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How Dubai’s latest Salik toll gates are shaping road traffic patterns

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The long-term effects of increased toll gates and dynamic pricing in Dubai may take up to a decade to fully manifest, according to an expert. Dr. Khaled Alawadi, an associate professor of Sustainable Urbanism at Khalifa University, explained, “There is a link between adding toll gates, improved air quality, and fewer accidents.” However, he added that to effectively reduce the number of vehicles on the road, residents need reliable alternatives in public transportation. “This shift may take anywhere from ten to twenty years to be truly felt in the city,” he said.

While the full impact may take time, some local residents are already noticing changes in traffic patterns since Salik introduced dynamic pricing and added two new toll gates in late 2024.

On January 31, 2025, Salik implemented dynamic toll pricing, where drivers pay Dh6 during peak hours (morning and evening) and Dh4 during off-peak hours on weekdays. Mohammed Iqbal, who works in Dubai Media City and begins his day at 6 a.m., is one of those benefiting from the new pricing structure. “I pass through two Salik gates, but since I travel before 6am, I get free trips one way,” he said, adding that he’s pleased with the changes.

With the new pricing system, toll charges are waived from 1 a.m. to 6 a.m., and on Sundays (excluding public holidays or special events), the fee is Dh4 throughout the day. “I’ve noticed an increase in traffic before 6 a.m. as people try to avoid the toll charges,” Mohammed observed.

Sanjana K.A., who lives in Karama, shared a similar experience. She recently benefited from the smooth traffic flow when running late to a meeting in Dubai Marina. “I used the Safa and Barsha toll gates, and the traffic was surprisingly smooth. I arrived ahead of schedule, but my Salik costs have gone up,” she said.

On the other hand, some areas are experiencing more congestion due to changes in traffic patterns caused by the toll system. Ayesha Nawaz, a resident of Dubai Creek Harbor, noted that there has been more traffic in her area as commuters avoid the toll on the Business Bay bridge. “In the evenings, the situation is tough. Many people take shortcuts through our community to reach Deira, Rashidiya, or Sharjah, resulting in longer travel times,” she said. “What used to take 5 to 8 minutes now takes 20 or more.”

Muhammad Anshah, from Jumeirah 1, also encountered heavy traffic on the first day of dynamic pricing. “It was a nightmare, with many drivers using Jumeirah roads to avoid the toll,” he said. “However, the traffic settled down after a day or two. It’s still heavier than before, but it’s not the same gridlock as on the first day.”

In November 2024, the Roads and Transport Authority (RTA) added two new toll gates in Business Bay and Safa, bringing the total to 10. The RTA’s aim is to encourage the use of public transportation and to redistribute traffic to alternative routes, such as Sheikh Mohammed bin Zayed Road, Dubai-Al Ain Road, Ras Al Khor Street, and Al Manama Street. Motorists are also encouraged to use alternative creek crossings like Infinity Bridge and Al Shindagha Tunnel.

Dr. Khaled noted that while Dubai has made significant progress in public transportation, more work is needed to reduce dependence on private vehicles. “My team studied mass transit systems in seven GCC cities, and Dubai ranked second, with nearly 78 percent of the population serviced by public transport,” he said. “Future metro lines are strategically positioned to accommodate a growing population.”

He also stressed the need for further studies on travel behavior, as understanding people’s travel patterns is key. “We lack data on how people travel. Some go between two fixed locations, while others make multiple stops throughout the day,” he explained. “If someone’s routine involves several destinations, they’re less likely to use public transport.”

Lastly, Dr. Khaled emphasized the importance of having transit zones located within 300 to 500 meters in high-density areas. “Given the hot climate, it’s not convenient to walk long distances. If there’s a transit zone just a seven-minute walk away, people are more likely to use public transportation,” he said, citing areas like Creek and Al Fahidi as examples where transit zones are well-placed and shaded.

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Indian real estate group BCD Global enters Middle East, sets up Dubai headquarters

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BCD Global, the international expansion platform of Indian-founded real estate developer BCD Group, has entered the Middle East, naming Dubai as its regional headquarters as it pursues its next phase of global growth.

The move marks the first Middle East expansion for the 70-year-old group, which has delivered more than 155 million square feet of real estate across over 300 residential, mixed-use and large-scale developments in seven countries.

BCD Global said it chose Dubai due to the emirate’s economic stability, access to global capital, regulatory clarity and long-term urban planning framework.

“Dubai represents the convergence of global capital, governance and long-term urban vision,” Amit Puri, CEO of BCD Global, said in a statement.

Founded in India in 1952, BCD Group has developed projects across infrastructure-led asset classes, including healthcare, senior living, hospitality, co-living and urban infrastructure. BCD Global will spearhead the group’s international expansion from the UAE, with a focus on institutional governance and long-term asset creation.

The expansion follows a strategic restructuring under chairman Angad Singh Bedi, who has overseen the group’s transition to a zero-debt, vertically integrated operating model.

“The Middle East is one of the defining growth corridors of the next decade, and Dubai stands at its centre,” Bedi said, adding that the group’s entry into the region was intended as a long-term expansion rather than a short-term market play.

BCD Global’s entry comes as the UAE’s real estate sector continues to benefit from population growth, infrastructure investment and sustained inflows of international capital. The UAE’s population is projected to reach around 11 million by 2030, supporting demand for large-scale, institutional-quality developments.

From Dubai, BCD Global will oversee its Middle East and Africa operations, with the wider Gulf region, including Saudi Arabia, identified as a key growth market over time.

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UAE to crack down on businesses not complying with electronic invoicing rules

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The UAE Ministry of Finance has introduced a Cabinet Resolution imposing administrative fines on businesses that fail to comply with the country’s Electronic Invoicing System (EIS), reinforcing the nation’s drive for digital transformation and stronger tax compliance.

The rules apply to all entities required to adopt EIS under Ministerial Decision No. (243) of 2025. Companies using the system voluntarily are exempt from penalties until compliance becomes mandatory.

Fines include:

  • Dh5,000 per month for failing to implement EIS or appoint an approved service provider on time.
  • Dh100 per electronic invoice not issued or sent on time, capped at Dh5,000 per month.
  • Dh100 per electronic credit note not issued or sent on time, capped at Dh5,000 per month.
  • Dh1,000 per day for not notifying the Federal Tax Authority of system malfunctions.
  • Dh1,000 per day for delays in updating approved service providers on registered data changes.

Officials stressed that the resolution underlines the UAE government’s commitment to international best practices and the development of a fully integrated digital economy.

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UAE VAT rules are changing in 2026: Here’s what businesses need to know

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The UAE’s Ministry of Finance has announced a new set of amendments to the country’s VAT law, with the revised rules taking effect on January 1, 2026. The changes are designed to make the tax system easier to use and more aligned with international best practices.

In a statement, the Ministry said the move supports the UAE’s ongoing efforts to streamline its tax framework and improve administrative efficiency. The updates are also designed to provide businesses with greater clarity and reduce unnecessary paperwork.

Simpler filing, fewer steps

One of the biggest changes removes the requirement for businesses to issue self-invoices when using the reverse charge mechanism. Instead, companies will simply need to keep the usual documents that support their transactions, such as invoices, contracts and records, which the Federal Tax Authority (FTA) can review when checking compliance.

According to the Ministry, this adjustment “enhances administrative efficiency” and provides clear audit evidence without placing extra paperwork burdens on businesses.

Five-year window for VAT refunds

The updated law also introduces a five-year limit for claiming back refundable VAT after accounts have been reconciled. Once this period ends, businesses lose the right to submit a claim. Officials say this helps prevent long-delayed refund requests and gives taxpayers more certainty about their financial position.

Tighter rules on tax evasion

To protect the system from misuse, the FTA will now have the authority to deny input tax deductions if a transaction is found to be linked to a tax-evasion arrangement. This means businesses must ensure the supplies they receive are legitimate before claiming input VAT.

Taxpayers are expected to verify the “legitimacy and integrity” of supplies as part of these strengthened safeguards.

Supporting a competitive economy

The Ministry said the amendments will boost transparency, ensure fairness across the tax system and support better management of public revenue. The updated rules also aim to maintain the UAE’s competitive edge while supporting long-term economic sustainability.


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