Abu Dhabi issues 25,600 new licences as business booms
Some 25,600 new economic licences were issued in 2022 by Abu Dhabi, as new figures show the emirate was has the fastest-growing economy in the Middle East North Africa region (MENA).
In its 2022 Business Activity Report, the Abu Dhabi Business Centre, part of the Abu Dhabi Department of Economic Development (ADDED), reported the “growth of major indicators and vitality of the business sector despite challenges in the global economy”.
Businesses in Abu Dhabi also showed a high level of adherence to regulations governing consumer rights and intellectual property protection, the report said.
A total of 25,593 new economic licences were issued last year, and 73,212 licences were renewed by the end of December 2022, indicating strong growth and confidence in the Abu Dhabi business sector.
“Growth in professional, tourism and industrial new licences reaffirm the attractiveness of these sectors to investors and the ample opportunities they provide for investors,” the report said.
Professional licences increased 161% from 243 in 2021 to 635 in 2022.
Tourism sector licences grew to 181 in 2022 from 126 in 2021, an increase of 43.6%, while industrial sector licences rose to 243 from 206 licences in 2021, a 17.9% rise.
According to the Business Activity Report, 23,947 commercial sector licences were issued in 2022, comprising 93.5% of the total new licences.
Rashed Abdulkarim Al Blooshi, Undersecretary of ADDED, said: “We remain focused on constant enhancements of the public-private partnership ecosystem to allow businesses to benefit from and thrive, meet investors’ demands, and protect consumer and intellectual property as part of our efforts to achieve a knowledge-based, innovation-driven, and sustainable economy.”
The report also revealed that the Trademarks & Commercial Agencies Protection Department has conducted 5,169 monitoring visits and 213 inspection campaigns to ensure adherence of commercial facilities to laws and rules regulating the sector in the emirate. The number of offences reported fell to 420 from 479 in 2022.
The Consumer Protection Department conducted 9,147 monitoring visits and 153 inspection campaigns. It settled 5,064 consumer complaints related to products valued at AED27.6m ($7.5,m), compared to 4,209 settled complaints in 2021.
Mohammed Munif Al Mansouri, Executive Director of the Abu Dhabi Business Centre, said: “As part of our ongoing efforts to ensure ease of doing business and support entrepreneurs, we expanded ‘Tajer Abu Dhabi’ (Abu Dhabi Trader) licence, which allows micro, small and medium-sized enterprises (MSMEs) to obtain the trade licence without the need to work from a physical location or having to pay rent on commercial space for three years, by adding 126 new activities to it.
“Additionally, ADDED granted 1,200 economic activities a one-year exemption from having a lease contract for work premises. We are committed to improving Abu Dhabi’s competitiveness and status as the preferred destination for business and investments.”
Abu Dhabi GDP grows by 10.5%
Meanwhile, new statistics show Abu Dhabi’s GDP is the fastest-growing in the MENA region, according to the emirate’s statistics centre.
Statistics Centre – Abu Dhabi (SCAD) data shows GDP grew by 10.5% in the first nine months of 2022, compared to the same period of 2021.
Abu Dhabi strengthened its international standing and maintained its competitiveness and macroeconomic stability, SCAD said.
It added that the emirate has launched a number of initiatives in recent years as it focuses on diversifying its economy away from oil.
Abu Dhabi has maintained a prudent fiscal and upgraded legal frameworks to encourage foreign direct investment and promote its domestic investments, it said.
ADDED chairman Ahmed Jasim Al Zaabi said: “Abu Dhabi’s robust economy continues to prove its superiority driven by our leadership’s clear vision, its ability to attract foreign direct investments and agile policies that enabled our economy to achieve the strongest growth in the region.”
