UAE's Ministry of Finance revealed on Thursday that over 1,500 federal government services fees will either be reduced or cancelled, with certain fees being reduced by up to 50 percent.
The decision was made to enhance the appeal of the national economy and reduce the cost of doing business and bolster the competitiveness of the UAE.
According to the Ministry, the changes will be applicable to federal services for three main federal ministries - Ministry of Interior, Ministry of Economy, and the Ministry Human Resources and Emiratisation.
Specifically, 1,200 fees were reduced or cancelled at the Ministry of Interior, 80 at the Ministry of Economy, and 200 at the Ministry of Human Resources and Emiratisation, WAM reported.
The decision follows a study of service fees in the UAE in comparison with those in neighbouring countries. The study also identified the requisite measures in accordance with the government's aim to strengthen the economy and increase the competitiveness of the UAE.
For his part, Younis Haji Al Khoori, Under-Secretary of the Ministry of Finance, said: "During the preparation of the Federal Fee Review Project, the Ministry of Finance ensured that a standard study of fees was conducted and contrasted with international best practice. It then analysed the findings of this study to make recommendations to launch a well-conceived initiative that supports the gradual transformation of the existing government revenue system based on services charged into a tax-based system."
"Following the completion of the study and consequent analysis, the Ministry of Finance proposed immediate measures to reduce fees by setting a fixed ceiling on incoming revenue. This will enhance business competitiveness and encourage innovation in services, which in turn will support the government's vision of developing the national economy on a robust and sustainable foundation," he added.
