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UAE inflation: Govt to hand out allowance to 47,300 low-income UAE households – News

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New social support package includes subsidies for food, electricity, water and fuel



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Posted: Sunday, August 7, 2022 at 7:42 pm

The UAE government has issued inflation subsidies to 47,300 low-income Emirati households to help them cope with rising prices for food, fuel, electricity and water.

The Ministry of Community Development announced on Sunday an update on the payment of inflation allowances to Emirati families as part of the government’s new social support programme.

The Inflation Allowance is a subsidy issued by the government to low-income Emirati households in response to increases and inflation in fuel prices, basic food, electricity and water worldwide.

The scheme includes three categories of allowances: food, electricity and water, and fuel subsidies.

Earlier last month, UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan directed the restructuring of the social support programme for low-income citizens, increasing the programme’s budget from AED14 billion to AED28 billion. Ram.

The fund provides new grants for housing, college education and unemployed citizens over 45. The scheme also provides subsidies for fuel, food, water and electricity.

Authorities say the distribution of the allowances stems from the leadership’s keenness to provide a decent livelihood for citizens on limited incomes across the country.

The Ministry of Industry and Information Technology pointed out that since mid-July, fuel subsidies will be issued to eligible low-income groups, food subsidies will be issued from August 5, and water and electricity subsidies will also be issued one after another.

“These funds will benefit low-income households in the UAE, who are entitled to inflation allowances,” the ministry’s statement said.

fuel subsidy

The scheme subsidizes 85% of the increase in fuel prices above Dh2.1 per litre per month. The head of the household receives 300 litres a month, while the working wife receives an additional 200 litres. At the same time, if the wife is not supported, the head of the household will receive a subsidy of 400 liters. The family presents their Emirates ID at any Adnoc petrol station in the UAE and the value of the expiring bonus can be used for the month.

Food allowance

As part of the initiative, the government has covered 75% of the increase in food prices as a pledge to provide Emirati families with the necessary assistance to meet living requirements and provide them with a decent living.

The ministry confirmed that all Inflation Allowance beneficiaries registered in Fuel Allowance are automatically registered in Food Allowance and confirm their registration by sending them an SMS by creating an account linked to their Emirates ID. By visiting one of about 100 Lulu hypermarkets in the UAE and presenting their Emirates ID when making payment, these families can benefit from allowances that are due throughout the month.

Hydro subsidy

The social welfare program provides a 50% monthly subsidy for electricity consumption below 4,000 kilowatts and a 50% monthly water subsidy for water consumption below 26,000 gallons.

The ministry said beneficiaries of the inflation allowance will be automatically registered to receive the monthly utility bill for a period of time to come.

The ministry explained that the mechanisms to apply for social assistance and support-related enquiries are both available through the ministry’s website (www.mocd.gov.ae) and through the smart app, complete with a digital identity or UAE registration ID.

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