These measures aim to support SMEs by reducing the cost of doing business.
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Ajman Free Zone (AFZ) has announced eight new incentives for the companies based there for the second half of 2020 as a way to support them in these challenging times. The free zone announced the following:
- significant fee discounts and waivers
- eased the cost of doing business
- no fines on bounced cheques and cheque replacements
- removal of fines on non-renewal of licenses
- 100% waiver on the e-channel guarantee fee
Also, new and existing companies in AFZ can:
- take three-month flexible instalment payment plans on their business centre lease
- avail flexible instalment plans for six months on their offices, executive offices or warehouses rent
- avail discount rates on company registration
- get a 25% discount on labour accommodation during the second half of 2020
The new incentives will ensure the business continuity of more than 9,000 free zone companies and will benefit both new and existing customers. As stated by Sheikh Ahmed Bin Humaid Al Nuaimi, chairman of AFZ, the new measures show the free zone's commitment to providing an ideal business environment for continuous company growth and development despite challenging global economic conditions. He has also stated that these incentives will specifically aid the SMEs that have been affected by the coronavirus pandemic and reduce the impact of the global crisis on their operations. Dr Mohammed Al Zarooni, Chairman of World Free Zones Organization, recently said that the free zones have not escaped the global disruption from the coronavirus pandemic, but their special status and distinct structures can help them weather the pandemic storm in unique ways. He further added that by putting clear strategies in place to manage their risk palette, from production to market and trade threats, free zones can emerge stronger and leaner from this crisis. The original article was published in Khaleej Times on August 3, 2020. You can find it here.