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UAE e-commerce market value zooms to over $5b in 2021

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The UAE e-commerce sector continued to show growth in 2021 based on the recent report launched by EZDubai, the fully dedicated e-commerce zone in Dubai South, in partnership with Euromonitor International, the world’s leading provider for global business intelligence, market analysis and consumer insights. Total e-commerce in the UAE, reached just over $5 billion in 2021 and is anticipated to surpass $8 billion by 2025.

According to the report’s findings, more consumers in the UAE made online purchases across all categories during 2021 compared to 2020, with an average 75 per cent of respondents typically purchasing online. The fastest-growing sectors by industry from 2021 – 2025 will be homewares & home furnishings, food & beverage, and media products.

Countries in the Middle East are in a strong position to enable further e-commerce development thanks to high GDP per capita and internet penetration. The UAE and Qatar are in the strongest position, with GDP per capita above $40,000 and internet penetration above 90 per cent. Both countries have successfully implemented fiber access in homes and have the highest active mobile-broadband subscriptions in the region.

E-commerce in the MENA region is fast catching up with global powerhouses, such as China, with many online retailers scaling up services during Covid-19; by 2021, the total market size was estimated at $31.7 billion. The expansion of e-commerce in the MENA region is mainly driven by strong internet penetration rates, high possession of digital devices, rising incomes, improving logistic advancements, and the increasing presence of global and recognized players that have brought variety and availability to local consumers amidst the pandemic.

While the MENA is mostly a cash-based economy, after the pandemic, consumers shifted quickly to adopt credit and debit cards, driven by increased trust and the improvement of company operations. According to the report, in the UAE, credit/debit cards are the preferred method of payment.

UAE consumers purchase from cross-border retailers to access a wider range of products or search for lower prices or higher quality products not offered locally. The UAE also has affordable shipping costs for consumers looking to purchase outside the region. The leading countries, which UAE consumers purchase from include the USA, India and China and are often related to apparel and footwear as well as beauty and personal care. Foreign e-commerce (UAE consumers purchasing outside of the country) is rising fast, from 23 per cent of total e-commerce sales in 2019 to 26 per cent in 2021; this is expected to rise to 32 per cent in 2025.

The MENA is an active region for attracting local and international investments in e-commerce. With the current pace of developments and growing consumer preference for online retail, the region will see e-commerce growth of over $18 billion in absolute value terms over 2021-2025 reaching over $49 billion in 2025.

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UAE motorist alert: Abu Dhabi announces new toll gates on major highways

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Motorists travelling across Abu Dhabi may soon notice a shift in how road tolls are applied, as the emirate quietly expands its Darb toll system beyond island entry points to major highways.

New toll gates have been installed in strategic locations such as Ghantoot along the busy Dubai–Abu Dhabi corridor and in the Al Qurm area. While the structures are visible and clearly marked, authorities have confirmed they are not yet operational and are currently undergoing testing.

The move signals a broader approach to traffic management, aiming to ease congestion and improve flow on some of the UAE’s busiest routes. Unlike the earlier system focused on bridge access to Abu Dhabi Island, the expansion hints at a more comprehensive, network-wide tolling strategy.

For now, motorists are advised to stay updated through official channels and ensure their vehicles are registered on the TAMM platform to avoid penalties once the system goes live.

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Dubai’s senior citizens just got a new social hub: Thukher Club opens in Al Khawaneej

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Dubai is making sure its senior citizens are living their best lives. Under the directives of Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, a brand-new branch of the Thukher Club has officially opened its doors in Al Khawaneej.

This isn’t just a community centre, it’s a high-tech, high-heart hub designed to keep seniors right at the centre of the action. Supervised by the Community Development Authority (CDA), the club is all about recognising that wisdom doesn’t retire, it just finds a better place to hang out.

What’s inside the new Al Khawaneej branch

  • Integrated facilities: Think workshop halls, social lounges, and spaces dedicated to health and fitness.
  • Generational knowledge: The club acts as a bridge where seniors can share their massive life experiences with younger generations.
  • Wellness first: From sports to cultural programmes, the focus is on staying active, healthy, and connected.
  • Group effort: This isn’t a solo mission. The CDA teamed up with heavy hitters like Dubai Police, Dubai Health, and Dubai Municipality to make sure the services are top-tier.

Hessa bint Essa Buhumaid, Director General of the CDA, highlighted that this move is part of the Dubai Social Agenda 33. The goal? To make the family the ‘Foundation of the Nation’ and ensure Dubai remains the best city in the world to live in, no matter your age.

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Extra cash for more families as UAE extends support to 2040

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Good news for Emirati families. The UAE just levelled up the Nafis programme, and it’s looking like a major win for those working in the private sector. In a move that basically says “we’ve got your back for the long haul,””the government has officially extended the initiative all the way to 2040.

So, what’s actually changing? The big headline is a new salary support package of up to Dh 3,000. This boost is specifically aimed at the children of Emirati women and the wives of Emirati citizens working in private firms. To get in on this, there’s a minimum salary threshold of Dh 6,000, making sure the support hits where it’s needed most.

But wait, there’s more. Remember the cap on child allowances? Yeah, that’s gone. The government has scrapped the limit on how many children can benefit, meaning bigger families get bigger support.

Mark your calendars:

  • New Beneficiaries: You’ll start seeing the impact in early September.
  • Existing Beneficiaries: Don’t worry, you aren’t being left out. The updates will roll out for you via a phased implementation over the next three years.

This initiative was officially announced by Sheikh Mansour bin Zayed Al Nahyan. It’s all part of a grand plan to make the private sector the ‘place to be’ for Emiratis for decades to come.

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