Thousands of small and medium enterprises (SMEs) will be able to tender for opportunities in projects related to Expo 2020 in Dubai.

The development follows the signing of a memorandum of understanding (MoU) with Expo 2020 Dubai by Dubai SME and Tejari, the strategic procurement company.

The deal has been designed to broaden access to SMEs to participate in the expo’s projects which could be worth $6.8 billion.

The MoU allows businesses registered with Dubai SME to be automatically enrolled as potential suppliers to Expo 2020 Dubai. The move forms part of ongoing initiatives aimed at encouraging participation by SMEs in the delivery of Expo 2020 and creating a positive impact on the UAE economy that extends beyond 2020.

The mega-event is expected to generate a gross value addition of Dh71 billion ($19.33 billion) to the Dubai economy. According to Dubai SME, small and medium enterprises currently contribute 42 per cent towards Dubai’s total employment and generate 40 per cent of gross value added.

Reem Ebrahim Al Hashimy, UAE Minister of State for International Co-operation and director general of Expo 2020 Dubai Bureau, welcomed the MoU.

“SMEs are major economic drivers and provide an important contribution to Dubai’s evolution as a smart city. By uniting with Dubai SME and Tejari, we are further extending our support to this critical business community, enabling SMEs to play a greater part in the delivery and legacy of Expo 2020 Dubai,” said Al Hashimy.  

“We look forward to working with them to developing a truly inclusive, SME-friendly expo, with a sustainable economic legacy.”

In April 2015, Expo 2020 Dubai launched its vendor registration and pre-qualification eSourcing Portal, which links all Expo-related procurement operations and enables the rapid deployment of tender opportunities to the local and global business community in an open and transparent fashion.

Of the 4,633 companies currently registered on the Expo 2020 Dubai eSourcing Portal, 32.7 per cent are SMEs. As part of the MoU, Tejari, a leading UAE provider of electronic contract systems, will integrate Dubai SME’s 3,500 member-companies into the Expo 2020 Dubai e-Sourcing Portal database. All registered members will be automatically integrated and will be able to participate in the delivery of the World Expo through project tenders.

Dubai SME, an agency of the Department of Economic Development (DED), was established to foster the development of entrepreneurs, encourage and support UAE nationals to actively participate in the economic growth of Dubai and facilitate the establishment of small and medium enterprises.

OFFICIALS HAIL DEAL

Abdul Baset Al Janahi, CEO of Dubai SME, remarked: “This initiative comes in line with the vision of HH Sheikh Mohammed bin Rashid Al Maktoum to evolve Dubai into the smartest city in the world. We at Dubai SME seek to cooperate and coordinate with the public sector at the federal and local levels and with the private sector to enhance business competitiveness and support entrepreneurs in the run up to the largest event regionally. 

“We also look to coordinate by linking electronic databases to ensure members details are up to date and are easily accessible on the Expo’s eSourcing portal. This agreement will also allow us to support our members and provide them with access to the best tender opportunities.”

Al Janahi highlighted that Dubai SME regularly updates the database of Expo members who are registered on its electronic portal. 

“Through this strategic initiative, we seek to implement the emirate’s strategy to increase the contribution of SMEs to the non-oil GDP, as well as improve the UAE’s position in the ease of doing business index and the global index for entrepreneurship and development, in line with the Dubai 2021 Vision. This agreement will also help promote the SME sector which represents 95 per cent of all companies in Dubai and 42 per cent of the total labour force.”

Marwan Al Naqi, chairman of Tejari, commented that the UAE actively seeks to promote cultural exchanges with other countries, to strengthen international relationships and enhance mutual understanding amongst nations from around the world. It is also a successful and inspiring model of one of the first governments to adopt the latest technologies to create a modern environment and support its rapid development. 

“We at Tejari are very pleased to cooperate with Expo 2020 Dubai, which is expected to shape the future and build on existing efforts to highlight the UAE as a global destination that brings together people, organisations and innovations from around the world,” he said.