The Sharjah government has introduced a series of economic relief measures to assist the education, food and pharmaceutical sectors and help small businesses bounce back from the challenges of the Iran war.
The launch of the strategy comes as hope rises that a US-Iran roadmap to peace will help bring an end to a months-long conflict that has disrupted the Emirates, the region and beyond.
The comprehensive support package – being led by Sharjah's Economic Development Department – includes a wide range of exemptions, discounts and deferrals aimed at spurring growth and encouraging investment.
Authorities on Sunday said the initiative, which came into effect on June 16 and will run for three months, will seek to bolster business continuity and assist project owners and entrepreneurs.
What support is being offered?
- A 50 per cent discount on industrial licences for food and pharmaceuticals
- A 50 per cent discount on issuance and renewal fees for micro-licences (e-commerce and home businesses)
- Exempting micro-licences from late payment penalties
- A 25 per cent discount on issuance and renewal fees for nurseries
- A 25 per cent discount on promotional campaign permit fees
Investing in emirate's future
Hamad Ali Abdalla Al Mahmoud, the department's chairman and a member of Sharjah Executive Council, said the programme represented a significant step towards strengthening business operations and providing flexible services to meet the aspirations of investors and entrepreneurs.
The stimulus package has been developed with the support of government departments and organisations, including Sharjah Department of Municipal Affairs, Sharjah Police, Sharjah Commerce and Tourism Development Authority and Sharjah Private Education Authority.
Nationwide drive
UAE authorities have stepped up support for businesses – including the hospitality and tourism sector – which have been hard hit by the fall-out from the Iran war.
The outbreak of hostilities on February 28 prompted a decline in demand and a fall in visitor numbers across the country.
The Dubai government last month approved a Dh1.5 billion ($400 million) economic incentive package to support the city's business and tourism sectors.
It included suspending the nightly hotel tax, which is Dh20 ($5.45) in higher-tier hotels, and the 7 per cent municipal tax added to hotel and restaurant bills.
It also sets out a range of exemptions for nurseries and private schools, including deferring fees. It is the second package announced by the government following a Dh1 billion relief fund launched in April.
Rent relief
Abu Dhabi Real Estate Centre announced this month that rents for residential, commercial and industrial properties would not increase until further notice, apart from communities managed by Abu Dhabi Global Market, such as Al Maryah Island and Reem Island.
“Your rent stays the same. A temporary measure is in effect across Abu Dhabi,” the centre posted on social media.
The rent freeze comes as many people in the UAE struggle with rising prices, with some losing their jobs or facing salary reductions, linked to the Iran war.
Abu Dhabi resident Melanie Nazareno, 37, said at the time that the decision offered “certainty and peace of mind” and would ease the financial strain on families in the capital.
“The news came as a huge relief for our family. We were facing a 6 per cent rent increase this year, and with the cost of living rising across so many areas, it was becoming a real concern,” she said.
