Despite the critical effects of COVID-19 on economies in the world, the UAE remained exceptional by creating 248,000 jobs in the retail, finance, technology and telecommunications sectors in 2020.
His Highness Sheikh Mohammed bin Rashid Al Maktoum, the Vice-President and Prime Minister of the UAE said in a tweet that the country added 100,000 jobs in the retail and eCommerce sector and 148,000 in the finance, technology and telecommunications industry last year.
The UAE job market got this boost despite the global economy shrinking 3.3 percent last year. It slumped into its worst recession as the COVID-19 disrupted trade, travel and forced countries into lockdowns that led to higher unemployment and poverty, according to the International Monetary Fund (IMF).
According to the IMF’s estimates, global trade contracted 8.5 percent in 2020. Nearly 8.8 percent of working hours were lost worldwide last year due to the pandemic, roughly four times the number lost in the 2008 financial crisis, the International Labour Organisation said.
The UAE reacted quickly to the pandemic-driven crisis by initiating economic stimulus measures to help businesses and residents. Overall, the country has unveiled support packages worth at least $105 billion since last year.
In July 2020, Dubai became one of the first cities to re-open its borders to international tourists, after putting rigorous health in safety measures in place, which helped boost the hospitality and retail sectors.
The pandemic has accelerated the boost in the eCommerce sector as more consumers shopped from home amid COVID-10 restrictions. According to Mastercard’s Recover Insight’s report, the UAE consumers have made a 21 percent increase in purchases from online stores when compared to earlier numbers.
The technology sector has also benefited from additional investments during the pandemic as businesses created more innovative solutions for telehealth, remote working and learning from home.