Dubai has unveiled an AED 1 billion incentive package to ease financial pressure on businesses and individuals affected by the Iran conflict, effective 1 April and running for three to six months.
The measures include a three-month deferral of government fees, hotel sales fee and tourism dirham postponements to support hospitality liquidity, and an extension of customs data grace periods from 30 to 90 days. The package will also streamline residency permit issuance and renewal to retain talent.
The initiative follows Dubai's Q4 2025 GDP growth of 6.4%, with full-year GDP reaching AED 937 billion — up 5.4%. S&P Global Ratings reaffirmed the UAE's AA/A-1+ credit rating with a stable outlook this month, citing strong liquidity buffers as a counterweight to conflict-related pressures. The UAE, Qatar and Kuwait have all announced stimulus measures for banks to support lending and offset economic disruption.
Gulf Economist Staff Writer