ABU DHABI, (Pakistan Point News - 18th Feb, 2020) - Abu Dhabi-based industrial facilities grew by more than 57 percent in 2019 to 66 from 42 facilities in 2018, hitting a combined investment value of AED6.29 billion, figures by the Abu Dhabi Department of Economic Development, ADDED, revealed.
The latest edition of the annual Industrial Activity Report issued by the Industrial Development Bureau, IDB, of the ADDED highlights key statistics showcasing the local industrial sector’s performance in 2019. A total of 1,552 industrial licenses, comprising 811 with ‘Production’ status; 535, ‘Under Process;’ and 206, ‘Industry Pioneers,’ were released by the end of the year.
Rashed Abdul Karim Al Balooshi, Undersecretary, ADDED, said that the report reflects the significant role of IDB in fostering a business-friendly environment in Abu Dhabi and ensuring a positive and preferable investment environment for the local industrial sector. Al Balooshi added that IDB continues to design solutions to the challenges facing the industrial sector through the implementation of strategic initiatives that support the industrial investors.
He underlined the positive impact of the Electricity Tariff Incentive Programme on the industrial sector. ETIP was launched last year as part of the Abu Dhabi Government’s accelerator programme ‘Ghadan 21.’ A new initiative to be launched this February is also expected to contribute to the sector’s growth by reinforcing public-private partnerships and increasing the private sector’s contribution to Abu Dhabi’s gross domestic product.
Al Balooshi attributed the growth in the issued industrial licenses in Abu Dhabi over the past three years to IDB’s ongoing efforts, noting a 530 percent growth in 2019 to reach 139 newly issued licenses compared to 22 licenses in 2016.
He emphasised ADDED’s keenness to facilitate licensing procedures for industrial facilities, with the aim of attracting more foreign and local investments to the industrial sector. While 2019 witnessed a considerable growth in the number of issued industrial licenses in Abu Dhabi, ADDED aims to double the number in Abu Dhabi, Al Ain City, and Al Dhafra.
"Under the ‘Industrial Pioneers’ category, the 2019 Industrial Activity report recorded a 11.20 percent growth compared to 2018, which reflects the industrial investors’ interest to seek investment opportunities in Abu Dhabi. The number of industrial facilities with ‘Production’ status also increased in 2019 by 57.14 per cent compared to the figures issued in 2018," Al Balooshi said.
He added: "These figures give credence to ADDED’s endeavors geared towards boosting Abu Dhabi’s sustainable development and economic diversification efforts, with a special emphasis on the non-oil sectors. Our ongoing endeavors are in response to our leaders’ directive to raise the emirate’s global competitiveness. ADDED will remain a key contributor to the sustainable development of various non-oil sectors."
The IDB report also recorded a 5.7 percent increase in industrial license renewals applied by facilities with ‘Production’ status. A total of 732 licenses were issued in 2019 compared with 696 licenses in 2018. Those with ‘Under Process’ status saw a cumulative growth rate of 9.53 percent since 2016. An increase of 3.32 per cent was posted in 2019 in comparison to 2018.