Dafza rolls out incentive packages to support tenants
The measures include postponement of lease payments for up to three months and cancellation of fines
The Dubai Airport Freezone Authority (Dafza) rolled out a set of economic incentive packages, to help mitigate the impact of coronavirus on businesses operating in the free zone.
The initiatives include the postponement of lease payments for up to three months and allowing other financial payments to be made in instalments. The free zone will also refund security deposits on leased spaces and labour guarantees to companies, it said on Sunday.
Other measures include exempting new companies from registration and licensing fees, as well as the cancellation of fines.
“By launching this package we aim to reduce the impact of this crisis on businesses. We stand in solidarity with our companies to overcome the challenges caused by the global spread of Covid-19,” said Sheikh Ahmed bin Saeed Al Maktoum, chairman of Dafza in a statement.
“This initiative reflects our commitment to providing the ideal environment for them to ensure their business continuity and to help develop and grow their operations despite the fluctuations and global economic conditions.”
Dafza has taken a set of preventive measures to limit the spread of the coronavirus within the free zone, including setting up an emergency committee.
It also implemented a 100 per cent remote working system and closed all external facilities within the free zone, including foodcourts and other facilities. The free zone also started a comprehensive campaign to clean and sterilise all of its streets, buildings, facilities and warehouses.
“We aim to provide an optimal environment for multinational companies that play a key role in enhancing its operations, support on legislations and laws, and providing economic incentives that protect their practice and expansion in an appropriate manner,” said Mohammed Al Zarooni, director general of Dafza.
Dafza reported total foreign trade of Dh120 billion in the first nine months of 2019, up 11.2 per cent year-on-year. India accounted for the highest percentage of Dafza's trade, with 18.7 per cent or the total at Dh22.4bn, followed by Switzerland with 17 per cent at Dh20.2bn and China with 15.5 per cent at Dh18.6bn.
The UAE was the first country in the Mena region to roll out fiscal and monetary support now totalling more than Dh282bn, providing zero interest funding to encourage banks to lend in addition to a variety of other initiatives that range from discounted utility bills to waivers of government fees.
Updated: April 26, 2020 06:06 PM