Dubai Chamber of Commerce has launched twenty new Business Groups in the last month, as it ramps up plans to represent all booming economic sectors and activities in Dubai.
The Events Business Group, Cloud Computing Business Group, Solar & Renewable Energy Group and FinTech & Payments Group are among the 20 new business groups unveiled so far in 2023, bringing the total number of Chamber Business Groups to 45 – and reflecting the emirate’s recognition of the importance of these industries to the Dubai economy.
These launches come as the Chamber, whose role it is to enhance the contribution of the private sector to Dubai’s economic performance, looks to create 100 sector-specific business groups by March 2023.
“The Chamber works to improve the economic performance and enhance the contribution of the private sector, which the business groups represent, in ensuring sustainable development,” says Rashed Lootah, CEO of Dubai Chambers.
Lootah says the partnership between the public and private sectors is a top priority in the vision of the emirate’s leadership, and stresses that Dubai’s economic model has established itself as a prime example in setting visionary, future-shaping, and proactive strategies.
“Business groups have a tremendous responsibility to keep pace with the emirate’s strategic plans and contribute to developing and improving various sectors and economic activities.”
Cloud Computing Group launched, as cloud becomes integral to business
The formation of the Cloud Computing Group comes at a time when cloud computing has become integral to businesses and the overall Dubai economy ecosystem.
The adoption of cloud technologies has allowed businesses in Dubai to become more agile, flexible, and efficient, helping to drive innovation and competitiveness within the local economy.
In fact, the UAE has consistently outperformed 15 other countries in the MENA region as the most cloud competitive economy. SMEs and startups in the UAE are expected to gain a total of US$17.1bn in economic benefits from hyperscale cloud computing between 2022 and 2030, equivalent to 2.3% of the UAE’s GDP in 2021.
Set up to encourage transparent conversations between members, and support the sector in advocating beneficial policy changes, the Cloud Computing Business Group will be “a catalyst for driving adoption of cloud computing in various organisations across the board”, Omid Mahboubi, Founder of MENA Cloud Alliance says.
According to Miguel Villalonga, CEO of e& enterprise Cloud, it will provide a platform for fruitful discussions between stakeholders in the sector, “enabling the leveraging of expertise while aiming to enhance the cloud computing landscape in the UAE”.
The Group will focus on promoting the development of cloud computing companies, raising the profile of Dubai’s cloud services sector in the international business community.
FinTech Business Group launched, as fintech poised to grow
The new Fintech & Payments Business Group aims to bring together companies within the sector to encourage collegial dialogue, advocate policy change and promote the emirate as a highly competitive global commercial centre.
This comes as the UAE’s fintech market becomes an increasingly important part of the country’s economy, home to more than 235 fintech firms employing more than 2,000 people and is poised to grow at a CAGR of greater than 10% by 2027.
“It will play a pivotal role in supporting members and the emirate’s private sector to drive FinTech growth and serve as a platform to leverage the vast opportunities in this vital sector,” says Maha Al Gargawi, Executive Director of Business Advocacy at Dubai Chambers.
Solar and Renewable Energy Group, in run-up to COP28
As the world shifts to renewable energy and a decarbonised economy, the establishment of the Solar & Renewable Energy Business Group is timely and relevant. It comes in the run-up to UAE’s COP28 presidency, highlighting the importance of the country’s Energy Strategy 2050 and Dubai’s Clean Energy Strategy.
Announced in 2017, the UAE Energy Strategy 2050 aims to reduce carbon footprint on power generation by 70 per cent, improve energy efficiency by 40 per cent, increase the contribution of clean energy from 25 per cent to 50 per cent and save a total of AED700 billion.
“The business group will foster better understanding of these clean energy targets amongst local businesses while providing them insights to drive the shift to renewable energy,” says Al Gargawi.
Events Business Group launched, as sector blooms post-pandemic
Recognising the important of the events’ industry to Dubai and the wider emirates’ economy, The Events Business Group will connect the UAE’s event sector companies to promote dialogue, policy change and cement the emirate’s position as a world-leading events destination.
Dubai Expo 2020, GITEX, and various other global events, hosted in the emirates, including Cop28 later this year, have positioned Dubai as a global events destination that is strategically located to offer businesses the global connectivity they need along with a world-class infrastructure and touristic attractions.
Paul Berger, CEO of Arena Event Services says the new group is “an important step in providing a forum which facilitates mutual dialogues between government entities and group members on policy matters of importance to the industry”; while Khalid Alhammadi, VP of Lilve Events at DXB Live
13 more sector-specific business groups to strengthen Dubai’s key sectors
A further 13 business groups have launched in varying economic sectors, to “encourage greater cooperation, mutual knowledge sharing and greater understanding of the synergies that exist between competitors in each sector, in terms of domestic, regional and international trading opportunities”, according to Lootah.
Among the business groups launched in 9 different economic sectors are four in construction and five others:
- Agribusiness – the UAE, which imports around 85% of the food it consumes, strives to increase food security and reduce reliance on imports
- Furniture and Home Furnishing – a release of pent-up demand for home furnishing was seen in 2021, with sales exceeding the pre-pandemic level
- Flower Traders – Dubai’s flower total trade value was AED1.5bn between 2011 and 2021, according to Dubai Customs
- Tyre Traders – Dubai’s tyre sector, valued at AED65.2bn between 2011-2021, is in a growth phase
- Fabrication & Welding – the global welding market is projected to grow at a CAGR of 4.6%
- Electrical Equipment and Contractors Business Group – forecast retail sales of consumer electronics in the UAE will AED 32.5bn by 2027
- Cable & Wire – growth in this sector (projected to grow globally at a CAGR of 4.2% from 2022 to 2030) in Dubai is being seen with continued urbanisation and growing infrastructure
- Steel & Metal Traders – the UAE was the 15th largest iron ore importer in the world in 2021, according to Trademap
- Medical Equipment – the UAE’s medical device market is expected to reach US41.52bn by 2025
- Plastics and Rubbers – plastic products are of the UAE’s main exported commodities
- Optics and eyewear – eyewear in the UAE witnessed a rebound in retail volume and value sales in 2021 following double-digit declines during the first year of the pandemic
- Paper, tissue and stationery – the UAE stationery maket has witnessed robust growth since the pandemic
- Chocolate and confectionery – there are various trends shaping this market in the UAE, including organic, low-sugar and premium
- How UAE Astra Tech is building the MENA region’s Ultra AppTechnology
- How Middle East is embracing the future of digital financeCorporate Finance
- Meet Mitchell Elegbe, EY entrepreneur of the year for AfricaLeadership & Strategy
- Dubai financial hub growth takes DIFC to record resultsCorporate Finance