“The economy needs to deal with the new data imposed by the outbreak of the new Corona epidemic (Covid 19),” said the Chairman of the Board of Directors of the Dubai Chamber of Commerce and Industry, Majid Saif Al Ghurair. Resources and preservation and change the way markets operate.
He added that «we must adapt to the current situation, which will not return to its predecessor, except in the case of a vaccine that protects people completely from infection and eliminates the epidemic irreversibly», pointing out that consumers and companies must work to re-prioritize and adhere to precautionary measures, And cooperate with the government to find solutions that protect all sectors of the economy.
In one
remote detail, the Chairman of the Board of Directors of the Dubai Chamber of Industry and Trade, Majid Saif Al Ghurair, confirmed, in a remote dialogue, with "Emirates Today", that the Dubai Chamber is working with the government and all parties as a team to face the challenges of the current stage, which affected the whole world, He pointed out that the meeting that took place last month between the Chamber and representatives of foreign companies and economic leaders, resulted in a working paper with proposals that can be worked on to study the state of business sectors in a manner that strengthens the strength of Dubai's economy.
He said that «all the proposals contained in the working paper will be studied to assess the current situation and know possible forms of support for the economic sectors that have been affected by the outbreak of the epidemic in the world, adding that the government has made great efforts to contain the crisis, deal positively with the current status data and take the necessary steps to reduce the impacts. He pointed to the efforts of the government to return expatriate workers who had been stranded for returning to their country, and to implement precautionary steps and measures to combat the spread of the disease, stressing that everyone has a major role in adhering to government instructions and cooperation in order to reduce the effects of the disease.
He stressed that the government will study all the proposals presented by the chamber, on behalf of companies and businessmen, by knowing the true impact of each proposal and the steps necessary to implement it, noting that the issue of reducing value-added tax needs to be discussed through the federal government and local governments.
And that each economic sector has a specificity in dealing, different from the other sector, and that the impact of the spread of the Corona virus varies from one sector to another, explaining that the most affected sectors are the tourism and hospitality sector and the aviation and retail sector.
End of the tunnel
Al Ghurair said: “The problem today in the whole world is that it is not possible to see the end of the tunnel. When the crisis started, we expected it to end after a month or two, but it seems that it is out of control globally.” He pointed out that the world is connected to each other, but each country has privacy in making decisions. Which it deems appropriate for them, and is in its interest. Some countries have raised taxes, but this came according to indicators that enable them to judge the current situation and the appropriate solutions for the nature of the economy.
He stated that, although the dirham is related to the US dollar, the inflation rate is still low and the dirham is still maintaining its position, unlike other countries that have witnessed significant increases in the level of inflation, after the outbreak of the Corona virus, stressing that this is a good indication of the strength of the fundamentals of the economy, noting that The dialogue is permanent with the banks and the central bank to protect the market and find a balance in the banking sector.
He added that some of the proposals submitted by the Chamber were discussed before the emergence of the new Corona virus, but the current situation has become imperative to consider them, especially with the decline in economic growth and the economy affected by the spread of the virus, which slowed the wheel of production, which calls on everyone to cooperate, And join hands to consolidate the economy and mitigate potential impacts.
He pointed out that everyone is now responsible and must cooperate to eradicate the virus, pointing to the government efforts that aim to strike a balance in the economy between the need to spend to continue growth and achieve the necessary revenues for that, in order to motivate the private sector to continue to play its role.
Reducing taxes and
continued: "Reducing taxes and fees will affect government revenues, and for this we need a balance between helping the private sector and continuing to support the public budget."
Al Ghurair said, “The population must coexist with the current situation through adherence to government measures and work to develop and change the way of life.” He pointed out that everyone now has to coexist with the presence of the virus, in a way that does not affect our lives, and stressing that “(the world after Corona It is characterized by reducing consumption, not wasting the use of resources and preserving them, and changing the way markets operate.
He called for the need to change the consumption pattern and the trend towards stopping extravagance, with consideration to expanding communication with markets to compensate for the lack of demand in the local market, as the UAE can meet the needs of other markets for goods and services with its expertise and ability to access and access.
The local market, he added, that the demand will remain less in the local market during the coming period, which is what must be done with him to discover other neighboring markets, saying that “the UAE lies among a number of large markets and it has the ability to reach remote markets in Africa, Latin America, Asia, Europe, etc., This was confirmed by our wise leadership, who foresaw the future for years and called on us to expand and reach the most distant markets.
And that «we have to adapt to the current situation, which will not return to its predecessor, except in the case of a vaccine that protects people completely from infection and eliminates the epidemic forever.»
He said that economic sectors will adapt to the new reality, but that will cost them a lot, such as the aviation sector, which will increase its operating costs, with the presence of precautionary measures, and that the retail sector will be affected and must adapt to the decline in demand, indicating that the cost of life and business should be reviewed, especially the cost Housing and education, which are central to raising the cost of living.
He added: "We need to reformulate the economy in a new way and restructure the sectors according to the new changes in (the post-Corona world), because it is no longer appropriate to use the same old patterns or old indicators and numbers as a standard."