Monday April 25, 2022
Dhs6.8 billion of contracts awarded to SMEs through Expo 2020
Picture used for illustrative purpose only.
Expo 2020 Dubai awarded Dhs6.8 billion of contracts to small and medium-sized enterprises (SMEs), providing a significant contribution to a vital sector of Dubai’s vibrant economy and exceeding a commitment made in 2016 to award at least 20 per cent of all direct and indirect spend to SMEs.
The figure represents more than a quarter of all Expo 2020 Dubai contracts in terms of value. Of the 3,245 suppliers awarded Expo 2020 Dubai contracts, 66 per cent (2,150) were SMEs, with 64 per cent (1,390) of these comprising domestic SMEs, reflecting the calibre and diversity of UAE-based enterprises and supporting the UAE’s wider drive towards a thriving private sector and more resilient economy.
The majority of the 760 overseas SME suppliers hailed from the United Kingdom (24 per cent), the United States (16 per cent), France (4 per cent), India (4 per cent) and Australia (4 per cent). Overall, suppliers from outside the UAE were sourced from 94 countries, indicative of the World Expo’s global reach and impact.
Mukhtar Safi, Chief Financial Officer and Deputy CEO, Expo 2020 Dubai, said, “Our commitment to SMEs has been embedded into our planning since the very beginning of our World Expo journey, honouring the visionary leadership of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, to support and empower SMEs - the lifeblood of economies across the world, including the UAE, where they are an important driver of economic growth and a vital source of job creation.
“The integration of SMEs into the delivery of what has been a truly exceptional World Expo will be an important part of Expo’s legacy for the UAE and wider region, stimulating employment, strengthening existing industries, enhancing SME competitiveness and ultimately contributing to sustainable economic growth.” From construction firms to event organisers, retail stores to food and beverage outlets, SMEs played a key role in the success of Expo 2020 Dubai, which awarded Dhs 1.06 billion to UAE-based SMEs in 2021 alone.
Of this, Dhs 161.7 million ($44 million) in contracts were awarded to Dubai SMEs, strengthening Dubai’s Government Procurement Programme, which requires UAE Government entities and establishments where the government holds equity of 25 per cent or more to allocate 10 per cent of their purchasing to Emirati firms that are members of Dubai SME - part of the Department of Economic Development that provides support, information and outreach for the growing SME sector.
The Expo 2020 Dubai procurement process itself was based on three principles: Simplicity, Transparency and Inclusivity, allowing business of all sizes to do business with Expo 2020 Dubai as easily and competitively as possible. In 2018, Expo 2020 Dubai became the first World Expo and only the second ever mega-event to secure an Excellence in Procurement Award from the Chartered Institute of Procurement & Supply.
A recent report commissioned by Dubai Chamber of Commerce revealed that around 76.5 per cent companies registered growth in their businesses during Expo 2020 Dubai, while 73.5 per cent managed to build new business relations during the world’s greatest show. I
n terms of services provided by Dubai Chamber during the event, 70.6 per cent of respondents to the survey conducted as part of the report said they benefitted from networking, 47 per cent benefitted from the Global Business Forum series and 47 per cent benefitted from B2B meetings.
Titled, ‘Business Integration for Growth, Digital Transformation and Global Partnerships’ the report was developed by the Chamber in collaboration with Oxford Business Group. In total, Dubai Chamber of Commerce organised 98 events during Expo 2020 Dubai, which were attended by more than 25,000 participants from over 130 countries.
The Global Business Forums on Africa, ASEAN and Latin America saw the most participation, as the high-level forums were joined by government and business leaders, who attended in person and virtually.
The 12th edition of the World Chambers Congress and a series of Thematic Business Forums were also hosted by the Chamber, which were attended by chamber and industry leaders. The events identified global challenges and highlighted innovative solutions to drive sustainable economic growth.
Dubai Chamber of Commerce facilitated 1,500 bilateral business meetings between UAE investors and their global counterparts, and received 1,746 visiting delegations from over 60 countries during the mega event.