“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, stressing that “(the world after Corona) is characterized by reducing consumption and not wasting To use and conserve resources and change the way markets function. ”
He added, "We have to adapt to the current situation, which will not return to its predecessor, except in the case of producing a vaccine that completely protects people from infection and eliminates the epidemic irreversibly." He pointed out that consumers and companies must work to re-prioritize and adhere to measures Precaution and cooperation with the government to find solutions that protect all sectors of the economy.
one team
In detail, the Chairman of the Board of Directors of the Dubai Chamber of Industry and Commerce, 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, indicating that the meeting What happened 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 the Dubai economy.
He said, "All the proposals included in the working paper will be studied to assess the current situation, and know the possible support images for the economic sectors that have been affected by the outbreak in the world." He added that the government made great efforts to contain the crisis, deal positively with the current status data, and take the necessary steps to reduce Influences. He pointed to the efforts of the government in returning the expatriate labor that has severed the means of returning to its country, and implementing the steps and precautionary measures that combat the spread of the disease, stressing that everyone has a major role in adhering to government instructions, and cooperating to reduce the effects of the spread 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.
He indicated that each economic sector has a specificity in dealing, which differs from the other sector, and that the impact of the spread of the Corona virus varies from one sector to another, indicating that the most affected sectors are the tourism and hospitality sector and the aviation and retail sectors.
End of the tunnel
Al Ghurair said: “The problem today in the whole world is that the end of the tunnel cannot be seen. 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 related to each other, but each country has the peculiarity to take the decisions it sees It is suitable for them, and it is in their interest. Some countries 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 rate of inflation 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 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 under discussion before the outbreak 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 was affected by the outbreak of the virus, which is slower than the wheel of production, which calls on everyone to cooperate And join hands to solidify the economy, and mitigate potential impacts.
He pointed out that everyone is now responsible, and must cooperate to eliminate the virus, pointing to the government efforts aimed at striking 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
He 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 “(a world beyond Corona is characterized by reducing consumption, not wasteful use and preservation of resources and changing the way markets function.
He called for the need to change the consumption pattern and the trend towards stopping wastefulness, 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.
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 that it also has the ability to reach remote markets in Africa, Latin America, Asia, Europe and others, This was confirmed by our wise leadership, who foresaw the future for years, and called us to expand and reach the most distant markets. ”
He pointed out 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 irreversibly."
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 it must adapt to the decline in demand, indicating that the cost of life and business must be reconsidered , Especially the cost of housing and education, which are two major axes in 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 old patterns themselves or the old indicators and numbers as a standard."
Majed Saif Al Ghurair:
Reducing VAT needs to be discussed across the federal and local governments.
• Everyone now has to live with the disease, so as not to affect our lives.
We need a balance between private sector assistance and continued public budget support.
• Reconsidering the cost of life and business, especially housing and education.