UAE’s reform measures are truly bold undertakings

  • Share:

The recent spate of investor-friendly reform initiatives by the UAE government, including 10-year visas for investors and professionals as well as a move to allow 100 per cent foreign business ownership, along with some proactive stimulus packages unveiled by Abu Dhabi and Dubai separately will stir up investor confidence and accelerate the growth of the second largest Arab economy, experts and corporate leaders said.

Combined, the three-pronged stimulus programmes, undertaken by the federal government and two emirates, will give a major fillip to real estate, construction, information technology, small and medium enterprises sectors. In addition, these bold measures along with the easing of liquidity through the Dh50 billion package announced by Abu Dhabi will help banking and manufacturing sectors while considerably easing pressure on the business community, analysts said.

They said other critical measures, taken by Dubai, including a one-year freeze on school-fee hikes, waiver of some fees on aviation and real estate transactions, and cutting charges levied on businesses, will help arrest cost of living and doing business.

Most analysts and corporate leaders believe such bold strategies would help offset the impact of VAT-induced slowdown while reinforcing investor confidence leading to a pick up in foreign direct investments.