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Retailer Sector is the Most Beneficiaries for Resuming the Economic Activity in Dubai

​Image: Economic Activity in Dubai

​Image: Economic Activity in Dubai


Shopping centers in Dubai resumed working after raising the operations ceiling to 70% of the joint regions, total rentable areas, increasing workers capacity at the same percentage while continuing compliance with precautionary measures. Officials and experts in the retail sector confirmed that resuming the economics movement in Dubai and raising the ceiling of operations in the shopping centers conveys a hopeful and optimistic message.  They also added that the retail sector shall lead the economic sectors which shall benefit from resuming the economic activity.


A Powerful Contribution

Dubai Statistics Center (DSC) CEO, Arif Al Muhairi, confirmed that Corona Virus pandemic affected several global economies; however, compared to the European Countries, the impact on the local economy was at its minimum due to the huge motivation packages that were approved by the Emirates and Dubai Government. The logical flow of these packages had significant implications in fortifying the national economy and absorbing the big part of the crisis effects.


Al Muhairi also noted that the retail sector is one of the fundamental sectors in terms of the contribution to Dubai gross domestic product (GDP) as Dubai is considered one of the most important shopping destinations in the world. He also mentioned that raising the operations ceiling in shopping centers helps the sector to flourish sooner. According to DSC data, the retail and wholesale sector acquired 25.5% of Dubai GDP through the first half of 2019 which is worth of AED 53.042 billion out of the total AED 208.21 billion.



Al Muhairi also pointed that reopening facilities according to the new rules would raise the income and enhance the purchasing power which shall be reflected on improving consumer confidence. He is expecting that Dubai shall be the most capable for restoring the growth rate, benefiting from its highly advanced infrastructure and the accumulated experience in employing future tools and techniques.


Thirst for shopping


From his part, Dubai Chamber of Commerce and Industry CEO, Majid Saif Al Ghurair, confirmed to ‘Al Etihad’ that resuming economic life at Dubai and raising the operations ceiling in shopping centers to 70% send an optimistic and hopeful message for everybody that Dubai succeeded in crisis management and showe its ability to harness its enormous potential in restoring the national economy growth rate.


“After the Emirate noticeably succeeded in combating and limiting the spread of the Corona Virus, the strategic plan came in the proper time to resume the economic activity and raise the operational capacity in shopping centers. Meanwhile, it also meets the large segment thirst for regular shopping and shopping centers touring.” Al Ghurair stated.

He also pointed that the plan of resuming business guarantees that individual businesses continue their activities and benefit by a large part of its normal income. This shall contribute in accelerating recovery from Corona Virus consequences that affected different economies all over the world. He also stated how important is e-shopping at this age, however, traditional shopping centers still maintains its attraction and brightness. At shopping centers, a shopper enjoys inspecting his item before purchasing and becomes more decisive about closing good deals.


A Great Leap


From his part, Retail Sector and Shopping Centers Management expert, Fahad Kazim, said that the human need for purchasing and shopping is essential. The online shopping platform satisfied a great deal of shoppers’ needs during lockdown. However, this resulted in two significant matters; first, an exceptional pressure on the online shopping platforms, and, second, consumers longing to shopping centers for what the facilities and services they provide that entertain individuals and their families.


Kazim also mentioned that shopping centers were ready to be digitally transformed. However, with the appearance of Corona pandemic, they were rapidly converted into electronic platforms in an unprecedented digital leap. He also added that, nowadays, it is rare to find a shopping center that does not own a digital platform for selling its products.


The decision of raising up the shopping centers absorptive capacity to 70% is taking place after nearly a month from now. Consequently, with the application of the precautionary measures represented in wearing masks and gloves, and using hand sanitizers, shopping centers such as; ‘Dubai Mall’, ‘Mall of Emirates’, ‘City Centre Mirdif’, ‘City Centre Deira’, ‘Dubai Festival Mall’, and ‘Burjuman Centre’, will be partially opened for visitors.


Precautionary measures


Sony Middle East and Africa CEO, Takako Fujita, said that the Company’s employees will resume running the stores under the new policy confirming taking all preventive actions and measures which are determined by the government and malls management. These measures include physical distancing and sterilization for maintaining and protecting public health. He also clarified that raising operations ceiling for shopping centers helps creating the balance between public health considerations and solving challenges that face retailing sector as one of the main pillars of Dubai economy.


From his part, retailing and Omni-Channel chief at “Jumbo” Group, Punkaj Kumar, confirmed the importance of raising the ceiling of operations. He emphasized that Jumbo Electronics Group Limited is committed to all precautionary measures that are declared by competent governments and authorities.


He also added that all company branches at shopping centers have been notified of the new schedules and procedures in order to take all actions along with the continuous precautionary measures including physical distancing, sterilization, and wearing masks and gloves inside stores.