Economic rescue packages across the region

Economic rescue packages across the region
Dubai
Published: 20 March 2020 - 11:30 a.m.
By: Hotelier Middle East Staff

Businesses in the Middle East are experiencing a cash crisis and in the last few days governments in the region have begun announcing rescue packages and economic stimulants to help protect jobs.

Privately owned airlines are among those businesses most at risk with many already asking thousands of staff to take unpaid leave.

Here are some of the measures governments in MENA have taken:

Saudi Arabia
Saudi Central Bank announced a 50-billion-riyal (US$13.3 billion) package to support the private sector   

UAE
Central Bank announced a 100 billion AED ($27.2 billion) financial stimulus to provide liquidity and offer institutions loans at 0%.  Dubai announced 1.5 billion AED ($400 million) stimulus and reducing tourism tax from 7.5% to 3.5%. Abu Dhabi announced further economic stimulus of 5 billion AED ($1.36 billion) and reducing energy costs.

Bahrain
Announced a stimulus worth 4.3 billion BHD ($11.7 billion) that includes waiver of government fees for the hospitality sector, waiving utility bills for 3 months, supporting the banks and financial system.

Egypt
President announced 100 billion EGP ($6.4 billion), cutting interest rate by 3%.

Nigeria
Financial relief packages for affected industries and businesses including aviation comprising moratorium on debt repayment obligations for a year, reduction of interest rates from 9 to 5%, package of N50 billion (about $135m)

Mauritius
The government has announced MUR 9 billion ($226 million) to support all industries affected by the outbreak; the part allocated to the aviation industry is not specified.

Morocco
In addition to the allocation of ($1 billion) to help economy in the fight against Covid–19 and in particular the heavily impacted sector namely tourism, major business in the country launched a donation action to the fund and managed to collect another $1 billion.

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