Dubai has unveiled a second AED1.5 billion economic incentives package aimed at strengthening key sectors including business, tourism, retail, culture and the arts, taking the total value of stimulus measures introduced in under two months to AED2.5 billion.
Approved by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of The Executive Council of Dubai, the latest package includes 33 initiatives set to roll out over the next three to 12 months.
The tourism, events and retail sectors are among the major beneficiaries, with establishments registered under the Dubai Department of Economy and Tourism receiving exemptions from Tourism Dirham collections, holiday home permit fees, and event-related permit, postponement and cancellation charges. The package also includes reductions in fees for tour guides and desert safari activities, alongside deferred e-link fees and hotel classification charges.
Business support measures focus on easing financial pressures for companies working with government entities. The Dubai Department of Finance will reduce final retention security requirements for supply contracts from 10% to 2%, while the threshold for contracts exempt from final insurance has been raised from AED5 million to AED10 million. Additionally, the Mohammed Bin Rashid Establishment for Small and Medium Enterprises Development will extend membership licences by two years for companies expiring in 2026.
Targeted relief has also been introduced for sectors facing operational challenges, including desert safari operators, marina businesses, aviation-related activities, drone and fireworks companies, and event management firms. These businesses will receive one-time exemptions from selected fees administered by Dubai Municipality and the Department of Economy and Tourism.
The culture and arts sector will benefit through deferred rents and financial obligations for establishments supported by Dubai Culture and Arts Authority, as well as reduced rental fees for temporary cultural event spaces. Dubai Customs has also expanded temporary import provisions for artworks to support the creative industry.
The latest measures form part of Dubai’s ongoing strategy to enhance economic resilience, support SMEs and maintain momentum across priority sectors amid evolving global economic conditions.
