(Bloomberg) --
Dubai plans to offer 500 million dirhams ($136 million) of aid for businesses hit by the coronavirus crisis, Crown Prince Hamdan Bin Mohammed said on Twitter on Saturday.
The package, which will consist of rent breaks and the elimination of government fees and fines for some businesses, will bring total government support to 6.8 billion dirhams, according to the prince.
The emirate is known as the business hub of the Middle East, and has been hit hard by Covid-19 as it relies on trade and tourism. The International Monetary Fund expects the United Arab Emirates' economic output to shrink 6.6% this year. Job losses and weak domestic demand remain a drag on businesses in the expatriate-dominated city.
“The private sector is a major partner in Dubai's development process,” the price said. “We have adopted a set of new exemptions for some fees and a reduction in rents for some sectors, as well as an extension of the validity of a previous set of exemptions from fees.”
More details:
- Children's nurseries will be exempted from trade-license renewal fees and medical staff at those facilities will get six-month extension for their licenses.
- Nurseries on some state-owned land will get a 50% reduction in rent.
- The package also provides some support for taxis and advertising agencies.
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