UAE issues Ministerial Resolution to support Emirati SMEs with incentives

  • Date: 19-Aug-2022
  • Source: GCC Business News
  • Sector:Technology
  • Country:UAE
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UAE issues Ministerial Resolution to support Emirati SMEs with incentives

The UAE Ministry of Human Resources and Emiratization (MOHRE) has issued the Ministerial Resolution No. 251 of 2022 to support Emirati small and medium-sized enterprises (SMEs) with new incentives.

The new incentives include classifying up to five enterprises under Tier 1 category per owner, instead of two enterprises, and a five-year classification under Tier 1 category starting from the date of license issuance.

Conditions for Tier1 SMEs

The Ministerial Resolution outlines five conditions for any SME to be classified under Tier 1 for five years. First, the business owner, or all the partners, must be Emiratis, second, the enterprise must be a member of a government-accredited fund or program for supporting SMEs, third, it must be managed by the owner themselves, or by an Emirati manager, fourth, the owner may not own or be a partner in another enterprise that is restricted by the Ministry and has any fines, and fifth, the owner may not own more than five companies, or be a partner in, or a service agent.

Khalil Al Khoori

Undersecretary – Human Resources Affairs

MOHRE “The Ministry has unveiled various initiatives in line with the vision of our wise leadership. Empowering the people of the UAE continues to be a top priority, as