WEEKLY BUSINESS ROUNDUP - 28th May 2023 –3rd June 2023

Arab Monetary Fund predicts 4.2% growth for UAE economy in 2023

The UAE’s economic growth is likely to remain strong averaging 4.6% between 2022 to 2024 – buoyed by stronger oil prices and enhanced confidence in business. The Arab Monetary Fund’s “Arab Economic Outlook Report” forecasts 4.2% growth for UAE in 2023, along with a decline in consumer price index to 2.9% in 2023 and 2.57% in 2024. The report highlighted that Arab countries with economic reform programmes were far more well positioned to cope with economic shocks.

 

UAE’s EV market expected to grow by 27% annually over the next  6 years

UAE’s efforts to build advanced infrastructure and establish electric charging stations reinforce the country’s rapidly developing electric vehicle market. The Electric Vehicle market is estimated to grow at an annual rate of 27.2% between 2023 and 2027 and UAE is focused on achieving climate neutrality by 2050 and a sustainable transport sector. 

 

UAE’s growing trade opens doors to 2.2 billion consumers

CEPA agreements with India, Israel, Indonesia, and Turkey resulted in manufacturers reaching out to almost 1.6 billion people. Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade further reinforced that UAE exporters could reach more than 2.2 billion consumers owing to favourable agreements with leading economies. 

 

UAE strengthens economic trade with Mexican delegation

UAE welcomed a high-level delegation from Mexico to discuss the potential for mutually beneficial partnerships in areas of food security, advanced technology, infrastructure, financial services, agriculture and more. Reports reveal UAE is Mexico’s largest trading partner in the Arab African region and Mexico is the UAE’s second largest trading partner in Latin America. Bilateral non -oil trade marked 36% growth in 2022, compared to 2021.

 

UAE participates in ICAO’s 2nd World Aviation Forum

The UAE’s General Civil Aviation Authority (GCAA) took part in the 2nd edition of the World Aviation Forum which highlighted key initiatives, latest digital tools, and collaborative efforts to achieve sustainable development and operational solutions. The event served as an ideal platform to showcase UAE’s prominent stature in the aviation sector. 

 

UAE exports projected to reach AED 2 trillion by 2030

As per a recent research study, UAE is set to have a key role to play in global trade growth as exports are projected to hit around AED 2 trillion by 2030 – marking robust annual growth rate of 5.5%. The report further expects the global trade industry to reach AED 120 trillion by 2030 at a projected growth rate of 5%. 

 

UAE focused on becoming global model of green growth

In a bid to enhance its competitiveness in international markets and strengthen the soft power of the national economy, UAE aims to become a global model of green growth contributing to sustainable economic growth. The country aims to attract US$160 billion worth of investments in new economic sectors over the next three decades – especially in areas of space industry, food, agriculture, healthcare, transportation, renewable energy, and digital infrastructure development. 

 

MoF issues three new Ministerial Decisions pertaining to Corporate Tax

The UAE Ministry of Finance issued three new Ministerial Decisions for the purposes of Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses. The decisions include Ministerial Decision No. 132 of 2023 on Transfers within a Qualifying Group, Ministerial Decision No. 133 of 2023 on Business Restructuring Relief, and Ministerial Decision No. 134 of 2023 on the General Rules for Determining Taxable Income.

 

MoIAT announces 500 industrial jobs opportunities for Emiratis 

MoIAT along with MoHRE & ETCC has announced to offer 500 training and job opportunities for UAE nationals in the industrial sector. This initiative aims to empower and equip Emirati talent with necessary skills to thrive in advanced technology sectors. 

 

Sharjah FDI Office records 7% boost in industrial license renewals

Sharjah FDI Office recorded year-on-year growth within the manufacturing sector marking 7% increase in the renewal of industrial licenses in 2022. The Office further reported that total 2401 licenses across varied industries were renewed in 2022 compared to 2021. These figures are indicative of the emirate’s strengthening position as a destination for future business expansion.