UAE channels over Dh33 billion in funding to boost tourism, jobs

The UAE is leveraging its booming tourism sector to create jobs, foster innovation, and empower entrepreneurs, supported by over Dh33 billion in national funding programs.

Tourism, which contributes significantly to GDP, has emerged as a cornerstone of the UAE’s economic diversification strategy, attracting millions of global visitors annually and driving growth in hospitality, retail, transport, and leisure industries.

The World’s Coolest Winter campaign, themed “Our winter is entrepreneurial,” highlights how government-backed funds are enabling start-ups and SMEs to tap into this vibrant sector. By providing financing, training, advisory services, and incubation support, these initiatives ensure businesses not only survive but thrive, while generating employment opportunities across the country.

Khalifa Fund

The Khalifa Fund for Enterprise Development, established in Abu Dhabi in 2007, has been a key enabler, supporting more than 1,200 companies with over Dh1.4 billion in funding and creating 15,000 jobs. Its start-up and expansion program covers up to 80% of project costs, offering flexible repayment terms and grace periods, supporting sectors including tourism, ICT, healthcare, agri-tech, and innovative projects.

Dubai’s Mohammed bin Rashid Establishment for SME Development has funded 168 projects worth Dh137 million since 2015, with plans to support 27,000 Emirati businesses by 2033. It provides a comprehensive platform of planning, accelerators, training, marketing, licensing, financing, and access to government procurement. In 2024 alone, its Hamdan Innovation Incubator assisted 66 entrepreneurs, raising the total number of supported start-ups to 826.

Nurturing SMEs

Sharjah’s RUWAD Foundation, part of the Sharjah Economic Development Department, focuses on nurturing SMEs and Emirati entrepreneurial talent. It has trained 9,724 participants, financed 106 projects, and launched smart digital platforms that provide seamless access to financing, events, and innovation initiatives.

The Emirates Development Bank (EDB), operational since 2015, has disbursed Dh30 billion to more than 13,500 companies, contributing AED 10 billion to national GDP. Its EDB350 digital platform simplifies account creation, financing applications, and access to incubators and mentorship programs, enabling start-ups and SMEs to scale rapidly.

Steady growth

The UAE tourism sector has grown steadily over the past two decades, benefiting from world-class infrastructure, a safe and diversified environment, and globally recognized events such as Expo 2020 Dubai, Abu Dhabi Formula 1, and international cultural festivals. By combining government investment in infrastructure with entrepreneurial support, the sector now spans luxury hospitality, ecotourism, adventure tourism, and cultural experiences, creating thousands of direct and indirect jobs annually.

Together, these funding programs and initiatives are building a thriving entrepreneurial ecosystem, driving job creation, diversifying the economy, and positioning the UAE as a leading global destination for tourism and investment. By harnessing innovation and entrepreneurship, the country ensures that every winter and every season brings new economic opportunities and growth.