While Sheikh Hamdan bin Mohammed’s $100 million funds are a shining example of the desire to be at the vanguard of a digital future, it is critical for fintech firms whose success is unpredictable, according to experts.
Industry analysts believe that Dubai’s recently announced $100.73 million Venture Capital Fund for Startups is the latest sign of the city’s drive to attract enterprising global talent.
The fund, which was approved on Thursday by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Dubai’s Crown Prince and Chairman of the Dubai Executive Council, is meant to support and maintain innovative ventures and entrepreneurs in the emirate.
“Another example of the UAE’s efforts to attract investment and expertise too vital areas is this.” With the UAE liberalizing visa policies, more incentives like this will likely help overcome some of the current barriers to entry and attract talent, particularly regional talent looking for funding opportunities,” said Scott Livermore (below), ICAEW economic advisor and chief economist and managing director, Oxford Economics Middle East.
“This is especially crucial in industries like fintech, which are dynamic and have a lot of room for success.” The fund must be easily available to a large number of startups and SMEs that will be major innovators in the field if it is to have the greatest impact,” he concluded.
The Venture Capital Fund for Startups, which the Dubai International Financial Centre governs (DIFC), which is also a 15% contributor to the fund, will provide $100.73 million (AED370 million) in capital to support small to medium startup projects’ development in Dubai and gradual expansion to global markets.
Dubai is the world’s third most appealing city for digital nomads:
After real estate brokerage Savills named Dubai the world’s third greatest city for digital nomads, this comes after Lisbon and Miami. The survey selected 15 of the most desirable residential markets regarding their desirability to long-term remote workers.
“Dubai’s ranking as the world’s third best city for digital nomads is outstanding. For the past few years, digital nomads have only been allowed to visit Dubai due to a lack of visa capacity. This demonstrates Dubai’s appeal as an opportunistic destination to reside globally. “The UAE’s leadership is always looking to the future and pushing for the improvement of the nation, which is luring ex-pats,” said Lewis Allsopp (below), CEO of Allsopp & Allsopp.
“Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, established a $100 million fund for startup enterprises as a perfect illustration of the desire and enthusiasm to be at the forefront of a digital future,” he stated.
During the implementation term, the fund is expected to contribute roughly AED3 billion to Dubai’s GDP, going into effect in June 2022. It will last for eight years, with a two-year extension option.
