Coronavirus: Dubai Announces Economic Incentive Package for its Free Zones
Dubai Free Zones rental postponement: Dubai free zones have announced a postponement of rent payment for up to six months to support the local entities to overcome the Covid-19 coronavirus impact.
Dubai Free Zones has announced the postponement of rent payments for up to 6 months. This decision was announced as an economic stimulus package. The announcement was made under the directives of Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, and Ruler of Dubai.
The draft of measures launched on Saturday (March 28, 2020) include the following:
- Postponement of rent payments for up to 6 months. Facilitating financial payments through easy instalments on a monthly basis.
- Refunding various insurance and guarantees claims. The cancellation of number of penalties for companies and individuals.
- Allowing intra-corporate transfer of labor between companies and sectors operating in the free zones through permanent or temporary contracts without penalties during 2020.
- There are nearly 45,000 companies located in Dubai Free Zones, with nearly 390,000 employees. The free zones account for about a third of Dubai’s gross domestic product.
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