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UAE SME licences surge 900% since 2000 as entrepreneurship strategy drives record small-business growth

UAE active SME licences have risen more than 900% since 2000 driven by a national entrepreneurship push, incentive programmes and a high global ranking; the UAE Council for Entrepreneurship reviewed campaign outcomes and policy recommendations to boost finance, innovation and outreach.

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UAE SME licences surge 900% since 2000 as entrepreneurship strategy drives record small-business growth

The number of active small and medium-sized enterprise licences in the UAE has risen by more than 900% since 2000 and by over 140% since 2020, figures reviewed by the UAE Council for Entrepreneurship show as the country advances a national entrepreneurship strategy. The council, chaired by Abdulla bin Touq Al Marri, Minister of Economy and Tourism, also highlighted the UAE’s top global ranking in the Global Entrepreneurship Monitor 2025/2026 report — first place for the fifth consecutive year — and second place worldwide for both entrepreneurial finance and ease of access to entrepreneurial finance.

"The UAE had placed entrepreneurship and SMEs at the centre of its economic development plans, viewing them as key drivers of economic growth, diversification and a knowledge-based economy built around innovation and sustainability," Abdulla bin Touq Al Marri said during the council meeting reviewing national initiatives and targets.

Campaign results and targeted support

Council members reviewed outcomes from "The Emirates: The Startup Capital of the World" campaign launched in September 2025. The campaign produced measurable uptake across training, procurement and regulatory support, and is being used to inform a proposed national entrepreneurship strategy to deepen federal-local cooperation.

  • More than 400 Emirati men and women trained and qualified through campaign programmes.
  • 214 citizens benefited from the Riyada programme, which recorded a 97% satisfaction rate.
  • 41 government initiatives launched across nine areas in partnership with 10 entities across five emirates.
  • Government procurement generated reached Dh202 million in total — Dh78.6 million via 55 contracts with seven government entities and Dh123.4 million at the federal level.
  • 405 businesses registered in the suppliers’ registry.
  • Incubation support provided to 30 real estate companies; 46 tax agents registered; 40 project management experts licensed.
  • 49 beneficiaries supported through the Emirati Families Programme and 100 student projects backed.

The council emphasised that SMEs account for about 95% of all companies in the country and provide more than 85% of private-sector jobs, figures also cited by the Ministry of Economy and Tourism. Members discussed governance, monitoring and impact measurement as they consider a roadmap to improve competitiveness, sustainability and the regulatory environment for startups and small firms.

Policy alignment, finance and outreach

Discussions included recommendations developed with the Organisation for Economic Co-operation and Development (OECD) focused on four priority areas: access to finance, innovation, internationalisation and measurement. The council examined how responsibilities should be divided between federal and local authorities and how to prioritise the OECD recommendations in the next implementation phase.

Practical outreach measures were also considered. The "Mobile Accelerators in Villages" initiative, designed to bring services and support to entrepreneurs in villages and targeted areas, is being expanded to simplify licensing, provide business locations and financing, deliver incubation programmes and connect firms with market outlets and sales channels.

Outlook: With policy coordination through the UAE Council for Entrepreneurship and continued implementation of campaign initiatives, officials expect the rapid expansion of SME licences and improved access to finance and services to strengthen the long-term sustainability of the UAE’s entrepreneurship ecosystem, furthering its position as a global destination for startups and small businesses.

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