In implementation of the directives of His Highness Sheikh Saud bin Saqr Al Qasimi, Member of the Supreme Council and Ruler of Ras Al Khaimah, and a follow-up by His Highness Sheikh Mohammed bin Saud bin Saqr Al Qasimi, Crown Prince of Ras Al Khaimah and Chairman of the Executive Council, the Ras Al Khaimah government announced today, the launch of a package of incentive measures and facilities that include various Business sectors in the emirate. This step comes within the framework of the continuous efforts announced by the UAE to help private sector companies to overcome the economic challenges caused by the spread of the Corona virus epidemic (Covid 19) and to ensure business continuity and reduce the size of the repercussions of the crisis on the local economy.
The stimulus package is distinguished by covering all business sectors in the emirate including economic activities, the tourism sector, the government services sector, the environmental sector, small and medium-sized companies, and the commercial and investment sector. A group of the concerned authorities in the emirate participated in the development of incentive measures, where each party played its role in studying and approving the procedures that suit the nature of the companies that deal with it, so as to ensure the achievement of the highest rates of efficiency and flexibility in dealing with the changes of the current situation and its exceptional circumstances, with a focus on Small and medium-sized companies, which constitute the largest proportion of the total number of companies operating in Ras Al-Khaimah, which is also the most affected at this stage.
The launch of these incentive measures reflects the highest levels of coordination and integration between the various local government agencies in the emirate and free zones, including the Ras Al Khaimah Municipality Department, the Economic Development Department, the Ras Al Khaimah Economic Zones Authority (RAKZ), the Ras Al Khaimah Chamber of Commerce and Industry, and the Ras Al Khaimah Tourism Development Authority , The Environmental Protection and Development Authority, and the General Resources Authority. As all of these parties were keen to respond to the initiative based on their responsibility to provide all guarantees and take measures to ensure the continuity and prosperity of businesses in the emirate. The incentive measures varied according to three levels: canceling or postponing some payments, providing consultations, and assistance in marketing, according to the nature of the work in each party and the most appropriate way that benefits its customers. Among the most important incentive measures taken by government agencies in the emirate, the approval of a 25% exemption on fees for renewing commercial licenses that were closed based on the circulars issued by government agencies, as well as sectors affected by the crisis in general if they meet the conditions and standards set by the Department of Economic Development.
For his part, Dr. Mohamed Abdel Latif Khalifa, Secretary General of the Executive Council in the Emirate of Ras Al-Khaimah said: “We are keen to implement the directions of good leadership aimed at ensuring the provision of all aspects of material and advisory support to companies in the emirate as part of our permanent commitment to strengthening the existing partnerships between the public and private sectors Which is an essential pillar for developing the economy of the UAE and Ras Al Khaimah. The current circumstances make it necessary for us to fulfill our obligations towards this sector, and to work together to develop practical plans and strategies that allow us to deal efficiently with the challenges of the current stage and continue to work towards achieving our common goals, and enhancing our readiness For the future, and to make the most of all opportunities in the post-epidemic phase. "
The procedures of the Department of Economic Development in Ras Al Khaimah included extending the renewal period of commercial licenses 60 days from the date of their expiry, and allowing institutions and companies to work 24 hours a day throughout the week for a period of 3 months during this year, in the post-crisis period of the new Corona virus epidemic. ". The department's support package in this area included exemptions from fees imposed on marketing permits for a period of two months during the current year in the event of the end of the crisis, and exempting hotels, resorts and tourism activities from commercial registration fees during the closing period.
Tenants exemption for a period of 3 months and a reduction in the fees for issuing health cards
In turn, the Ras Al Khaimah Municipality Department exempted tenants in the markets owned by the municipality from rents for a period of 3 months, including barber and beauty salons and stores in the Nakheel market, and exempted advertising companies from paying rent for a period of three months, as well as exempting companies from paying the rental documentation premiums on A year term starting from the moment the license is renewed, in addition to the exemption from paying fees for licenses for external occupations of roads and public utilities, and a reduction in fees for issuing health cards to workers.
Tree planting as an alternative to pay fines and exemptions of up to 50%
The Environmental Protection and Development Authority in Ras Al Khaimah contributes to incentive measures through an unprecedented qualitative initiative that reflects the extent of the authority’s keenness to expand the vegetation cover in the emirate and raise the degree of environmental awareness in the emirate. The authority’s initiative is based on exempting all companies from fines for environmental violations committed before March 31, and suggested that companies replace them by planting a number of trees, provided that this number is determined according to the value of each violation, and the authority will provide these trees for planting. The authority also announced a 25% reduction in the value of violations imposed on companies and industrial establishments whose total value of environmental violations does not exceed 50 thousand dirhams during the period between April 1 to December 31, 2020. With regard to fees for environmental violations on industrial institutions, including laboratories Crushers and cement factories, which exceed 50 thousand annually during the period from April 1 to the end of the year, the authority decided to postpone it for a year.
50% exemptions for protection fees
For its part, the General Resources Authority issued exemptions from fees for commercial vehicles for the investor category, up to the beginning of October 2020, in addition to 50% exemptions on “protection” violations that are paid up to the beginning of October 2020 also, provided that these violations occurred in Earlier to this announcement. The authority also announced that it is possible for small companies and grocery stores to advertise through its website for free, by preparing lists and placing them on its portal, which is visited by camera surveillance systems service providers to issue or renew their licenses, which will help them in marketing their services.
Support 15,000 companies and 25% discount on new residence visas for families
In turn, RAKZ launched a package of incentives to support the companies operating under its umbrella, which number more than 15,000 companies, including the exemption from renewing commercial licenses for a period of three months, flexible options for payment in installments, and a complete exemption from the amount of insurance On requests for new residence visas, a 25% discount on new residence visas for family members, a full exemption from penalties for delay in renewal, a full exemption from fee postponement of checks, a full exemption from fees for discount packages, and a complete exemption from activity change fees. The incentives also included enhancements to support industrial companies with a 50% discount on license fees, along with flexible options for prepayment, a full exemption from the amount of insurance on new residence visa applications, a 25% discount on new residence visas for family members, and a full exemption from delay penalties in Renewal, complete waiver of postponement of checks, 25% discount on new workers' housing applications, complete waiver of entrance fees to RAKZ regions.
Motivational and steering committees
In addition to this package, what was provided by the Ras Al Khaimah Tourism Development Authority in its initiative, which included the establishment of the Incentive Committee and the Internal Steering Committee. Initiatives supporting the tourism sector include: a six-month exemption from tourist license fees, a "tourism dirham" fee from March to May 2020, a full exemption from tourism license fees for the second and third quarters of the current year, and tourism licensing fines until September 30, 2020. It will also be Launch a dedicated financial incentive package targeting private tourism companies, including the mid-level hotel sector, four-star hotels, as well as tourist destinations, golf courses and other tourism institutions. Moreover, the authority’s partners in the hospitality sector will be able to participate in a variety of exhibitions and promotional tours that will be launched during the years 2020 and 2021 without any fees.
Exemptions and support for the local business sector and citizens' entrepreneurs
The Ras Al Khaimah Chamber of Commerce and Industry continues its role in supporting the local business sector and enhancing its contribution to sustainable development by approving a set of steps that include 100% exemption from delay fines due on memberships ending until June 30, 2020. And in a special initiative to support citizen entrepreneurs who benefit from Business incubators program, the Chamber decided to exempt them from the rental fees due for the period from April 2020 to December 2020.
Exemptions for exhibitions:
In order to restore activity to the exhibition sector, the Ras Al Khaimah Chamber of Commerce and Industry has approved a 50% exemption for foreign exhibition permits until the end of 2020, and a 25% exemption for consumer and specialized exhibitions held at the RAK exhibition halls until the end of 2020.
It is worth noting that these initiatives are consistent with the strategy of the Ras Al Khaimah government in enhancing the attractiveness of its business sector, focusing on its competitive advantages that suit different types of economic activities, and enhancing its position as an appropriate destination for investment, livelihood and tourism attraction.