The Industrial Development Bureau (IDB) of the Abu Dhabi Department of Economic Development (ADDED) said that the number of industrial licences with a converted status to ‘Production’ reached 29 with an investment value of AED2.6 billion ($708 million) in the first half (H1) of 2020.

New industrial licences under ‘Industry Pioneers’ also grew by 18 per cent while the licences with ‘Under Construction’ status rose by 33 per cent, compared to the first half of 2019, reported state news agency Wam, citing ADDED’s industrial performance report for H1.

Mohammed Ali Al Shorafa, Chairman of ADDED, said that industrial performance during the first half of 2020 demonstrates an increase in most of the performance indicators of Abu Dhabi’s industrial sector despite the coronavirus (Covid-19) crisis and its impact on both the regional and global economies.

Al Shorafa added: "The report’s positive results reflect the success of the initiatives recently launched by the Abu Dhabi Government and implemented by ADDED in partnership with various government entities. These initiatives aim to support and accelerate sustainable economic development and ensure business continuity in the emirate."

Al Shorafa emphasised the significance of the leading role played by ADDED’s IDB in facilitating the issuance procedures of various industrial licences and in providing high-quality services to industrial investors. These efforts will help enable the industrial sector in Abu Dhabi to achieve steady growth and enhance the investment climate across all vital manufacturing industries in order to increase their contribution to the emirate's gross domestic product (GDP) and achieve economic diversification.

He also highlighted the incentive initiatives provided for the industrial sector through the ‘Electricity Tariff Incentive Programme’ (ETIP) and ‘Abu Dhabi Local Content’ (ADLC) programme, along with the projects that IDB is currently implementing to support basic industries, achieve sustainability in the industrial sector and enhance its legislative framework.

"All of these initiatives and projects will have a remarkable positive impact on achieving the industrial sector’s stability; increasing its growth rates, especially across manufacturing industries; and boosting the sector’s contribution to the emirate's non-oil GDP," Al Shorafa concluded.

Rashed Abdul Karim Al Balooshi, Undersecretary of ADDED, said: "Despite the impact of the Covid-19 crisis on various business sectors, IDB’s industrial performance report showed an increase in the number of licenses with a converted status to ‘Under Construction,’ that reached 32 during H1 of 2020, recording a growth rate of 33 per cent, compared to 24 licences during the same period of 2019."

Al Balooshi added that the report demonstrated a significant increase in the investment value of industrial licences converted into the ‘Under Construction’ status during H1 of this year which reached AED570 million in value, compared to AED138 million recorded last year. He emphasised that these results reflect the continued confidence of investors in Abu Dhabi’s industrial sector.

ADDED’s Undersecretary revealed that the number of licences which converted their status from ‘Under Construction’ to ‘Production’ during the first half of 2020 reached 29 with a total investment value of AED2.6 billion, compared to 32 licences registered during the same period last year.