The Dubai Airport Freezone Authority (Dafza) has joined forces with the Federation of Israeli Chambers of Commerce (FICC) to boost bilateral business relations and support Israeli companies to establish their base in the UAE.
Under the agreement, Dafza will promote Dubai as a global trade centre and introduce Israeli businesses with the investment opportunities through several joint initiatives, according to a Dubai Media Office statement.
“Dafza enjoys a strategic location that makes it a gateway to Asian markets … it will redirect trade movement smoothly, faster and more efficiently,” said Mohammed Al Zarooni, Dafza’s director general.
It seeks to attract more foreign investments and this agreement emphasises its role in encouraging companies from various sectors to launch and expand their business in Dubai, the authority said in a statement on Friday.
“This is what Israeli companies can benefit from, supported by the free zone site next to one of the busiest airports in the world,” it added.
The normalisation of relations between the UAE and Israel this month is opening up various investment opportunities between the two countries for the first time.
“It will be mutually advantageous for Dubai and the Israeli business community, as more business will utilise the developed facilities and services in Dafza, and create a bridgehead for Israeli business,” Uriel Lynn, president of FICC, said.
“The message of peace will take a form of working together for the people of both countries,” he added.
The new pact will support industries such as logistics, technology, electronics, agricultural, pharmaceutical, medical equipment, metals, precious stones and various areas of research and development.
FICC represents more than 5,000 businesses operating in over 120 fields.
Earlier this year, Dafza rolled out a set of economic incentive packages, to help mitigate the impact of coronavirus on businesses operating in the free zone.
The initiatives include the postponement of lease payments for up to three months and allowing other financial payments to be made in instalments. The free zone will also refund security deposits on leased spaces and labour guarantees to companies.
Other measures include exempting new companies from registration and licensing fees, as well as the cancellation of fines.