Dubai CommerCity, a specialised e-commerce economic free zone, has unveiled a new corporate identity of becoming a digital commerce hub as it expands its scope to support the emirate's growth strategy.
The free zone’s new corporate identity, and the transformation of its services and operations, are in line with the emirate's goal of consolidating its status as the capital of digital commerce, the Dubai Media Office said in a statement on Wednesday.
Digital commerce refers to strategies as well as the process of buying and selling things online without the human intervention.
The broadening of horizon from being an e-commerce cluster prepares the CommerCity to be able to supports the roll out of future technology-related strategies in the emirate.
It will also help the free zone — part of the Dubai Integrated Economic Zones Authority (DIEZ) — accelerate the growth of companies in the sector and further boost foreign direct investment flows to different industries in the emirate.
“The strategic transformation we are witnessing today in Dubai CommerCity’s … [is] in line with the strategic economic directives and plans of Dubai and the UAE,” Sheikh Ahmed bin Saeed, chairman of DIEZ, said.
“It will result in a new phase of leadership, sustainability and growth based on knowledge, innovation and future technological applications. It will enhance the competitiveness of the UAE and consolidate its leading position as a global centre for the most prosperous digital economy.”
The swift response of Dubai, as a leading the commercial and tourism hub of the Middle East, and its ability to adopt proactive solutions underpins CommerCity’s “exceptional capabilities in terms of its integration with local and global digital economy systems”, Sheikh Ahmed said.
“With these key assets, the free zone provides exceptional solutions that contribute to attracting fast-growing business sectors to Dubai,” he added.
Developing the emirate's digital economy is at the heart of Dubai’s future growth plans.
In July, the emirate formed a higher committee for future technology and digital economy, with the aim “to promote Dubai's supremacy in the digital economy globally”, Sheikh Hamdan bin Mohammed, Crown Prince of Dubai, said.
The move follows the launch of Dubai Metaverse Strategy, which aims to create 40,000 jobs and add $4 billion to the emirate's economy in the next five years. Dubai is also focused heavily on developing cashless ecosystem and further boost the development of e-commerce sector in the emirate as part of its digital push.
The Covid-19 pandemic accelerated the pivot to digital services as consumers switched to cashless payments and online shopping. Globally, digital payments are expected to grow to $8.26 trillion by 2024, from $4.4tn in 2020, according to research company Statista.
The UAE's e-commerce market is forecast to increase 60 per cent to more than $8bn by 2025 from 2021. More consumers in the UAE made online purchases last year compared to 2020, the report by EZDubai, an e-commerce zone in Dubai South, and Euromonitor International said in March.
Dubai first announced plans for CommerCity to be the first dedicated e-commerce free zone in the wider Middle East, North Africa and South Asia region in 2017.
The Dh3.2bn ($872 million) first phase of the free zone was launched in April last year in the Umm Ramool area of the city, close to Dubai International Airport.
Dubai CommerCity is built over an area of 19.5 hectares and provides support to new and existing digital commerce companies in the Middle East, North Africa and South Asia.