UAE launches renewal plan to develop 8,000 SMEs and start-ups by 2030

This UAE Ministry of Economy An updated program has been launched to advance the country’s goal of becoming a top global entrepreneur.

Entrepreneurial Nation 2.0 program aims to develop more than 8,000 SMEs Economy Minister Abdulla bin Touq said at Gitex Global 2022 in Dubai on Thursday that by 2030 and start-ups.

This first start-up country Launched in November 2021, the initiative has 10 projects supported by digital tools and financing solutions, with private sector partners contributing around AED 20 million ($5.5 million). The plan also has a goal of creating 20 unicorns, or startups valued at $1 billion and above, by 2031.

Technology will be a key pillar of the second phase of the plan, as new innovations driving digitalization and smart services are empowering businesses and society, and preparing the economy for the future.

Mr bin Touq said the UAE will also collaborate with other countries for the first time under the initiative, including Saudi Arabia, India, South Korea and Latvia.

“SMEs have always been a key integration of our economy, creating many jobs. They are a key aspect of the UAE,” he said in the release.

“They are the front lines of any economy, a health check on the local situation.”

The UAE government pays particular attention to SMEs, as they are considered essential for economic diversification, employment and expansion.

According to the latest government figures, around 95% of all companies operating in the UAE are SMEs, employing nearly 90% of the private sector workforce and contributing more than 60% to the gross domestic product.

Local state support entities and strategies to support the industry include the National SME Programme, the UAE SME Council, the Khalifa Fund in Abu Dhabi, Dubai SMEs and Action 300 Billion, an initiative aimed at increasing the contribution of the industrial sector to the country’s gross domestic product. A 10-year strategy to contribute to a GDP of AED300 billion by 2031.

The startup ecosystem has seen a strong boost in recent years as entrepreneurs leverage innovation to meet consumer demand. The industry’s growth has coincided with rising digitization in key industries such as retail, services, e-commerce and government.

The UAE is one of the top destinations for venture capital in the MENA region, with funding for start-ups up about 5 percent to $148 million in the third quarter from $141 million a year ago, according to Startup Platforms. Magnit.

Companies in the country also raised $699 million in the first half of the year.

Entrepreneurial Nation is designed as a one-stop platform that unifies the UAE’s entrepreneurial ecosystem and brings together public and private sector entities to support the development of entrepreneurs and SMEs.

Mr bin Touq said its latest version will help UAE companies enter new markets and investors and potentially new capital and bring them to the global stage.

International participation will also be expanded at a later stage.

Mr bin Touq said the plan would be supported by other government entities and regulations would be developed or updated to help companies experience a more seamless development.

“We’re going to make sure the economy remains healthy and ready for the future,” he said. “We will also ensure that our legislation and regulations are highly adaptable and adaptable.”

Updated: October 13, 2022 4:54 pm