Key Highlights

• Dubai’s Executive Council approved an AED 1 billion ($272 million) economic support package on March 30, 2026, effective April 1 for three to six months.
• Government fees, including licence, accommodation, and service improvement fees, are deferred for three months for both new and renewing businesses.
• Hotels and holiday homes can defer 100% of Tourism Dirham and sales fees, while importers benefit from a customs grace period tripled from 30 to 90 days.
• The package also streamlines residency permit processing and introduces the Dubai Empowerment Strategy and a new Workers’ Accommodation Health and Safety Strategy aligned with ILO standards.

Dubai has approved a comprehensive AED 1 billion ($272 million) economic support package, effective from April 1, 2026, to help businesses and individuals navigate financial pressures arising from ongoing regional and global uncertainties. 

The measures will run for three to six months and cover fee deferrals, customs relief, hospitality support, streamlined residency processing, and workforce welfare reforms.

The Official Announcement

On March 30, 2026, the Crown Prince of Dubai, Chairman of The Executive Council of Dubai, Deputy Prime Minister, and Minister of Defense of the UAE, chaired a meeting of the Executive Council of Dubai and announced the approval of the package. 

The announcement was confirmed via the official Dubai Media Office and Sheikh Hamdan’s verified social media channels.

Sheikh Hamdan stated:

“Dubai has earned a reputation for credibility, transparency, and trust among businesses and investors worldwide and stands ready to meet any challenge through the determination of its people and the strength of its inclusive society.”

The measures are designed, in the Crown Prince’s words, “to strengthen the economy’s resilience, readiness, and agility.”

Five Council-Approved Initiatives

The Executive Council approved five key projects under this package:

1. AED 1 billion in economic incentives for Dubai’s economy and society at large
2. Dubai’s 2025 GDP results and an updated methodology for measuring the emirate’s GDP
3. The Virtual Warehouses Initiative
4. The Dubai Empowerment Strategy
5. The Health and Safety Strategy for Workers’ Accommodation

Government Fee Deferrals for 3 Months

Effective April 1, 2026, Dubai has deferred the following government fees for a period of three months:

• Premium business name fees
• Licence amendment fees
• Newspaper announcement fees
• Local service fees
• Accommodation fees
• Waste management fees
• Service improvement fees

These deferrals apply to both new business licences and renewals, offering relief to companies at different stages of operation. Helal Saeed Almarri, Director General of Dubai’s Department of Economy and Tourism, stated:

“Dubai’s economic model has been built on agility, clarity, and cooperation, and the accelerated introduction and implementation of these measures is a clear demonstration of the decisive leadership our city and nation benefit from.”

Hospitality Sector: Tourism Dirham and Sales Fees Deferred

Hotels, hotel apartments, and holiday homes across Dubai are permitted to postpone paying 100% of sales fees on room bookings and food and beverage, as well as the Tourism Dirham, for three months starting April 1, 2026. 

The measure is specifically designed to enhance liquidity across the hospitality and tourism sectors during a period of elevated uncertainty.

Customs Grace Period Extended: 30 to 90 Days

For importers and traders, the customs data grace period has been extended from 30 days to 90 days. This gives businesses operating through Dubai’s trade corridors significantly more flexibility in managing import documentation and related obligations.

Virtual Warehouses Initiative

The Executive Council approved the Virtual Warehouses Initiative, overseen by Dubai Customs, which is designed to facilitate smoother movement of goods through temporary import mechanisms across sectors.

Streamlined Residency Permit Processing

As part of the same package, Dubai is streamlining the issuance and renewal of residency permits, making it easier for skilled professionals to live and work in the emirate. This supports businesses that depend on international talent by reducing delays in workforce onboarding.

Dubai Empowerment Strategy and Worker Welfare

Two additional strategic initiatives were approved alongside the economic incentives package:

• The Dubai Empowerment Strategy, which targets financial stability for Emirati families and the broader community
• The Health and Safety Strategy for Workers’ Accommodation, which targets full access to essential services and comprehensive safety compliance in workers’ accommodations, aligned with the Dubai 2040 Urban Master Plan and International Labour Organization (ILO) standards

Dubai’s Economic Performance: A Strong Foundation

These measures are introduced against the backdrop of robust economic performance. Dubai’s GDP grew by 5.4% in full-year 2025, reaching AED 937 billion, with the fourth quarter of 2025 alone recording 6.4% growth. 

The Executive Council also approved an updated methodology for measuring GDP, expanding survey coverage and improving data accuracy to better reflect real economic activity.

What This Means for Your Business

Whether you are setting up a new company, renewing a business licence, importing goods, managing a hospitality establishment, or hiring international professionals, this package directly reduces your short-term cost and administrative burden:

• New business or renewal: A defined set of government fees is deferred for three months, with no distinction between new and existing companies
• Hotel, hotel apartment, or holiday home operator: Your Tourism Dirham and room and F&B sales fees are deferred for three months
• Importer or trader: Your customs data grace period has tripled, from 30 to 90 days
• Hiring international talent: Residency permit issuance and renewal has been streamlined

The package is active now and will run for three to six months from April 1, 2026, as confirmed by the Dubai Executive Council.