Without a doubt, the novel conavirus or COVID-19 has been greatly affecting the local as well as global economies. Fortunately, the Dubai leadership continues to provide ways and measures that would “cushion” the impact of the situation on citizens and residents.
Last Thursday, 12th March 2020, the Crown Prince of Dubai and Chairman of the Executive Council of Dubai, His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, launched an AED 1.5 billion economic stimulus package for the next three months. The decision was made under the directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, and Ruler of Dubai.
Easing the cost of living by reducing water and electricity bills by 10% for all Dubai customers, including residential, commercial and industrial for a period of 3 months, while reducing the deposit paid by 50%.
— Hamdan bin Mohammed (@HamdanMohammed) March 12, 2020
Dubai Leadership Launches Stimulus Package to Cushion Impact of COVID-19
HH Sheikh Hamdan said that global economic challenges have been exacerbated by the novel coronavirus outbreak, WAM News Agency reported. Hence, HH Sheikh Mohammed issued directives to launch an economic stimulus package that would support Dubai’s citizens, residents, and investors during these “exceptional circumstances,” the Prince stated.
“The world is going through difficult times but we have the capability to navigate challenges successfully,” HH Sheikh Hamdan explained. “As we have learned from HH Sheikh Mohammed, challenges enhance a society’s ability to develop and advance by generating innovative and creative solutions.”
“We are extending this stimulus package to ensure we can realise our ambitious development objectives by defusing any obstacle that can hinder our progress,” he declared. “Through such initiatives, we are keen to ensure that Dubai maintains its leadership and its profile as the world’s best city to live and work.”
Basically, the AED 1.5 billion economic stimulus package aims to:
- Support companies and the business sector in Dubai;
- Enhance liquidity and reduce the impact of the current global economic situation; and
- Reduce the cost of doing business and simplifying business procedures.
The package includes 15 initiatives geared toward the commercial, retail, external trade, tourism, and energy sectors. Likewise, it also includes two initiatives that focus on reducing the cost of living and doing business for citizens, expats, and the business community.
These two initiatives are as follows:
- A 10% reduction in water and electricity bills for the residential, commercial, and industrial sectors; and
- A 50% reduction in deposits paid for water and electricity connections.
Indeed, these reductions will make it easier for Dubai citizens and residents to manage their financial resources during these uncertain times.
“We are continuing our efforts to become a major player in shaping the future of the world,” HH Sheikh Hamdan said. “We place the highest priority on ensuring the welfare and happiness of society and empowering them to achieve their dreams. We will harness all efforts to ensure Dubai remains a model in enabling people to achieve the highest levels of excellence and success.”
Aside from introducing economic stimulus packages, the UAE government has been taking strict precautionary measures to help curb the COVID-19 outbreak. These measures include a mandatory home quarantine for all travelers, as well as a temporary suspension on all types of labour permits and the entry of all valid visa holders.