The National Program for Small and Medium Enterprises (SMEs) revealed that it is coordinating with the federal and local government agencies to exempt or reduce national entrepreneurs who are members of the program.

It is expected that entrepreneurs will start to get soft financing from technology platforms, he said, noting that this funding will be available to all member projects of the program, not limited to projects of a certain quality.

Coordinate

Dr. Adeeb Al-Afifi, Director of the National Program for Small and Medium Enterprises (SMEs) affiliated to the Ministry of Economy, said that the Ministry is currently coordinating with the federal and local government agencies in the country to exempt UAE entrepreneurs who are members of SMEs from the federal and local government fees. Alike, or reduced to the lowest possible level.

Al-Afifi told Emirates Today that the ministry aims to exempt national entrepreneurs from fees, as this reduces the burdens on employers and helps them in the success of their projects, pointing out that fees are one of the main challenges facing the owners of small and medium enterprises now.

Funding platforms

Al-Afifi announced that the National Program for Small and Medium Enterprises (SMEs) is currently discussing cooperation with some financial technology platforms, both inside and outside the country, so that the program's entrepreneurs, who own 100% Emirati companies, will have new financing options besides local funds and banks. He pointed out that there are positive results that have emerged during the recent period.

Al-Afifi explained that the financing platforms have several advantages, most notably that they do not require guarantees for financing, they also require very simplified financing procedures, and focus on financing between 100,000 and 500 thousand dirhams in particular, which is of great benefit to all companies, especially micro.

He added that it is expected, according to current data, to start financing operations for the member companies of the program, in the second half of next year, through these technological platforms, pointing out that this funding will be available to all projects member of the program, and not limited to projects of a certain quality.

He said the number of member projects in the program is expected to increase by 30 percent each year, reaching 3,000 companies in two years.

Offers and tenders

On reaching agreements with local governments on granting these governments 10% of their purchases for small projects in the program, like the federal government, Afifi said that no final agreement has been reached in this regard so far, but a set of offers and tenders have been submitted to the program members. As a preliminary test, the experience will be evaluated within three months in preparation for the signing of final agreements in this regard with a number of local governments soon.

Al-Afifi pointed out that the SME Law does not contain any provision for local governments to grant this advantage to UAE SMEs. However, the program, through its experience with UAE SMEs, considered that this step will have many positive effects in the development of These Emirati projects, especially given the large volume of purchases of local governments, which ultimately leads to the development of small enterprises.

50 training programs

Dr. Adeeb Al-Afifi, Director of the National Program for Small and Medium Enterprises, said that the program aims to organize 50 training programs in various Emirates for Emirati entrepreneurs to facilitate the use of government services provided by the State in coordination with the funds.

Support

The National Program for Small and Medium Enterprises (SMEs) currently supports 100% UAE-owned companies, with a view to opening up the long term, at a later stage, to the participation of the various SMEs involved in the program.