Dubai has unveiled an economic stimulus package for its free zones in light of what has been described as “exceptional circumstances” surrounding the global coronavirus pandemic.
Aimed at supporting the emirate’s businesses, particularly small and medium enterprises, 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. The move comes on top of a package announced earlier this month to reduce business costs and improve financial liquidity of companies operating in the free zones.
The UAE previously rolled out a $34 billion stimulus package to fend off the impact of the coronavirus. To date, the country has recorded 468 virus cases, including two fatalities.