Dubai's DAFZA hits 62% of total annual sales target
In Q1 2017, the authority saw its revenues go up by 7% and its number of registered companies by 31% compared to the same period in 2016
The Dubai Airport Freezone Authority (DAFZA) has announced that it achieved 62% of its total annual sales target in the first quarter of this year.
In a statement, the authority also revealed that it saw a 7% increase in revenues and a 31% growth in the number of its registered companies, compared to the same period in 2016. The authority noted that the number of multinational businesses operating under its umbrella went up by 16%.
According to DAFZA, its positive financial results reflected a significant increase in the demand for office space, with the growth of leased office space reaching 35%. Leased light industrial units are said to have recorded a 36% increase in Q1 2017 compared to Q1 2016.
DAFZA attributed its Q1 2017 performance to its plan to attract more foreign direct investments (FDI’s), which included a promotional plan targeting the world's leading markets and vital economic sectors currently booming in the MENA region.
This promotional plan included a tour with stops in South Korea, India, Germany, and Italy, which reportedly resulted in new strategic partnerships.
HE Dr Mohammed Al Zarooni, director general of DAFZA, commented: “The excellent results from Q1 2017 reflect our positive outlook for 2017.
“The growth that we are witnessing [can be] attributed to our business model, efficient operational management, flexible yet highly efficient requirements for investments, and global market volatility. Our successful financial results reflect DAFZA’s commitment to its efficient and value-added role in driving the national economy, and we expect this growth to continue as a result of our strong operational and financial performances.”
DAFZA further noted in its statement that with regard to the number of registered companies in the freezone, 32% belong to the information and communications technology (ICT) and electronics industries; 9% to the investment and business development sectors; 8% to the cargo, logistics, and consumer goods sectors; and 6% to the food and beverage, aerospace and aviation, and machinery sectors.
Engineering and building materials companies ranked fifth in terms of number with 5%, followed by financial, insurance, medical equipment and pharmaceuticals at 4% each. The other sectors collectively comprised 8% of the total number of registered companies.