- Continued collaboration between public and private sectors will be vital as Dubai aims not only to enhance its global standing as a business hub but also to nurture the entrepreneurial spirit that lies at the heart of its economic development.
- Dubai SME’s endeavours will undoubtedly contribute significantly to the fulfillment of the visionary goals set forth in the D33 Agenda, ensuring a prosperous and sustainable future for all stakeholders involved.
In the rapidly evolving landscape of global business, small and medium enterprises (SMEs) play a critical role in economic development and job creation. The significance of SMEs is profoundly felt in Dubai, where the Mohammed Bin Rashid Establishment for Small and Medium Enterprises Development (Dubai SME) has emerged as a pivotal entity in fostering entrepreneurial growth.
The recently released results for the first half of 2024 highlight a remarkable achievement: 2,714 entrepreneurs receiving guidance and training services, marking a notable increase of 164.3 per cent from the same period last year.
The upward trajectory underscores Dubai SME’s commitment to fortifying the local economic framework while aligning with the ambitious objectives of the Dubai Economic Agenda, dubbed D33.
The success of Dubai SME can be attributed to its comprehensive approach to supporting entrepreneurs at various stages of their business journeys.
Within the first six months of 2024, a striking 1,373 Emirati entrepreneurs benefited from mentoring services—a staggering rise of 190.3 per cent compared to 473 in the previous year.
The surge not only demonstrates the increasing reliance on structured support for local entrepreneurs but also reflects a broader trend of empowerment among Emirati business owners.
As mentioned by Abdul Baset Al Janahi, CEO of Dubai SME, it is imperative to recognise the pivotal role that SMEs play in Dubai’s economic growth and the pursuit of the D33 Agenda’s goals.
In addition to mentoring, Dubai SME facilitated the establishment of 1,986 new enterprises during this period, signifying a 57 per cent increase from the 1,265 new entities established in the first half of 2023. Such growth indicates a thriving entrepreneurial ecosystem capable of adapting to market demands and emerging opportunities, particularly in sectors like general trading, real estate, and facilities management.
The diversification not only contributes to the local economy but also enhances the resilience of the business landscape against global economic fluctuations.
Commited to entrepreneurial growth
Since its inception in 2002, Dubai SME has played a fundamental role in the development of the SME sector in the UAE, offering guidance and training to 48,923 entrepreneurs and mentoring 51,504 Emirati entrepreneurs.
The establishment has successfully supported the creation of 18,429 local enterprises, reinforcing its long-term commitment to fostering a vibrant business environment. These statistics are not just numbers; they represent thousands of jobs, innovative solutions, and a sustainable economic framework that contributes to the overall welfare of the community.
Furthermore, during the first half of 2024, Dubai SME facilitated contracts worth AED395.4 million for its members, building on a phenomenal total value of contracts awarded since its inception, which now stands at AED11.3 billion. Such economic contributions deepen the integrative role of Dubai SME within the broader economic landscape, enhancing opportunities for collaboration between the public and private sectors.
Innovation
To keep pace with the demands of a globalized economy, Dubai SME has continuously promoted technological advancement and innovation. The Hamdan Innovation Incubator (Hi2), an initiative under Dubai SME, has been instrumental in this regard.
In the first half of 2024 alone, 109 Emirati tech startups benefited from Hi2’s robust framework, which has now expanded to encompass 23 licensed incubators within its network.
The financial backing from the Mohammed Bin Rashid Fund for SME has also notably doubled, exceeding AED18 million in the same period, thus providing essential funding avenues for innovation-driven entrepreneurs.
In a bid to inspire local farmers, Dubai SME participated in the inaugural Hatta Farming Festival in February this year. By showcasing SMEs from Hatta’s agricultural sector and facilitating workshops, Dubai SME emphasized the critical intersection of traditional industries and modern entrepreneurial practices.
The initiative not only strengthens community ties but also underscores the versatility of SMEs across diverse sectors.
Resilience in adversity
The recent challenges posed by unprecedented rainfall in April this year demanded a responsive approach from Dubai SME. In a commendable move to ensure economic sustainability, the establishment announced a targeted initiative to support businesses adversely affected by these climatic events.
Through the Mohammad Bin Rashid Fund, financial assistance surpassing AED2.5 million was provided, including grace periods of up to six months for repayments. The prompt response highlights Dubai SME’s commitment to resilience amidst adversity, offering a safety net for small and medium enterprises facing unforeseen challenges.
Discover more from TechChannel News
Subscribe to get the latest posts sent to your email.