Micro, Small and Medium Enterprises (MSMEs) are the backbone of any economy and an engine for economic growth and the promotion of equitable development for all.
98% of the number of MSMEs registered in the Emirate of Abu Dhabi represent 35.5% of the total number of jobs, and about 25.6% of the total production. (Statistics of Establishments in the Emirate of Abu Dhabi 2018, Statistics Center - Abu Dhabi).

Economic incentives

In line with the directives of the wise leadership in the Emirate of Abu Dhabi to stimulate economic growth and support MSMEs, a package of encouraging economic incentives in government procurement has been issued by the Department of Government Support as stipulated by Circular No. (6) for the year 2020 regarding economic incentives for MSMEs. The incentives include the following items:

  • Allocating 15% of annual purchases and contracts in ADGEs to MSMEs.
  • Exempting MSMEs from providing a bid bond guarantee.
  • Exemption of MSMES from providing a bank guarantee to ensure performance bond, provided that the ADGEs reserves 5% of the value of each invoice due for a period of 3 months after the final delivery.
  • Pay the dues of MSMEs within 15 days of the date of the invoice.
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