the largest share (4,299), followed by Deira (1,577) and Hatta (9), Dubai Economy said.
According to the legal forms of the new licences issued last month, sole establishment companies topped the list with 38 per cent, followed by civil companies and limited liability companies with 23.5 per cent each, data showed. Other legal forms also included one-person limited liability companies, branches of companies based in other emirates, branches of foreign companies and branches of free zone companies.
Investors can obtain any trade licence or launch a business through Invest in Dubai, a digital business set-up platform that eliminates the need to visit service centres.
The platform provides initial approval, reservation of a trade name, issuance of instant licences, Dubai SME licences, Intelaq licences, DED Trader licences, in addition to an electronic Memorandum of Association and the renewal of commercial licences, Dubai Economy said.
