The Central Bank of the UAE, in its own second-quarter study on the market, had said that the non-oil economy has been projected to host 4.5 percent for 2020 as a whole as a result of the Covid-19 pandemic. Total bundles worth Dh388 billion ($105.6 billion) are declared to encourage the market.
The UAE’s non-oil gross domestic product is forecast to grow by 3.6 percent in 2021, state news agency Wam reported Saturday citing central bank quotes, suggesting the market will rebound from an expected downturn in 2020.
The analysis comes as the committee responsible for its coordination and follow from the execution of the UAE’s financial recovery program held its next meeting on Saturday, where it assessed the progress from the 15 initiatives of their initial period, demonstrating that 46 percent of implementations was finished up to now.
The committee, under the chairmanship of Minister of Economy Abdulla bin Touq Al Mari, was briefed about the efforts of those concerned government in coordinating and following up the execution of their initiatives of the point and improving their outputs. Thus, they are eager to quantify their effect so as to make sure the desired instant support for various financial sectors and also contribute to quickening the rate of the domestic economy’s recovery.
Important initiatives are enacted so far, including amendments to the bankruptcy legislation, allocation of incentives and grants to tourism institutions, promotion of foreign direct investment through alterations to the industrial companies law, alterations to the business transactions legislation, and the decriminalization of cheques with no balance, a decrease of penalties and taxation on the tourism industry, improving the flexibility of labor market, the in-depth targeted financial aid strategy led from the central bank to improve liquidity in the banking and financial industry in the nation.
Other members of this committee are Nasser bin Thani Juma Al Hamli, Minister of Human Resources and Emiratisation; Dr Ahmad bin Abdullah Humaid Belhoul Al Falasi, Minister of State for Entrepreneurship and SMEs; Dr Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade; Sarah bint Yousif Al Amiri, Minister of State for Advanced Technology; Omar bin Sultan Al Olama, Minister of State for Artificial Intelligence, Digital Economy and Remote Work Software; Abdulla Mohammed Al Basti, Secretary-General of the Dubai Executive Council; Saif Hadef Al Shamsi, Deputy Governor of the Central Bank of the UAE; and Dr. Mohamed Rashed Al Hameli, Secretary-General of the Abu Dhabi Executive Council, together with the involvement of Ahmed bin Lahej Al Falasi, Director-General of the Federal Customs Authority.
Al Mari stated:”Due to the boundless support and visionary advice of our wise direction, the UAE has created new and significant strides in supporting the national market and accelerating the speed of recovery of varied vital industries from the effect of the Covid-19 pandemic.
Fiscal support bundles and initiatives have led to business continuity, higher momentum of commercial actions, and have strengthened their capacity to grow and compete in several sectors that are crucial.”
The committee focused on the accomplishments under each of the six monitors of their initiatives bundle, including empowerment of this new market and development of priority industries; launching of new markets locally and globally; provision of funding service and facilitation of financing; tourism promotion; retention and attraction of talent; and stimulation of innovation.
“The smart leadership has confirmed that protecting, encouraging, and further growing the market in accordance with a sustainable model is a priority over the plan and strategies of the UAE government. We’re continuing our efforts to finish the execution of initiatives of this restoration program based on the approved program.