Dubai’s reputation as the “Gateway to the Middle East” has long been established, drawing businesses from around the globe seeking to tap into the region’s lucrative markets. Among these, Indian MSMEs have gravitated towards Dubai’s business-friendly ecosystem, strategic location, and supportive regulatory environment. As of 2022, over 83,000 Indian companies have registered in Dubai, signaling its growing appeal to Indian entrepreneurs.

Rising Employment Opportunities in Dubai: A Boon for the Workforce

The expansion of Indian MSMEs in Dubai has created new jobs in various sectors, such as manufacturing, retail, and hospitality. Indian firms and NRI-owned entities have created over 1 million jobs in the UAE, providing local employment opportunities. These businesses have been hiring local talent and providing employment opportunities for Dubai’s growing population. This has helped to boost the Emirate’s economy by reducing unemployment rates and increasing consumer spending. Indian MSMEs’ success in Dubai may inspire more Indian businesses to look into doing business in the UAE and other Gulf nations. For Indian SMEs, this may result in more export options, enabling them to grow their clientele and their earnings. Additionally, Indian businesses may be able to use the UAE’s strategic location as a point of entry to other Middle Eastern and African markets.

Beyond Oil and Gas: A Tale of Economic Diversification

Dubai has traditionally relied on its oil and gas industry as a primary source of revenue. However, the emirate has been working towards diversifying its economy and reducing its dependence on these resources. The expansion of Indian MSMEs has helped to achieve this goal by introducing new industries and business sectors in the emirate. This has helped to make the economy more resilient and less vulnerable to fluctuations in global oil prices.

The Power of Collaboration: Boosting Business Growth

Indian MSMEs expanding their global presence in Dubai also foster business collaborations with local companies. This has helped to create new business opportunities, increase trade relations, and improve the competitiveness of Dubai’s businesses in international markets. Collaboration between Indian MSMEs and local companies has also led to knowledge sharing, transfer of expertise, and development of new products and services.

Knowledge is Power: The Benefits of a Knowledge-Driven Economy.

The expansion of Indian MSMEs in Dubai also contributes to developing a knowledge-based economy in Dubai. For example, the new India-UAE Start-Up Corridor targets 50 tech start-ups from India and UAE, aiming to foster 10 into unicorns by 2025.

Indian businesses are known for their expertise in the IT, healthcare, and education sectors. Their presence in Dubai contributes to developing new knowledge-intensive industries like research and development, consulting, and data analytics.

Bridges to the Future: Infrastructure Development for a Better Tomorrow.

To attract and retain businesses, Dubai needs to have world-class infrastructure in place. The expansion of Indian MSMEs has spured investment in infrastructure development, such as transport, logistics, and telecommunications. This improves connectivity and makes Dubai an even more attractive location for businesses.

Indian MSMEs and Dubai: A Partnership for Mutual Growth and Success

Dubai has emerged as a significant player in diverse sectors such as tourism, logistics, finance, and technology, thanks to favorable government policies and initiatives to attract foreign investment, promote entrepreneurship, and foster innovation. As the emirate continues to evolve as a global business hub, the partnership between Indian MSMEs and Dubai is poised to be a vital one, driving mutual growth and success.

We at Moglix have been working with MSMEs in the UAE and India to enable them a greater market to play in and explore new opportunities.Know more.