WEEKLY BUSINESS ROUNDUP - 30th July 2023 to 5th August 2023

UAE is the lowest risk nation in the Middle East and Africa region in Q1 2023

UAE has maintained its status as the lowest -risk country in the Middle East and Africa (MEA) region in Q1 2023 compared to the previous quarter – reported GlobalData Regional and Global Risk Index (GCRI). This statistic reinforces the economy’s need to sharpen its focus on attracting higher investments which contribute to the quality of economic development. The risk score for the MEA region rose slightly from 54.3 out of 100 in Q4 2022 to 54.4 in the Q1 2023 update, reflecting the current economic and financial landscape.

 

MoF announces 4-year strategic plan

The UAE Ministry of Finance announced the launch of a 4-year strategic plan aimed at accelerating the government performance. The visionary leadership of the country is set to develop and implement sustainable financial policies to drive economic growth, nurture a competitive business environment and bolster global economic relations. The Ministry of Finance Strategic Plan 2023 – 2026 focuses on future foresight and innovation to accelerate government work.

 

Ministry of Finance initiates dialogue session to educate youth on financial data and its importance

The UAE Ministry of Finance participated in the Ministry of Culture and Youth's Summer Camp 2023 to highlight key financial concepts for UAE’s young population, thereby providing an understanding of UAE’s financial system. This initiative is aligned to the UAE’s vision to be a global leader in the fiscal field. 

 

Federal Tax Authority emphasizes accurate - emirate specific VAT reporting relating to ecommerce

The UAE’s Federal Tax Authority (FTA) emphasized the need for taxpayers to adhere to accurate, emirate-specific Value Added Tax (VAT) reporting requirements in relation to ecommerce. The FTA explained that starting from 1st July 2023, and in the VAT return for the first tax period starting on or after that date, “qualifying registrants” are required to report supplies made through e-commerce in box 1 of their VAT Return, based on the Emirate in which the supply of goods or services is received by the customer. They are also required to retain the relevant supporting evidence. If a taxpayer is not a qualifying registrant or if a supply is not an e-commerce supply, then, generally, the taxable business must report its supplies in the Emirate where its fixed establishment related to the supplies made is located.

 

Dubai Maritime Authority introduces new administrative decision on transparency of local sea container charges

The Dubai Maritime Authority (DMA) at the Ports, Customs and Free Zone Corporation announced the introduction of Administrative Decision No. 2 of 2023 on the Transparency of Local Sea Container Charges in Dubai Directive, aimed at strengthening transparency, accountability, and competitiveness across Dubai’s maritime sector. The Administrative Decision came into force from 1st August 2023 and is set to enhance transparency & ease of doing business in Dubai. 

 

Dubai Chamber of Commerce expands trade with launch of Serbian Business Council 

Dubai Chamber of Commerce hosted 17 representatives from Serbian Companies at the launch of the Serbian Business Council. This initiative falls under the Chambers strategy to establish new partnerships - especially country specific business councils - aimed at expanding their role in promoting cross-border business opportunities, as well as nurturing deeper trade and investment ties between Dubai and key markets worldwide. 

 

DIFC’s H1 2023 performance strengthens Dubai’s position as a global finance and innovation hub

Dubai International Financial Centre (DIFC) reported exceptional growth in the first six months of 2023 with the registration of 661 entities – marking exceptional 23% growth year-on-year. DIFC's exceptional performance reinforces the future of finance in Dubai. The total number of companies operating in DIFC rose from 4,031 to 4,949 at the end of June 2023, a year-on-year increase of 23%. The number of firms in DIFC's FinTech and Innovation sectors grew 35% year-on-year from 599 to 811, strengthening its reputation as a global hub for these sectors.

 

Abu Dhabi International Airport reported 67% increase in H1 2023 year-on-year

Abu Dhabi International Airport announced airport traffic results for H1 2023 which highlighted growth in flights, passenger numbers and cargo movement. Passenger traffic marked 67% increase between 1st January 2023 and 30th January 2023. The Airport also reported 36% increase in the number of flights in H1 2023 compared to H1 2022 and continues to expand the network rapidly to 114 destinations served by 27 airlines during H1 2023.