Small and medium enterprises form a significant part of the UAE’s business landscape, and they are critical to the Emirates’ ambition to become the world’s top nation for entrepreneurship.

The UAE is home to about 350,000 SMEs, representing over 94% of all active companies in the country. These enterprises employ 86% of the private sector labour force and contribute over 60% of the total GDP(1). In Abu Dhabi alone, SMEs account for more than 90% of businesses, employ 39% of the workforce and contribute 32% of non-oil GDP

Abu Dhabi SME Champion Programme – Game-Changer

The Abu Dhabi Department of Economic Development (ADDED) recently unveiled the Abu Dhabi SME Champion programme, an initiative to empower SMEs in the region. The programme seeks to assist SMEs in securing procurement opportunities from major private and public sector firms, thus supporting their growth and expanding their capabilities.

Four of Abu Dhabi’s leading companies – Etihad Aviation Group, Aldar Properties, Emirates Steel Arkan Group, and Ittihad Papermill – have already committed to procurement opportunities worth AED 30 million in the programme’s first phase. These companies will also nominate specialized teams to coordinate and work with selected SMEs on training and workshops, equipping them with the necessary skills to compete professionally in procurement.

The Abu Dhabi SME Champion programme is designed to ensure that SMEs in the region are equipped with the necessary skills and resources to compete effectively in procurement and scale up their businesses. The programme’s future cohorts will see the participation of more large companies and government-related entities, indicating a growing trend of support for SMEs in Abu Dhabi.

The programme underscores the government’s commitment to promoting economic growth and championing SMEs as drivers of a vibrant, private sector-driven economy. According to His Excellency Sameh Al Qubaisi, Director General of Economic Affairs at ADDED, Abu Dhabi is focused on developing a knowledge-based, innovation-driven economy, with SMEs and start-ups playing a pivotal role in this vision.

Building a Unicorn Nation

In October 2022, the Ministry of Economy launched the second phase of The Entrepreneurial Nation, an initiative designed to catalyse the growth of 8,000 SMEs based in the UAE, foster foreign direct investment, and establish the UAE as home to 20 unicorns by 2030(3).

The initiative has already generated impressive results, with over 40 successful public-private partnerships and programs established, attracting more than 800 SMEs and over 5,000 individuals to participate. Since its inception, The Entrepreneurial Nation has created significant value, with AED 19.5 million delivered to date.

UAE’s SMEs Set to Take on the World

The UAE’s pro-SME policies and programs are geared towards cultivating a culture of innovation and entrepreneurship, enabling SMEs to play a critical role in the UAE’s economic development. Through these initiatives, the UAE is positioning itself as a leader in the global entrepreneurial landscape.

As a leading procurement solutions provider, Moglix recognises the significance of procurement opportunities for SMEs in the UAE and committed to delivering value at scale. Contact us today to learn more about how we can support your business and help you take advantage of the opportunities provided by the UAE.