UAE Aims to Become a Global Entrepreneurship Leader by 2031 with Focus on SME Growth

The UAE is positioning itself as a global leader in entrepreneurship by 2031, with significant reforms aimed at supporting small and medium enterprises (SMEs). Over 60 laws have been amended to promote SME growth and enhance their contribution to the national economy, as stated by Alia bint Abdulla Al Mazrouei, Minister of State for Entrepreneurship.

 

Speaking at the Expand North Star 2024 event, Al Mazrouei highlighted that the UAE has been ranked the best place in the world to start and operate a business for the third consecutive year by the Global Entrepreneurship Monitor (GEM) 2023/2024 report. The nation hosts more than 50 government and private incubators and accelerators, demonstrating a vibrant ecosystem that fosters entrepreneurship.

 

SMEs currently make up 95% of companies operating in the UAE and employ 86% of the private sector workforce, contributing 63.5% to the country’s GDP. The number of Emirati-owned SMEs grew by 10.4% in 2022, reflecting the sector's steady expansion.

 

The UAE’s supportive environment for entrepreneurship includes various initiatives such as the National Programme for Small and Medium Enterprises, The Entrepreneurial Nation, and the Future 100 initiative. The government has also launched free economic zones and industrial complexes, offering competitive tax rates, reduced fees for obtaining the National Value Added Certificate, and granting 10-year golden visas to entrepreneurs and talented individuals.

 

The UAE continues to collaborate with local, regional, and international partners to achieve its goal of becoming a global hub for entrepreneurship by 2031, with a focus on sectors like FinTech, sustainable manufacturing, smart mobility, and artificial intelligence. According to Al Mazrouei, entrepreneurship is a key factor in driving innovation, creativity, and economic growth across the UAE’s SME sector.

For any enquiries or information, contact ask@tlr.ae or call us on +971 52 644 3004. Follow The Law Reporters on WhatsApp Channels