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The AED1 billion package, approved by Crown Prince Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum as Chairman of the Executive Council, includes three-month deferrals on a range of government fees to reduce immediate financial burdens on companies and individuals. Hotels will be allowed to postpone payment of 100 percent of sales fees and the Tourism Dirham under the measures that took effect from April 1, 2026, according to the Dubai Department of Economy and Tourism. The initiative forms part of a wider package designed to help businesses navigate short-term pressures while sustaining long-term growth across the emirate.
Customs data grace periods have been extended from 30 to 90 days with the possibility of further extensions as long as full compliance with tax legislation is observed, the Executive Council stated. Procedures for issuing and renewing residency permits have also been streamlined to make it easier for talent to live and work in Dubai. Deferrals further apply to fees for premium business names, license amendments, newspaper announcements, local services, accommodation, waste management and service improvements for both new licenses and renewals, with businesses to receive an update after the initial three-month period.
His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum said, “Dubai has earned a reputation for credibility, transparency and trust among businesses and investors worldwide, and stands ready to meet any challenge through the determination of its people and the strength of its inclusive society.” Helal Saeed Almarri, Director General of the Dubai Department of Economy and Tourism, stated that the emirate’s economic model has been built on agility, clarity and cooperation, with the accelerated measures demonstrating decisive leadership. The Director General added that growth in tourism and the wider economy has relied on close collaboration with industry to understand challenges and rapidly enact policies that incentivize expansion and solidify resilience.
The announcement coincided with the release of Dubai’s 2025 economic performance figures, which placed GDP growth at 5.4 percent with the total reaching AED937 billion. A report from the Federal Competitiveness and Statistics Centre, cited by Reuters, recorded UAE-wide real GDP growth of 6.2 percent for 2025, with non-oil GDP rising 6.8 percent to AED1.5 trillion. Data from Digital Dubai separately showed the emirate’s economy expanded 4.7 percent in the first nine months of 2025 to AED355 billion, reflecting strong performance in non-oil sectors that the new measures seek to protect.
In parallel the Executive Council approved the Virtual Warehouses Initiative, supervised by Dubai Customs, which in its first phase will facilitate temporary imports to ensure the smooth flow of goods including artwork. The Dubai Empowerment Strategy, overseen by the Community Development Authority, aims to raise living standards, strengthen financial stability, promote sustainable employment and foster social cohesion among Emirati families. A Health and Safety Strategy for Workers’ Accommodations was also endorsed to improve living and working conditions for laborers across the emirate.
Issam Kazim, CEO of the Dubai Corporation for Tourism and Commerce Marketing, confirmed that the Department of Economy and Tourism has engaged closely with tourism stakeholders navigating unique challenges, applauding their resilience in maintaining high-quality service. Kazim added that the new incentives align with feedback from hospitality leaders and will position the sector for renewed growth and momentum. Ahmad Khalifa AlQaizi AlFalasi, CEO of the Dubai Business Registration and Licensing Corporation, stated that Dubai has built global credibility through relentless focus on business needs and a willingness to drive ecosystem developments for collective benefits.
