The Emirate of Ajman has approved a new set of economic incentives to reduce the cost of doing business in the region and help entrepreneurs alleviate the financial fallout of the coronavirus pandemic.
The Ajman Free Zone (AFZ) announced a new stimulus package for the second half of 2020 which includes zero fines on bounced cheques, cheque replacements and non-renewal of licenses.
The new measures are expected to benefit more than 9,000 businesses registered in the free zone, including small and medium enterprises (SMEs) that have been severely affected by the pandemic.
The move follows an earlier program that the emirate had announced which also sought to provide assistance to the thousands of companies in the free zone.
AFZ’s Chairman, Shaikh Ahmed Bin Humaid Al Nuaimi said that the newly introduced incentives demonstrate the free zone’s commitment to providing an ideal business environment despite the “challenging global economic conditions.”
The new stimulus package will allow new and existing companies at the AFZ to avail themselves of a three-month flexible installment payment plan on their business center lease and flexible installment plan for six months on the rent for their offices, executive offices or warehouses.
The free zone is also offering discounts on the rates of company registration fees along with a 25 percent decrease in labor accommodation costs.
“More than 9,000 AFZ-registered companies, both existing and new, will benefit from the new package, which is expected to ensure continuity and support business momentum in the free zone and affiliated sectors,” AFZ said in a statement.
The Ajman free zone houses investors from more than 145 countries.